Creating peace of mind through honest and committed management.

[Provisional Translation Only]
This English translation of the original Japanese document is provided solely for information purposes.
Should there be any discrepancies between this translation and the Japanese original, the latter shall prevail.

August 26, 2013
REIT Issuer
Ichigo Real Estate Investment Corporation (8975)
1-1-1, Uchisaiwaicho, Chiyoda-ku, Tokyo
Representative: Yoshihiro Takatsuka, Executive Director
Asset Management Company
Ichigo Real Estate Investment Advisors Co., Ltd.
Representative: Wataru Orii, President & Representative Statutory Executive Officer
Inquiries: Minoru Ishihara, Executive Vice President & Statutory Executive Officer
Tel: 03-3502-4891

Sale of Portfolio Asset
Ichigo Real Estate Investment Corporation (“Ichigo REIT”) has decided to sell the following
portfolio asset, per the below.
1. Sale Summary
O-30 Ibaraki Kowa Building
Legal Form of Asset
Acquisition Date (Ichigo REIT merger)(Original acquisition date)
Sale PriceBook Value
Difference between Sale Price andBook ValueContract Date
Settlement Date (expected)
Settlement Method

Trust beneficiary rights in real estate (juekiken)
November 1, 2011
(March 17, 2006)
827,500,000 yen (excluding fixed asset tax, city
planning tax, consumption tax, etc.)
639,168,895 yen (estimated as of July 31, 2013)+188,331,105 yen
August 26, 2013
September 4, 2013
Assignment of trust beneficiary rights

2. Reason for the Sale
Ichigo REIT seeks to contribute to a sustainable society by preserving and adding value tohigh-quality real estate assets. In the past year, Ichigo REIT has added substantial value to thisbuilding via a major structural retrofit to improve its earthquake resistance and a targeted tenantleasing program to increase occupancy from 74% to 100%. The sale will therefore generate anearly 30% capital gain for Ichigo REIT’s shareholders. After loan repayment, Ichigo REIT
believes there is an opportunity to recycle and reinvest the sales proceeds to drive increased
shareholder returns.

1

3. Use of Funds
Sale proceeds will be used for both loan repayment and activities to drive increased shareholder
returns, such as additional value-add asset purchases.

4. Summary of Asset
O-30 Ibaraki Kowa Building
Legal Form of Asset
Location
Property Right
SizeLandZoningCoverage Ratio /Floor Area Ratio
Property Right
Use
Building
Structure
Total Floor AreaConstruction Date
Number of Tenants
Monthly Rent
Tenant Security Deposits
Leasable Space
Leased Space
Occupancy
Acquisition PriceAppraiser
Appraisal
Date
Value

Trust beneficiary rights in real estate (juekiken)
7-1, Eidaicho, Ibaraki, Osaka
Ownership (fee simple)
608.78 m2
Commercial, Neighborhood Commercial
80%/600%, 80%/300%
Ownership (fee simple)
Retail, Office
S/SRC B1F/9F
3,111.78 m2December 11, 1969
7 (as of July 31, 2013)
7,940,000 yen (as of July 31, 2013)
49,736,000 yen (as of July 31, 2013)
2,186.40 m2 (as of July 31, 2013)
2,186.40 m2 (as of July 31, 2013)
100% (as of July 31, 2013)
604,000,000 yen
Daiwa Real Estate Appraisal Co., Ltd.
April 30, 2013
651,000,000 yen

5. Buyer Profile
Name
Address
Representative
Principal Businesses
CapitalRelationship with Ichigo REIT
or Asset Management Company

Lilac Co., Ltd.
1-12-30, Nishikujo, Konohana-ku, Osaka
Yuban Aoki, Representative Director
Real Estate10,000,000 yen
The Seller does not have any capital, personnel, orbusiness relationship and is not a related party as defined in
the Enforcement Ordinance of the Investment Trust andInvestment Corporation Law as well as the internal rules ofthe Asset Management Company.

26. Broker Profiles
Name
Address
Representative
Principal Businesses
CapitalRelationship with Ichigo REIT
or Asset Management Company
Brokerage Fee
Name
Address
Representative
CapitalPrincipal Businesses

Relationship with Ichigo REIT
or Asset Management Company

Brokerage Fee

Resona Bank, Limited
2-2-1, Bingocho, Chuo-ku, OsakaKazuhiro Higashi, President & Representative ExecutiveOfficer
Banking and Trust Services
279,900,000,000 yen
The Seller does not have any capital, personnel, orbusiness relationship and is not a related party as defined in
the Enforcement Ordinance of the Investment Trust andInvestment Corporation Law as well as the internal rules of
the Asset Management Company.
N/A (broker’s consent was not provided)
Ichigo Estate Co., Ltd. (“IES”)
The Imperial Hotel Tower,
1-1-1, Uchisaiwaicho, Chiyoda-ku, Tokyo
Takuma Hasegawa, President & Representative Director
500,000,000 yen
Real Estate Solutions Business Focused on Small-Sized
Assets and Ground Leases
IES and the Asset Management Company are subsidiariesof Ichigo Group Holdings Co., Ltd. In addition, Ichigo
REIT, IES, and the Asset Management Company are
signatories of a Support Agreement.
The acquisition process has followed the internal rules ofthe Asset Management Company, because IES is a related
party as defined in the Enforcement Ordinance of theInvestment Trust and Investment Corporation Law as wellas the internal rules of the Asset Management Company.
8,275,000 yen (excluding consumption tax, etc.)

7. Future Outlook
The sale will increase earnings in this fiscal period ending October 2013. Per the above,
because Ichigo REIT believes there is an opportunity to recycle and reinvest the sales proceeds
in other activities to drive increased shareholder returns, including additional value-add asset
purchases, it is not amending its dividend forecast.

3Portfolio Reference Information
1. Post-Sale Portfolio Summary

Occupancy (as of July 31, 2013)
Average Building Age(as of September 4, 2013)
Diversification by Area –Tokyo Metropolitan Area/OtherAreas (as of September 4, 2013)

Before Sale (A)After Sale (B)

94.9%

94.8%

Difference
(B-A)
-0.1%

20.8 years

19.8 years-1.0 years

75.1% / 24.9%

75.5% / 24.5%+0.4% / -0.4%(Note) “Tokyo Metropolitan Area” refers to “Central Tokyo” and “Tokyo Metropolitan Area.”“Other Areas” refers to “Four Major Regional Cities” and “Other Regional Cities.”
2. Post-Sale Portfolio Assets

No.

Property

Area

O-01
O-02
O-03
O-04
O-05
O-06
O-07
O-08
O-09
O-10
O-11
O-12
O-13
O-14
O-15
O-16
O-17
O-18
O-19
O-20
O-21
O-22
O-23
O-24
O-25
O-26
O-27
O-28
O-29

COI Shinbashi Building
COI Nishisando Building
MTC Building
COI Nanpeidai Building
Joware Hanzomon
COI Hijirizaka Building
COI Shibuya Kamiyamacho Building
COI Akasaka 5 Chome Building
COI Shibazonobashi Building
COI Ebisu Nishi Building
COI Ginza 612
COI Uchikanda Building
COI Kudan-Minami Building
COI Yotsuya 4 Chome Building
COI Akasaka Tameike Building
DSM Jimbocho Building
DSM Nihonbashi Kakigaracho Building
COI Kudan 2 Chome Building
COI Kudan 3 Chome Building
COI Gotanda Building
Benex S-2
COI Minami-Ikebukuro Building
Technos Nakano Building
COI Eitai Building
COI Yokosuka Bayside Building
Chitose Building
Route Ikebukuro Building
Nishi-Gotanda Access
TK Kichijoji Building

Central Tokyo
Central Tokyo
Central Tokyo
Central Tokyo
Central Tokyo
Central Tokyo
Central Tokyo
Central Tokyo
Central Tokyo
Central Tokyo
Central Tokyo
Central Tokyo
Central Tokyo
Central Tokyo
Central Tokyo
Central Tokyo
Central Tokyo
Central Tokyo
Central Tokyo
Central Tokyo
Tokyo Metropolitan Area
Tokyo Metropolitan Area
Tokyo Metropolitan Area
Tokyo Metropolitan Area
Tokyo Metropolitan Area
Tokyo Metropolitan Area
Tokyo Metropolitan Area
Central Tokyo
Tokyo Metropolitan Area

4Acquisition% ofPricePortfolio(mm yen)
6,110
3,2542,740
1,920
1,550
1,200
1,505
735
1,100
1,917
1,773
1,140
387
550
580
1,820
1,150
763
844
5,060
1,816
1,460
764
1,490
971
2,030
639
765
2,160

5.44%
2.90%
2.44%
1.71%
1.38%
1.07%
1.34%
0.65%
0.98%
1.71%
1.58%
1.01%
0.34%
0.49%
0.52%
1.62%
1.02%
0.68%
0.75%
4.50%
1.62%
1.30%
0.68%
1.33%
0.86%
1.81%
0.57%
0.68%
1.92%

O-33
O-34
O-35
O-37
O-38
O-39
O-40
O-42
O-44
O-46
O-47
O-46
R-01
R-02
R-03
R-04
R-05R-06
R-07
R-08
R-09
R-10
R-11
R-12
R-13
R-14
R-15
R-16
R-17
R-18
Z-01
Z-02
Z-03
Z-04
Z-05
Z-06
Z-07
Z-08
Z-09

COI Mei-Eki Building
COI Nagoya Plaza Building
COI Sendai Chuo Building
CRD Marunouchi
Toyamaeki Nishi Building
Daihyaku Mirai-Shinkin Building
Kearney Place Saga
COI Takamatsu Building
Akita Sanno 21 Building
M’s SQUARE
Ichigo Akihabara North Building
Ichigo Sakaisuji Honmachi Building

Four Major Regional Cities
Four Major Regional Cities
Other Regional Cities
Four Major Regional Cities
Other Regional Cities
Other Regional Cities
Other Regional Cities
Other Regional Cities
Other Regional Cities
Central Tokyo
Central Tokyo
Four Major Regional Cities
Subtotal - Office (41 Properties)
ForeCity Roppongi
Central Tokyo
ForeCity Azabujuban
Central Tokyo
ForeCity Azabujuban No.2
Central Tokyo
Bureau Takanawadai
Central Tokyo
ForeCity Shirokanedai
Central Tokyo
B-Site Hamamatsucho
Central Tokyo
ForeCity Akihabara
Central Tokyo
Sweet One Court
Central Tokyo
B-site Ginza East
Central Tokyo
ForeCity Sasazuka
Central Tokyo
Gran Presso Kawadacho
Central Tokyo
ForeCity Sakurashinmachi
Tokyo Metropolitan Area
ForeCity Shinkamata
Tokyo Metropolitan Area
ForeCity Nakaochiai
Central Tokyo
ForeCity Tomigaya
Central Tokyo
ForeCity Ryogoku
Tokyo Metropolitan Area
ForeCity Toyosu
Tokyo Metropolitan Area
ForeCity Nishihonmachi
Four Major Regional Cities
Subtotal - Residence (18 Properties)
Falcon Shinsaibashi Building
Four Major Regional Cities
Fiesta Shibuya
Central Tokyo
Burc Omori
Tokyo Metropolitan Area
Pagoda Asakusa
Tokyo Metropolitan Area
Regalo Building
Tokyo Metropolitan Area
Lespoir 296
Tokyo Metropolitan Area
El Centro Sapporo
Four Major Regional Cities
Daimyo Balcony
Four Major Regional Cities
Konami Sports Club Izumi Fuchu
Tokyo Metropolitan Area
Subtotal - Others (9 Properties)
Total

Website of Ichigo REIT: www.ichigo-reit.co.jp/english
5837
0.74%
4,705
4.19%
510
0.45%
6,710
5.97%
1,650
1.47%
1,100
0.98%
659
0.59%
3,010
2.68%
560
0.50%
2,130
1.90%
5,500
4.89%
1,940
1.73%
77,504 68.97%
1,730
1.54%
1,140
1.01%
1,250
1.11%
1,360
1.21%
824
0.73%
701
0.62%
2,520
2.24%
786
0.70%
946
0.84%
1,050
0.93%
592
0.53%
932
0.83%
1,040
0.93%
435
0.39%
1,341
1.19%
1,080
0.96%
1,349
1.20%927
0.83%
20,005 17.80%
3,410
3.03%
1,970
1.75%
3,218
2.86%
1,640
1.46%
1,310
1.17%
903
0.80%
558
0.50%
638
0.57%
1,210
1.08%
14,857 13.22%
112,366 100.00%