Seventh Fiscal Period Results(January 1, 2005 – June 30, 2005)

August 2005

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Japan Prime Realty Investment Corporation

This document contains a translation of selected information described in the Financial Report (Kessan Tanshin) dated
August 18, 2005 and prepared under the timely disclosure requirements of the Tokyo Stock Exchange, as well as the
Financial Statements and Performance Information Report written pursuant to the Investment Trust Law of Japan, for theperiod from January 1, 2005 to June 30, 2005 of Japan Prime Realty Investment Corporation (“JPR”).
This English language document was provided solely for the convenience of and reference by non-Japanese investors andis not intended to constitute a disclosure document. The Japanese language Financial Report, Financial Statements andPerformance Information Report for the aforementioned period should be referred to as the originals of this document.
English translations for legal, accounting, tax and business concepts used herein may not convey precisely identicalconcepts of the equivalent Japanese terms. The figures presented in the financial statements and other data including realestate portfolio details may differ from the Company’s Business Reports due to rounding. With respect to any and allterms herein, including without limitation, financial statements, if there exist any discrepancies in the meaning orinterpretation thereof between the original Japanese documents and English documents contained herein, the original
Japanese documents will govern the meaning and interpretation. Neither JPR, Tokyo Realty Investment Management, Inc.
nor any of their respective directors, officers, employees, partners, shareholders, agents or affiliates will be responsible or
liable for the completeness, appropriateness or accuracy of English translations or the selection of the portion(s) of any
document(s) translated into English. No person has been authorized to give any information or make any representations
other than as contained in this document in relation to the matters set out in this document, and if given or made, suchinformation or representation must not be relied upon as having been authorized by JPR, Tokyo Realty Investment
Management, Inc. or any of their respective directors, officers, employees, partners, shareholders, agents or affiliates.
The financial statements of JPR have been prepared in accordance with generally accepted accounting principles in Japan(Japanese GAAP), which may materially differ in certain respects from generally accepted accounting principles in otherjurisdictions.
Many provisions of this document contain information that constitutes forward-looking statements. These
forward-looking statements are not a guarantee of future performance and involve risks and uncertainties, and actual
results may differ materially from those in the forward-looking statements as a result of various factors.
Contact Information:
Tokyo Realty Investment Management, Inc.
Investor Relations Group
Takeshi Maki+813-3516-1606

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Japan Prime Realty Investment Corporation

Japan Prime Realty Investment Corporation is listed on the Tokyo Stock Exchange with the securities code number 8955. (URL
http://www.jpr-reit.co.jp/jpr_e/index.html)
Board of Directors Meeting: August 18, 2005
Payment of Dividends: September 8, 2005 (planned)

PERFORMANCE (January 1, 2005 – June 30, 2005)(1) Business Results(Amounts less than a million yen discarded)(Millions of yen, yen for per unit information)

Operating
Revenues%
ChangeNet
Operating
Profits%
ChangeRecurring
Profits%
ChangeNet Income%
ChangeJune 30, 2005

8,503

(10.6%)

3,954(14.0%)

3,377(17.7%)

3,376(17.7%)

Dec. 31, 2004

7,685

(13.2%)

3,469(13.3%)

2,869(9.7%)

2,868(9.7%)
(Yen)

EPU

Net
Income/NAV<Reference>(Annualized)

Recurring
Profits/Total Assets<Reference>(Annualized)

Recurring Profits/
Operating Revenues

June 30, 2005

6,599

3.2%

(6.5%)

1.6%(3.3%)

39.7%

Dec. 31, 2004

6,671

3.1%

(6.2%)

1.5%(3.0%)

37.3%

Notes: 1. EPU is calculated based on the average number of investment units during the term, as follows
Fiscal period ended Dec. 31, 2004:
430,000 units
Fiscal period ended June 30, 2005:
511,547 units
2. Changes in accounting standards: No
3. Percentages for operating revenues, net operating profits, recurring profits and net income show changes from the previous fiscal period, and are rounded
to the nearest first decimal place
4. Net income/NAV and recurring profits/total assets are calculated based on the average of unitholders’ equity (NAV) and total assets as of the beginning andend of the period
5. Annualized result =For the period ended Dec. 31, 2004:
Actual result/Actual investment days (184 days) x 365 days
For the period ended June 30, 2005:
Actual result/Actual investment days (181 days) x 365 days

(2) Cash Distributions(Millions of yen, yen for DPU)

DPU

Distribution
AmountExceedingProfitDistribution Per
Unit

ExceedingProfitDistribution
AmountDividend
Payout Ratio

Distribution/
NAV

June 30, 2005

6,370

3,376

―

―

100.0%

2.8%

Dec. 31, 2004

6,671

2,868

―

―

99.9%

3.1%

Note: Dividend payout ratio is rounded to the nearest first decimal place.

(3) Financial Position(Millions of yen, yen for NAV per unit)

Total Assets

NAV

NAV Ratio

NAV Per Unit

June 30, 2005

216,574

118,80754.9%

224,165

Dec. 31, 2004

198,673

91,982

46.3%

213,912

Note: Number of units outstanding at the end of the period
Fiscal period ended Dec. 31, 2004:
Fiscal period ended June 30, 2005:

430,000 units
530,000 units

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SEVENTH FISCAL PERIOD HIGHLIGHTS
Market Environment

Office Building Leasing
During the fiscal period ended June 30, 2005, vacancy rates across the nation improved as the spate of
new office buildings coming onto the market came to an end. While the decline in vacancy rates has been
most prominent for large-sized office buildings, positive conditions have extended to medium- andsmall-sized buildings reflecting demand from corporate tenants. In particular, vacancy rates in Tokyo’scentral business districts (CBDs) are approaching a level below 5%, a key benchmark in determining thestatus of the market. In addition, Osaka, Nagoya and Fukuoka are experiencing an improvement invacancy rates. This trend is extending to other major cities, for example in Sapporo, where the vacancy
rate has fallen below 10%. Rents for large-sized buildings tended to bottom out and were particularly
strong (on a contractual basis) for office buildings located in Tokyo’s CBDs. Despite these positive signs,
rents remained weak in regional areas, firmly entrenched in an adjustment phase.

Retail Property Leasing

Since the implementation of the Large-Scale Retail Stores Location Law in 2000, the number of new
construction notifications has progressed smoothly together with the shift toward large-scale retailcomplexes. In the fiscal period under review, major retailers continued their active stance toward new
openings amid an increase in population and a drop in real estate prices in Tokyo’s CBDs and other major
metropolitan areas. In addition, rents were healthy for high-quality commercial districts that attract major
brand shops, flagship shops and other equivalent stores.
Despite lingering difficult conditions in the retail industry due to the prolonged slump in household
consumer spending, continued intense competition and other factors, rents in those locations targeted by
JPR were relatively steady.

Real Estate

During JPR’s seventh fiscal period, the real estate market saw aggressive property acquisitions, primarily
by real estate investment trusts and private funds. From the second half of 2004, intensifying competition
for real estate purchases and the resultant increase in real estate prices became increasingly prominent.
Accordingly, valuation for real estate located in Tokyo’s CBDs has experienced a marked increase. Thisphenomenon has prompted increasing interest in other major cities across Japan, including Osaka,
Nagoya and Fukuoka, where yields for certain properties are now approaching Tokyo’s levels.
Underpinned by a strong capital market, favorable interest rates, and a decrease in expected returns, realestate prices are expected to remain on an upward trend.

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New Acquisitions
Under the circumstances described above, JPR strove to create a stable revenue stream, improve thebalance of its portfolio, and to diversify its asset holdings across categories of geographical location andtype of use. To this end, and based on strict selection criteria, the Company acquired prime officebuildings and retail properties that are expected to generate stable cash flows. In the fiscal period underreview, JPR acquired the Strasse Ichibancho (for an investment of ¥4,200 million), the UFJ Central
Leasing Head Office Building (for an investment of ¥4,130 million), the BYGS Shinjuku Building(increase in co-ownership portion for an investment of ¥8,920 million), the Fukuoka Building (increasein unit ownership for an investment of ¥1,120 million), and the Benetton Shinsaibashi Building (for aninvestment of ¥5,430 million). As a result of these acquisitions, the Company held 42 properties as ofJune 30, 2005, totaling ¥197,650 million on an acquisition basis, with total leasable floor space of
281,408.97 m2 and 459 tenants.

Sales of Properties
In addition to those properties acquired, JPR also undertook to sell a portion of its property holdings.
Based on its “Value Up” strategy, and considerations relating to the development and maintenance of aquality portfolio characterized by efficient and stable cash flows, the Company undertook the sale of theJPR Ikebukuro Building (sales price ¥3,340 million), the JPR Square Hakata East/West Building (sales
price ¥2,920 million), and the JPR Park West Takamatsu Building (sales price ¥840 million).

Property Portfolio Asset Management
Brand Strategy
Consistent with the Company’s efforts to establish a brand strategy, JPR has adopted the A/3S concept,
which emphasizes “Amenities” based on a three “S” platform of “Service, Safety and Saving energy.”
Through its brand strategy, JPR is endeavoring to establish a competitive advantage and to further
distinguish its property holdings from other funds. As part of these efforts, the Company has introduced
security cameras at a number of its buildings, established areas designated for smoking, and worked toeffectively utilize space and common areas. At the same time, JPR has introduced energy-saving air
conditioning systems at the Kawaguchi Center Building with the aim of reducing power consumption.
Occupancy Rate
Amid an improving office building leasing market, JPR undertakes renovations and systematically
implements facility upgrades with the aim of establishing a competitive advantage and further
distinguishing its property holdings. In addition, JPR is actively implementing measures to attract tenants,
increase leased floor space, and cultivate new tenants in response to frequent tenant movements,
prompted by the concentration of office requirements and relocations. As a result, the overall property
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portfolio occupancy rate stood at 95.4% as of June 30, 2005, up 0.3 of a percentage point from the end of
the previous period.

Funds Procurement
In its seventh fiscal period, JPR continued to adopt strategies aimed at ensuring a sound financial positionand enhancing financing capacity. In this context, the Company procured ¥26,310 million from the issueof new investment units. In addition, JPR worked to steadily expand its property portfolio and procured
short-term funds for greater flexibility and long-term funds for improved stability.
As a result of these efforts, the balance of total outstanding debt as of June 30, 2005 stood at ¥41,660
million, with the balance of unsecured corporate bonds totaling ¥42,000 million. In an effort to reduce
exposure to the risk of potential increases in interest rates, 93.8% of total outstanding debt is long-term(fixed rate) debt with a maturity of more than one year and an average maturity of 4.3 years (see Note 1).
Furthermore, the average interest rate during the fiscal period ended June 30, 2005 was 1.3% (see Note 2).
The interest-bearing debt ratio was 42.0% (see Note 3), and the interest-bearing debt to total assets ratio
was 38.6% (see Note 4).
Details of the Company’s corporate bonds and corporate credit ratings are as follows.
Details of Corporate Bonds and Corporate Credit Ratings as of June 30, 2005
Ratings Agency

Standard & Poor’s

Corporate Credit Rating

Corporate Bonds(Bond Issues One through Six)

Long-term: A- (Stable)
Short-term: A-2 (Stable)

A-

Moody’s Investor Services

A3 (Stable)

A3

Rating and Investment Information, Inc.

A+ (Stable)

A+

Notes:
1.

Average maturity of long-term interest-bearing debt, which is interest-bearing debt with a maturity of more than one year, is calculatedusing the weighted average of each debt over the number of years to repayment starting at the end of the fiscal period ended June 30,
2005. The balance of outstanding long-term interest-bearing debt stood at ¥78,460 million as of June 30, 2005.

2.

Average interest rate is the weighted-average interest rate of outstanding debt as of June 30, 2005.

3.

Interest-bearing debt ratio (%) = Interest-bearing debt / (Interest-bearing debt + Total unitholders’ equity) x 100
Total unitholders’ equity was ¥115,430 million as of June 30, 2005.

4.

Interest-bearing debt to total assets ratio (%) = Interest-bearing debt / Period-end total assets x 100
Total assets as of June 30, 2005 were ¥216,570 million.

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FORECASTS FOR EIGHTH FISCAL PERIOD ENDING DECEMBER 31, 2005
(Millions of yen, yen for DPU and exceeding profit distribution per unit)

Operating
Revenues

Net
Operating
Profits

8,174

3,604

Eighth Fiscal
Period Ending
December 31, 2005

Recurring
Profits

Net Income(excluding exceeding profit
distribution per unit)

DPU

Exceeding Profit
Distribution Per
Unit

3,021

5,700

−

3,022

Reference: Estimated EPU for the fiscal period: ¥5,700

The above-mentioned forecasts are based on “Assumptions for the Eighth Fiscal Period Forecast (from July 1,
2005 to December 31, 2005)” as below.
Assumptions for the Eighth Fiscal Period Forecast(July 1, 2005 to December 31, 2005)
Item
Calculation period

Assumption
From July 1, 2005 to December 31, 2005 (184 days)
As of June 30, 2005, the Company owned 42 properties. Assumptions are also based on the planned acquisition of theProperties owned

Tachikawa Business Center Building on September 30, 2005, for a total of 43 properties, and an average month-end occupancy
rate for the period is forecast at 95.0%.
Actual number of new properties acquired and existing properties sold is subject to change.

Investment units issued

Calculations are based on 530,000 investment units issued and outstanding as of June 30, 2005.
Assumptions are based on an interest-bearing debt ratio of 42.0%, unchanged from June 30, 2005.

Interest-bearing debt ratio

The following formula is used to calculate the interest-bearing debt ratio:
Interest-bearing debt ratio = Interest-bearing debt / (Interest-bearing debt + Total unitholders’ equity) x 100
Property taxes and urban planning taxes applicable to the acquisitions of the Strasse Ichibancho, the UFJ Central Leasing Head
Office Building, the Benetton Shinsaibashi Building, the Tachikawa Business Center Building, and additional acquisitions

Operating costs and expenses(increases in ownership) of the BYGS Shinjuku Building and the Fukuoka Building after January 1, 2005 are included in theacquisition prices of each property and are not charged as operating expenses. (However, property taxes and urban planningtaxes charged to the owner on January 1, 2006 are accounted for as operating expenses from the fiscal period ending June 30,
2006.)
Forecasts assume the distribution of an amount of net income available for distribution, divided by total units outstanding andCash distributions

limited to the amount of unappropriated profits. Amounts less than ¥1 are discarded. Forecasts also assume that there will be
no distribution in excess of profit, in accordance with corporate policy.

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REFERENCE: FORECASTS FOR THE NINTH FISCAL PERIOD ENDING JUNE 30, 2006
Forecasts for the ninth fiscal period ending June 30, 2006 are based on the assumption JPR shall acquire the
Cupo-la Main Building (1-1 Kawaguchi Redevelopment Project) at the end of March 2006, an averagemonth-end occupancy rate of 96.3%, and the premise that “Assumptions for the Eighth Fiscal Period Forecast”
will carry through for the duration of the ninth fiscal period. Forecasts for the ninth fiscal period are as follows.
(Millions of yen, yen for DPU and exceeding profit distribution per unit)

Ninth Fiscal PeriodEnding June 30,
2006

Operating
Revenues

Net
Operating
Profits

8,308

3,648

Recurring
Profits

3,128

Net Income(excluding exceeding profit
distribution per unit)

DPU

Exceeding Profit
Distribution Per
Unit

3,127

5,900

−

The aforementioned forecasts are based on assumptions and information available to management as of thedate of this report. As a result, actual net income and distributions will be subject to changes in market
conditions. Accordingly, the forecasts do not guarantee any cash distribution amounts.

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Balance Sheets (as of June 30, 2005 and December 31, 2004)
Assets(Yen in Thousands)
Item

End of Seventh Period(as of June 30, 2005)

End of Sixth Period(as of December 31,
2004)

6,980,692
13,323,433
191,262
88,256670
51,772
3,446
20,639,534

5,243,711
13,535,018
158,642
131,63031―
420,401
19,489,436

5.9%

9,651,597
71,539,976
2,763
58,561
79,3151,305,930
8,416
34,727
19,967,713
100,430,869
2,060
1,050
(7,307,244)
195,775,737

5,585,912
70,859,636
2,763
32,95155,081
1,235,628
289
15,6339,510,751
97,804,383
4,250
3,213
(6,128,729)
178,981,765

9.4%

3,335
3,335

3,744
3,744

(10.9%)

10,1001,675
25012,025

10,1003,051―
13,151(8.6%)

195,791,098

178,998,660

9.4%

143,377

185,490

143,377

185,490(22.7%)

216,574,010

198,673,587

9.0%

Current Assets:
Cash and bank deposits
Entrusted cash and deposits
Rental receivables
Prepaid expenses
Deferred tax assets
Consumption tax refundable
Other current assets
Total Current Assets
Fixed Assets:
Property and equipment:
Buildings
Entrusted buildings
Structures
Entrusted structures
Machinery and equipment
Entrusted machinery and equipment
Tools, furniture and fixtures
Entrusted tools, furniture and fixtures
Land
Entrusted land
Construction in progress
Entrusted construction in progress
Less: accumulated depreciation
Total Property and Equipment
Intangible Assets:
Other intangible assets
Total Intangible Assets
Investments and Other Assets:
Deposits
Long-term prepaid expenses
Other
Total Investments and Other Assets
Total Fixed Assets% Change

Deferred Assets:
Corporate bond issuance costs
Total Deferred Assets
Total Assets

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Balance Sheets (as of June 30, 2005 and December 31, 2004)
Liabilities(Yen in Thousands)
End of Seventh PeriodItem(as of June 30, 2005)

End of Sixth Period(as of December 31,% Change

2004)

Current Liabilities:
900,821793,746

5,200,000

21,100,000

Other accounts payable

435,198

449,144

Accrued expenses

161,014

182,659

1,598

975

―

37,940850,132

812,366

7,548,765

23,376,834

Corporate bonds

42,000,000

42,000,000

Long-term debt

36,466,000

29,966,000

Leasehold and security deposits received

1,991,341

1,241,283

9,760,259

10,107,066

Total Long-Term Liabilities

90,217,601

83,314,350

8.3%

Total Liabilities

97,766,366

106,691,185(8.4%)

115,431,503

89,113,803

Retained earnings

3,376,139

2,868,599

Total Unitholders’ Equity

118,807,643

91,982,402

29.2%

Total Liabilities and Unitholders’ Equity

216,574,010

198,673,587

9.0%

Trade accounts payable
Short-term debt

Accrued income taxes
Accrued consumption taxes
Rent received in advance
Total Current Liabilities(67.7%)

Long-Term Liabilities:

Entrusted leasehold and security deposits
received

Unitholders’ Equity:
Unitholders’ capital
5,000,000 units authorized
530,000 and 430,000 units issued and outstandingat June 30, 2005 and at December 31, 2004,
respectively

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Statements of Income and Retained Earnings (January 1, 2005 – June 30, 2005 and July 1, 2004 –December 31, 2004)(Yen in Thousands)
Seventh Fiscal Period

Item

Operating Revenues
Real estate rental revenues
Gain on sale of real estate
Operating Expenses
Real estate rental expenses
Loss on sale of real estate
Asset management fees
Administrative service and custodian fees
Directors’ fees
Trust fees
Other operating expenses
Operating Profits
Non-Operating Revenues
Interest income
Income on settlement of management
association accounts
Other non-operating revenues
Non-Operating Expenses
Interest expense
Loan arrangement fees
Interest expense on corporate bonds
Amortization of corporate bond issuance costs
New unit-issuance costs
Other non-operating expenses
Recurring Profits
Income Before Income Taxes
Income taxes
Deferred taxes
Net Income
Retained Earnings Brought Forward
Retained Earnings at End of Period

11

Sixth Fiscal Period(January 1, 2005 –June 30, 2005)
8,503,222
7,801,176
702,0464,548,529
3,768,567
235,239
337,264
86,666
5,700
52,69062,401
3,954,693
91,223
148
77,278
13,796(July 1, 2004 –Dec. 31, 2004)
7,685,733
7,685,733―
4,216,528
3,672,910―
317,710
65,6785,700
50,222
104,306
3,469,204
13,873117―
13,755

668,857
245,541
18,299278,620
42,11365,46918,812
3,377,059
3,377,059
1,627
(638)
3,376,070
69
3,376,139

613,522
319,171
40,163
190,870
42,113―
21,2022,869,556
2,869,556
999
9
2,868,547
51
2,868,599%Change

10.6%

7.9%

14.0%
557.5%

9.0%

17.7%
17.7%

17.7%
33.9%
17.7%

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Statements of Cash Flows (January 1, 2005 – June 30, 2005 and July 1, 2004 – December 31, 2004)

Seventh Fiscal Period(January 1, 2005 –June 30, 2005)(Yen in Thousands)
Sixth Fiscal Period(July 1, 2004 –Dec. 31, 2004)

Cash Flows from Operating Activities:
Income before income taxes
Depreciation
Amortization of corporate bond issuance costs
Interest income
Interest expense
Increase in rent receivables
Increase (Decrease) in consumption tax refundable
Increase in prepaid expenses
Increase (Decrease) in trade accounts payable
Decrease (Increase) in other accounts payable
Decrease (Increase) in accrued consumption taxes
Increase in rent received in advance
Decrease in entrusted fixed properties due to sale
Change in other current assets/liabilities
SubtotalInterest received
Interest paid
Income taxes paid
Net cash provided by operating activities

3,377,059
1,444,282
42,113(148)
524,161(32,620)(51,772)
43,374
107,075(13,668)(37,940)
37,765
6,503,192
418,489
12,361,363
148(545,806)(1,005)
11,814,700

2,869,556
1,391,662
42,113(117)
510,042(10,063)
372,947
16,928(96,576)
102,063
37,94045,873―(359,129)
4,923,239
117(467,377)(953)
4,455,027

Cash Flows from Investing Activities:
Purchases of property and equipment
Purchases of entrusted property and equipment
Purchases of intangible assets
Payment of leasehold and security deposits received
Proceeds from leasehold and security deposits received
Payment of entrusted leasehold and security deposits received
Proceeds from entrusted leasehold and security deposits received
Net cash used in investing activities(14,552,818)(10,188,629)―(67,254)
817,312(836,570)
489,763(24,338,196)(6,015,462)(10,973,897)(4,084)(158,769)
498,529(655,840)
456,172(16,853,352)

Cash Flows from Financing Activities:
Proceeds from short-term debt
Repayment of short-term debt
Proceeds from long-term debt
Proceeds from corporate bonds
Payments of corporate bond issuance costs
Proceeds from issuance of units
Distributions to unitholders
Net cash provided by financing activities
Net change in cash and cash equivalents
Cash and cash equivalents at beginning of period
Cash and cash equivalents at end of period

5,200,000(21,100,000)
6,500,000――
26,317,700(2,868,807)
14,048,892
1,525,396
18,778,729
20,304,126

34,300,000(38,400,000)―
20,000,000(102,211)―(2,620,670)
13,177,117
778,791
17,999,938
18,778,729

Item

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Subsequent Events
Seventh Fiscal Period (January 1, 2005 – June 30, 2005)
There were no subsequent events of a material nature.

Sixth Fiscal Period (July 1, 2004 – Dec. 31, 2004)<Primary Offering for the Issue of New Investment Units>
Payment in connection with new investment units, the issue
and pricing of which were approved at Board of Directors
meetings held on January 13, 2005 and January 24, 2005,
respectively, was completed on February 1, 2005, terms andconditions briefly as follows. As a result, unitholders’ capital
totaled ¥114,115,618,600, while the number of investment
units issued and outstanding was 525,000 as of February 2,
2005.
Number of new investment
95,000units issued:
Purchase (public offering)
price:¥272,440 per investment unit

Gross proceeds:¥25,881,800,000

Purchase(underwriting)price:¥263,177 per investment unit

Gross proceeds:¥25,001,815,000

Payment date:February 1, 2005

Delivery date:February 2, 2005

Starting date of computation
for cash distribution:

January 1, 2005

<Secondary Offering (Over-Allotment Option) ― the“Greenshoe Option” by way of Third-Party Allotment>
JPR

resolved

toundertakeasecondaryoffering(over-allotment option) by way of third-party allotment at
Board of Directors meetings held on January 13, 2005 andJanuary 24, 2005, brief details as follows. JPR also proved the
granting of an option (the “Greenshoe Option”) by way ofthird-party allotment to Mizuho Securities Co., Ltd. The
greenshoe option may be exercised by no later than February
25, 2005.

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Number of investment units
to be issued:

5,000 (maximum)

Purchase price:¥263,177 per investment unit

Gross proceeds:¥1,315,885,000 (maximum)

Third-party allottee:

Mizuho Securities Co., Ltd.

Payment date:

March 1, 2005

Delivery date:

March 2, 2005

Starting date of computation
for cash distribution:

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Reference
１. Acquisitions
Tachikawa Business Center Building
Location

2-38-5, Akebono-cho, Tachikawa-shi, Tokyo

Type of Ownership

Co-ownership of land; Unit ownership of building

Total Site Area

2,047.22 m2 (JPR’s portion: 346.53 m2)

Total Floor Area

14,706.36 m2 (JPR’s portion: 1,746.58 m2)

Type of Structure

RC, SRC B1/12F

Completion

December 1994

Number of Tenants

4

Total Leasable Floor Space

1,747.13 m2

Total Leased Floor Space

1,747.13 m2

Occupancy Rate

100%

Acquisition Price¥888 million

Type of Asset

Beneficiary interest

Contract Date

August 9, 2005 (Planned acquisition date: September 30, 2005)

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R e a l e s ta te p o rtfo lio a fte r p ro p e rty a cq u is itio n (a s o f J u n e 3 0 , 2 0 0 5 )
Area

Tokyo
CBDs

OfficeKanem atsu Bldg.

Chuo-ku, Tokyo

Dec. 2001

16,2768.2 %12,700

OfficeKanem atsu Bldg. Annex

Chuo-ku, Tokyo

Dec. 2001

2,874

1.5 %

2,560

OfficeJPR Ningyo-cho Bldg.

Chuo-ku, Tokyo

Nov. 2001

2,100

1.1 %

1,960

OfficeShin-Kojim achi Bldg.

Chiyoda-ku, Tokyo

Nov. 2001〜Nov. 2004

2,420

1.2 %

2,420

OfficeJPR Crest Takebashi Bldg.

Chiyoda-ku, Tokyo

Jun. 2002

4,000

2.0 %

3,360

OfficeMS Shibaura Bldg.

Minato-ku, Tokyo

Mar. 2003

11,2005.7 %12,400

OfficeGotanda First Bldg.

Shinagawa-ku, Tokyo

Jul. 2003

2,920

1.5 %

2,990

OfficeFukuoka Bldg.

Chuo-ku, Tokyo

Oct. 2003
Apr. 2005

1,800
1,120

1.5 %

2,900

OfficeJPR Ichigaya Bldg.

Chiyoda-ku, Tokyo

May 2004

5,100

2.6 %

5,250

OfficeOval Court Ohsaki Mark W est

Shinagawa-ku, Tokyo

Jun. 2004

3,500

1.8 %

4,130

Acquired

Location% of Total

OfficeShinjuku Square Tower

Shinjuku-ku, Tokyo

Jul. 2004

10,000

5.1 %

8,840

OfficeBYGS Shinjuku Bldg.

Shinjuku-ku, Tokyo

Nov. 2004
Apr. 2005

2,900
8,921

1.5 %

11,900

OfficeAcross Shinkawa Bldg. Annex

Chuo-ku, Tokyo

Nov. 2004

710

0.4 %

735

RetailJPR Shibuya Tower Records Bldg.

Shibuya-ku, Tokyo

Jun. 2003

12,0006.1 %13,400

Shibuya-ku, Tokyo

Oct. 2004* JPR Daikanyam a
S u b t ot a l

2,160

1.1 %

1,920

90,00145.5 %

87,465

OfficeArca East

Sum ida-ku, Tokyo

Nov. 2001

5,880

3.0 %

5,300

OfficeJPR Chiba Bldg.

Chiba, Chiba

Dec. 2001

2,350

1.2 %

2,020

OfficeJPR Yokoham a Nihon Odori Bldg.

Yokoham a, Kanagawa

Nov. 2001

2,927

1.5 %

2,420

OfficeShinyokoham a 2nd Center Bldg.

Yokoham a, Kanagawa

Sep. 2002

920

0.5 %

1,020

OfficeKawaguchi Center Bldg.

Kawaguchi, Saitam a

Feb. 2004

8,100

4.1 %

8,990

OfficeJPR Ueno East Bldg.

Taito-ku, Tokyo

Mar. 2004

3,250

1.6 %

3,460

RetailTanashi ASTA

Nishitokyo, Tokyo

Nov. 2001

10,2005.2 %10,900RetailTsurum i fuga 1

Yokoham a, Kanagawa

Nov. 2001

S u b t ot a l

OfficeOther
CitiesAppraisal Valueas of Jun. 30, 2005
(yen in m illions)

Property Nam e

RetailGreaterTokyo

Acquisition Price(yen in m illions)Type

Niigata Ekinan Center Bldg.

N ov. 2001

Niigata, N iigata

3,040

1.5 %

3,300

36,66718.6 %

37,410

2,140

1.1 %

2,100
8,670

OfficeMeiji Yasuda Life Osaka Um eda Bldg.

Osaka, Osaka

Dec. 2001

8,300

4.2 %

OfficeTokyo Tatem ono Honm achi Bldg.

Osaka, Osaka

N ov. 2001

4,150

2.1 %

3,990

OfficeJPR Takam atsu Bldg.

Takam atsu, Kagawa

Dec. 2001

2,130

1.1 %

1,360

OfficeJPR Hakata Bldg.

Fukuoka, Fukuoka

N ov. 2001

2,900

1.5 %

2,730

OfficeJPR Naha Bldg.

Naha, Okinawa

N ov. 2001

1,560

0.8 %

1,530

OfficeNorth 33 Bldg.

Sapporo, Hokkaido

Jun. 2002

3,700

1.9 %

2,860

OfficePark East Sapporo

Sapporo, Hokkaido

Jun. 2002

2,150

1.1 %

1,720

OfficeSom po Japan Sendai Bldg.

Sendai, Miyagi

Jun. 2002

3,150

1.6 %

3,290

OfficeSom po Japan Wakayam a Bldg.

W akayam a, Wakayam aJun. 2002

1,670

0.8 %

1,680

OfficeTenjin 121 Bldg.

Fukuoka, Fukuoka

Jun. 2002

2,810

1.4 %

2,560

OfficeSK Hiroshim a Bldg.

Hiroshim a, Hiroshim aOct. 2002

947

0.5 %

840

OfficeJPR Nagoya Sakae Bldg.

Nagoya, Aichi

Sep. 2003

4,550

2.3 %

4,790

OfficeDojim a F Bldg.

Osaka, Osaka

Jan. 2004

2,140

1.1 %

2,130

OfficeSem ba Fukuoka Bldg.

Fukuoka, Fukuoka

Jun. 2004

1,920

1.0 %

1,960

OfficeUFJ Central Leasing Head Office Bldg.

Nagoya, Aichi

Mar. 2005

4,137

2.1 %

3,970

RetailJPR Um eda Loft Bldg.

Osaka, OsakaMay 2003〜Jul.2003

13,0006.6 %12,000Retail

Shtrasse Ichibancho

Sendai, Miyagi

Feb. 2005

4,200

2.1 %

3,820

RetailBenetton Shinsaibashi Bldg.

Osaka, OsakaMay 2005

5,430

2.7 %

5,030

S u b t ot a l

70,98435.9 %

67,030T ot a l

197,652

100.0 %

191,905* Note: The JPR Daikanyama was changed its name from the SS Daikanyama on August 1, 2005.

16

CONSOLIDATED

Japan Prime Realty Investment Corporation
R e a l e s ta te p o rtfo lio a fte r p ro p e rty a cq u is itio n (a s o f J u n e 3 0 , 2 0 0 5 )
Area

Tokyo
CBDs

Greater
Tokyo

Type

Property Nam e# of Tenants

Occupancy

Rental Revenue(yen in thousands)% of Total

OfficeKanem atsu Bldg.

7,976.30 ㎡

1097.5 %

422,597

5.4 %OfficeKanem atsu Bldg. Annex

2,291.13 ㎡

1

100.0 %

102,465

1.3 %OfficeJPR Ningyo-cho Bldg.

2,788.98 ㎡

4

100.0 %

98,667

1.3 %OfficeShin-Kojim achi Bldg.

3,319.33 ㎡

11100.0 %

110,894

1.4 %OfficeJPR Crest Takebashi Bldg.

3,265.34 ㎡

9100.0 %

128,990

1.7 %OfficeMS Shibaura Bldg.

14,429.09 ㎡

7

100.0 %

517,868

6.6 %OfficeGotanda First Bldg.

4,243.58 ㎡

2

100.0 %

133,531

1.7 %OfficeFukuoka Bldg.

1,937.40 ㎡

2

100.0 %

80,7391.0 %OfficeJPR Ichigaya Bldg.

4,181.66 ㎡

9100.0 %

182,359

2.3 %OfficeOval Court Ohsaki Mark West4,088.44 ㎡

2

100.0 %

144,791

1.9 %OfficeShinjuku Square Tower

10,982.03 ㎡

1784.4 %

253,066

3.2 %OfficeBYGS Shinjuku Bldg.

11,363.35 ㎡

21

81.6 %

271,661

3.5 %OfficeAcross Shinkawa Bldg. Annex

1,253.39 ㎡

4

100.0 %

45,9220.6 %RetailJPR Shibuya Tower Records Bldg.

8,076.85 ㎡

1

100.0 %

345,576

4.4 %RetailJPR Daikanyam a653.99 ㎡

1

100.0 %

52,2050.7 %S u b t ot a l

80,850.86 ㎡

101

95 . 0 %2, 8 91 , 33 7

37.1 %

OfficeArca East

7,050.10 ㎡

4

70.7 %

147,540

1.9 %OfficeJPR Chiba Bldg.

5,562.97 ㎡

28

93.4 %

146,012

1.9 %OfficeJPR Yokoham a Nihon Odori Bldg.

6,082.25 ㎡

11

97.3 %

134,189

1.7 %OfficeJPR Ikegukuro Bldg.

−

−

−

39,156

0.5 %OfficeShinyokoham a 2nd Center Bldg.

2,640.86 ㎡

1188.0 %

68,8900.9 %OfficeKawaguchi Center Bldg.

15,478.43 ㎡

38

99.5 %

494,682

6.3 %OfficeJPR Ueno East Bldg.

6,512.45 ㎡

9100.0 %

170,233

2.2 %RetailTanashi ASTA

31,121.71 ㎡

1

100.0 %

596,400

7.6 %RetailTsurum i fuga 1

9,578.60 ㎡

1

100.0 %

145,200

1.9 %

84,027.37 ㎡

103

96 . 5 %1, 9 42 , 30 6

24.9 %

S u b t ot a l

Other
Cities

Leasable Area

OfficeN iigata Ekinan Center Bldg.

5,206.82 ㎡

14

100.0 %

131,215

1.7 %OfficeMeiji Yasuda Life Osaka U m eda Bldg.

9,600.63 ㎡

23

95.9 %

342,678

4.4 %OfficeTokyo Tatem ono Honm achi Bldg.

7,210.25 ㎡

10

98.6 %

244,846

3.1 %OfficeJPR Park West Takam atsu

−

−

−

19,4590.2 %OfficeJPR Takam atsu Bldg.

5,023.53 ㎡

28

91.2 %

97,372

1.2 %OfficeJPR Hakata Bldg.

6,581.15 ㎡

26

89.6 %

153,281

2.0 %OfficeJPR Square Hakata East/West

−

−

−

60,3130.8 %OfficeJPR Naha Bldg.

3,947.69 ㎡

1484.6 %

98,497

1.3 %OfficeN orth 33 Bldg.

6,642.98 ㎡

24

98.0 %

169,958

2.2 %OfficePark East Sapporo

7,655.89 ㎡

2289.4 %

127,816

1.6 %OfficeSom po Japan Sendai Bldg.

7,107.40 ㎡

1191.0 %

174,349

2.2 %OfficeSom po Japan Wakayam a Bldg.

4,891.36 ㎡

15

88.5 %

115,637

1.5 %OfficeTenjin 121 Bldg.

3,292.02 ㎡

13

96.6 %

116,167

1.5 %OfficeSK Hiroshim a Bldg.

2,742.22 ㎡

1785.9 %

52,1140.7 %OfficeJPR Nagoya Sakae Bldg.

5,461.90 ㎡

20

100.0 %

219,372

2.8 %OfficeDojim a F Bldg.

3,941.40 ㎡

9

84.9 %

117,664

1.5 %OfficeSem ba Fukuoka Bldg.

3,349.57 ㎡

5

87.5 %

92,5491.2 %OfficeU FJ Central Leasing Head Office Bldg.

7,123.07 ㎡

1

100.0 %

104,679

1.3 %RetailJPR Um eda Loft Bldg.

18,586.97 ㎡

1

100.0 %

402,412

5.2 %Retail

Shtrasse Ichibancho

2,861.91 ㎡

1

100.0 %

104,697

1.3 %RetailBenetton Shinsaibashi Bldg.

*

5,303.98 ㎡

1

100.0 %N/A

S u b t ot a l

1 1 6, 5 30 . 74 ㎡

255

94.9 %

2 , 96 7 , 5 3 338.0 %

T ot a l

2 8 1, 4 08 . 97 ㎡

459

95.4 %

7 , 80 1 , 1 7 6

100.0 %

N/A

* Note: The entire Benetton Shinsaibashi Building is leased to a single tenant. JPR was unable to obtain the tenant's approval to disclosure of rental
information. Accordingly, rental informaton for the Benetton Shinsaibashi Buildings have not been disclosed.

17

CONSOLIDATED