As of January 20, 2021

Daiwa Office Investment Corporation
Earnings Announcement for the 30th Fiscal Period(Fiscal Period Ended November 2020)

Securities Code: 8976

MEMOThis document is not material disclosed in compliance with the Financial Instruments and Exchange Act or any regulation of similar nature, nor is it
intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

1

Contents

Section 3External Growth
Topics of the Fiscal Period Ended November 2020 (30th FP)
Impact of the COVID-19 Crisis on the Fiscal Period Ended
November 2020 (30th FP)
Assumption of Performance Forecast Amid the COVID-19
Crisis, Etc.

4
56

Section 1
Fiscal Period Ended November 2020 (30th Fiscal
Period) Performance Highlights and Forecasts
Highlights of the Fiscal Period Ended November 2020 (30th FP) 9
Highlights of Forecasts for the Fiscal Periods Ending May 2021 andNovember 2021 (31st and 32nd FP)
10
Change in Dividends
11

Section 2

Asset Replacement in the Fiscal Period
Ended November 2020 (30th FP)
Efforts on First Development Projectof the Investment Corporation
Property Transferred in the Fiscal Period Ending May 2021 andEfforts to Improve Portfolio Quality
Acquisition/Sale Policy and Status of Deliberation for
Property Acquisitions
Change in Asset Size and Acquisition Performance

23
24
25
26
27

Section 4
Financial Strategy
Status of Interest-Bearing Liabilities
Unitholders as of the End of November 2020

29
32

Section 5

Internal Growth
Leasing Market of Tokyo Office Buildings
Analysis of Leasing Business
Portfolio Map: Increase and Decrease in Unit Contract Rent
Compared with Previous Fiscal Period
Internal Growth Strategies
Properties Subject to Leasing Improvement in the Fiscal PeriodEnding May 2021 (31st FP)

13
14
18
19
20

Efforts on ESG
Environment
SocialSocial / Governance
SDGs / COVID-19

34
35
36
37

Appendix

This document is not material disclosed in compliance with the Financial Instruments and Exchange Act or any regulation of similar nature, nor is it
intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

2Disclaimer

This material is solely for the purpose of providing information and is not intended to offer or solicit investment nor
function as a recommendation to purchase or sell any specific product. Please refer any inquiries on potential
purchases of the investment units of Daiwa Office Investment Corporation to a securities dealer.
This document is not intended to provide information to meet the requirements of Japan’s Financial Instruments
and Exchange Act or Act on Investment Trusts and Investment Corporations, or any associated cabinet orders,cabinet office ordinances, rules, or any rules governing companies listed on the Tokyo Stock Exchange, or any
other applicable rules, nor is it a disclosure document or statement of financial performance prepared inaccordance with the provisions of any of the foregoing.
This document contains forward-looking statements. However, these forward-looking statements are based on
certain assumptions and judgments made using currently available information, and there are a number of
unknown risks and uncertainties. These forward-looking statements are not a guarantee of future performance ormanagement results of Daiwa Office Investment Corporation, and actual results may materially differ from any
explicit or implicit forecasts contained herein.
Although the information contained in this document is the best available at the time of publication, no assurances
can be given regarding the accuracy and certainty of this information. The content of this document may be
modified or withdrawn without prior notice.
Reproduction or use of the contents included in this document without
prior approval is prohibited.

This document is not material disclosed in compliance with the Financial Instruments and Exchange Act or any regulation of similar nature, nor is it
intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

3

Topics of the Fiscal Period Ended November 2020 (30th FP)
Matters relating to internal growthOccupancy rate as of the end of the 30th FP was 98.9% (End of the 29th FP: 99.5%).
 Monthly rent continued to increase with contract renewal and tenant replacement.
 Actual dividends for the 30th FP was 13,817 yen (+222 yen, +1.6% from previous period).
 The impact of the spread of COVID-19 on the performance in the 30th FP was minimal.
Percentage of rent increase
upon contract renewal

Rent increase/decrease rate
upon contract renewal

Rent increase/decrease rate
upon tenant replacement

Growth rate of dividend
resource (annualized)

32.7%+10.6 %

+16.7%

3.9%

For details,
please refer to page 16

For details,
please refer to page 17

For details,
please refer to page 15

Matters relating to external growthAcquired Nihonbashi-Bakurocho 1-Chome Development Site (land) for the Nihonbashi-Bakurocho 1-Chome
Development Project, which is the Investment Corporation’s first development project (acquisition price:
3,775 million yen, acquisition date: November 13, 2020).
 Transferred Daiwa Shimbashi 510 (transfer price: 2,530 million yen, transfer date: November 12, 2020) andDaiwa Kyobashi (transfer price: 4,200 million yen, transfer date: December 23, 2020).
→ Discussed effective utilization of cash on hand including the surplus funds from replacement and transfer
of properties.

For details,
please refer to page 24

For details, please referto page 23 and 25

Financial information, matters relating to ESG
Issued green bonds for the first time (September 2020) 5-year bonds: 1.5 billion yen, 10-year bonds: 2.4 billion yen
 Credit rating: Japan Credit Rating Agency, Ltd. (JCR): AA (stable)
Rating and Investment Information, Inc. (R&I): AA- (stable)
 LTV:
41.8% (end of November 2020)
 ESG:GRESB Real Estate Assessment: Green Star and 2 Stars
Ratio of properties with green building certification to the entire portfolio properties: 43.4% (as of January 20, 2021)
This document is not material disclosed in compliance with the Financial Instruments and Exchange Act or any regulation of similar nature, nor is it
intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

4

Impact of the COVID-19 Crisis on the Fiscal Period
Ended November 2020 (30th FP)
Impact of the COVID-19 crisis on the fiscal period ended November 2020 (30th FP)
The impact of the COVID-19 crisis on performance in the 30th FP was minimal. “Provision for revenue decrease in existing properties inconsideration of the COVID-19 crisis” expected at the beginning of the fiscal period was not used.
Expecting that the appearance of the impact of the COVID-19 crisis will be delayed to the 31st FP and after, the unused provision was
allocated to repair cost and leasing expenses brought forward in the 30th FP.
Fiscal Period Ended
Fiscal Period Ended
November 2020 (30th FP)
November 2020 (30th FP)
Forecast
Actual(As of July 2020)

Difference

Provision for revenue decrease in existing properties
in consideration of the COVID-19 crisis-96 million yen

Unused+96 million yen

Occupancy rate before taking into consideration theimpact of the COVID-19 crisis

98.6%

-

-

Assumed occupancy rate on which performance
forecast is based/actual occupancy rate
(in consideration of the impact of the COVID-19 crisis)

97.9% (-0.7%)

98.9% (-)

+1.0% (-)

Repair cost

575 million yen

670 million yen+94 million yen

13,700 yen

13,817 yen+117 yen

Distributions Per Unit

Comment• Although a decrease in rent and common area
fee revenue from existing properties and theoccupancy rate was conservatively factored in
as a temporary impact of the COVID-19 crisis,
the impact on performance in the 30th FP wasminimal.

• Allocated the unused provision for revenue
decrease in existing properties in considerationof the COVID-19 crisis to repair cost.
• Dividend increased slightly.

Response to tenants under the COVID-19 crisis

Number of sections for which postponement of rent payment or rent reduction was requested
Number of cases responded among the requested cases
Uncollected rent (including agreed uncollected rent)

At the time of announcement on July 17, 2020

At the time of announcement on January 20, 2021

129 sections (14.4% of the entire sections)

161 sections (17.9% of the entire sections)Deferred rent payment: 37 cases
270 million yen

Deferred rent payment:
Free rent granted:
Rent reduction:

36 cases
1 case2 cases

160 million yen

This document is not material disclosed in compliance with the Financial Instruments and Exchange Act or any regulation of similar nature, nor is it
intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

5

Assumption of Performance Forecast Amid the COVID-19 Crisis, Etc.
Assumption of forecast (Announced on January 20, 2021)
We have offset the revenue decrease in existing properties in consideration of the COVID-19 crisis by reducing repair costs, and kept the
DPU level unchanged by allocating part of the gain on sale of a property in the fiscal period ending May 2021 (31st FP) and reversing
internal reserves in the fiscal period ending November 2021 (32nd FP)
Fiscal PeriodEnding November
2021(32nd FP)

Fiscal PeriodEnding May 2021
(31st FP)-270 million yen

Provision for revenue decrease in existing properties
in consideration of the COVID-19 crisis

Forecast at the beginning of period:-142 million yen

Occupancy rate before taking into consideration theimpact of the COVID-19 crisis

Forecast at the beginning of period:
96.6%

Assumed occupancy rate on which performance
forecast is based(in consideration of the impact of the COVID-19 crisis)

Forecast at the beginning of period:
95.5% (-1.1%)-40 million yen

97.8%• Move-outs by major tenants are expected in the 31st FP forecast, and themove-outs by major tenants as well as other factors are conservatively
forecasted in the 32nd FP

95.8% (-0.3%)

338 million yen

221 million yen

Forecast at the beginning of period:
235 million yen

13,900 yen

Distributions Per Unit

• The granting of free rent as well as leasing expenses, etc. paid ahead ofschedule are expected to contribute to the revenue decrease in existing
properties in the 31st FP

96.1%

95.7% (-2.1%)

Repair costComment(Gain on sales of real estate properties: 570 yen)
Forecast at the beginning of period: 13,700 yen

13,900 yen(Reversal of internal reserves: 200 yen)

• Repair cost was reduced by -331 million yen compared with the 30th FP in the
31st FP• Repair cost was reduced by -117 million yen compared with the 31st FP in the
32nd FP• 31st FP: Allocate approximately 280 million yen out of approximately 1.03
billion yen of gain on sale of a property to dividends for the current fiscal period,and internally reserve approximately 750 million yen• 32nd FP: Allocate approximately 100 million yen of reversed internal reservesto the loss of revenue for the two properties sold in the 30th FP and 31st FP

Change in receipt of advance cancellation notice

Policy for utilizing internal reserves

The number of advance cancellation notices excluding the move-outs by major tenants is on
a downward trend after peaking out in June 2020

<Amount of Internal Reserves>(only monthly rent for office and retail sections)(tsubo)
1,500

End of 31st FP:

Cancellation by major tenants
Area subject to cancellation

1,000

Approx. 1.1 billion yen
Approx. 0.7 billion yen
Approx. 1.8 billion yen

 The amount of internal reserves at the end of the 31st FP is approximately 1.8 billion

500

yen (expected)

0
Number of cancellations

End of 30th FP:+ Provision of reserve for reduction entry in the 31st FP:

Mar.
2020

Apr.

May

Jun.

Jul.

Aug.

Sep.

Oct.

Nov.

Dec.

4

10

6

8

7

6

8

5

2

7

 Plans to reverse internal reserves to cover the temporary revenue decrease, etc. (thosethat are expected to recover in the near future) due to property replacements,etc.

6

MEMO

This document is not material disclosed in compliance with the Financial Instruments and Exchange Act or any regulation of similar nature, nor is it
intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

7Section 1
Fiscal Period Ended November 2020 (30th Fiscal Period)
Performance Highlights and Forecasts

Highlights of the Fiscal Period Ended November 2020 (30th FP)
Results of the 30th Fiscal Period
29th Fiscal Period(ended May 2020)

30th Fiscal Period(ended Nov. 2020)

Factor Gain on sale of property sold during FP (1 property)

Difference

Increase
Operating Revenue

14,272 million yen

14,849 million yen+577 million yen

Operating Expenses

6,959 million yen

7,133 million yen+173 million yen

Operation Income

7,312 million yen

7,715 million yen+403 million yen

635 million yen

606 million yen-29 million yen

6,687 million yen

7,124 million yen+437 million yen

13,595 yen

13,817 yen+222 yen

Non-Operating Expense
Net Income
Dividend per Unit
(Note 1)

744,269 yen

746,455 yen+2,186 yen

Period End Occupancy Rate

99.5%

98.9%

-0.6%

Period Average Occupancy Rate

99.5%

99.0%

-0.5%

4.6%

4.7%

+0.1%

NAV per Unit

(Note 2)NOI Yield (annualized) (Note 3)(Note 1) NAV per unit = (Unitholders’ capital +Total appraisal value at the end of fiscal period − Total property book value at theend of fiscal period) / Number of investment units issued and outstanding.*

Item

 Revenue (rents and common area fees) from 57 existing properties (Note 4 ) Utilities revenue

 Full contribution of revenue (rents and common area fees) from 2 properties

acquired in the previous FP

 Revenue (rents and common area fees) from property sold in the previous FP

Decrease(1 property)
 Gain on sale of property sold in the previous FP (1 property)
 Revenue (rents and common area fees) from property sold during FP(1 property)
 Repair cost

+336 million yen+204 million yen+79 million yen+76 million yen-99 million yen-15 million yen-7 million yen+131 million yen

Increase Tax and public due (general and administrative expenses)

Decrease Utilities charges

 Asset management fee+34 million yen+31 million yen-19 million yen

Dividends per unit for the 30th FP is calculated by dividing the amount obtained by subtracting provision for reserve for
reduction entry (328 million yen) from unappropriated retained earnings by the total number of investment units issued andoutstanding.

(Note 2) Period average occupancy rate is calculated based on end-of-month occupancy during each fiscal period.
(Note 3) NOI Yield (annualized) is calculated based on book value. NOI is annualized based on properties owned at the end of the
fiscal period.
(Note 4) Existing properties (57 properties) are the 60 properties as of the end of the 30th FP less 2 properties acquired during the29th FP and 1 property acquired during the 30th FP.

(Reference) Comparison of Forecasts with Results of 30th Fiscal Period
30th Fiscal Period
Forecast(announced Jul. 2020)

30th Fiscal Period(ended Nov. 2020)

Factor Gain on sale of property sold during FP (1 property)

Difference

Increase

Operating Revenue

14,421 million yen

14,849 million yen+ 428 million yen

Operating Expense

7,057 million yen

7,133 million yen+ 76 million yen

Net Incom e

6,738 million yen

7,124 million yen+ 385 million yen

Dividend per Unit

13,700 yen

13,817 yen+117 yenOccupancy Rate

97.9%

98.9%

+1.0%

Item

 Unused rent and common area fee revenue from existing properties inconsideration of the COVID-19 crisis

 Revenue (rents and common area fees) from 59 existing properties (Note 5)

Decrease

Increase

Decrease+336 million yen+96 million yen+61 million yen Utilities revenue-67 million yen

-7 million yen

Revenue (rents and common area fees) from property sold during FP (1 property)

 Repair cost Outsourcing expenses

 Asset management fee+94 million yen+58 million yen+21 million yen Utilities charges-105 million yen(Note 5) 59 existing properties are the 60 properties as of the end of the 30th FP less 1 property acquired in the 30th FP(Nihonbashi-Bakurocho 1-Chome Development Site.).

This document is not material disclosed in compliance with the Financial Instruments and Exchange Act or any regulation of similar nature, nor is it
intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

9

Highlights of Forecasts for the Fiscal Periods Ending May 2021 andNovember 2021 (31st and 32nd FP)
31st Fiscal Period (Forecast)
31st FP Forecast
Ending May 2021

FactorDifference from30th FP

Increase

14,805 million yen-43 million yen

Operating Expense

6,621 million yen-512 million yen

Operation Income

8,184 million yen+468 million yen

588 million yen-17 million yen

7,593 million yen+468 million yen

13,900 yen+83 yenIncrease

Period End Occupancy Rate

95.7%

-3.2%

Decrease

Period Average Occupancy Rate (Note 1)

96.9%

-2.1%

NOI Yield (annualized) (Note 2)

4.6%

-0.1%

Net Income
Dividend per Unit

Difference from31st FP

Operating Revenue

13,874 million yen-930 million yen

Operating Expense

6,542 million yen-79 million yen

Operation Income

7,332 million yen-851 million yen

590 million yen+2 million yen

6,739 million yen-854 million yen

13,900 yen- yen

Period End Occupancy Rate

95.8%

+0.1%

Period Average Occupancy Rate (Note 1)

95.6%

-1.3%

NOI Yield (annualized) (Note 2)

4.7%

+0.1%

Non-Operating Expense
Net Income
Dividend per Unit

Decrease+1,036 million yen

 Gain on sale of property sold in the previous FP (1 property)-336 million yen

consideration of the COVID-19 crisis
 Revenue (rents and common area fees) from 58 existing properties (Note 3)
 Utilities revenue
 Revenue (rents and common area fees) from property sold during FP(1 property)
 Revenue (rents and common area fees) from property sold in the previous FP(1 property)-270 million yen-231 million yen-85 million yen-77 million yen-61 million yen Tax and public due (general and administrative expenses)+17 million yen Repair cost-331 million yen Utilities charges-111 million yen

Dividends per unit for the 31st FP is calculated by dividing the amount obtained by subtracting provision for reserve for
reduction entry (756 million yen) from unappropriated retained earnings by the total number of investment units issued andoutstanding. Moreover, provision for reserve for reduction entry may change depending on the operational status.

Factor32nd Fiscal Period (Forecast)
32nd FP Forecast
Ending Nov. 2021

 Gain on sale of property sold during FP (1 property)

 Rent and common area fee revenue decrease from existing properties in

Operating Revenue

Non-Operating Expense

Item

Increase

Decrease

Increase
Decrease

Item Difference in rent and common area fee revenue decrease from existing properties+230 million yen

 Gain on sale of property sold in the previous FP (1 property)-1,036 million yen

in consideration of the COVID-19 crisis
 Utilities revenue

 Revenue (rents and common area fees) from 59 existing properties (Note 4)

 Revenue (rents and common area fees) from property sold in the previous FP+126 million yen-211 million yen(1 property)-10 million yen Utilities charges+71 million yen Repair cost-117 million yen Utilities charges-25 million yen

Dividends per unit for the 32nd FP is calculated by dividing the amount obtained by adding reversal of reserve for
reduction entry (98 million yen) to unappropriated retained earnings by the total number of investment units issued andoutstanding. Dividends per unit before the reversal is 13,700 yen. Moreover, reversal of reserve for reduction entry may
change depending on the operational status.
(Note 1) Expected period average occupancy rate is calculated based on end-of-month occupancy during each fiscal period.
(Note 2) Expected NOI Yield (annualized) is calculated by taking into account the properties sold during the 31st FP based on thebook value for the 30th FP.
(Note 3) 58 existing properties are the 60 properties as of the end of the 30th FP less 1 property acquired in the 30th FP and 1
property sold in the 31st FP.
(Note 4) 59 existing properties are the 60 properties as of the end of the 30th FP less 1 property sold in the 31st FP.

This document is not material disclosed in compliance with the Financial Instruments and Exchange Act or any regulation of similar nature, nor is it
intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

10Change in Dividends
Change in Dividends per Unit (forecast/actual)
(yen)



Achieved dividend increase for 20 consecutive periods(yen)
800,000

16,000744,269

Forecast from a year earlier (left axis)
Forecast from six months earlier (left axis)
Actual dividends (left axis)
NAV per unit (right axis)

14,000727,729697,220
620,897595,860

653,697
640,587

10,508 10,695
478,051
421,941

417,3908,000

506,6819,142
467,984

445,466
416,844

13,595

10,764700,000

13,13912,55911,997545,661

459,893

13,817

673,841

569,585

12,00010,000746,455

10,957600,000

11,150500,000

9,688

8,256
400,000

7,478 7,621

6,542
5,986

6,000

300,000

5,107
4,464
200,000

4,000

2,000

13,700 13,900

4,100

4,850

5,500

6,250

7,200

7,540

7,820

8,700

9,350

9,850

10,55010,70010,77011,00011,85012,300 13,000

13,400

3,600

4,850

5,350

5,500

6,550

7,300

7,570

8,328

9,000

9,750

9,900

10,56010,71010,80011,40012,00013,200 13,700 13,700 13,900

12,400100,000

0

0

12th 13th 14th 15th 16th 17th 18th 19th 20th 21st 22nd 23rd 24th 25th 26th 27th 28th 29th 30th 31st 32nd
FP
FP
FP
FP
FP
FP
FP
FP
FP
FP
FP
FP
FP
FP
FP
FP
FP
FP
FP
FP
FP

This document is not material disclosed in compliance with the Financial Instruments and Exchange Act or any regulation of similar nature, nor is it
intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

11Section 2
Internal Growth

Leasing Market of Tokyo Office Buildings
Trend of Office Rent and Vacancy Rate of
5 Central Wards of Tokyo

Leasing Market of Tokyo Office Buildings(Yen/Tsubo)

24,00010.0%

22,000

8.0%

Rent and Vacancy Rate of Large-Scale Office Buildings (Note 1)of 5 Central Wards of Tokyo

Rent(Yen/Tsubo)

35,000Feb. 2008(Rent)

21,773 yen

20,000

6.0%

33,000Jun. 2020

4.54%

18,0004.0%

16,0002.0%

Dec. 2020

31,000(Vacancy rate)

Jun. 2019

14,000Jan. Jan. Jan. Jan. Jan. Jan. Jan. Jan. Jan. Jan. Jan. Jan. Jan. Jan. Jan. Jan. Jan. Jan. Jan. Jan. Jan.
2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021

0.0%

Rental Market Clock(conceptual chart)

29,000Dec. 2017

Jun. 2018

27,000Jun. 2017
Jun. 2010

Data: Miki Shoji

Jan. 2004

25,000

Office Building Market Medium-Term Forecast(Tsubo)Predicted figures

500,000(Note 1)

Dec. 2011

23,0000%

10.0%

400,000

8.0%

300,000

6.0%
4.0%

100,000

2.0%

Rent(Yen/Tsubo)
Jun. 2020

0.0%
2000

New supply (Grade A, etc.)

New supply (Other)

Floor area of new demands

Vacancy rate

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

2015

2017

2018

2019

2020

2021

2022

2023

2024

-2.0%

4%

5%

6%

7%

8%

Dec. 2020
Sep. 2008
Sep. 2007

18,000Jun. 2018

Dec. 2017

Jan. 2004

16,000Jun. 2016

15,0002016

3%

19,00017,000
02%

Average Rent and Vacancy Rate of Entire Office Buildings (Note 2)of 5 Central Wards of Tokyo

20,000200,000

1%

Jul. 2012

14,0000%1%2%Jul. 2012

3%

4%

5%

6%

7%

8%

9% Vacancy rate

Data: CBRE “Office market medium term forecast 2020-2024

Data: Sanko Estate, compiled by Daiwa Real Estate Asset Management(Note 1) Predicted figures as of June 2020

(Note 1) Large-scale office buildings: A floor area of 200 tsubos or more.

(Note 2) No information on the breakdown of new supply is available in or before 2004 (only the total amount is available).

(Note 2) Entire office buildings: Ranging from large-scale buildings to small-scale buildings (less than 20 tsubos).

This document is not material disclosed in compliance with the Financial Instruments and Exchange Act or any regulation of similar nature, nor is it
intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

13

Analysis of Leasing Business (1)― Change in Occupancy Rate and Ratio of Area Attributable to New Leases/Cancellations as a
Percentage of Total Leasable Area ―Occupancy Rate as of the End of Each Period

Change in New Leases and Cancellations and Their Reasons (Note)(%)(Cases)

100.0

50
40

95.0
30
20

90.0

10
85.0
13th 14th 15th 16th 17th 18th 19th 20th 21st 22nd 23rd 24th 25th 26th 27th 28th 29th 30th 31st 32nd
FP FP FP FP FP FP FP FP FP FP FP FP FP FP FP FP FP FP FP FP

Ratio of Area Attributable to New Leases/Cancellations
as a Percentage of Total Leasable Area (Note)
(%)
20.0

0
-10
-20
-30
-40

10.0

13th
FP

14th
FP

15th
FP

16th
FP

17th
FP

18th
FP

19th
FP

20th
FP

21st
FP

22nd
FP

23rd
FP

24th
FP

25th
FP

26th
FP

27th
FP

28th
FP

29th
FP

30th
FP

0.0
30th Period

-10.0

Cost
Space
Space
Consolidation
Space
Reduction Expansion
Reduction

New Leases
Cancellations-20.0

13th 14th 15th 16th 17th 18th 19th 20th 21st 22nd 23rd 24th 25th 26th 27th 28th 29th 30th 31st 32nd
FP FP FP FP FP FP FP FP FP FP FP FP FP FP FP FP FP FP FP FP(Note) Change in ratio of area attributable new leases/cancellations as a percentage of total leasable area.

Total

Other

0

18

0

1

1

2

22

11

0

4

12

0

0

27

Previous numberof leases
Previous numberof leases

BetterLocation2

10Previous numberof leases

3(Note) Excluding new leases and cancellations by residence and warehouse tenants.

This document is not material disclosed in compliance with the Financial Instruments and Exchange Act or any regulation of similar nature, nor is it
intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

14Analysis of Leasing Business (2)― Improvement in Basic Strength ― Monthly rent has maintained its increasing trend for the past six years with contract renewal and tenant

replacement, although the pace has recently slowed down
 Increase in rent revenue due to improved basic strength leads almost directly to an increase in dividend resource
Monthly Rent Increase Due to Contract Renewal/Tenant Replacement(Thousand Yen/Month)
40,00037,56535,000Contract Renewal

30,000Tenant Replacement

25,0006,680

20,00015,00010,00025,5289,020

14,376 14,246 12,747

5,862

21,804 21,309

3,988
13,4797,938

32,29518,441

27,020

11,134

9,137
14,686

7,432

21,849 22,165
6,663

8,420

15,185

13,745

Simpleaverage forthe 19th FP
onward12,521

766

6,438

3,157
5,000

28,225

18,847

19,087

14,371

12,334

8,787

8,759

21,161

19,1230
19th FP

20th FP

21st FP

22nd FP

23rd FP

24th FP

25th FP

26th FP

27th FP

28th FP

29th FP

30th FP

Increase Rate of Dividend Resource Due to Improved Basic Strength

Gr owth r ate of r evenue

19th FP

20th FP

21st FP

22nd FP

23rd FP

24th FP

25th FP

26th FP

27th FP

28th FP

29th FP

30th FP

Simpleaverage forthe 19th FP
onward6 m onths

0.7%

1.0%

0.8%

0.7%

1.4%

1.2%

1.2%

1.5%

1.9%

1.3%

1.6%

1.0%

1.2%

Annualized

1.3%

2.0%

1.7%

1.5%

2.8%

2.4%

2.3%

3.0%

3.9%

2.6%

3.1%

2.0%

2.4%

6 m onths

1.5%

2.1%

1.8%

1.5%

2.9%

2.4%

2.3%

2.9%

3.8%

2.6%

3.0%

2.0%

2.4%

Annualized

3.0%

4.3%

3.6%

2.9%

5.8%

4.9%

4.7%

5.8%

7.6%

5.1%

6.0%

3.9%

4.8%

(r ents and common ar ea fees)(Note 1)

Gr owth r ate ofdividend r esour ce(Note 2)

(Note 1) Obtained by dividing the amount of rent increase (increased amount of monthly rent x 6 months) due to the improved basic strength in each fiscal period by rent revenue (rents and common area fees) in the previous fiscal period.
(Note 2) Obtained by dividing the amount of rent increase (increased amount of monthly rent x 6 months) due to the improved basic strength in each fiscal period by net income in the previous fiscal period.

This document is not material disclosed in compliance with the Financial Instruments and Exchange Act or any regulation of similar nature, nor is it
intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

15

Analysis of Leasing Business (3)― Changes in Rent Increase/Decrease Rate of Contract Renewal Tenants ―30th Fiscal Period Contract Renewal Tenants*Ratio of area for which contracts were renewed in the 30th FP (through November 2020) to the total leased
area (364,836.94 m²) as of end of May 2020.
Cancellation f rom Non Contract Renewal Area,
1.9%
Contract Renewal
Area, 20.2%

Change in Rent Increase/Decrease Rate of Contract Renewal Tenants(sections)
Realized upward rent revisions for
14 consecutive periods(%)

Non Contract Renewal Area (Excluding cancellation),
77.9%

*2

*1

(Note) The above indicates rent increase/decrease rate to pre-renewal rents for lease contracts which reached renewed
agreements during each FP.
Rent increase/decrease rate is calculated based on net amount for increased/decreased rents.

Rent Increase Rate Upon Contract Renewal*1 The decrease in the 25th FP was due to some tenants’ switching from sublease to master lease agreements.
*2 The decrease in the 27th FP was due to an agreement on decrease reached by the previous owner.

(Breakdown of upward revision magnitude for monthly rents in the 30th FP) (Note)
Properties with rent increase

Ratio of Contract Renewal Areas (based on leased area)

15% or more
2% or less

(%)

34%

13%

Forecasts

 Daiwa Ginza
 Daiwa Tsukijiekimae shinyon curumu
 Daiwa Shibuya Miyamasuzaka

2% or more but
less than 5%14%

 Daiwa Azabu Terrace

Increase rateof monthly rent

 Daiwa Aoyama Daiwa River Gate

10.6 %

 Daiwa Nishi-Shinjuku(Previous FP: 9.6%)(Note) Ratio of area scheduled for contract renewal in each period to the total leased area (359,749.01 m 2)
as of end of November 2020.

5% or more but
less than 10%

10% or more but
less than 15%

26%

13%

etc.

Increased amount of monthly rent
15,185 thousand yen/month(Note) Percentage figures are based on total monthly rent.

This document is not material disclosed in compliance with the Financial Instruments and Exchange Act or any regulation of similar nature, nor is it
intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

16

Analysis of Leasing Business (4)― Status of Contract Rent ―Average Monthly Contract Rent and Unit Rent Index

Total Monthly Rent and Increase/Decrease
Rate Due to Tenant Replacement(Yen/Tsubo)

90.90
89.86

(Total Monthly Rent,
Thousand Yen)

88.35

27.9%

23.1%
98,24679,80496,294
83,772

20,121

23.0%
19,75916.0%

78,60963,923

20,307

66,10456,96714.9%
51,02739,893

16.7%
46,55739,893(Note 1) Average contract rent is the average of monthly contract rent from tenants at the end of each fiscal period.
(Note 2) Unit rent index is the earning rates of unit rent of individual properties indexed with the figure at the end of the 7th FP as 100.

Increase/Decrease in Monthly Contract Rent (Note)
Compared with the End of the Previous Fiscal Period(Million Yen)

Increase by
New Leases
Increase byRent Revisions(Note) Comparison of monthly rent due to tenant replacement for the same leasing area.
Ratio is based on total monthly rent.

Properties with Rent Increase Due to Tenant
Replacement During 30th Fiscal Period
 Daiwa Ginza

 Daiwa Meguro Square Daiwa Nihonbashi Horidomecho Daiwa Nishi-Shinjuku

 shinyon curumu

 CONCURRED Yokohama

 Daiwa Shibuya Square Daiwa Shinagawa Gotenyama, etc.

Increased amount of monthly rent
6,663 thousand yen/month

Decrease by
Tenants’ Cancellations

End of 29th FP
Monthly Contract Rent

Decrease byRent Revisions

Decrease by
Property Sale

End of 30th FP
Monthly Contract Rent

(Note) Monthly Contact Rent is a total of final rent from contracting tenants at the end of the fiscal period.
Monthly contract rent for Shinjuku Maynds Tower has been adjusted to 3/7 and monthly contract rent for CONCURRED
Yokohama has been adjusted to 75/100.
Monthly contract rent for Nihonbashi Central Square has been adjusted to 60.99% based on agreements, etc. among
the compartmentalized owners.

This document is not material disclosed in compliance with the Financial Instruments and Exchange Act or any regulation of similar nature, nor is it
intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

17

Portfolio Map: Increase and Decrease in Unit Contract Rent Compared With
Previous Fiscal Period
Greater Tokyo

Five Central Wards of Tokyo
Comparison with Previous Fiscal Period
Increase and Decrease of Unit Contract Rent
Toshima
Ward

Unit rent increase: 26 contracts

LAQUAS
Higashi Shinjuku

Unit rent decrease: 1 contract

Daiwa Higashi-Ikebukuro

The number in ● indicates increase for the consecutive period
2 indicates increase for the second consecutive period)(Ex: ●

Daiwa Ogikubo Tower
Daiwa Ogikubo 6

Daiwa Nakano-Sakaue
Daiwa
Shinagawa Gotenyama
Daiwa Meguro Square 8
7 Daiwa
Shinagawa North

Unit rent maintained: 32 contracts

Daiwa Nishi-Shinjuku

Daiwa Kandasudacho
Daiwa Kanda East

Daiwa Sarugakucho
Daiwa Misakicho
4
Daiwa Jinbocho 3-chome
Daiwa
Kanda
Mikuracho
Chiyoda Wardshinyon curumu

Shinjuku Ward

Daiwa Shinjuku West
5

Nihonbashi-Bakurocho
1-Chome Development Site

Daiwa Higashi-Nihonbashi
Daiwa Kodenmacho
Daiwa Nihonbashi Horidomecho
Nihonbashi Central Square
Shibuya Ward
Chuo WardKirin Nihonbashi Building Koto Ward
Daiwa Kayabacho Building
3 Daiwa River Gate
Daiwa Jingumae Daiwa Akasaka
Daiwa Sasazuka Tower
Daiwa Kyobashi
Daiwa Hatchobori ekimae
3 Daiwa Sasazuka
Daiwa Hatchobori ekimae West
Daiwa Ginza Annex
4 Daiwa Aoyama
Daiwa Ginza 15
Daiwa Tsukijiekimae
Daiwa Minami Aoyama
Daiwa Tsukiji
Daiwa
Daiwa SHIBUYA EDGE
Shibuya Miyamasuzaka
11
Daiwa Nishi-Shimbashi 8
Daiwa Tsukishima
E SPACE TOWER
Daiwa Harumi
Shinsen Place
Daiwa A Hamamatsucho
Daiwa Shibuya Square 7
Daiwa Azabudai
Daiwa Shibadaimon
Daiwa Daikanyama
Shinjuku Maynds Tower 10

Daiwa Nihonbashi
Hongokucho

Daiwa Kojimachi
4-chomeDaiwa Ebisu 4-chome

Tokyo

Minato Ward

Daiwa Mita 2-Chome
Daiwa Azabu Terrace

CONCURRED Yokohama 5

Daiwa Kamiooka 3

3Daiwa Shibaura

Daiwa Kitahama

Shinagawa
Ward

Major Regional Cities
As of November 30, 2020

(Note) Properties acquired in the 30th FP are plotted with ●.

This document is not material disclosed in compliance with the Financial Instruments and Exchange Act or any regulation of similar nature, nor is it
intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

18

Internal Growth Strategy
DOI Investment Management Department
DOI Management Team (9 members)

Continuous Internal Growth and Maximization of Asset Value
Through “Bonji-Tettei”

Aims at maximizing asset value by means of specialist groups headed by personnel assigned to each property
in the Investment Corporation’s portfolio.

 Accurate understanding of the leasing market

Grasp ofpresent
situation

Kotaro Ishii

Kosuke Yanagisawa

Jun Arai

Chie Kamimura(14 years, 9 months)(6 years, 11 months)(14 years, 9 months)(14 years, 7 month) Grasping of needs and trends of occupying

tenants through regular visits In-depth understanding of property features
 Information gathering from brokers
 Implementing tenant satisfaction surveys

Activities forinternal growth

Hiroshi Udagawa(14 years, 6 months)

and proposing improvement measures Periodical property examination

Yuki Kobatake

Takahiro Mizunara

Jun Iwasaki

Takeru Morikawa(8 years, 3 months)(6 years, 9 months)(4 years, 3 months)(2 years, 2 months)

Construction Management Team (8 members)
Engineering: Formulation and implementation of construction planning for assets.

 Maintenance of a stable occupancy rate bypromptly filling vacancies
Realization ofinternal growth Realization of stable management throughsolid relationship with tenants
 Securement of revenue based on wellplanned medium- to long-term management

Aims to maximize asset value

Hiroshi Udagawa

Naoki Murayama

Masayoshi Ono

Naoyuki Takeda(14 years, 6 months)(5 years, 7 month)(14 years, 2 months)(5 years, 4 months)

Naoki Umezawa

Takahiro Hirabayashi

Junpei Takatani

Yosuke Miura(14 years, 10 months)(5 years, 8 months)(7 years, 8 months)(2 months)(Note) The number of years stated in the parenthesis is the number of years engaged in the relevant work (as of January 20, 2021)
and does not indicate the number of years employed at the asset management company.

Investment Planning Team (6 members)
Middle office work: Budget and performance management for the portfolio
This document is not material disclosed in compliance with the Financial Instruments and Exchange Act or any regulation of similar nature, nor is it
intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

19

Properties Subject to Leasing Improvementin the Fiscal Period Ending May 2021 (31st FP)
Daiwa River Gate

Daiwa Jingumae

Daiwa Shinagawa North(Acquisition Price: 28,000 million yen)(Acquisition Price: 2,800 million yen)(Acquisition Price: 7,710 million yen)

 The property is approximately a 3-

 The property is approximately a 7-

 The property is approximately an 11-

minute walk from Suitengumae
Station on the Tokyo Metro
Hanzomon Line and approximately a
10-minute walk from Ningyocho
Station on the Tokyo Metro Hibiya
Line and Toei Subway Asakusa Line.

minute walk from Gaienmae Stationon the Tokyo Metro Ginza Line.

minute walk from Shinagawa Stationon the JR lines and approximately a5-minute walk from Kita-Shinagawa
Station on the Keikyu Line.

 The property is an office building

with high visibility facing Gaiennishidori Street and has a low-riseexternal appearance with highdesignability. The rental rooms arerectangular-shaped floors with nopillars.

 The property has comprehensively

high-level facilities such as adopting
a spot network power-receiving
system with highly reliable electricity
supply, and is a large building
representing the surrounding area.

 The property is located in an area

near a group of skyscrapers
including
Shinagawa
Grand
Commons and Shinagawa Intercity
at the east exit of JR Shinagawa
Station and has a wide space with atypical floor plate of more than 250
tsubos.

Location

Nihonbashi Hakozakicho, Chuo-ku, Tokyo

Location

Jingumae, Shibuya-ku, Tokyo

Location

Kita-Shinagawa, Shinagawa-ku, Tokyo

Land Area

7,088.66 m²

Land Area

887.69 m²

Land Area

2,345.20 m²

Structure

S/SRC/RC

Structure

RC

Structure

SRC

Number of
Floors

B2/20F

Number of
Floors

B1/4F

Number of
FloorsB1/11F

Use

OfficeUse

Use

Office, apartment, parking

Office, parking, retail

Total Floor
Area

53,790.26 m²

Total Floor
Area

2,673.88 m²

Total Floor
Area

10,200.29 m²

Occupancy
Rate

96.4% (as of Nov. 30, 2020)⇒ 83.2%(expected as of the end of May 2021)

Occupancy
Rate

78.5% (as of Nov. 30, 2020)⇒ 60.8%(expected as of the end of May 2021)

Occupancy
Rate

100% (as of Nov. 30, 2020)⇒ 77.9%(expected as of the end of May 2021)

Construction
Date

February 1994

Construction
Date

December 1997

Construction
Date

July 1991

This document is not material disclosed in compliance with the Financial Instruments and Exchange Act or any regulation of similar nature, nor is it
intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

20

MEMO

This document is not material disclosed in compliance with the Financial Instruments and Exchange Act or any regulation of similar nature, nor is it
intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

21Section 3External GrowthAsset Replacement in the fiscal period ended November 2020
Transferred an old property and engaged in a development project to solve the issues that had been existing[Transfer] Daiwa Shimbashi 510
Date of Transfer
Location/Distance from Station
Transfer Price/Book Value

November 12, 2020
Shimbashi, Minato-ku, Tokyo/6-minute walk from Shimbashi
Station on various lines
2,530 million yen and 2,112 million yen(end of the fiscal period ended May 2020)

Appraisal Value

2,530 million yen (end of the fiscal period ended May 2020)

Gain on Sale

Approx. 330 million yen (expected)

Land Area/Total Floor Area

626.18 m²/3,653.19 m²

Structure/Floor

Steel-framed reinforced concrete structure with flat roof,
8 stories above ground and 1 below

Construction Date

April 1974 (46 years)

NOI Yield Based on Transfer Price

4.3%(note)

Transfer

November 13, 2020

Location/Distance from Station

Nihombashi-Bakurocho, Chuo-ku, Tokyo/1-minute walk from
Bakurocho Station on the JR Sobu Line

Expected Acquisition Price after
Completion of Building

5,607 million yen (scheduled)

Price of Land3,775 million yen

Main Fees Related to Construction

1,832 million yen (scheduled)Land Area/Total Floor Area after
Completion of Building

620.93 m²/4,842.30 m²

Structure after Completionof Building
Construction DateNOI Yield Expected in a Normal
Operation Period after Completion Because Daiwa Shimbashi 510 is a 46-year-old
property that complies with outdated standards forearthquake resistance, there were concerns about its
declining competitiveness in future leasing against
competing properties in the surrounding area,
responses to the incurrence of medium- to long-term
repair and renewal expenses, as well as risk factorsthat may occur in the future.
 As the reconstruction of Daiwa Shimbashi 510 isinevitable, the Investment Corporation deemed thatreconstructing the property itself would require
substantial time and expenses for responding toexisting tenants and demolishing/constructing thebuilding.

Purpose and Results of Replacement[Acquisition] Nihonbashi-Bakurocho 1-Chome Development Site (Land)
Date of Acquisition

Issues Before the Replacement

Steel-framed structure with flat roof, 10 stories above ground(scheduled)
November 2022 (scheduled)
4.1%

 Rejuvenation of building age (46-year-old building→ new building):
Improved property competitiveness and elimination of
future reconstruction risks pertaining to old building Acquisition of location near a station:
A rare location above the station
 Reduction of development risks:
The development of property in a vacant lot will allow
the property to be monetized quickly, and no time willbe spent in responding to existing tenants anddemolishing the building (it is also advantageous interms of costs as there will be no losses on theretirement of fixed assets or building demolition costs)
 Post gain on sale of 300 million yen and expand
internal reserves to 1.1 billion yen（As of the endof 30th FP) : Sold at the appraisal value.

* As of November 12, 2020
(Note) This figure is calculated by dividing the annualized NOI for the fiscal period ended May 2020 (29th fiscal period) by the transfer price.

This document is not material disclosed in compliance with the Financial Instruments and Exchange Act or any regulation of similar nature, nor is it
intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

23

Efforts on First Development Project of the Investment Corporation
Gain opportunity to acquire a newly constructed office property in central Tokyo amid a harsh acquisition environment
by pursuing own development project

Nihonbashi-Bakurocho 1-Chome Development Project
Acquisition Date of Land

 Thisis the first development project of the Investment
Corporation. In a context where competition in the real estatetransaction market remains fierce, the project will develop a new
office property upon acquiring a development site in central Tokyo.

November 13, 2020
Nihombashi-Bakurocho, Chuo-ku, Tokyo
1-minute walk from Bakurocho Station on the JR Sobu Line

Location/Distance from Station
Expected Acquisition Price after
Building Completion

 The

Asset Manager has created an in-house real estatedevelopment team with expertise.

5,607 million yen (scheduled) Outsource project management to THE SANKEI BUILDING

Price of Land3,775 million yen

Main Fees Related to Construction

CO., LTD.: reduce risks concerning development (excessive
development costs, schedule delays, and the quality of theproperty developed, etc.)

1,832 million yen (scheduled)Land Area/
620.93 m² / 4,842.30 m²
Gross Floor Area after Building Completion
Steel framed structure flat roof,
10 stories above ground (scheduled)

Structure after Building Completion
Completion Date Concluded a construction contract and a design supervisioncontract with JDC Corporation: reduce completion risks
 Aim

to lease up the building as soon as possible after
construction is completed by leveraging the past leasing
experience and tenant networks of the Asset Manager.

November 2022 (scheduled)NOI Yield Assumed forNormal Operation Period after Completion

4.1%

 Assume NOI yield of 4.1% in normal operation period after

completion.

Scheme and Schedule for Nihonbashi-Bakurocho 1-Chome Development Project
Fiscal Period Ended November 2020
(30th FP)

Fiscal Period Ending November 2021
(32nd FP)

Fiscal Period Ending November 2022
(34th FP)

Contract concluded on October 21, 2020,and payment on November 13, 2020

June 2021 (scheduled)

November 2022 (scheduled)<Conclusion ofSale and Purchase Agreement/Payment><Project Management &Design/Construction Contract><Construction Start of the New Building><Completion of New Building>

DOI

DOI

DOI

DOI

Sale and purchase agreement on trust beneficial
interest
Delivery of landTwo domestic companies

Project management
contract

Architecturaldesign/supervision
operation outsourcing
contract

NOI yield
Project management
contract

THE SANKEIBUILDING

Construction contract

Project management
contract

Delivery of the building

JDC
Corporation

THE SANKEIBUILDING

JDC
Corporation

Construction contract

THE SANKEIBUILDING

JDC
Corporation

Normal Operation Period

4.1％(Assumption for normal operation period)(Building: DOI)

[Construction work]*Additional acquisition of trust beneficial interest(Land: DOI* trust beneficial interest)(Land: DOI* trust beneficial interest)

3.775 billion yen(Land: DOI* trust beneficial interest)(Land: DOI* trust beneficial interest)(Note) The above includes figures, etc. based on assumption or schedule as of present, and actual results may vary.

This document is not material disclosed in compliance with the Financial Instruments and Exchange Act or any regulation of similar nature, nor is it
intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

24

Property Transferred in the Fiscal Period Ending May 2021 and Efforts to
Improve Portfolio Quality[Transfer] Daiwa Kyobashi
Date of Transfer

December 23, 2020

Location/Distance from Station

Hatchobori, Chuo-ku, Tokyo/2-minute walk from
Hatchobori Station(Note 1) Date of issuance of inspection certificate is indicated as theconstruction date is not indicated in a copy of real estate registry forthe building.

Gain on Sale

Approx. 1,036 million yen

Land Area/Total Floor Area

596.19m² / 4,069.15m²

Structure/Floor

Steel-framed reinforced concrete structure with flat roof,
8 stories above ground and 1 below

Transfer Price/Book Value

4,200 million yen/
3,152 million yen (29th FP）

Construction Date

October 1974 (Note 1) (46 years, as of the date of transfer)Appraisal Value

3,450 million yen (29th FP）

NOI Yield Based on Transfer Price

3.8％ (Note 2)(Note 2) NOI yield is calculated by dividing the actual annualized NOI for
the 30th FP by the transfer price.

Due to Daiwa Shimbashi 510 and Daiwa Kyobashi being sold, only Daiwa Ginza and Daiwa Ginza Annex comply with outdated standards forearthquake resistance.

Efforts to improve the portfolio quality over the last seven fiscal periods
25th FP

26th FP

Acquisition

Fiscal period ended May 2018

CONCURRED
Yokohama

Daiwa
Kanda East

Fiscal period ended Nov. 2018

Daiwa
Kandasudacho

Daiwa
Shinagawa Gotenyama

CorporateactionTransfer

Replacement

Shinjuku
Maynds Tower* Sale of a
portion ofco-ownershipinterest

Daiwa
MeiekiUse of gainon saleDaiwa
Sasazuka Tower

27th FP

Fiscal period ended May 2019

Daiwa
Sasazuka

28th FP

Fiscal period ended Nov. 201929th FP

Fiscal period ended May 2020

Nihonbashi
Central Square

30th FP

Fiscal period ended Nov. 2020

NihonbashiBakurocho
1-ChomeDevelopment
Site

Daiwa
Harumi

Daiwa
Mita 2-Chome

Replacement

Exchangetransaction

Replacement

Replacement

Daiwa
Onarimon

Daiwa
Osaki 3-Chome

Daiwa
Jinbocho

Daiwa Shimbashi 510

Daiwa
Nakano-Sakaue

31st FP

Fiscal period ending May 2021

Sold an oldproperty

Daiwa
Kyobashi

Buy-back of
own investment units
Repayment of borrowings

Consider measures that would contribute to the improvement of unitholder valueConsider effective use of cash on hand and surplus funds from property replacements and property transfers

Acquisition of new properties

Repayment of loans

Share buy-backs

This document is not material disclosed in compliance with the Financial Instruments and Exchange Act or any regulation of similar nature, nor is it
intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

25

Acquisition/Sale Policy and Status of Deliberation for Property Acquisitions
Distribution Chart of Portfolio Properties

Acquisition/Sale PolicyPlaces priority in the five central wards of Tokyo and equivalent area.



Thoroughly select properties in view of actual demand toward location(distance to station, station power, crowd attraction, surrounding environment),
building specs, etc.

Acquire properties that improve growth potential and profitability of existing
portfolio.



Invest in buildings with a building age of less than 25 years.

Consider replacement when necessary incompetitiveness, profitability, etc. of properties.

considerationoffutureBuilding Age (Year)
60

55* The distance from station is the distance from the nearest station

50

45

Sourcing Strategy Capitalizing on Status as Non-Real
Estate Sponsored REIT

●Assets acquired in 30th FP●Assets sold in 30th and 31st FPs●Properties acquired after the sponsor change●Properties acquired before the sponsor change

Daiwa Shimbashi 510

Daiwa Kyobashi

40

Secure a sourcing route across a wide range by capitalizing on status as anindependent REIT and establishing strong relations with business companies,
financial institutions, real estate brokers, etc.

35Target optimum expansion of portfolio based on in-depth data analysis upon
careful selection from among the wide-ranging information on properties thatcomes from diverse sources.

30

Number of Properties Reviewed for Acquisition
25(Note)

20

15

10

5
Nihonbashi-Bakurocho 1-Chome Development Site (Note)
00.0(Note) Number of gross proposals.

1.0

2.0

3.0

4.0

5.0

6.0

7.0

8.0
9.0
10.0
11.0
Distance from station (minutes)(Note) Building Age of Nihonbashi-Bakurocho 1-Chome Development Site is indicated as 0 year.

This document is not material disclosed in compliance with the Financial Instruments and Exchange Act or any regulation of similar nature, nor is it
intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

26

Change in Asset Size and Acquisition Performance
Aim to Achieve Medium-Term Goal Asset Size of 500 Billion Yen

500.0

445.7

458.3

467.7

469.3

469.3

459.7

460.0

461.0

463.1

464.8

42.1

42.1

42.0

41.8

439.4

413.2
387.5
352.7

364.0

332.0
311.3
278.1

313.2

314.9
40.6

287.3

43.0

44.3
40.2

41.7

42.3

43.3

42.2

42.3

40.5

41.5

37.5
34.2

34.0

34.4

28.9
28.1

Acquisition Property

Acquisition Property• Daiwa Ogikubo Tower• Daiwa Nihonbashi Hongokucho
Acquisition Property• E SPACE TOWER
Acquisition Property• Daiwa Kayabacho Building• Daiwa Jinbocho 3-chome
Acquisition Property• Daiwa Nishi-Shimbashi• Daiwa Kudan

Acquisition Property• Daiwa Kandasudacho• Daiwa Shinagawa Gotenyama• Daiwa Sasazuka Tower

Acquisition Property• Daiwa River Gate
• Daiwa Hatchobori ekimae• Daiwa Hatchobori ekimae West

Acquisition Property

Acquisition Property• CONCURRED Yokohama• Daiwa Kanda East

• Daiwa Nakano-Sakaue• Nihombashi Central Square

Acquisition Property

Acquisition Property

Acquisition Property• Daiwa Shibuya Dogenzaka• Daiwa Akasaka• Daiwa Shibuya Miyamasuzaka• Daiwa Ebisu 4-chome• LAQUAS Higashi Shinjuku• Daiwa Aoyama• Shinsen Place• Daiwa Shibuya Square• Daiwa Meguro Square• Daiwa Kanda Mikuracho

Acquisition Property• shinyon curumu• Daiwa Meieki• Daiwa Kamiooka

Acquisition Property
Acquisition Property• Daiwa Osaki 3-chome• Daiwa Azabu Terrace• Daiwa Kitahama

Acquisition Property• Nihonbashi-Bakurocho
1-Chome Development Site

Acquisition Property
Acquisition Property• Daiwa Higashi-Nihonbashi• Daiwa Daikanyama• Daiwa Shinjuku West
• Daiwa Ogikubo

Acquisition Property• Daiwa Mita 2-Chome

Acquisition Property• Daiwa Sasazuka• Daiwa Harumi• Daiwa Nishi-Shinjuku• Kirin Nihonbashi Building

27

Section 4
Financial Strategy

Status of Interest-Bearing Liabilities (1)Loan to Value Trend

Status of Interest-Bearing Liabilities(End of 30th Fiscal Period)(Billion Yen)

Ratio of Fixed-Interest and FloatingInterest Borrowings

Ratio ofLong and Short-Term Borrowings(Note)

17.4%

13.6%

Medium- to long-term,
upper-limit target LTV range

41.8%

86.4%

82.6%
Fixed-interest borrowings

Long-term loans payable, etc.

Floating-interest borrowings

Short-term loans payable andcurrent portion of long-termloans payable

Status of Rating
Japan Credit Rating Agency, Ltd. (JCR)

Long-term issuer rating
Rating outlook: Stable(Assigned on February 17, 2020)

Rating and Investment Information, Inc. (R&I)

Issuer rating
Rating outlook: Stable(Assigned on September 16, 2020)(Note) LTV (based on total assets) = Total interest-bearing liabilities / Total assets

This document is not material disclosed in compliance with the Financial Instruments and Exchange Act or any regulation of similar nature, nor is it
intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

29

Status of Interest-Bearing Liabilities (2)Repayment Schedule(Million Yen)

Change in Procured Years of Interest-Bearing Liabilities(Year)(Year)

 Investment Corporation Bond

4.0
7.9

7.0

31st 32nd 33rd 34th 35th 36th 37th 38th 39th 40th 41st 42nd 43rd 44th 45th 46th 47th 48th 49th 50th 51st 52nd
FP FP FP FP FP FP FP FP FP FP FP FP FP FP FP FP FP FP FP FP FP FP

17th 18th 19th 20th 21st 22nd 23rd 24th 25th 26th 27th 28th 29th 30th
FP FP FP FP FP FP FP FP FP FP FP FP FP FP

This document is not material disclosed in compliance with the Financial Instruments and Exchange Act or any regulation of similar nature, nor is it
intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

30

Status of Interest-Bearing Liabilities (3)As of End of the 30th Fiscal Period(Million Yen)

Nam e of Financial Institutions

Comparison with
Previous Period

Balance

Balance Ratio

Nam e of Financial Institutions

Comparison with
Previous Period

Balance

Balance Ratio

Sum itom o Mitsui Banking Corporation

39,900-1,500

20.4%

The Yam aguchi Bank, Ltd.

2,000

-

1.0%

Sum itom o Mitsui Trust Bank, Lim ited

23,700

-800

12.1%

Nippon Life Insurance Com pany

1,300

-

0.7%

Developm ent Bank of Japan Inc.

21,750-

11.1%

The Higashi-Nippon Bank, Lim ited

1,000

-

0.5%

MUFG Bank, Ltd.

20,700

-800

10.6%

The Hyakugo Bank, Ltd.

1,000

-

0.5%

Mizuho Corporate Bank, Ltd.

19,600

-800

10.0%

The Yam anashi Chuo Bank, Ltd.

1,000

-

0.5%

Shinsei Bank, Lim ited

14,000-

7.2%

Taiyo Life Insurance Com pany

300

-

0.2%

Resona Bank, Lim ited

12,500-

6.4%

Fukoku Mutual Life Insurance Com pany

200

-

0.1%

Mizuho Trust and Banking Co., Ltd.

9,500

-

4.9%

195,450-3,900100.0%The Bank of Fukuoka, Ltd.

6,500

-

3.3%

Kansai Mirai Bank, Lim ited

5,000

-

2.6%

Nishi-Nippon City Bank, Ltd.

3,000

-

1.5%

No. 4 Unsecured Investm ent Corporation
Bond

2,100

-

10 years

The 77 Bank, Ltd.

3,000

-

1.5%

No. 5 Unsecured Investm ent Corporation
Bond

1,700

-

5 years

The Norinchukin Bank

3,000

-

1.5%

No. 6 Unsecured Investm ent Corporation
Bond

1,300

-

12 years

The Gunm a Bank, Ltd.

2,500

-

1.3%

1,500

+1,5005 years

The Musashino Bank, Ltd.

2,000

-

1.0%

2,400

+2,40010 years

Tokio Marine & Nichido Fire Insurance Co.,
Ltd.

2,000

-

1.0%

9,000

+3,900-

Total

Issuance

No. 7 Unsecured Investm ent Corporation
Bond(DOI ESG Series Bond I)
No. 8 Unsecured Investm ent Corporation
Bond(DOI ESG Series Bond II)
Total Investm ent Corporation Bonds

Comparison with
Previous Period

Balance

Duration of Liabilities

Green Bond
This document is not material disclosed in compliance with the Financial Instruments and Exchange Act or any regulation of similar nature, nor is it
intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

31

Unitholders as of the End of November 2020
Unitholders’ Share by Investor Type
Investor Type

Number of
Units
End of 30th
Fiscal Period

Number of
Units
End of 29th
Fiscal Period

List of Top 10 Investors
Rate (Note)
End of 30th
Fiscal Period

Change in
Units

No.

Investor Nam e

Number of
Units
End of 29th
Fiscal Period

Number of
Units
End of 30th
Fiscal Period

Rate (Note)
End of 30th
Fiscal Period

Change in
Units

Individual

13,544

13,756

+212

2.80%

1 Daiwa Investment Management Inc.

128,905

128,905-

26.21%

Financial
Institution

164,656

149,436-15,22030.38%

2 Daiwa Securities Group Inc.

67,321

67,321-

13.69%----

14,053

13,037-1,016

2.65%

136,698

124,103-12,595

25.23%

Commercial
Bank

Regional Bank

Trust BankLife Insurance

1,951

2,769

+818

3

The Master Trust Bank of Japan, Ltd.
(Trust Account)

59,08355,770-3,31311.34%

4

Custody Bank of Japan, Ltd.
(Trust Account)

44,731

40,521-4,210

8.24%

5

STICHTING PGGM DEPOSITARY PGGM
LISTED REAL ESTATE PF FUND

15,85926,376+10,517

5.36%

15,476

14,398-1,078

2.93%

13,226

10,941-2,2852.22%

8 BNYM AS AGT/CLTS 10 PERCENT

8,732

8,227

-505

1.67%

Mitsubishi UFJ Morgan Stanley
Securities Co., Ltd.

3,623

6,260

+2,637

1.27%

8,803

5,252

-3,551

1.07%

365,759

363,971-1,78874.00%

0.56%

The Nomura Trust and Banking Co.,

6 Ltd.
Non-life
Insurance(Investment Trust Account)

3,207

-

-3,207

7

Other Financial
Institution

8,747

9,527

+780

1.94%

Other Dom estic
Corporation

199,978

200,338+360

40.73%

Foreigner

97,416112,223+14,80722.82%

Securities

16,283

16,124

-159

3.28%

Total

491,877

491,877-

100.00%9(Note) Rounded to the second decimal place

Custody Bank of Japan, Ltd.
(Securities Investment Trust Account)

10 Mizuho Securities Co., Ltd.

Total

(Note) Rounded to the second decimal place

This document is not material disclosed in compliance with the Financial Instruments and Exchange Act or any regulation of similar nature, nor is it
intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

32Section 5
Efforts on ESG

Efforts on ESG | Environment
Environmental Certification
 Aim to increase the ratio of properties that acquired green building certification (Note) which was 23.6% as ofRatio of properties that acquired green building certification
43.4% (as of January 20, 2021)

the end of the fiscal period ended May 2020 to 60% at the end of the fiscal period ending May 2021
*Certified green buildings: Buildings which have acquired DBJ Green Building Certification, CASBEE Property Appraisal,
LEED Certification and BELS Evaluation. The ratio is based on total floor area, after equity adjustment.

DBJ Green Building Certification

GRESB Real Estate Assessment
The Investment Corporation has participated in the GRESB Real
Estate Assessment since 2011 and from 2012 has earned the best
rating of Green Star for nine consecutive years.

Shinjuku
Maynds Tower“4 Stars”

LEED Certification

CONCURRED
Yokohama“3 Stars”

Daiwa Harumi“GOLD”

BELS Evaluation
Daiwa Kayabacho
Building“2 Stars”

shinyon curumu“1 Star”

The “LEED® Certification Mark” is a registered trademark
owned by the U.S. Green Building Council and is used withpermission in this material.

Acquisition of Rating in “MUFG ESG Rating Certificate for J-REIT Supported by JCR”

CASBEE Property Appraisal
Newly acquired "A rank" in CASBEE for Market Promotion certification system for ninebuildings which it owns in December 2020 in addition to Daiwa Shibuya Square<Daiwa Shibuya Square>

Properties that additionally acquired certifications
 Daiwa Tsukiji

 Kirin Nihonbashi Building Daiwa Kayabacho Building Daiwa Ogikubo

 Daiwa Tsukishima

 E SPACE TOWER
 Daiwa River Gate

In "MUFG ESG Rating Certificate for J-REIT Supported by JCR" by MURC,
the Investment Corporation received an “A Rank” for its wide range ofactivities in all areas of ESG.

 Daiwa Daikanyama Daiwa Shinagawa

GotenyamaIssuance of Green Bonds

Target Rate of LED Lighting Installation

Issued 3.9 billion yen of green bonds for the first time in
September 2020 based on the idea that the provision of
investment opportunities to investors taking a proactive stancetowards ESG investments through the issuance of green bonds
has social significance

We are sequentially installing LED lighting in common areas and exclusive areas in all offices owned from the 31st FP
and aim to achieve a 100% LED lighting installation rate by the end of the 41st FP. (Installation rate at the start of thisinitiative/end of the 30th FP was 28%.)

Used as funds for the
repayment of borrowings
required to acquire Daiwa
Harumi Building

LEED CertificationGOLD: Amount of electricity (End of the 30th FP=100%)

100%

100%

: Progress rate of LED installation

95%

75%

90%

50%

85%

30th
FP

31st
FP

32nd
FP

33rd
FP

34th
FP

35th
FP

36th
FP

37th
FP

38th
FP

39th
FP

40th
FP

41st
FP

25%

Rate of electricity reduction
11％
Rate of CO2 reduction
Equivalent to 5,000 t

This document is not material disclosed in compliance with the Financial Instruments and Exchange Act or any regulation of similar nature, nor is it
intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

34

Efforts on ESG | Social
Efforts for Enhancing Tenant Satisfaction
Measures Against the Spread of COVID-19

Daiwa River Gate
Air cleaner installed at the entrance[Target properties]
Sequentially, properties which can take the measures[Details]• Put up a notice on safety measures and place disinfectant.
• Install air cleaner• Disinfect the elevator buttons, doorknobs of facilities, etc.
• Make sure that staff of building management and building cleaning companies thoroughly
follow hygienic measures (face masks, hand-washing, disinfection, etc.).
• Establish system for conducting disinfection of the building in cooperation with the public
administration in case there is infection or possible infection among the tenants.

Emergency Disaster Kit Cabinets in Elevators[Target properties]
Sequentially, properties for which
the cabinets can be installed

Inside the elevator of
Daiwa Azabu Terrace

Installation rate amongproperties (Note)

100 %[Details]
Install emergency disaster kit cabinets in elevators to secure safety oftenants’ office workers as well as those using the offices. Stock foodand emergency kit that will be necessary until rescue after becoming
trapped in elevators.
(Note) Including those that are currently being installed

Efforts for Employees

Expression of Respect for Health Care Workers[Target properties]
Shinjuku Maynds Tower[Details]
With the cancellation of Shinjuku Minamillumi, the symbol tree at the entrance
was illuminated blue with a simple display to prevent people from crowding
and health care systems from collapsing. This was an expression of gratitude
and respect for health care workers and essential workers and shared thethought with users of the office.

Install Cycle Port for Cycle Sharing[Target properties]
Shinjuku Maynds Tower[Details]
Contribute to enhancement of convenience for tenant
employees, local residents, etc. by offering thebuilding site for a cycle-sharing business for which
demand is increasing as a transportation option amid
the COVID-19 crisis.

[Child care-related][Other][Nursing care-related]• Child care leave/Child care support • Nursing care leave• Lending remote PCs andleave system• Time for nursing care, etc. the company’s cell phones
to all employees• Short working hours system• Day care subsidy/Babysitter system, etc.

BCP (Business Continuity Plan)
The asset management company of the Investment Corporation is to continue with
important business operations and also to implement measures to secure safety of
employees and related personnel in time of emergency such as disasters.

 WLB remote work: Workers who are forced to take days off due to child care, nursing care,or medical treatment, etc. can continue working while balancing them.
 Productive remote work: Emphasizing efficiency, workers visit clients directly from homeor utilize travel time to far destinations.

Attempt of ABW* at Asset Management Company

Ratio of women among all employees:
32.7%
Ratio of women in managerial positions(assistant manager or higher):
21.4%

Site of Shinjuku Maynds Tower

Daiwa Securities Group not only has BCP measures but also introduced work-life balance(WLB) and productive remote work to be used.

Improving Various Programs

Ratio of Women at
the Asset Management Company

Shinjuku Maynds Tower
Blue light up of
the symbol tree

*ABW: Activity Based Working

Attempted to realize various workplaces and work styles in order to propose offices by anticipating post-COVID as an office managementcompany
Subsidies for the remote work plan at hotels
owned by Daiwa Hotel Private Investment
Corporation whose management is entrusted tothe asset management company

Using vacant conference rooms and freespace as temporary offices to secureadequate space at offices.
(left: conference room, right: free space)35

Efforts on ESG | Social / Governance
Responding to Social Issues through the Asset Management Company’s Investment in Health Care Facilities
Daiwa Securities Living Investment Corporation contributes to SDGs Target No.3 “Good health and well-being” and “Achievement of good health and longevity,” one of the top
priorities for achievement of SDGs regarded by the Japanese government.

Social Issues

Daiwa Securities Living Investment Corporation’s Know-How

 Growing needs for health care facilities due to the progression of aging society Disparities in the quality of health care facilities and operators
 Diversification of financing methods of operators and their needs to reduce financial risks

 Capability to make selective investment and support operations, which was gained
through the operation of the former Nippon Healthcare Investment Corporation
 Strong cooperation of operators with Good Time Living Co. Ltd. as the core, which is thelargest operator and also the same-boat investor.

Promotion of the supply of excellent health care facilities
and attraction of highly social funds through the capital market

Review of Management Fee System
Changed to an asset management fee system focusing on management results and enhancing the incentive to increase the distributable amount (From the 28th FP)
Management Fee I(based on assets under management)
Basis of the calculation

Fee rate

BeforeCumulative acquisition price

0.1%

After

Total appraisal value of assets
under management

0.05%

Management Fee III(based on distributable amount)
Basis of the calculation
Distributable amount（変更なし）

Fee rate

Lower the ratio linked tothe amount of assets
under management

Strengthen the incentive
to increase the
distribution amount

2.0%(No change)*Change from acquisition price to market value basis

3.5%
Distributable amountManagement fee rate for the 30th FP(Note): 0.51%(Note) Annual rate, based on acquisition priceEstablishment of Policy Regarding ESG[Details]
The Investment Corporation established the
Policy Regarding ESG on March 31, 2019,as follows, judging that emphasizing ESG(Environment, Social and Governance)
contributes to the enhancement of theInvestment Corporation's medium- to longterm corporate value.

1. Initiatives on Environmental Protection (Environment)
We will proactively promote initiatives on environmental protection such as resource- and energy-saving measures including the
introduction of facilities and equipment contributing to environmental protection at owned properties.
2. Connection to Society (Social)
We will proactively disclose information and fulfill our accountability to all of stakeholders through IR activities, etc. We will accomplishsocial missions of a listed investment corporation by providing tenants with high-quality and comfortable space.
3. Corporate Governance (Governance)
We will make highly transparent and reasonable decisions in compliance with laws and regulations and various rules while being awareof the importance of corporate ethics and compliance.

36

Initiatives for ESG SDGs / COVID-19


Daiwa Real Estate Asset Management, Asset Manager of the Investment Corporation, will work toward the"Sustainable Development Goals (SDGs)" under the "Passion for SDGs-Daiwa Securities Group SDGs
Declaration" published by the sponsor group, Daiwa Securities Group.

Examples of Daiwa Securities Group-Wide SDGs Initiatives
Daiwa Food & Agri: Introducing New Technologies toPromote the Industrialization of Agriculture

This Asset Manager: Support for Healthcare
Professionals, etc.
Asset Manager, in cooperation with Daiwa Securities Group Inc., donated JPY 5 million
to support medical professionals and essential worker support activities carried out by
JHAT, an operator of the hotels owned by Daiwa Securities Hotel Private Investment
Corporation.

Daiwa Food & Agri aims to contribute to solving
the social issues surrounding Japan's agriculture
and food sectors by promoting theindustrialization of agriculture on a large scale andin pursuit of efficiency.
In spring 2019, we entered the baby leaf
production business in Kumamoto Prefecture incooperation with local partner companies. In thespring of 2020, we launched a tomato production
business in Yamagata Prefecture and Oita
Prefecture using large-scale facility cultivation.

Efforts Related to COVID-19

This Asset Manager: Initiatives for Employees

Scene of tomato cultivation

Daiwa Energy Infrastructure: Investment inRenewable Energy
Through its investment in renewable energy,
Daiwa Energy Infrastructure aims to resolve social
issues by building new energy systems and othermeans.

In principle, all Asset Manager employees shall telework from home during the period
of declaration of emergencies. Even after the termination of the Declaration, half of
employees work at home to minimize the risk of infection.
Notebook PCs were distributed to all employees. Expenses for purchasing monitors,
computer mouce, earphones, etc., will be paid to ensure smooth performance at home.
We introduced a new telephone conferencing system and video conferencing system,
and conducted various remote conference. Distribute masks to all Asset Manager
employees. In addition, alcohol disinfectant solutions were installed at each location in
the office to ensure thorough infection control.

Effort by Daiwa Office Investment Corporation<Respect to healthcare professionals etc.>

We are contributing to the provision of clean powersources by investing in solar power plants, biomass
power plants that use unused materials as theirmain fuel, geothermal power plants, etc. both
domestically and abroad.

Daiwa Office Investment Corporation has made efforts to highlightbuildings and facilities in blue and share them with office users inorder to express gratitude and respect to healthcare professionals
and essential workers.

Solar power plant in Nikko City

Daiwa ACA Business Succession Fund: Solutions toBusiness Succession
Approximately half of Japanese SMEs are said to be absent from successors, andbusiness succession is a major social issue. The Daiwa ACA Business Succession Fundhelps SMEs pass on their superior technologies and services to the next generation.

Effort in other REIT commissioned by the Asset<帰国者一時待機施設として保有するホテルを提供>
Manager

Daiwa Securities Hotel Private Investment Corporation commissioned by this AssetManager provided hotels around Haneda Airport as temporary isolation sites for
returnees in response to the spread of new coronavirus infection.

37

Appendix

Three Characteristics of the Investment Corporation(As of January 1, 2021)

OfficeBuilding

Office Specialized REIT

100％

Greater Tokyo

Regional Major Cities

17.5％

2.1％

REIT focused on
the Five Central Wards ofTokyo

Five Central Wards of Tokyo

80.5％(Note) Based on acquisition price.

Steady Growth in Distribution
Dividend
per Unit

Fiscal period ended
May 2020(29th FP)

Fiscal period ending
Nov. 2020(30th FP)

Fiscal period ending
May 2021(31st FP)

Fiscal period ending
Nov 2021(32st FP)

ActualActualForecast

Forecast

13,595 yen

13,817 yen

13,900 yen

13,900 yen

This document is not material disclosed in compliance with the Financial Instruments and Exchange Act or any regulation of similar nature, nor is it
intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

39

Portfolio Breakdown by Region and Status in Shinjuku and Shibuya Areas
Shinjuku Maynds Tower

Portfolio Breakdown by Region (%)
Osaka City
2.1％

Yokohama City
8.7％
Other 18 Wardsof Tokyo
8.8％

Shinjuku Maynds Tower Occupancy Rate（％）

Regional Cities
2.1％
Greater Tokyo
17.5％

Chiyoda Ward
4.4％

Minato Ward
11.0%

Shibuya Ward
35.1％

Shibuya Ward/
Shinjuku Ward
42.2％
Five Central Wardsof Tokyo
80.5％

Chuo Ward
22.9%

Shinjuku Ward
7.1％

Location

2-chome, Yoyogi,
Shibuya-ku

Acquisition
price66,900 million yen

12th 13th 14th 15th 16th 17th 18th 19th 20th 21st 22nd 23rd 24th 25th 26th 27th 28th 29th 30th 31st 32nd
FP FP FP FP FP FP FP FP FP FP FP FP FP FP FP FP FP FP FP FP FP
End
End(Note 1) Based on acquisition price(As of January 20, 2021)(Note 2) Percentage is rounded to the first decimal place

E SPACE TOWER

Large-Scale Office Building Supply inthe 23 Wards of Tokyo

E SPACE TOWER Occupancy Rate

2020―2024（％）

Total from 2020 to 2024

4,540,000 m²
Other
690,000 m²
Shibuya Ward
230,000 m²
Shinjuku Ward
190,000 m²

ChiyodaWard
970,000 m²
Chuo Ward
340,000 m²
Minato Ward
2,120,000 m²

Source: Mori Trust
Large-scale properties: Offices with total floor areas of 10,000 m² or more

Location

3 Maruyama-cho,Shibuya-ku

Acquisition
price

24,000 million yen

12th 13th 14th 15th 16th 17th 18th 19th 20th 21st 22nd 23rd 24th 25th 26th 27th 28th 29th 30th 31st 32nd
FP FP FP FP FP FP FP FP FP FP FP FP FP FP FP FP FP FP FP FP FP
End
End(Note) Rent revenue is indexed as the end of the 12th FP = 100.
Ownership interest of Shinjuku Maynds Tower is adjusted from the 25th FP.

This document is not material disclosed in compliance with the Financial Instruments and Exchange Act or any regulation of similar nature, nor is it
intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

40

Summary of Results for the Fiscal Period Ended November 2020 (30th FP) (1)― Balance Sheet ―Comparison with Results of the 29th Fiscal Period

Cash and Deposits in Trust
Other Current Assets
Fixed Assets
Tangible Fixed Assets
Building and Others(including Trust Property )Land and Others(including Trust Property )AssetsOther Tangible Fixed Assets
Intangible Fixed Assets
Leasehold Rights and Leasehold
Rights in Trust
Other Intangible Fixed Assets
Inv estments and Other Assets
Leasehold and Security Deposits
Paid in Trust
Long-term Prepaid Expenses
Other Inv estments and Other Assets

29th Fiscal Period

30th Fiscal Period

Million Yen(%)

Million Yen(%)

Million Yen(%)

Million Yen(%)

32,033

6.6

32,622

6.7

43,1888.9

33,521

6.9

27,68828,137

3,661

3,712

683

Inv estment Corporation Bond Issuance
Costs
Total Assets

Operating Accounts Pay ables
Short-term loans pay able
Current Portion of Long-term Loans
Pay able

772

929

1,673

5,000

3,600

33,30024,200455,14793.4

455,888

93.3

Accounts Pay ables-Other

646

672

451,204

92.6

451,89492.5

Adv ances Receiv ed

2,341

2,453

Other Current Liabilities

971

922

84,47883,303366,693368,553

32

38

2,718

0.6

2,714

2,705

2,705

13

9

1,224

0.3

1,278

113

113

1,046

1,051

63

113

31

Def erred Assets

Current Liabilities

0.0

31487,21259

488,570

Fixed Liabilities
Inv estment Corporation Bonds

0.6

Long-term Loans Pay able
Tenant Leasehold and Security
Deposits
Tenant Leasehold and Security
Deposits in Trust

0.3

Other Fixed Liabilities
Total Liabilities
Unitholders’ equity (net amount)
Unitholders' capital

0.0

59
100.0

Liabilities

Cash and Deposits

30th Fiscal Period

100.0

Net Assets

Current Assets

29th Fiscal Period

188,89738.8

199,537

5,100

9,000

161,050

167,650

20,463

20,495

1,928

1,954

355

437

232,08547.6

233,058

247,876

247,876

251,551

251,551-3,675-3,675

Unappropriated Retained Earnings

7,397

7,834

Valuation, Translation Adjustments andOthers-146-199

Deduction f rom unitholders’ capital

Total Net Assets
Total Liabilities and Net Assets

40.8

47.7

255,12752.4

255,51152.3

487,212100.0

488,570

100.0This document is not material disclosed in compliance with the Financial Instruments and Exchange Act or any regulation of similar nature, nor is it
intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

41

Summary of Results for the Fiscal Period Ended November 2020 (30th FP) (2)― Income Statement ―Comparison with Results of the 29th Fiscal Period

Comparison with the 30th Fiscal Period Forecasts(Million Yen)

Effective Number of Days of Investment

29th
Fiscal Period

30th
Fiscal Period

183 days

183 days

ChangeEffective Number of Days of Investment

14,272

14,849

+577

15

336

+320

6,959

7,133

+173

Expenses related to Rental Business(excluding depreciation)

3,702

3,869

+167

Depreciation

1,838

1,827

-11

Operating Revenues (A)Gain on sales of real estate properties
Operating Expenses (B)(Million Yen)
30th Fiscal
Period Forecast(Announced
Jul. 2020)

30th
Fiscal Period

183 days

183 days

Change14,421

14,849

+428

-

336

+336

7,057

7,133

+76

Expenses related to Rental Business(excluding depreciation)

3,817

3,869

+52

Depreciation

Operating Revenues (A)Gain on sales of real estate properties
Operating Expenses (B)

1,833

1,827

-6

+100

Gain and Loss from Rental Operations(excluding gain on sales of real estate properties)

8,770

8,816

+46

7,715

+403

Operating Income (A-B)

7,363

7,715

+352

635

606

-29

Non-operating Expenses

622

606

-15

497

470

-26

487

470

-16

6,688

7,125

+436

6,740

7,125

+384

Extraordinary Income

-

-

-

Extraordinary Income

-

-

-

Extraordinary Expenses

-

-

-

Extraordinary Expenses

-

-

-

Total Income Taxes(Includes income taxes deferred)

0

0

-0

Total Income Taxes(Includes income taxes deferred)

2

0

-1

6,687

7,124

+437

6,738

7,124

+385

491,877 units

491,877 units-

491,877 units

491,877 units-

13,595 yen

13,817 yen+222 yen

13,700 yen

13,817 yen+117 yen

Gain and Loss from Rental Operations(excluding gain on sales of real estate properties)

8,716

8,816

Operating Income (A-B)

7,312

Non-operating Expenses
Interest Expense(including cap amortization)
Ordinary Income

Net Income
Investment Units Issued and Outstanding
Dividend per Unit (Note)

Interest Expense(including cap amortization)
Ordinary Income

Net Income
Investment Units Issued and Outstanding
Dividend per Unit (Note)(Note) Dividends per unit for the 30th FP is calculated by dividing the amount obtained by subtracting provision for reserve for reduction entry (328 million yen) from unappropriated retained earnings by the total number of investment units issued andoutstanding.

This document is not material disclosed in compliance with the Financial Instruments and Exchange Act or any regulation of similar nature, nor is it
intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

42Forecasts for the Fiscal Periods Ending May 2021 and November 2021
(31st and 32nd FP)
Forecasts for the 31st and 32nd Fiscal Periods(Million Yen)

Effective Number of Days of Investment

30th Period(Nov. 30, 2020)

31st Period
Forecast(May 31, 2021)

32nd Period
Forecast(November 30, 2021)

183 days

182 days

183 days

14,84914,805

13,874

336

1,036

-

7,133

6,621

6,542

Expenses related to Rental Business(excluding depreciation)

3,869

3,380

3,341

Depreciation

Operating Rev enues (A)Gain on sales of real estate properties(Note)

Operating Expenses (B)

1,827

1,817

1,811

Gain and Loss f rom Rental Operations(excluding gain on sales of real estate properties (Note))

8,816

8,571

8,722

Operating Income (A-B)

7,715

8,184

7,332

Non-operating Expenses

606

588

590

470

450

447

7,125

7,595

6,741

Extraordinary Income

-

-

-

Extraordinary Expenses

-

-

-

Total Income Taxes(Includes income taxes def erred)

0

2

2

7,124

7,593

6,739

491,877 units

491,877 units

491,877 units

13,817 yen

13,900 yen

13,900 yen

Interest Expense(including cap amortization)
Ordinary Income

Net Income
Inv estment Units Issued and Outstanding
Div idend per Unit (Note)(Note) Dividends per unit for the 30th FP is calculated by dividing the amount obtained by subtracting provision for reserve for reduction entry (328 million yen) from unappropriated retained earnings by the total
number of investment units issued and outstanding.
Dividends per unit for the 31st FP is calculated by dividing the amount obtained by subtracting provision for reserve for reduction entry (756 million yen) from unappropriated retained earnings by the total
number of investment units issued and outstanding. The provision for reserve for reduction entry may change, depending on business performance.
Dividends per unit for the 32nd FP is calculated by diving the amount obtained by adding reversal of reserve for reduction entry (98 million yen) to unappropriated retained earnings by the total number ofinvestment units issued and outstanding. Dividends per unit before the reversal is 13,700 yen. Moreover, reversal of reserve for reduction entry may change depending on the operational status.

This document is not material disclosed in compliance with the Financial Instruments and Exchange Act or any regulation of similar nature, nor is it
intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

43

Status of Interest-Bearing Liabilities (1) (as of November 30, 2020)
Borrowings
LenderSumitomo Mitsui Banking Corporation

MUFG Bank, Ltd.
Mizuho Bank, Ltd.
Sumitomo Mitsui Trust Bank, Limited
MUFG Bank, Ltd.
The Higashi-Nippon Bank, Limited
Total short-term borrowings
Shinsei Bank, Limited (*)(**)

Current maturities oflong-term borrowings

Shinsei Bank, Limited (*)(**)
Sumitomo Mitsui Trust Bank, Limited (*)
Sumitomo Mitsui Banking Corporation (*)

Mizuho Bank, Ltd. (*)
Sumitomo Mitsui Banking Corporation (*)

Resona Bank, Limited (*)
Sumitomo Mitsui Banking Corporation (*)

Mizuho Bank, Ltd. (*)
MUFG Bank, Ltd. (*)
Sumitomo Mitsui Banking Corporation (*)

Development Bank of Japan Inc.
MUFG Bank, Ltd. (*)
The 77 Bank, Ltd. (*)
Total current maturities of long-term borrowings
Sumitomo Mitsui Banking Corporation (*)

Mizuho Bank, Ltd. (*)
MUFG Bank, Ltd. (*)
Sumitomo Mitsui Banking Corporation (*)

MUFG Bank, Ltd. (*)

Long-term borrowings

Sumitomo Mitsui Banking Corporation (*)

Shinsei Bank, Limited
Sumitomo Mitsui Banking Corporation (*)

MUFG Bank, Ltd. (*)
Mizuho Bank, Ltd. (*)
Sumitomo Mitsui Banking Corporation (*)

Shinsei Bank, Limited
MUFG Bank, Ltd. (*)
Mizuho Bank, Ltd. (*)
Resona Bank, Limited (*)
Sumitomo Mitsui Trust Bank, Limited (*)
Sumitomo Mitsui Banking Corporation (*)

Resona Bank, Limited (*)
Development Bank of Japan Inc.
Shinsei Bank, Limited
Development Bank of Japan Inc.
The Bank of Fukuoka, Ltd. (*)
Sumitomo Mitsui Trust Bank, Limited (*)

Balance(million yen)Interest
Type

Interest Rate(%)

Date of
AdvanceDue date

500
200
200
200
1,500
1,000
3,600
1,000
1,000
1,000
1,400
4,000
1,400
2,000
1,000
3,900
1,000
3,500
1,000
1,000
1,000
24,200
1,000
1,500
1,000
3,000
1,000
4,000
1,000
2,000
1,000
1,000
1,000
1,000
1,000
1,500
1,500
1,000
1,500
2,500
2,000
1,500
1,500
1,500
1,500

Float
Float
Float
Float
Float
Fixed

T+0.250%
T+0.250%
T+0.250%
T+0.250%
T+0.250%0.330%

20/1/31
20/1/31
20/1/31
20/1/31
20/8/31
20/11/30

21/1/29
21/1/29
21/1/29
21/1/29
21/8/31
21/2/26

Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed

0.836%
0.856%
0.646%
0.629%
0.636%
0.636%
0.606%
0.606%
0.606%
0.618%
0.618%
0.692%
0.593%
0.479%

13/7/31
13/7/31
13/8/913/8/913/9/27
13/9/27
14/3/18
14/3/25
14/3/31
14/5/29
14/7/8
14/12/3
14/12/3
15/5/1

21/5/31
21/8/31
21/2/26
21/5/31
21/3/31
21/3/31
21/3/31
21/3/31
21/3/31
21/11/30
21/11/30
21/11/30
21/11/30
21/5/31

Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Float
Fixed
Fixed
Fixed
Fixed
Float
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Float
Fixed
Fixed
Fixed

0.593%
0.585%
0.585%
0.378%
0.378%
0.585%
L+0.325%
0.378%
0.560%
0.353%
0.458%
L+0.350%
0.560%
0.353%
0.353%
0.353%
0.458%
0.365%
0.710%
L+0.325%
0.634%
0.408%
0.450%

14/3/25
14/5/29
14/5/29
14/5/29
14/5/29
14/7/8
14/7/8
14/7/8
14/12/1
14/12/1
14/12/1
14/12/1
14/12/3
14/12/3
14/12/3
14/12/3
14/12/3
15/2/27
15/3/31
15/3/31
15/5/1
15/5/1
15/5/122/2/28
22/5/31
22/5/31
22/11/30
22/11/30
22/5/31
22/8/31
22/11/30
22/5/31
22/11/30
23/5/31
23/5/31
22/5/31
22/11/30
22/11/30
22/11/30
23/5/31
23/2/28
22/3/31
23/5/31
22/5/31
23/5/31
23/11/30

Term

LenderMizuho Bank, Ltd. (*)
Shinsei Bank, Limited
Resona Bank, Limited (*)
Sumitomo Mitsui Banking Corporation (*)

Mizuho Bank, Ltd. (*)
MUFG Bank, Ltd. (*)
Nishi-Nippon City Bank, Ltd.
The 77 Bank, Ltd. (*)
Sumitomo Mitsui Banking Corporation (*)

Nippon Life Insurance Company (*)
Sumitomo Mitsui Trust Bank, Limited (*)

MUFG Bank, Ltd. (*)
Sumitomo Mitsui Banking Corporation (*)

The Gunma Bank, Ltd. (*)
Nippon Life Insurance Company (*)
Taiyo Life Insurance Company
Sumitomo Mitsui Banking Corporation (*)

Long-term borrowings

Short-termborrowings

Term

Development Bank of Japan Inc.
Mizuho Bank, Ltd. (*)
Resona Bank, Limited (*)
Mizuho Trust and Banking Co., Ltd. (*)

Shinsei Bank, Limited (*)
Nishi-Nippon City Bank, Ltd. (*)
MUFG Bank, Ltd. (*)
MUFG Bank, Ltd. (*)
Sumitomo Mitsui Trust Bank, Limited (*)
Sumitomo Mitsui Banking Corporation (*)

Mizuho Bank, Ltd. (*)
Shinsei Bank, Limited (*)
Fukoku Mutual Life Insurance Company

The Yamaguchi Bank, Ltd.
Development Bank of Japan Inc.
Development Bank of Japan Inc.
Development Bank of Japan Inc.
Sumitomo Mitsui Banking Corporation (*)
Mizuho Trust and Banking Co., Ltd. (*)
Sumitomo Mitsui Trust Bank, Limited (*)
Sumitomo Mitsui Banking Corporation (*)

Development Bank of Japan Inc.
Sumitomo Mitsui Banking Corporation (*)

Mizuho Bank, Ltd. (*)
Tokio Marine & Nichido Fire Insurance Co., Ltd.

Development Bank of Japan Inc.
The Yamaguchi Bank, Ltd.
Shinsei Bank, Limited (*)

Balance(million yen)Interest
Type

Interest Rate(%)

Date of
AdvanceDue date

1,500
1,500
1,500
3,000
2,000
500
2,000
1,000
500
1,000
1,000
1,000
1,000
1,000
300
300
1,500
1,500
1,000
1,000
1,000
1,000
1,000
2,500
1,500
2,000
1,500
1,000
2,000
200
1,500
1,700
3,500
3,000
2,000
1,500
3,000
2,000
2,550
1,500
1,000
1,000
2,000
500
2,000

Fixed
Float
Fixed
Fixed
Fixed
Fixed
Float
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed

0.450%
L+0.325%0.450%
0.441%
0.450%
0.450%
L+0.250%
0.281%
0.440%
0.281%
0.403%
0.403%
0.440%
0.443%
0.281%
0.541%
0.290%
0.303%
0.290%
0.391%
0.391%
0.378%
0.378%
0.415%
0.415%
0.421%
0.460%
0.460%
0.421%
0.579%
0.450%
0.387%
0.437%
0.477%
0.410%
0.410%
0.452%
0.452%
0.457%
0.513%
0.513%
0.303%
0.498%
0.489%
0.482%

15/5/1
15/5/1
15/5/1
15/5/1
15/5/29
15/5/29
15/8/31
15/8/31
15/8/31
15/9/1115/9/1115/9/1115/9/11
15/11/30
15/11/30
15/11/30
16/3/29
16/3/29
16/3/29
16/3/29
16/3/29
16/3/29
16/3/29
16/3/29
16/3/29
16/5/26
16/5/26
16/5/26
16/5/31
16/5/31
16/8/31
17/5/10
17/5/22
17/5/22
17/5/31
17/5/31
17/5/31
17/5/31
17/8/31
17/8/31
17/8/31
17/11/30
17/11/30
17/11/30
17/11/30

23/11/30
23/11/30
23/11/30
24/5/31
23/11/30
23/11/30
22/8/31
22/8/31
24/8/30
22/8/31
24/2/29
24/2/29
24/8/30
22/2/28
22/8/31
22/11/30
23/2/28
23/2/28
23/2/28
23/8/31
23/8/31
24/2/29
24/2/29
24/8/30
24/8/30
24/11/29
25/5/30
25/5/30
24/11/29
26/5/29
26/8/31
23/11/30
24/5/31
24/11/29
25/5/30
25/5/30
25/11/28
25/11/28
25/5/30
26/8/31
26/8/31
22/11/30
25/5/30
25/11/28
26/5/29(Note) Fixed Interest Rate and Floating Interest Rate are rounded to the third decimal place.
** Interest rates that were changed from a floating rate to a fixed rate by concluding the swap agreement are described as fixed interest rates.
** Interest rates are converted based on 1 year = 365 days and indicated.

This document is not material disclosed in compliance with the Financial Instruments and Exchange Act or any regulation of similar nature, nor is it
intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

44

Status of Interest-Bearing Liabilities (2) (as of November 30, 2020)
Borrowings
Term

Balance(million yen)Interest
Type

Interest Rate(%)

Date of
AdvanceDue date

Issuance

Fixed
Fixed
Fixed
Fixed
Fixed
Float
Fixed
Fixed
Float
Float
Float
Float
Float
Float
Float
Fixed
Fixed
Float
Fixed
Float
Fixed
Float
Fixed
Fixed
Fixed
Fixed
Fixed
Fixed
Float
Fixed
Fixed
Fixed
Fixed
Fixed
Float
Float
Fixed
Fixed
Fixed
Fixed

0.436%
0.335%
0.457%
0.313%
0.376%
T+0.350%
0.679%
0.472%
T+0.350%
T+0.350%
T+0.350%
T+0.350%
T+0.225%
T+0.350%
T+0.350%0.304%
0.304%
T+0.300%
0.540%
T+0.250%0.320%
T+0.400%
0.208%
0.322%
0.450%
0.209%
0.319%
0.350%
T+0.350%0.211%
0.322%
0.322%
0.326%
0.326%
T+0.400%
T+0.400%
0.297%
0.400%
0.400%
0.350%

18/2/28
18/5/31
18/5/31
18/7/31
18/8/31
18/8/31
18/8/31
18/10/30
18/10/30
18/10/30
18/10/30
18/10/30
19/3/29
19/3/29
19/3/29
19/5/31
19/5/31
19/5/31
19/5/31
19/8/30
19/8/30
19/9/30
19/11/29
19/11/29
19/11/29
20/2/28
20/2/28
20/2/28
20/2/28
20/5/29
20/5/29
20/5/29
20/8/31
20/8/31
20/8/31
20/8/31
20/11/30
20/11/30
20/11/30
20/11/30

26/2/27
25/5/30
26/5/29
23/7/31
25/8/31
27/8/31
27/8/31
26/10/30
27/10/29
27/10/29
27/10/29
27/10/29
26/3/31
28/3/31
28/3/31
26/5/29
26/5/29
27/5/31
29/5/31
26/8/31
26/8/31
29/9/28
24/11/29
26/11/30
28/11/30
25/2/28
27/2/26
28/2/29
29/2/28
25/5/30
27/5/31
27/5/31
27/8/31
27/8/31
30/8/30
30/8/30
27/5/31
28/11/30
28/11/30
28/11/30

Total long-term borrowings

5,000
500
500
1,000
1,500
2,000
1,000
1,000
4,000
3,000
1,000
1,000
1,000
3,000
2,000
2,000
1,000
500
1,000
1,500
1,000
2,000
1,300
1,200
1,000
1,500
1,000
1,000
2,000
1,000
3,000
2,000
1,600
1,500
2,000
1,000
3,000
2,000
2,000
1,000
167,650

No. 4 Unsecured Investment Corporation Bond

Total borrowings

195,450

LenderSumitomo Mitsui Trust Bank, Limited (*)

The Gunma Bank, Ltd. (*)
The Musashino Bank, Ltd. (*)
Tokio Marine & Nichido Fire Insurance Co., Ltd.

Kansai Mirai Bank, Limited (*)
The Bank of Fukuoka, Ltd.
Development Bank of Japan Inc.
Sumitomo Mitsui Trust Bank, Limited (*)

Mizuho Trust and Banking Co., Ltd.
Sumitomo Mitsui Banking Corporation

Mizuho Bank, Ltd.
MUFG Bank, Ltd.
The Gunma Bank, Ltd.
The Bank of Fukuoka, Ltd.
MUFG Bank, Ltd.

Long-term borrowings

Investment Corporation Bonds

The Norinchukin Bank
The Hyakugo Bank, Ltd.
The Musashino Bank, Ltd.
The Yamanashi Chuo Bank, Ltd.
Kansai Mirai Bank, Limited
MUFG Bank, Ltd. (*)
Resona Bank, Limited
Sumitomo Mitsui Trust Bank, Limited (*)
Sumitomo Mitsui Trust Bank, Limited (*)

Development Bank of Japan Inc.
Sumitomo Mitsui Trust Bank, Limited (*)

The 77 Bank, Ltd. (*)
The Norinchukin Bank
Resona Bank, Limited
Sumitomo Mitsui Trust Bank, Limited (*)
Sumitomo Mitsui Trust Bank, Limited (*)

MUFG Bank, Ltd. (*)
Sumitomo Mitsui Banking Corporation (*)

MUFG Bank, Ltd. (*)
Kansai Mirai Bank, Limited
The Musashino Bank, Ltd.
Mizuho Trust and Banking Co., Ltd. (*)
Sumitomo Mitsui Banking Corporation (*)

Shinsei Bank, Limited (*)
Development Bank of Japan Inc.

No. 5 Unsecured Investment Corporation BondNo. 6 Unsecured Investment Corporation Bond
No.7 Unsecured Investment Corporation BondNo. 8 Unsecured Investment Corporation Bond

Total inv estment corporation bonds

Balance(million yen)Interest
Type

Interest Rate(%)

Date of
AdvanceDue date

2,100
1,700
1,300
1,500
2,400
9,000

Fixed
Fixed
Fixed
Fixed
Fixed

1.000%
0.220%
0.660%
0.310%
0.600%

14/9/12
19/9/12
19/9/12
20/9/11
20/9/11

24/9/12
24/9/1231/9/1225/9/1130/9/11(Note) Fixed Interest Rate and Floating Interest Rate are rounded to the third decimal place.
** Interest rates that were changed from a floating rate to a fixed rate by concluding the swap agreement are described as fixed interest rates.

This document is not material disclosed in compliance with the Financial Instruments and Exchange Act or any regulation of similar nature, nor is it
intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

45

Analysis of Tenants
Breakdown of Industries (Note 1) of Tenants (Note 2) (%)

Major Tenants (Top 10)

Tenant Name

Property

Leased Area(m2)

% of Total
Leased Area
(Note 2)Not disclosed (Note 1)

Daiw a Sasazuka Tow er

7,135.30

1.9%

Jupiter Shop Channel Co., Ltd.

Daiw a River Gate

6,211.30

1.7%

Not disclosed(Note 1)

Daiw a Kitahama

Tokio Marine & Nichido Anshin
Consulting Co., Ltd.

Daiw a Ogikubo Tow er

Palsystem Consum ers'
Co-operative UnionLAQUAS Higashi
Shinjuku

6,189.96
6,058.41
5,985.08

Other
15.3%

1.7%
1.6%
1.6%

Not disclosed (Note 1)

Daiw a Kayabacho
Building

5,899.11

1.6%

Kirin Brew ery Com pany, Ltd.

Kirin Nihonbashi Building

5,630.17

1.5%

Precision
Instruments
2.9%
Insurance
3.0%

Services
23.7%
Information &Communication
21.3%

Foods
3.2%

Information
Services

Wholesale
4.7%

12.4%
Visual/Voice
Information Production

Construction
5.0%

3.7%
Internet-related
Services

2.7%

Electric Device
5.1%
Real Estate
6.8%

Communications

2.5%

Retail Trade
9.1%(As of November 30, 2020)

Not disclosed (Note 1)

Daiw a Sasazuka Tow er

5,307.56

1.4%(Note 1) Industries are categorized and prepared by the Investment Corporation according to TSE’s 33 industry groups.
(Note 2) The targets were changed to all tenants from Earnings Announcement for the 30th Fiscal Period.

INES Corporation

4,770.20

Daiw a Harumi

1.3%(Note 3) The categories in the Information & Communication industry are created/prepared by the Investment
Corporation in accordance with the Japan Standard Industry Classification of the Ministry of Internal Affairs andCommunications.
(Note 4) The ratio is rounded to the first decimal place.

Mitsubishi UFJ NICOS Co., Ltd.

Total

Daiw a Kitahama

4,515.35

1.2%

57,702.44

16.0%(Note 1) Not disclosed due to tenant's request.
(Note 2) Rounded down to the first decimal place.

This document is not material disclosed in compliance with the Financial Instruments and Exchange Act or any regulation of similar nature, nor is it
intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

46

Appraisal Value Compared With the Previous Fiscal Period (1)(Unit: Million Yen)
Appraisal Value

Property Name

Compared to End of 29th Period

Book Value

Cap Rate

Compared to Book Value at End of 30th Period
Acquisition Price

End of 29th Period

End of 30th Period

Difference

ChangeEnd of 30th Period

Difference

ChangeEnd of 29th Period

End of 30th Period

Daiw a Ginza

17,60017,700

+100

+0.6%

12,731+4,96839.0%

14,100

3.4%

3.4%

Daiw a Ginza Annex

4,060
8,380
4,840

3,960
8,380
4,720

-100
-120

-2.5%
-2.5%

2,733
8,064
4,405

+1,226
+315
+314

44.9%
3.9%
7.1%

3,050
8,265
4,550

3.4%
3.9%
3.7%

3.4%
3.9%
3.8%

4,230
3,970
3,100
3,970
3,040
2,240
1,740
10,800

4,230
3,970
3,100
3,970
3,050
2,300
1,740
10,800

+10
+60
-

+0.3%
+2.7%
-

3,116
2,712
2,671
2,351
2,096
1,259
1,111
6,612

+1,113+1,257+428+1,618+953+1,040+628+4,187

35.7%
46.4%
16.1%
68.8%
45.5%
82.7%
56.5%
63.3%

3,190
2,865
2,800
2,578
2,346
1,560
1,240
7,840

4.3%
3.6%
3.7%
3.5%
3.8%
4.0%
3.9%
4.0%

4.3%
3.6%
3.7%
3.5%
3.8%
4.0%
3.9%
4.0%

3,000
1,940
3,450

3,010
1,930
3,450

+10
-10
-

+0.3%
-0.5%
-

2,393
1,480
3,133

+616
+449
+316

25.8%
30.4%
10.1%

2,520
1,600
3,460

3.9%
3.9%
4.1%

3.9%
3.9%
4.1%

2,910
64,3005,410

2,910
64,300
5,430

+20

+0.4%

2,836
63,652
5,580

+73
+647
-150

2.6%
1.0%
-2.7%

2,910
66,900
5,900

3.6%
3.1%
3.6%

3.6%
3.1%
3.6%

2,310
7,360
8,230
5,250
36,600

2,310
7,360
8,230
5,250
36,600

-

-

2,329
4,645
5,125
3,275
23,466-19+2,714+3,104+1,974+13,133

-0.8%
58.4%
60.6%
60.3%
56.0%

2,460
5,000
5,600
3,550
24,000

4.1%
3.4%
3.3%
3.3%
3.0%

4.1%
3.4%
3.3%
3.3%
3.0%

2,690
16,50015,50012,90018,2006,440
11,30012,6002,690
16,50015,50012,90018,2006,440
11,30012,600

-

-

1,529
9,530
10,076
7,296
13,885
4,182
8,345
10,003+1,160+6,969+5,423+5,603+4,314+2,257+2,954+2,596

75.9%
73.1%
53.8%
76.8%
31.1%
54.0%
35.4%
26.0%

1,721
9,650
9,200
7,000
14,000
4,135
8,450
9,800

3.9%
3.1%
3.2%
3.3%
3.5%
3.6%
3.3%
3.1%

3.9%
3.1%
3.2%
3.3%
3.5%
3.6%
3.3%
3.1%

Daiw a Shibaura
Daiw a Minam i Aoyam a
Daiw a Sarugakucho
Daiw a A Ham am atsucho
Daiw a Jingum ae
Daiw a Shibadaim on
Daiw a Misakicho
Daiw a Tsukijiekim ae
Daiw a Tsukiji
Daiw a Tsukishim a
Daiw a Nihonbashi Horidom echo
Daiw a Azabudai
Daiw a Kyobashi
Daiw a Kojim achi 4-chom e
Shinjuku Maynds Tow er
Daiw a SHIBUYA EDGE
Daiw a Kodem m acho
Daiw a Nishishim bashi
Daiw a Kayabacho Building
Daiw a Jinbocho 3-chom e
E SPACE TOWER
Daiw a Nihonbashi Hongokucho
shinyon curum u
Daiw a Akasaka
Daiw a Shibuya Miyam asuzaka
Daiw a Azabu Terrace
Daiw a Ebisu 4-chom e
LAQUAS Higashi Shinjuku
Daiw a Aoyam aThis document is not material disclosed in compliance with the Financial Instruments and Exchange Act or any regulation of similar nature, nor is it
intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

47

Appraisal Value Compared With the Previous Fiscal Period (2)(Unit: Million Yen)
Appraisal Value

Property Name
Shinsen Place
Daiw a Shibuya Square
Daiw a River Gate
Daiw a Hatchobori ekim ae
Daiw a Hatchobori ekim ae West
Daiw a Nishi-Shinjuku
Kirin Nihonbashi Building
Daiw a Higashi-Nihonbashi
Daiw a Daikanyam a
Daiw a Shinjuku West
Daiw a Kanda Mikuracho
Daiw a Kanda East
Daiw a Kandasudacho
Daiw a Sasazuka Tow er
Daiw a Sasazuka
Daiw a Harum i
Daiw a Mita 2-Chom e
Nihonbashi Central Square
Nihonbashi-Bakurocho 1-Chome Development Site

Daiw a Higashi-Ikebukuro
Daiw a Shinagaw a North
Daiw a Kam iooka
Daiw a Ogikubo Tow er
Daiw a Meguro Square
Daiw a Ogikubo
CONCURRED Yokoham aDaiw a Shinagaw a Gotenyama

Daiw a Nakano-Sakaue
Daiw a Kitaham a
Total (Note)

Compared to End of 29th Period

Book Value

Compared to Book Value at End of 30th Period

Cap Rate
Acquisition Price

End of 29th Period

End of 30th Period

Difference

ChangeEnd of 30th Period

Difference

ChangeEnd of 29th Period

End of 30th Period

6,790
22,00033,7003,320
1,970
17,200
8,350
7,150
3,590
1,250
1,810
5,700

6,800
22,00033,8003,320
1,970
17,400
8,350
7,150
3,590
1,250
1,820
5,700

+10
+100
+200
+10
-

+0.1%
+0.3%
+1.2%
+0.6%
-

4,909
15,82727,5692,894
1,704
13,938
8,332
6,288
2,365
988
1,616
4,232

+1,890+6,172+6,230+425+265+3,461+17+861+1,224+261+203+1,467

38.5%
39.0%
22.6%
14.7%
15.5%
24.8%
0.2%
13.7%
51.8%
26.5%
12.6%
34.7%

4,800
16,00028,0002,871
1,647
13,710
8,180
6,370
2,280
942
1,592
4,200

3.2%
3.3%
3.7%
3.4%
3.5%
3.2%
3.8%
3.8%
3.2%
3.8%
3.8%
3.4%

3.2%
3.3%
3.7%
3.4%
3.5%
3.2%
3.8%
3.8%
3.2%
3.8%
3.8%
3.4%

2,820
16,0003,560
12,600
3,980
3,800

2,820
16,0003,570
12,600
3,990
3,800

+10
+10
-

+0.3%
+0.3%
-

2,377
15,9593,171
11,233
1,587
3,622

+442
+40
+398
+1,366+2,402
+177

18.6%
0.3%
12.6%
12.2%
151.3%
4.9%

2,295
15,5003,000
11,200
2,635
3,521

3.6%
3.8%
3.9%
3.7%
3.7%
3.5%

3.6%
3.8%
3.9%
3.7%
3.7%
3.5%

4,360
6,350
2,900
23,2007,270
4,820
41,2002,860
2,850
13,300569,560

4,010
4,360
6,290
2,900
23,2007,280
4,820
41,2002,880
2,850
13,300573,850

-60
+10
+20
+280

-0.9%
+0.1%
+0.7%
0.0%

3,813
2,569
7,024
1,823
16,3285,432
3,972
37,843
2,574
2,851
9,074
454,562+196+1,790-734+1,076+6,871+1,847+847+3,356+305-1+4,225+119,287

5.2%
69.7%
-10.5%
59.1%
42.1%
34.0%
21.3%
8.9%
11.9%
-0.1%
46.6%
26.2%

3,775
2,958
7,710
2,000
15,2205,600
3,800
38,100
2,500
2,750
9,481
464,878

4.0%
4.1%
4.4%
3.6%
3.5%
3.9%
4.2%
3.9%
4.0%
3.7%
-

4.0%
4.1%
4.5%
3.6%
3.5%
3.9%
4.2%
3.9%
4.0%
3.7%
-

(Note) Difference and change in “Compared to End of 29th Period” do not include the impact of the properties acquired or sold in the 30th Period.

This document is not material disclosed in compliance with the Financial Instruments and Exchange Act or any regulation of similar nature, nor is it
intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

48

Appraisal Value at End of Fiscal Period (1)(Unit: Million Yen)
Summary of Appraisal Report (End of 30th Period)
Property Name

Appraisal Value at
End of 30th Period

Direct Capitalization Method
Value

DCF Method

Cap Rate

Value

Discount Rate

Terminal Cap Rate

Integrated Value

Daiwa Ginza

17,70017,9003.4%

17,4003.2%

3.6%

19,800Daiwa Ginza Annex

3,960

4,110

3.4%

3,900

3.2%

3.6%

5,170

Daiwa Shibaura

8,380

8,340

3.9%

8,390

3.7%

4.1%

7,210

Daiwa Minami Aoyama

4,720

4,780

3.8%

4,660

3.6%

4.0%

4,550

Daiwa Sarugakucho

4,230

4,290

4.3%

4,160

4.1%

4.5%

2,060

Daiwa A Hamamatsucho

3,970

4,070

3.6%

3,920

3.4%

3.8%

2,520

Daiwa Jingumae

3,100

3,170

3.7%

3,020

3.5%

3.9%

3,040

Daiwa Shibadaimon

3,970

4,020

3.5%

3,950

3.3%

3.7%

2,390

Daiwa Misakicho

3,050

3,090

3.8%

3,030

3.6%

4.0%

1,920

Daiwa Tsukijiekimae

2,300

2,310

4.0%

2,290

4.0%

4.2%

2,260

Daiwa Tsukiji

1,740

1,750

3.9%

1,730

3.9%

4.1%

1,700

Daiwa Tsukishima

10,80010,9004.0%

10,700

3.7%

4.2%

5,680

Daiwa Nihonbashi Horidomecho

3,010

3,030

3.9%

2,990

3.7%

4.1%

1,870

Daiwa Azabudai

1,930

1,970

3.9%

1,890

3.7%

4.1%

1,450

Daiwa Kyobashi

3,450

3,500

4.1%

3,400

3.9%

4.3%

2,520

Daiwa Kojimachi 4-chome

2,910

2,950

3.6%

2,870

3.4%

3.8%

4,660

(Note)

64,300153,000

3.1%

147,000

2.9%

3.3%

56,100Daiwa SHIBUYA EDGE

5,430

5,520

3.6%

5,330

3.4%

3.8%

4,080

Daiwa Kodemmacho

2,310

2,350

4.1%

2,270

3.9%

4.3%

1,330

Daiwa Nishishimbashi

7,360

7,510

3.4%

7,290

3.2%

3.6%

5,250

Daiwa Kayabacho Building

8,230

8,380

3.3%

8,170

3.1%

3.5%

6,870

Daiwa Jinbocho 3-chome

5,250

5,370

3.3%

5,200

3.1%

3.5%

4,340

E SPACE TOWER

36,60037,4003.0%35,8002.8%

3.2%

34,800Shinjuku Maynds Tower

Daiwa Nihonbashi Hongokucho

2,690

2,710

3.9%

2,680

3.7%

4.1%

1,750

shinyon curumu

16,50016,8003.1%

16,3002.9%

3.3%

16,400Daiwa Akasaka

15,50015,8003.2%

15,4003.0%

3.4%

14,800Daiwa Shibuya Miyamasuzaka

12,90013,1003.3%

12,700

3.1%

3.5%

12,300Daiwa Azabu Terrace

18,20018,5003.5%

17,800

3.3%

3.7%

17,100Daiwa Ebisu 4-chome

6,440

6,450

3.6%

6,430

3.7%

3.8%

5,050

(Note) For Shinjuku Maynds Tower, the appraisal value and integrated value are the values pertaining to the Investment Corporation’s ownership interest, and the value indicated by the direct capitalization method and value
indicated by the DCF method are the values pertaining to the entire property.

This document is not material disclosed in compliance with the Financial Instruments and Exchange Act or any regulation of similar nature, nor is it
intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

49

Appraisal Value at End of Fiscal Period (2)(Unit: Million Yen)
Summary of Appraisal Report (End of 30th Period)
Property Name

Appraisal Value at
End of 30th Period

Direct Capitalization Method

DCF Method

Cap Rate

Value

Value

Terminal Cap Rate

Discount Rate

Integrated ValueLAQUAS Higashi Shinjuku

11,30011,7003.3%

11,100

3.1%

3.5%

11,200Daiwa Aoyama

12,60012,9003.1%

12,4002.9%

3.3%

12,000Shinsen Place

6,800

6,940

3.2%

6,740

3.1%

3.4%

4,800

Daiwa Shibuya Square

22,00022,2003.3%

21,8003.1%

3.5%

19,800Daiwa River Gate

33,80033,9003.7%

33,600

3.4%

3.8%

33,300Daiwa Hatchobori ekimae

3,320

3,420

3.4%

3,280

3.2%

3.6%

3,940

Daiwa Hatchobori ekimae West

1,970

2,030

3.5%

1,940

3.3%

3.7%

1,990

Daiwa Nishi-Shinjuku

17,40017,7003.2%

17,3003.0%

3.4%

16,900Kirin Nihonbashi Building

8,350

8,480

3.8%

8,210

3.5%

3.9%

7,520

Daiwa Higashi-Nihonbashi

7,150

7,300

3.8%

7,080

3.6%

4.0%

5,650

Daiwa Daikanyama

3,590

3,650

3.2%

3,560

3.2%

3.4%

3,420

Daiwa Shinjuku West

1,250

1,270

3.8%

1,240

3.6%

4.0%

1,000

Daiwa Kanda Mikuracho

1,820

1,830

3.8%

1,820

3.8%

4.0%

2,100

Daiwa Kanda East

5,700

5,810

3.4%

5,590

3.2%

3.6%

5,450

Daiwa Kandasudacho

2,820

2,880

3.6%

2,790

3.6%

3.8%

2,590

Daiwa Sasazuka Tower

16,00016,5003.8%

15,8003.6%

4.0%

15,100Daiwa Sasazuka

3,570

3,700

3.9%

3,520

3.7%

4.1%

2,740

Daiwa Harumi

12,60012,8003.7%

12,4003.7%

3.9%

10,000Daiwa Mita 2-Chome

3,990

4,060

3.7%

3,910

3.5%

3.9%

3,320

Nihonbashi Central Square

3,800

3,880

3.5%

3,710

3.3%

3.7%

1,920

Nihonbashi-Bakurocho 1-Chome Development Site（Land)(Note)

4,010

-

-

-

-

-

-

Daiwa Higashi-Ikebukuro

4,360

4,410

4.0%

4,340

3.8%

4.2%

2,450

Daiwa Shinagawa North

6,290

6,430

4.1%

6,150

3.9%

4.3%

4,770

Daiwa Kamiooka

2,900

2,930

4.5%

2,880

4.3%

4.7%

2,220

Daiwa Ogikubo Tower

23,20023,5003.6%

23,100

3.4%

3.8%

15,000Daiwa Meguro Square

7,280

7,450

3.5%

7,200

3.3%

3.7%

7,080

Daiwa Ogikubo

4,820

4,920

3.9%

4,780

3.7%

4.1%

3,550

CONCURRED Yokohama

41,20042,4004.2%

40,7004.0%

4.4%

32,600Daiwa Shinagawa Gotenyama

2,880

2,920

3.9%

2,860

3.7%

4.1%

2,630

Daiwa Nakano-Sakaue

2,850

2,970

4.0%

2,800

3.7%

4.2%

2,540

13,300573,850

13,400667,350

3.7%-

13,200646,470

3.5%
-

3.9%
-

14,700501,250

Daiwa Kitahama
Total(Note) Appraisal value of Nihonbashi-Bakurocho 1-Chome Development Site is the income approach value (development leasing-type.)This document is not material disclosed in compliance with the Financial Instruments and Exchange Act or any regulation of similar nature, nor is it
intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

50

Change in Unrealized Gain/Loss of Portfolio(Billion Yen)(%)

This document is not material disclosed in compliance with the Financial Instruments and Exchange Act or any regulation of similar nature, nor is it
intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

51

Portfolio Performance Summary (1)Fiscal Period Ended November 2020 (30th FP Results by Property)
Daiwa Ginza

Daiwa Ginza Annex

Daiwa Shibaura

Daiwa Minami Aoyama

Daiwa Sarugakucho

Daiwa A Hamamatsucho

Daiwa Jingumae

Property Name

Acquisition Price (million yen)

14,10029th FP

3,050

30th FP

29th FP

8,265

30th FP

29th FP

4,550

30th FP

29th FP

3,190

30th FP

29th FP

2,865

30th FP

29th FP

2,800

30th FP

29th FP

30th FPBook Value (million yen)

12,795

12,731

2,732

2,733

7,944

8,064

4,390

4,405

3,131

3,116

2,726

2,712

2,677

2,671

Appraisal Value (million yen)

17,60017,700

4,060

3,960

8,380

8,380

4,840

4,720

4,230

4,230

3,970

3,970

3,100

3,100

Occupancy Rate (%)

99.4

99.7

100.0

93.2

97.9

98.3

100.0

100.0

100.0

100.0

100.0

100.0

78.5

78.5

PML (%) (Note1)

4.53
4.53
Best Property

Property Management Company
Profits from property-related activities(Note 2)

Number of operating days

3.97
3.97
Best Property

3.82
3.82
Xymax Alpha

9.19
9.19
Best Property

7.14
7.14
Property Partners

3.79
3.79
Best Property

13.33
13.33
Best Property

183

183

183

183

183

183

183

183

183

183

183

183

183

183

(1) Property-related Revenues (thousand yen)

437,507427,704

103,213

107,138

265,465

268,586

129,711133,064- (Note5)- (Note5)

135,911

135,892

84,374

66,782Rent (incl. common service fees)

437,057

427,704

103,213

100,624

264,107

266,424

129,711133,064- (Note5)- (Note5)

135,911

135,892

84,374

66,782

450

0

0

6,514

1,358

2,162

0

0

- (Note5)- (Note5)

0

0

0

0

99,139106,187

29,03826,142

127,188

135,957

24,89130,209- (Note5)- (Note5)

58,151

57,591

28,463

16,387Administrative Expenses

14,466

18,233

6,822

5,933

13,596

18,878

4,470

4,065

- (Note5)- (Note5)

7,660

8,892

2,782

2,901

Utility Charges

19,515

20,451

5,235

5,339

14,841

14,404

4,428

5,852

- (Note5)- (Note5)

6,419

6,782

3,537

3,047

6,400

6,029

1,539

1,453

3,986

4,003

2,192

1,849

- (Note5)- (Note5)

2,116

1,953

1,279

1,200

31,71533,952

10,478

11,273

20,85020,816

13,01813,019- (Note5)- (Note5)

9,067

9,054

6,894

6,899

509

515

118

120

457

462

180

181

- (Note5)- (Note5)

211

215

100

101

11,54010,514

4,843

2,022

73,43577,391600

5,240- (Note5)- (Note5)

3,276

1,292

13,861

2,231

Other Revenues (Note 3)(2) Property-related Expenses (thousand yen)

Property Management Fee
Tax and Public Due
Non-life Insurance Costs
Repair Expenses

14,990

16,489

0

0

20

0

0

0

- (Note5)- (Note5)

29,40029,40077(3) NOI (=(1)-(2)) (thousand yen)

338,367

321,51774,17480,995

138,276

132,629

104,820

102,855

98,236

97,51077,75978,301

55,91150,395

Annualized NOI (thousand yen)

674,886

641,277

147,944

161,548

275,798

264,533

209,067

205,148

195,936

194,489

155,093

156,175

111,516

100,515

5.3%

5.0%

5.4%

5.9%

3.5%

3.3%

4.8%

4.7%

6.3%

6.2%

5.7%

5.8%

4.2%

3.8%

65,19065,222

8,724

8,437

31,14233,72914,381

14,496- (Note5)- (Note5)

15,072

14,842

8,919

9,040

0

0

0

0

229

300

0

0

- (Note5)- (Note5)

0

0

0

0

0

0

0

0

0

0

0

0

- (Note5)- (Note5)

0

0

0

0

Other Expenses(Reference)

NOI Yield (Note 4)
Depreciation and amortization(thousand yen)
Proceeds from Restoration and Repair Work
(thousand yen)
Proceeds from Amortization of Leasehold andSecurity Deposits (thousand yen)

(Note 1) Sompo Risk Care Management Inc. has prepared the PML for the 30th fiscal period. The figures entered for PML are the figures in the Portfolio Earthquake PML Assessment Report (December 2020).
(Note 2) For profits from property-related activities, actual results are used and displayed by rounding down to the nearest thousand yen.
(Note 3) Other Revenues includes Proceeds from Restoration and Repair Work and Proceeds from Amortization of Leasehold and Security Deposits.
(Note 4) NOI Yield is calculated by dividing annualized NOI in (3) on the table by the book value.
(Note 5) Not disclosed due to tenant's request.

This document is not material disclosed in compliance with the Financial Instruments and Exchange Act or any regulation of similar nature, nor is it
intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

52

Portfolio Performance Summary (2)Fiscal Period Ended November 2020 (30th FP Results by Property)
Daiwa Shibadaimon

Daiwa Misakicho

Daiwa Shimbashi 510

Daiwa Tsukijiekimae(Note6)

Daiwa Tsukiji

Daiwa Nihonbashi
Horidomecho

Daiwa Tsukishima

Property Name

Acquisition Price (million yen)

2,578
29th FP

2,346

30th FP

29th FP

2,080

30th FP

29th FP

1,560

30th FP

29th FP

1,240

30th FP

29th FP

7,840

30th FP

29th FP

2,520

30th FP

29th FP

30th FPBook Value (million yen)

2,358

2,351

2,106

2,096

2,112

-

1,246

1,259

1,119

1,111

6,666

6,612

2,408

2,393

Appraisal Value (million yen)

3,970

3,970

3,040

3,050

2,530

-

2,240

2,300

1,740

1,740

10,80010,800

3,000

3,010

Occupancy Rate (%)

100.0

100.0

100.0

100.0

100.0

-

100.0

100.0

100.0

100.0

100.0

100.0

100.0

100.0

PML (%) (Note1)

3.72
3.72
Best Property

Property Management Company

Profits from property-related activities(Note 2)

Number of operating days

4.24
4.24
Best Property

5.51
Property Partners

4.23
4.23
MS Building Support

4.98
4.98
Xymax Alpha

4.87
4.87
Property Partners

4.68
4.68
Best Property

183

183

183

183

183

164

183

183

183

183

183

183

183

183

(1) Property-related Revenues (thousand yen)

94,959103,697- (Note5)- (Note5)

76,387

69,24067,67469,90051,821

51,043

281,609282,493

87,62983,561

Rent (incl. common service fees)

94,959103,697- (Note5)- (Note5)

76,387

69,24067,67469,90051,821

51,043

281,609282,493

87,62983,56100- (Note5)- (Note5)

0

0

0

0

0

0

0

0

0

0

37,621

19,356- (Note5)- (Note5)

21,33826,55951,543

16,451

10,464

11,64039,89642,177

19,77522,730

Other Revenues (Note 3)(2) Property-related Expenses (thousand yen)

Administrative Expenses

4,321

4,273

- (Note5)- (Note5)

6,840

9,328

2,666

3,529

2,358

4,203

8,016

8,227

5,868

7,289

Utility Charges

4,245

4,969

- (Note5)- (Note5)

3,901

4,586

3,630

3,622

2,091

1,964

9,181

9,553

3,550

3,610

Property Management Fee

1,505

1,557

- (Note5)- (Note5)

1,200

1,200

1,200

1,200

1,451

1,200

4,228

4,235

1,323

1,229

Tax and Public Due

6,652

6,643

- (Note5)- (Note5)

6,157

10,568

5,272

5,272

4,102

4,102

14,992

15,096

7,005

6,999

Non-life Insurance Costs
Repair Expenses

144

145

- (Note5)- (Note5)

146

131

117

118

74

75

347

348

156

157

20,751

1,767- (Note5)- (Note5)

3,093

744

38,638

2,699

385

94

3,130

4,715

1,871

3,443

0

0

- (Note5)- (Note5)

0

0

18

9

0

0

0

0

0

0

(3) NOI (=(1)-(2)) (thousand yen)

57,33884,34164,614

63,64055,04942,681

16,13153,44941,35739,402

241,712240,316

67,85360,831

Annualized NOI (thousand yen)

114,364

168,221

128,875

126,932

109,797-

32,175

106,60782,48878,589482,104

479,319

135,336

121,329

4.8%

7.2%

6.1%

6.1%

5.2%

-

2.6%

8.5%

7.4%

7.1%

7.2%

7.2%

5.6%

5.1%

10,632

10,609- (Note5)- (Note5)

8,924

8,882

13,46813,548

7,678

8,031

55,91455,726

15,43915,47700- (Note5)- (Note5)

0

0

0

0

0

0

0

0

0

0

0

0

- (Note5)- (Note5)

0

0

0

0

0

0

0

0

0

0

Other Expenses(Reference)

NOI Yield (Note 4)
Depreciation and amortization(thousand yen)
Proceeds from Restoration and Repair Work
(thousand yen)
Proceeds from Amortization of Leasehold andSecurity Deposits (thousand yen)

(Note 1) Sompo Risk Care Management Inc. has prepared the PML for the 30th fiscal period. The figures entered for PML are the figures in the Portfolio Earthquake PML Assessment Report (December 2020).
(Note 2) For profits from property-related activities, actual results are used and displayed by rounding down to the nearest thousand yen.
(Note 3) Other Revenues includes Proceeds from Restoration and Repair Work and Proceeds from Amortization of Leasehold and Security Deposits.
(Note 4) NOI Yield is calculated by dividing annualized NOI in (3) on the table by the book value.
(Note 5) Not disclosed due to tenant's request.
(Note 6) Property sold in 30th FP

This document is not material disclosed in compliance with the Financial Instruments and Exchange Act or any regulation of similar nature, nor is it
intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

53

Portfolio Performance Summary (3)Fiscal Period Ended November 2020 (30th FP Results by Property)
Daiwa Azabudai

Daiwa Kojimachi
4-chomeDaiwa Kyobashi

Shinjuku Maynds Tower

Daiwa SHIBUYA EDGE

Daiwa Kodemmacho

Daiwa Jinbocho (No te 5)

Property Name

Acquisition Price (million yen)

1,600
29th FP

3,460

30th FP

29th FP

2,910

30th FP

29th FP

5,900

66,90030th FP

29th FP

30th FP

29th FP

2,460

30th FP

29th FP

4,150

30th FP

29th FP

30th FPBook Value (million yen)

1,487

1,480

3,152

3,133

2,850

2,836

63,80563,652

5,597

5,580

2,336

2,329

-

-

Appraisal Value (million yen)

1,940

1,930

3,450

3,450

2,910

2,910

64,30064,300

5,410

5,430

2,310

2,310

-

-

Occupancy Rate (%)

100.0

100.0

100.0

100.0

100.0

100.0

100.0

100.0

100.0

100.0

100.0

100.0

-

-

PML (%) (Note1)

6.64
6.64
Best Property

4.19
4.19
Property Partners--

Property Management Company

Profits from property-related activities(Note 2)

Number of operating days

4.51
4.51
Best Property

6.19
6.19
Best Property

2.03
2.03
Xymax Alpha

1.56
1.56
Xymax Alpha

Japan Property Solutions

183

183

183

183

183

183

183

183

183

183

183

183

172

-

(1) Property-related Revenues (thousand yen)

56,73457,311

103,629

105,054

89,95091,426

1,344,859

1,403,863

129,811130,738

67,40867,371

107,937

395

Rent (incl. common service fees)

56,73456,453

103,629

105,054

89,95091,426

1,342,677

1,403,863

129,811130,738

67,40867,371

107,937

395

0

857

0

0

0

0

2,181

0

0

0

0

0

0

0

13,30912,90523,01425,251

27,53429,607385,730

351,433

20,542

22,392

15,021

15,342

32,614500

Other Revenues (Note 3)(2) Property-related Expenses (thousand yen)

Administrative Expenses

2,833

2,732

4,517

6,179

4,616

3,969

78,113

68,349

3,927

4,482

3,879

4,536

5,792

0

Utility Charges

2,436

2,515

6,960

7,038

4,782

5,499

125,255

122,664

5,878

6,217

4,263

4,378

4,457

349

Property Management Fee

1,200

1,200

1,555

1,578

1,344

1,351

9,722

9,667

1,951

1,909

1,212

1,216

1,129

0

Tax and Public Due

5,070

5,068

7,536

7,509

16,41916,406135,652

136,875

7,983

8,135

3,841

3,834

20,706145

Non-life Insurance Costs
Repair Expenses

88

88

153

155

169

170

2,166

2,201

127

128

111

112

151

0

1,681

1,300

2,289

2,790

201

2,209

32,353

8,966

674

1,520

890

442

340

0

0

0

0

0

0

0

2,466

2,707

0

0

822

822

36

5

(3) NOI (=(1)-(2)) (thousand yen)

43,424

44,40580,61579,80362,41561,819959,128

1,052,429

109,268

108,345

52,38752,02875,322-105

Annualized NOI (thousand yen)

86,612

88,568160,789

159,170

124,489

123,300

1,913,016

2,099,108

217,940

216,099

104,488

103,773

-

-

5.8%

6.0%

5.1%

5.1%

4.4%

4.3%

3.0%

3.3%

3.9%

3.9%

4.5%

4.5%

-

-

8,395

7,746

19,69819,367

15,223

15,313200,721

199,377

16,93016,967

9,661

8,299

21,211

0

0

0

0

0

0

0

2,181

0

0

0

0

0

0

0

0

0

0

0

0

0

0

0

0

0

0

0

0

0

Other Expenses(Reference)

NOI Yield (Note 4)
Depreciation and amortization(thousand yen)
Proceeds from Restoration and Repair Work
(thousand yen)
Proceeds from Amortization of Leasehold andSecurity Deposits (thousand yen)

(Note 1) Sompo Risk Care Management Inc. has prepared the PML for the 30th fiscal period. The figures entered for PML are the figures in the Portfolio Earthquake PML Assessment Report (December 2020).
(Note 2) For profits from property-related activities, actual results are used and displayed by rounding down to the nearest thousand yen.
(Note 3) Other Revenues includes Proceeds from Restoration and Repair Work and Proceeds from Amortization of Leasehold and Security Deposits.
(Note 4) NOI Yield is calculated by dividing annualized NOI in (3) on the table by the book value.
(Note 5) Property sold in 29th FP

This document is not material disclosed in compliance with the Financial Instruments and Exchange Act or any regulation of similar nature, nor is it
intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

54

Portfolio Performance Summary (4)Fiscal Period Ended November 2020 (30th FP Results by Property)
Daiwa Nishishimbashi

Daiwa Kayabacho
Building

Daiwa
Jinbocho 3-chome

Daiwa Nihonbashi
Hongokucho

E SPACE TOWER

shinyon curumu

Daiwa Akasaka

Property Name

Acquisition Price (million yen)

5,000
29th FP

5,600

30th FP

29th FP

3,550

30th FP

29th FP

24,00030th FP

29th FP

1,721

30th FP

29th FP

9,650

30th FP

29th FP

9,200

30th FP

29th FP

30th FPBook Value (million yen)

4,608

4,645

5,153

5,125

3,295

3,275

23,406

23,466

1,540

1,529

9,558

9,530

10,126

10,076

Appraisal Value (million yen)

7,360

7,360

8,230

8,230

5,250

5,250

36,60036,600

2,690

2,690

16,50016,50015,50015,500Occupancy Rate (%)

100.0

100.0

100.0

100.0

100.0

100.0

100.0

92.8

100.0

100.0

100.0

96.7

100.0

100.0

PML (%) (Note1)

3.76
3.76
Xymax Alpha

4.50
4.50
Property Partners

5.33

5.33

3.11
3.11
Xymax Alpha

Property Management Company

Profits from property-related activities(Note 2)

Number of operating days

Japan Property Solutions

3.80
3.80
MS Building Support

4.44
4.44
MS Building Support

7.14
7.14
Xymax Alpha

183

183

183

183

183

183

183

183

183

183

183

183

183

183

(1) Property-related Revenues (thousand yen)

186,509

188,554- (Note5)- (Note5)

122,434

124,456

821,943

810,936

68,58875,783392,335

388,428

366,890

368,456

Rent (incl. common service fees)

186,509

188,554- (Note5)- (Note5)

122,434

124,456

821,943

810,936

68,58875,783392,335

388,428

366,890

368,45600- (Note5)- (Note5)

0

0

0

0

0

0

0

0

0

0

42,54577,268- (Note5)- (Note5)

23,162

26,385150,915

198,938

14,527

11,28378,776

100,780

91,952

179,905

14,097

13,036- (Note5)- (Note5)

5,652

5,485

40,96237,045

5,901

2,328

19,61231,80823,56025,495

8,028

9,304

- (Note5)- (Note5)

5,566

6,477

33,627

38,102

2,465

2,571

16,81819,075

19,371

18,438

2,489

2,508

- (Note5)- (Note5)

1,837

1,866

8,032

8,084

1,200

1,200

3,647

3,860

4,018

4,005

16,246

16,234- (Note5)- (Note5)

9,940

9,934

62,36762,308

4,556

4,558

37,272

37,98635,76435,560

Other Revenues (Note 3)(2) Property-related Expenses (thousand yen)

Administrative Expenses
Utility Charges
Property Management Fee
Tax and Public Due
Non-life Insurance Costs
Repair Expenses

290

291

- (Note5)- (Note5)

150

150

775

778

91

92

401

402

515

517

1,394

35,887- (Note5)- (Note5)

15

2,470

4,645

52,546

313

532

997

7,647

8,451

95,8870

6- (Note5)- (Note5)

0

0

504

72

0

0

25

0

270

0

(3) NOI (=(1)-(2)) (thousand yen)

143,964

111,285

150,387

145,807

99,272

98,071

671,028

611,997

54,06064,500313,558

287,647

274,938

188,551

Annualized NOI (thousand yen)

287,141

221,963

299,952

290,817

198,002

195,606

1,338,389

1,220,650

107,826

128,648

625,404

573,723

548,374

376,072

6.2%

4.8%

5.8%

5.7%

6.0%

6.0%

5.7%

5.2%

7.0%

8.4%

6.5%

6.0%

5.4%

3.7%

35,56636,349- (Note5)- (Note5)

19,871

19,87975,41568,49913,335

13,38836,99337,28459,06258,53300- (Note5)- (Note5)

0

0

0

0

0

0

0

0

0

0

0

0

- (Note5)- (Note5)

0

0

0

0

0

0

0

0

0

0

Other Expenses(Reference)

NOI Yield (Note 4)
Depreciation and amortization(thousand yen)
Proceeds from Restoration and Repair Work
(thousand yen)
Proceeds from Amortization of Leasehold andSecurity Deposits (thousand yen)

(Note 1) Sompo Risk Care Management Inc. has prepared the PML for the 30th fiscal period. The figures entered for PML are the figures in the Portfolio Earthquake PML Assessment Report (December 2020).
(Note 2) For profits from property-related activities, actual results are used and displayed by rounding down to the nearest thousand yen.
(Note 3) Other Revenues includes Proceeds from Restoration and Repair Work and Proceeds from Amortization of Leasehold and Security Deposits.
(Note 4) NOI Yield is calculated by dividing annualized NOI in (3) on the table by the book value.
(Note 5) Not disclosed due to tenant's request.

This document is not material disclosed in compliance with the Financial Instruments and Exchange Act or any regulation of similar nature, nor is it
intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

55

Portfolio Performance Summary (5)Fiscal Period Ended November 2020 (30th FP Results by Property)
Daiwa Shibuya
Miyamasuzaka

Daiwa Azabu Terrace

Daiwa Ebisu 4-chome

LAQUAS Higashi
Shinjuku

Daiwa Aoyama

Shinsen Place

Daiwa Shibuya Square

Property Name

Acquisition Price (million yen)

7,000
29th FPBook Value (million yen)Appraisal Value (million yen)Occupancy Rate (%)
PML (%) (Note1)
Property Management Company

Profits from property-related activities(Note 2)

Number of operating days

14,00030th FP

29th FP

4,135

30th FP

29th FP

8,450

30th FP

29th FP

9,800

30th FP

29th FP

4,800

30th FP

29th FP

16,00030th FP

29th FP

30th FP

7,316

7,296

13,883

13,885

4,198

4,182

8,378

8,345

9,959

10,003

4,915

4,909

15,85915,827

12,90012,90018,20018,200

6,440

6,440

11,30011,30012,60012,600

6,790

6,800

22,00022,000

100.0

100.0

100.0

100.0

100.0

100.0

100.0

100.0

100.0

85.9

100.0

100.0

100.0

100.0

5.64

5.64

2.67
2.67
Best Property

2.44
2.44
MS Building Support

4.46

4.46

Japan Property Solutions

ITOCHU Urban Community

4.42
4.42
MS Building Support

6.21
6.21
MS Building Support

1.61
1.61
Xymax Alpha

183

183

183

183

183

183

183

183

183

183

183

183

183

183

(1) Property-related Revenues (thousand yen)323,938

334,523

476,940

504,888- (Note5)- (Note5)

230,466

233,522245,641

248,669- (Note5)- (Note5)493,908

483,125

Rent (incl. common service fees)

323,938

334,523

476,940

489,888- (Note5)- (Note5)

230,466

233,522245,641

248,669- (Note5)- (Note5)484,264

483,12500

0

15,000- (Note5)- (Note5)

0

0

0

0

- (Note5)- (Note5)

9,644

0

56,744

66,776114,225

131,217- (Note5)- (Note5)

45,94749,962

46,97764,263- (Note5)- (Note5)

64,412

74,563

Other Revenues (Note 3)(2) Property-related Expenses (thousand yen)

Administrative Expenses

14,577

19,911

28,92927,509- (Note5)- (Note5)

9,703

9,468

15,8409,774- (Note5)- (Note5)

10,295

15,612

Utility Charges

11,35010,902

44,62037,669- (Note5)- (Note5)

11,764

13,710

6,904

5,902

- (Note5)- (Note5)

18,951

20,818

3,835

4,127

4,337

4,369

- (Note5)- (Note5)

1,200

1,200

2,809

2,953

- (Note5)- (Note5)

5,122

5,763

22,65023,712

33,77733,744- (Note5)- (Note5)

21,16621,157

14,324

15,294- (Note5)- (Note5)

29,10429,062

Property Management Fee
Tax and Public Due
Non-life Insurance Costs
Repair Expenses

373

376

727

730

- (Note5)- (Note5)

354

358

181

183

- (Note5)- (Note5)

439

445

3,921

7,722

1,751

27,095- (Note5)- (Note5)

1,600

3,854

6,917

30,154- (Note5)- (Note5)

498

2,861

36

24

82

99

- (Note5)- (Note5)

158

213

0

0

- (Note5)- (Note5)00(3) NOI (=(1)-(2)) (thousand yen)

267,193267,747

362,714373,670

134,353

140,175

184,519

183,560

198,664

184,406

113,198

114,295

429,496408,561Annualized NOI (thousand yen)

532,926

534,031

723,447

745,300

267,972

279,584

368,030

366,118

396,242

367,805

225,778

227,966

856,645814,889

7.3%

7.3%

5.2%

5.4%

6.4%

6.7%

4.4%

4.4%

4.0%

3.7%

4.6%

4.6%

5.4%

5.1%

27,354

27,46352,04752,429- (Note5)- (Note5)

33,44233,586

17,731

18,106- (Note5)- (Note5)

33,45933,47900

0

15,000- (Note5)- (Note5)

0

0

0

0

- (Note5)- (Note5)

2,030

0

0

0

0

0

- (Note5)- (Note5)

0

0

0

0

- (Note5)- (Note5)00

Other Expenses(Reference)

NOI Yield (Note 4)
Depreciation and amortization(thousand yen)
Proceeds from Restoration and Repair Work
(thousand yen)
Proceeds from Amortization of Leasehold andSecurity Deposits (thousand yen)

(Note 1) Sompo Risk Care Management Inc. has prepared the PML for the 30th fiscal period. The figures entered for PML are the figures in the Portfolio Earthquake PML Assessment Report (December 2020).
(Note 2) For profits from property-related activities, actual results are used and displayed by rounding down to the nearest thousand yen.
(Note 3) Other Revenues includes Proceeds from Restoration and Repair Work and Proceeds from Amortization of Leasehold and Security Deposits.
(Note 4) NOI Yield is calculated by dividing annualized NOI in (3) on the table by the book value.
(Note 5) Not disclosed due to tenant's request.

This document is not material disclosed in compliance with the Financial Instruments and Exchange Act or any regulation of similar nature, nor is it
intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

56

Portfolio Performance Summary (6)Fiscal Period Ended November 2020 (30th FP Results by Property)
Daiwa Hatchobori
ekimaeDaiwa River Gate

Daiwa Hatchobori
ekimae West

Kirin Nihonbashi
Building

Daiwa Nishi-Shinjuku

Daiwa HigashiNihonbashi

Daiwa Daikanyama

Property Name

Acquisition Price (million yen)

28,00029th FP

2,871

30th FP

29th FP

1,647

30th FP

29th FP

13,71030th FP

29th FP

8,180

30th FP

29th FP

6,370

30th FP

29th FP

2,280

30th FP

29th FP

30th FPBook Value (million yen)

27,66827,569

2,904

2,894

1,709

1,704

13,95813,938

8,354

8,332

6,313

6,288

2,370

2,365

Appraisal Value (million yen)

33,70033,800

3,320

3,320

1,970

1,970

17,20017,400

8,350

8,350

7,150

7,150

3,590

3,590

Occupancy Rate (%)

99.4

96.4

100.0

100.0

100.0

95.8

100.0

100.0

100.0

100.0

100.0

100.0

100.0

100.0

PML (%) (Note1)

1.76
1.76
Best Property

5.89

5.89

7.03

7.03

4.32
4.32
MS Building Support

5.76

5.76

4.37

4.37

6.21
6.21
Xymax Alpha

Property Management Company

Profits from property-related activities(Note 2)

Number of operating days

ITOCHU Urban Community

ITOCHU Urban Community

Japan Property Solutions

ITOCHU Urban Community

183

183

183

183

183

183

183

183

183

183

183

183

183

183

(1) Property-related Revenues (thousand yen)

1,069,728

1,078,020

85,25586,70650,86050,973357,263389,559- (Note5)- (Note5)

175,532

180,879- (Note5)- (Note5)

Rent (incl. common service fees)

1,065,265

1,074,746

85,25586,70650,86050,973357,263389,559- (Note5)- (Note5)

175,532

180,879- (Note5)- (Note5)

4,463

3,273

0

0

0

0

0

0

- (Note5)- (Note5)00- (Note5)- (Note5)379,895

349,205

23,05023,811

12,09338,34688,86077,411- (Note5)- (Note5)

91,06931,128- (Note5)- (Note5)- (Note5)

Other Revenues (Note 3)(2) Property-related Expenses (thousand yen)

76,79871,532

6,485

5,920

3,495

3,674

30,447

15,223- (Note5)- (Note5)

9,216

5,727

- (Note5)

114,110113,230

5,573

5,920

2,739

2,539

15,331

15,560- (Note5)- (Note5)

9,472

8,947

- (Note5)- (Note5)

10,73010,700

1,201

1,214

1,200

1,200

2,156

2,676

- (Note5)- (Note5)

1,767

1,796

- (Note5)- (Note5)

104,874

104,490

9,316

9,300

4,260

4,266

39,39939,298- (Note5)- (Note5)

11,725

11,696- (Note5)- (Note5)

2,050

2,058

149

151

77

78

358

363

- (Note5)- (Note5)

240

242

- (Note5)- (Note5)

Repair Expenses

71,21047,193

323

1,305

321

26,537

1,167

4,289

- (Note5)- (Note5)

58,6462,688- (Note5)- (Note5)

Other Expenses

120

0

0

0

0

50

0

0

- (Note5)- (Note5)030- (Note5)- (Note5)(3) NOI (=(1)-(2)) (thousand yen)

689,833

728,81462,20562,89538,766

12,627

268,403

312,148

156,720

160,842

84,463

149,751

59,204

66,348Annualized NOI (thousand yen)

1,375,896

1,453,646

124,071

125,446

77,321

25,185535,339622,591

312,583

320,805

168,465

298,683

118,084

132,334

Administrative Expenses
Utility Charges
Property Management Fee
Tax and Public Due
Non-life Insurance Costs(Reference)

NOI Yield (Note 4)
Depreciation and amortization(thousand yen)
Proceeds from Restoration and Repair Work
(thousand yen)
Proceeds from Amortization of Leasehold andSecurity Deposits (thousand yen)

5.0%

5.3%

4.3%

4.3%

4.5%

1.5%

3.8%

4.5%

3.7%

3.9%

2.7%

4.7%

5.0%

5.6%

133,972

135,504

10,383

10,420

4,865

4,822

20,71721,015- (Note5)- (Note5)

26,58527,856- (Note5)- (Note5)

516

434

0

0

0

0

0

0

- (Note5)- (Note5)00- (Note5)- (Note5)

310

0

0

0

0

0

0

0

- (Note5)- (Note5)00- (Note5)- (Note5)(Note 1) Sompo Risk Care Management Inc. has prepared the PML for the 30th fiscal period. The figures entered for PML are the figures in the Portfolio Earthquake PML Assessment Report (December 2020).
(Note 2) For profits from property-related activities, actual results are used and displayed by rounding down to the nearest thousand yen.
(Note 3) Other Revenues includes Proceeds from Restoration and Repair Work and Proceeds from Amortization of Leasehold and Security Deposits.
(Note 4) NOI Yield is calculated by dividing annualized NOI in (3) on the table by the book value.
(Note 5) Not disclosed due to tenant's request.

This document is not material disclosed in compliance with the Financial Instruments and Exchange Act or any regulation of similar nature, nor is it
intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

57

Portfolio Performance Summary (7)Fiscal Period Ended November 2020 (30th FP Results by Property)
Daiwa Shinjuku West

Daiwa Kanda Mikuracho

Daiwa Kandasudacho

Daiwa Kanda East

Daiwa Sasazuka Tower

Daiwa Sasazuka

Daiwa Harumi

Property Name

Acquisition Price (million yen)

942
29th FPBook Value (million yen)

1,592
30th FP

29th FP

2,295

4,200

30th FP

29th FP

30th FP

29th FP

15,50030th FP

29th FP

3,000

30th FP

29th FP

11,20030th FP

29th FP

30th FP

989

988

1,586

1,616

4,249

4,232

2,377

2,377

16,005

15,959

3,180

3,171

11,266

11,233

Appraisal Value (million yen)

1,250

1,250

1,810

1,820

5,700

5,700

2,820

2,820

16,00016,000

3,560

3,570

12,60012,600Occupancy Rate (%)

100.0

100.0

100.0

100.0

100.0

100.0

100.0

97.6

100.0

100.0

95.1

100.0

100.0

100.0

8.28

8.28

6.01
6.01
Best Property

3.86

3.86

PML (%) (Note1)
Property Management Company

Profits from property-related activities(Note 2)

Number of operating days

ITOCHU Urban Community

ITOCHU Urban Community

5.12
5.12
MS Building Support

1.52
1.52
Jones Lang LaSalle

5.90
5.90
Best Property

4.30
4.30
Best Property

183

183

183

183

183

183

183

183

183

183

183

183

183

183

(1) Property-related Revenues (thousand yen)

38,69538,75452,21553,504

142,336

143,884

65,166

69,334

458,842

460,71384,465

93,120243,020

311,082

Rent (incl. common service fees)

38,69538,75452,21553,504

142,336

143,884

65,166

68,343458,842

460,71384,465

93,120243,020

311,082

0

0

0

0

0

0

0

990

0

0

0

0

0

0

9,692

10,068

11,194

21,15731,76830,611

20,651

20,377167,293

216,007

29,116

39,667

81,176125,301

Other Revenues (Note 3)(2) Property-related Expenses (thousand yen)

Administrative Expenses

2,259

2,239

3,799

4,284

10,399

9,797

7,276

7,689

45,95260,9099,460

12,67728,57928,727

Utility Charges

2,497

2,469

2,430

2,403

9,066

7,908

2,690

3,220

54,97849,920

8,066

9,104

26,41524,934

Property Management Fee

1,200

1,200

1,200

1,200

1,426

1,438

1,200

1,200

4,129

4,163

1,290

1,392

1,704

3,073

Tax and Public Due

3,116

3,114

3,545

3,547

10,464

10,440

4,620

4,615

55,28855,532

8,856

8,954

212

27,346

Non-life Insurance Costs
Repair Expenses

49

49

65

66

177

178

83

84

928

933

170

171

531

533

569

995

153

9,655

233

847

4,759

3,556

6,014

44,547

1,272

7,366

3,195

20,145

0

0

0

0

0

0

21

11

0

0

0

0

20,53820,538(3) NOI (=(1)-(2)) (thousand yen)

29,002

28,68541,02032,346

110,567

113,272

44,515

48,956

291,549244,705

55,34853,453

161,843

185,781

Annualized NOI (thousand yen)

57,84657,214

81,81764,516

220,531

225,926

88,787

97,645581,505

488,074

110,395

106,614322,802

370,547

5.8%

5.8%

5.2%

4.0%

5.2%

5.3%

3.7%

4.1%

3.6%

3.1%

3.5%

3.4%

2.9%

3.3%

1,865

2,223

4,322

4,579

18,431

18,486

6,889

6,850

61,687

61,61812,645

12,76235,11635,447

0

0

0

0

0

0

0

980

0

0

0

0

0

0

0

0

0

0

0

0

0

10

0

0

0

0

0

0

Other Expenses(Reference)

NOI Yield (Note 4)
Depreciation and amortization(thousand yen)
Proceeds from Restoration and Repair Work
(thousand yen)
Proceeds from Amortization of Leasehold andSecurity Deposits (thousand yen)

(Note 1) Sompo Risk Care Management Inc. has prepared the PML for the 30th fiscal period. The figures entered for PML are the figures in the Portfolio Earthquake PML Assessment Report (December 2020).
(Note 2) For profits from property-related activities, actual results are used and displayed by rounding down to the nearest thousand yen.
(Note 3) Other Revenues includes Proceeds from Restoration and Repair Work and Proceeds from Amortization of Leasehold and Security Deposits.
(Note 4) NOI Yield is calculated by dividing annualized NOI in (3) on the table by the book value.

This document is not material disclosed in compliance with the Financial Instruments and Exchange Act or any regulation of similar nature, nor is it
intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

58

Portfolio Performance Summary (8)Fiscal Period Ended November 2020 (30th FP Results by Property)
Daiwa Mita 2-Chome

Nihonbashi Central
Square (Note 6)

Development Site (land)(No te7)

Property Name

Acquisition Price (million yen)

Daiwa HigashiIkebukuro

Nihonbashi-Bakurocho 1-Chome

Daiwa Shinagawa North

Daiwa Kamiooka

Daiwa Ogikubo Tower

In
development

2,635
29th FP

3,521

30th FP

29th FP

3,775

30th FP

29th FP

2,958

30th FP

29th FP

7,710

30th FP

29th FP

15,2202,000

30th FP

29th FP

30th FP

29th FP

30th FPBook Value (million yen)

1,593

1,587

3,630

3,622

-

3,813

2,593

2,569

7,057

7,024

1,841

1,823

16,44916,328

Appraisal Value (million yen)

3,980

3,990

3,800

3,800

-

4,010

4,360

4,360

6,350

6,290

2,900

2,900

23,20023,200Occupancy Rate (%)

100.0

100.0

100.0

100.0

-

-

100.0

100.0

100.0

100.0

100.0

100.0

100.0

100.0

PML (%) (Note1)

3.21
3.21
Best Property

5.21
5.21
Xymax Alpha

-

-

3.55
3.55
Best Property

Property Management Company

Profits from property-related activities(Note 2)

Number of operating days
(1) Property-related Revenues (thousand yen)

-

7.19
7.19
Best Property

6.29
6.29
Xymax Alpha

1.18
1.18
Xymax Alpha

183

183

11

183

-

18

183

183

183

183

183

183

183

183

- (Note5)- (Note5)

4,663

90,722-0129,302138,758

202,002

205,028

92,377

93,338658,430

662,323
662,323

Rent (incl. common service fees)- (Note5)- (Note5)

4,663

90,722-0129,302138,758

202,002

204,093

92,377

93,338658,430

Other Revenues (Note 3)- (Note5)- (Note5)

0

0

-

0

0

0

0

935

0

0

0

0

- (Note5)- (Note5)348

10,382-030,822

31,54250,97855,16919,125

19,267

169,135

181,202(2) Property-related Expenses (thousand yen)

Administrative Expenses- (Note5)- (Note5)

249

4,622

-

0

8,977

8,930

14,927

20,728

4,656

4,469

43,83745,149

Utility Charges- (Note5)- (Note5)

12

4,457

-

0

9,394

10,182

11,02911,396

6,625

6,531

67,09856,112

Property Management Fee- (Note5)- (Note5)

78

1,197

-

0

1,950

2,099

3,052

2,977

1,200

1,305

7,244

7,289

Tax and Public Due- (Note5)- (Note5)

0

7

-

0

8,598

8,540

18,96818,832

6,399

6,365

45,08844,982Non-life Insurance Costs- (Note5)- (Note5)

8

88

-

0

252

258

390

395

142

142

1,036

1,040

Repair Expenses- (Note5)- (Note5)

0

0

-

0

1,649

1,532

2,610

839

102

452

3,999

26,248Other Expenses- (Note5)- (Note5)

0

8

-

0

0

0

0

0

0

0

830

380

(3) NOI (=(1)-(2)) (thousand yen)

55,964

79,621

4,314

80,340-098,479107,216

151,024

149,859

73,251

74,071

489,295

481,120

Annualized NOI (thousand yen)

111,622

158,808

143,170

160,241-0

196,421

213,846

301,222

298,899

146,103147,738

975,916

959,612

7.0%

10.0%

3.9%

4.4%

-

0.0%

7.6%

8.3%

4.3%

4.3%

7.9%

8.1%

5.9%

5.9%

- (Note5)- (Note5)

1,402

8,414

-

0

24,69424,94536,56836,68518,084

18,122

129,607

130,809- (Note5)- (Note5)

0

0

-

0

0

0

0

0

0

0

0

0

- (Note5)- (Note5)

0

0

-

0

0

0

0

0

0

0

0

0

(Reference)

NOI Yield (Note 4)
Depreciation and amortization(thousand yen)
Proceeds from Restoration and Repair Work
(thousand yen)
Proceeds from Amortization of Leasehold andSecurity Deposits (thousand yen)

(Note 1) Sompo Risk Care Management Inc. has prepared the PML for the 30th fiscal period. The figures entered for PML are the figures in the Portfolio Earthquake PML Assessment Report (December 2020).
(Note 2) For profits from property-related activities, actual results are used and displayed by rounding down to the nearest thousand yen.
(Note 3) Other Revenues includes Proceeds from Restoration and Repair Work and Proceeds from Amortization of Leasehold and Security Deposits.
(Note 4) NOI Yield is calculated by dividing annualized NOI in (3) on the table by the book value.
(Note 5) Not disclosed due to tenant's request.
(Note 6) Of the rent revenue, the ratio of the Investment Corporation’s ownership interest for revenues (rent, etc.) pertaining to the master lease business is 60.99% based on the agreement, etc. among the compartmentalized co-owners. The
occupancy rate indicates the figure for the area subject to the master lease business.
(Note 7) We are planning the development of office buildings on the property.

This document is not material disclosed in compliance with the Financial Instruments and Exchange Act or any regulation of similar nature, nor is it
intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

59

Portfolio Performance Summary (9)Fiscal Period Ended November 2020 (30th FP Results by Property)
Daiwa Meguro Square

Daiwa Shinagawa
Gotenyama

CONCURRED
Yokohama

Daiwa Ogikubo

Daiwa Nakano-Sakaue

Daiwa Kitahama

Total

Property Name

Acquisition Price (million yen)

5,600
29th FP

3,800

30th FP

29th FP38,10030th FP

29th FP

2,500

30th FP

29th FP

2,750

30th FP

29th FP

9,481

30th FP

29th FP

30th FP463,183

464,878

29th FP

30th FPBook Value (million yen)

5,456

5,432

3,975

3,972

37,93937,843

2,575

2,574

2,855

2,851

9,124

9,074

453,876454,562

Appraisal Value (million yen)

7,270

7,280

4,820

4,820

41,20041,200

2,860

2,880

2,850

2,850

13,30013,300572,090573,850

Occupancy Rate (%)

100.0

100.0

100.0

100.0

98.4

99.7

100.0

100.0

100.0

100.0

100.0

100.0

99.5

98.9

PML (%) (Note1)

1.68
1.68
Xymax Alpha

6.41

6.41

7.07
7.07
Best Property

5.93

5.93

3.48

3.48

1.95

1.94

Property Management Company

Profits from property-related activities(Note 2)

Number of operating days

ITOCHU Urban Community

0.92
0.92
Jones Lang LaSalle

Japan Property Solutions

Japan Property Solutions

183

183

183

183

183

183

183

183

171

183

183

(1) Property-related Revenues (thousand yen)

166,673

172,076

128,662

130,259

1,048,829

1,033,900

73,342

76,07072,001

69,993376,980

183
183
183
407,807 14,257,212 14,513,535

Rent (incl. common service fees)

166,673

172,076

128,662

130,259

1,048,679

1,033,882

73,34274,49772,001

69,993376,980

407,807 14,238,965 14,482,210

0

0

0

0

150

18

0

1,573

0

0

0

0

18,24731,32532,76035,32344,271

32,236

253,559

233,000

40,451

18,274

14,42325,448100,241

99,576

3,699,138

3,866,555

Other Revenues (Note 3)(2) Property-related Expenses (thousand yen)

Administrative Expenses

7,629

10,408

8,133

9,583

52,96254,455

5,219

6,770

7,542

9,857

26,136

21,242840,858

858,917

Utility Charges

8,241

7,969

6,099

5,580

78,86172,710

3,539

3,323

5,240

5,593

31,03534,614935,302915,742

Property Management Fee

2,179

2,237

1,418

1,432

6,178

6,232

1,200

1,212

1,122

1,200

5,890

6,115

157,871

160,581

13,827

13,781

8,205

8,203

57,68457,911

5,514

5,506

10

7,054

34,10934,5281,134,736

1,169,520

Tax and Public Due
Non-life Insurance Costs

200

202

170

171

788

788

105

106

136

146

712

716

19,92319,990

Repair Expenses

682

725

20,244

7,266

56,46640,33624,873

1,355

360

1,584

2,060

2,264

538,920

670,253

0

0

0

0

616

566

0

0

11

12

296

(3) NOI (=(1)-(2)) (thousand yen)

133,913

136,752

84,39098,022795,270

800,899

32,891

57,796

57,57744,545

276,738

96
71,526
71,548308,230 10,558,073 10,646,980

Annualized NOI (thousand yen)

267,094

272,757

168,320

195,510

1,586,195

1,597,423

65,602

115,276

122,899

88,847551,965

614,776 21,050,842 21,150,860

4.9%

5.0%

4.2%

4.9%

4.2%

4.2%

2.5%

4.5%

4.3%

3.1%

6.0%

6.8%

4.6%

4.7%

23,346

23,618

11,686

11,242

114,596

115,305

5,776

5,797

8,421

8,512

56,49856,748

1,838,770

1,827,171

0

0

0

0

0

0

0

0

0

0

0

0

4,956

16,714

0

0

0

0

0

0

0

0

0

0

0

0

310

10

Other Expenses(Reference)

NOI Yield (Note 4)
Depreciation and amortization(thousand yen)
Proceeds from Restoration and Repair Work
(thousand yen)
Proceeds from Amortization of Leasehold andSecurity Deposits (thousand yen)

(Note 1) Sompo Risk Care Management Inc. has prepared the PML for the 30th fiscal period. The figures entered for PML are the figures in the Portfolio Earthquake PML Assessment Report (December 2020).
(Note 2) For profits from property-related activities, actual results are used and displayed by rounding down to the nearest thousand yen.
(Note 3) Other Revenues includes Proceeds from Restoration and Repair Work and Proceeds from Amortization of Leasehold and Security Deposits.
(Note 4) NOI Yield is calculated by dividing annualized NOI in (3) on the table by the book value.
(Note 5) Acquisition price, annualized NOI and NOI yield for the 29th FP do not include Daiwa Jinbocho which was sold in the 29th FP. Acquisition price, annualized NOI, and NOI yield for the 30th FP do not include Daiwa Shimbashi 510 which wassold in the 30th FP. The portfolio total of (2) Property-related Expenses in the table does not include expenses related to an investment corporation.

This document is not material disclosed in compliance with the Financial Instruments and Exchange Act or any regulation of similar nature, nor is it
intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

60

Overview of Asset Management Company (1)Company Overview

Directors(As of January 1, 2021)(As of January 1, 2021)
Company Name

Daiwa Real Estate Asset Management Co., Ltd.

Address

6-2-1 Ginza, Chuo-ku, Tokyo

Established

October 21, 2004

Paid-in Capital

200 million yen

Representative Director

Toshio Fukushima

Board of Directors

Executive directors: 6
Executive auditors: 1
10
Non-executive directors: 1
Non-executive auditors: 2

No. of Employees

124 (excluding dispatched employees)

Registered Financial
Instruments Firm

Registration No. 355 (Financial Instruments),
Director-General, Kanto Local Finance Bureau(Kinsho)

Building Lots and Buildings
Transaction Business License

License No. (4)-83920, Governor of Tokyo

Discretionary Agent for Real
Estate Transaction Approval

License No. 34, Minister of Land, Infrastructure,
Transport and Tourism

Association Membership

Member of The Investment Trusts Association,
Japan
Member of Japan Investment Advisers
Association
Member of Type II Financial Instruments Firms
Association

Chairman of the Board

Akira Yamanouchi

President and Representative Director

Toshio Fukushima

Vice President and Representative Director

Yoshiki Nishigaki

Director

Hajime Imbe

Director

Yuji Shinotsuka

Director

Tatsui Yanagisawa

Director (non-executive)

Satoru Shibasaki

AuditorKazuyoshi Mizukoshi

Auditor (non-executive)

Hiromasa Kawashima

Auditor (non-executive)

Toshiyuki Kato

REITs That Entrust Asset Management
to the Asset Management Company(As of January 1, 2021)
Daiwa Office
Investment Corporation

Listed REIT focusing on office buildings
Asset size: approximately 461.4 billion yen (59 properties)

Daiwa Securities Living
Investment Corporation

Listed residential REIT
Asset size: approximately 322.4 billion yen (225 properties)

Daiwa Residential Private
Investment Corporation

Private REIT focusing on residential properties
Asset size: approximately 132.2 billion yen (86 properties)

Daiwa Hotel Private
Investment Corporation

Private REIT focusing on hotels
Asset size: approximately 54.2 billion yen (13 properties)

Daiwa Securities Logistics
Private Investment
Corporation

Private REIT focusing on logistics facilities
Asset size: approximately 22.5 billion yen (4 properties)

This document is not material disclosed in compliance with the Financial Instruments and Exchange Act or any regulation of similar nature, nor is it
intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

61

Overview of Asset Management Company (2)Organization Chart

Shareholders’ Meeting
Corporate Auditors
Board of Directors
Compliance Committee
Compliance Officer
Investment Committee ** Set up separately for each
investment corporation

President andRepresentative Director
Internal Control OfficeAcquisition and AssetManagement Division

DOI Investment
Management
Department

Origination
Department

Private REIT
Investment
Management
Department

DLI Investment
Management
Department

Private Fund Division

Investment Planning
Department

Construction
Management
Department

Private FundManagement
Department

Corporate Division

REIT Planning
Department

Finance
Department

Administration
Department

Sourcing Team

DOI
Investment TeamDLI
Investment TeamDRP
Investment Team

Infrastructure
Team

Finance Team

Development TeamDOIManagement TeamDLIManagement TeamDHP
Investment TeamManagement Team

Accounting TeamDLI
Portfolio System
Team

DLP
Investment Team

Overseas BusinessPreparation TeamManagement Team

Corporate Planning
Department

Compliance & Risk
Management
Department

DRP
Management TeamDHP
Management TeamDLPManagement Team（As of January 1, 2021）
This document is not material disclosed in compliance with the Financial Instruments and Exchange Act or any regulation of similar nature, nor is it
intended for the purposes of solicitation. Daiwa Office Investment Corporation advises readers to make investment decisions at their own judgment.

62