いちごオフィスリート投資法人（8975） – April 2022 Fiscal Period Earnings

Make The WorldMore Sustainable April 2022 Fiscal Period Earnings Ichigo Office REIT Investment Corporation (Tokyo Stock Exchange, 8975) Representative: Yoshihiro Takatsuka, Executive Director www.ichigo-office.co.jp/en Ichigo Investment Advisors Co., Ltd. (Asset Management Company) Representative: Hiroshi Iwai, President Inquiries: Norio Nagamine, Head of Ichigo Office Telephone: +81-3-3502-4891 June 14, 2022 Submission of Financial Report (Yuka Shoken Hokokusho): July 28, 2022 (expected) Dividend Payment: July 21, 2022 (expected) Supplemental Material to Financial and Business Results: Yes (Corporate Presentation) Financial and Business Results Briefing: Yes (for institutional investors and analysts) 1. Financial Results for the April 2022 Fiscal Period (November 1, 2021 to April 30, 2022) (1) Earnings April 2022 October 2021 Operating Revenue 8,675 7,843 Change +10.6% +1.5% Operating Profit 4,436 3,962 Change +12.0% +1.0% Recurring Profit 3,691 3,201 Change +15.3% +2.5% Net Income 3,690 3,200 Change +15.3% +2.5% (JPY million; period-on-period change) April 2022 October 2021 Net Income per Share (JPY) 2,438 2,114 Return on Equity (6 months) 3.6% 3.1% Recurring Profit to Total Assets (6 months) 1.6% 1.4% Recurring Profit to Operating Revenue 43.3% 40.8% (2) Dividends April 2022 October 2021 Notes: Dividend per Share (JPY) Total Dividends (JPY million) 2,508 2,185 3,795 3,306 Dividend per Share in Excess of Earnings (JPY) – – Total Dividends in Excess of Earnings (JPY million) – – Payout Ratio 102.9% 103.4% Dividend on Equity (DOE) 3.7% 3.2% 1. October 2021 Total Dividends differ from Net Income, because Total Dividends include a JPY 105 million negative goodwill amortization. 2. April 2022 Total Dividends differ from Net Income, because Total Dividends include a JPY 105 million negative goodwill amortization. 1 (3) Assets and Equity April 2022 October 2021 (4) Cash Flows Total Assets (JPY million) 228,020 227,653 Net Assets (JPY million) 102,806 102,421 Shareholder Equity Ratio 45.1% 45.0% Net Assets per Share (JPY) 67,932 67,678 (JPY million) Cash Flows from Operations Cash Flows from Investments Cash Flows from Financing April 2022 October 2021 5,304 4,392 -823 -796 -3,335 -3,280 Cash and Cash Equivalents at End of the Period 24,449 23,304 2. Earnings Forecasts for the October 2022 Fiscal Period (May 1, 2022 to October 31, 2022) and the April 2023 Fiscal Period (November 1, 2022 to April 30, 2023) Operating Revenue 7,732 7,793 Change -10.9% +0.8% Operating Profit 3,737 3,818 Change -15.8% +2.2% Recurring Profit 2,957 3,038 Change -19.9% +2.7% Net Income 2,956 3,037 Change -19.9% +2.7% October 2022 April 2023 (JPY million; period-on-period change) Dividend per Share (JPY) 2,023 2,076 Dividend per Share in Excess of Earnings – – October 2022 April 2023 Notes: 1. The forecast Net Income per Share for October 2022 is JPY 1,953. The forecast Net Income per Share for April 2023 is JPY 2,007. 2. The October 2022 dividend forecast includes a JPY 105 million negative goodwill amortization, so forecast Total Dividends differ from Net Income in this period. 3. The April 2023 dividend forecast includes a JPY 105 million negative goodwill amortization, so forecast Total Dividends differ from Net Income in this period. 2 3. Other Restatement (1) Changes in Accounting Policies, Changes in Accounting Estimates, and Retrospective (i) Changes Accompanying Amendments to Accounting Standards: None (ii) Changes Not Listed in (i): None (iii) Changes in Accounting Estimates: None (iv) Retrospective Restatement: None (2) Number of Shares Issued and Outstanding (i) The number of shares issued and outstanding (including treasury shares) was 1,513,367 shares as of both October 31, 2021 and April 30, 2022. (ii) There were no treasury shares at the end of October 2021 or at the end of April 2022. Completion Status of Auditing Procedures This document is not subject to the auditing requirements set forth in the Financial Instruments and Exchange Law of Japan. The auditing procedures in accordance with those requirements have thus not been completed as of the date of the publication of this document. Appropriate Use of Performance Forecasts and Other Matters of Special Note The forecasts presented in this document are current figures based on certain preconditions. Accordingly, the actual operating results may vary due to changes in circumstances, and these forecasts should not be construed as a guarantee of such results. For details on the preconditions, please refer to the “Preconditions for the October 2022 and April 2023 Earnings Forecasts” on pages 4 and 5. This English version is a translation of the original Japanese report and is provided solely for information purposes. Should there be any discrepancies between this translation and the Japanese original, the latter shall prevail. 3 Preconditions for the October 2022 and April 2023 Earnings Forecasts Period • October 2022: May 1, 2022 – October 31, 2022 (184 days) • April 2023: November 1, 2022 – April 30, 2023 (181 days) • 86 assets (the total of 85 assets held as of the date of this report plus 1 asset acquisition announced on the same date of this report) • 1,513,367 shares issued and outstanding as of the date of this report Number of Assets Number of Shares Operating Revenue Operating Expenses Non-Operating Expenses Interest-Bearing Liabilities Dividend • Rental income is calculated conservatively based on lease contracts that are in effect as of April 30, 2022 while taking into consideration such factors as historical rents, the competitiveness of the properties, and market conditions. • Total occupancy: 96.6% as of October 31, 2022, and 96.6% as of April 30, 2023 • Depreciation: JPY 903 million for October 2022 and JPY 926 million for April 2023. Depreciation has been calculated using the straight-line method and includes the depreciation of forecast future capital expenditures. • Property and city planning taxes: JPY 701 million for October 2022 and JPY 701 million for April 2023. • Building maintenance and repair expenses: JPY 106 million for October 2022 and JPY 92 million for April 2023. However, expenses may differ significantly from these forecast amounts for reasons including the variability of maintenance and repair expenses, one-time costs due to unexpected building damage, etc. • Service provider expenses, including property management fees: JPY 711 million for October 2022 and JPY 681 million for April 2023. • Utility expenses: JPY 588 million for October 2022 and JPY 540 million for April 2023. Expenses include renewable energy expenses related to RE100 initiatives. • Performance fees: JPY 751 million for October 2022 and JPY 797 million for April 2023. • Rental expenses, Ichigo Office’s principal operating expenses (other than depreciation, see above), are calculated based on historical data adjusted for anticipated expense variations. • Actual operating expenses may differ significantly from these assumptions due to unforeseeable factors. 438 million for April 2023 million for April 2023 • Interest expenses on loans and bonds: JPY 435 million for October 2022 and JPY • Other borrowing-related expenses: JPY 318 million for October 2022 and JPY 315 • Loans and bonds: JPY 113,111 million outstanding as of October 31, 2022 and JPY 113,106 million outstanding as of April 30, 2023 • The dividend forecast assumes that dividends will comply with the dividend distribution policy stipulated in Ichigo Office’s Articles of Incorporation. • Total dividends for October 2022 are forecast to be JPY 3,061 million (unappropriated earnings (i.e., Net Income) of JPY 2,956 million plus JPY 105 million of negative goodwill amortization). • Total dividends for April 2023 are forecast to be JPY 3,141 million (unappropriated earnings (i.e., Net Income) of JPY 3,037 million plus JPY 105 million of negative goodwill amortization). • The dividend is subject to change due to factors such as asset acquisitions and dispositions, tenant turnover, unexpected maintenance and repair costs and other expenses, changes in interest rates, and the issuance of new shares. 4 Dividend in Excess of Earnings Other • Ichigo Office does not plan on paying any dividend in excess of earnings. • This forecast assumes that there will be no further spread of the Covid pandemic, and therefore does not reflect the potential impact of a more severe or prolonged pandemic. • This forecast assumes that there are no material revisions to laws and regulations, the tax system, accounting standards, listing rules of the Tokyo Stock Exchange, and rules of the Investment Trusts Association, Japan, and no material changes in the state of the economy and real estate market conditions. 5 October 2021 (as of October 31, 2021) April 2022 (as of April 30, 2022) (JPY thousand) Financial Statements (1) Balance Sheet Assets Current Assets Cash and deposits Cash and deposits in trust Accounts receivable Prepaid expenses Other Total Current Assets Fixed Assets Property, Plant, and Equipment Buildings Depreciation Buildings (net) Structures Depreciation Structures (net) Machinery and equipment Depreciation Machinery and equipment (net) Fixtures Depreciation Fixtures (net) Land Construction in progress Buildings in trust Depreciation Buildings in trust (net) Structures in trust Depreciation Structures in trust (net) Machinery and equipment in trust Depreciation Machinery and equipment in trust (net) Fixtures in trust Depreciation Fixtures in trust (net) Land in trust Construction in progress in trust Total Property, Plant, and Equipment Intangible Assets Leasehold rights in trust Total Intangible Assets 6 9,420,989 13,974,370 17,599 433,762 2,298 23,849,019 7,240,518 -2,074,931 5,165,587 29,066 -24,613 4,453 339,358 -207,623 131,734 70,921 -55,244 15,677 15,638,558 1,360 46,203,049 -10,435,327 35,767,722 69,520 -36,486 33,033 800,471 -395,886 404,584 298,095 -186,014 112,081 140,668,104 6,137 197,949,036 4,494,579 4,494,579 10,526,684 14,018,464 2,919 447,876 2,299 24,998,244 7,089,250 -2,145,909 4,943,341 29,066 -24,933 4,133 347,826 -220,954 126,871 70,226 -53,720 16,505 15,031,993 1,360 46,791,823 -11,154,852 35,636,970 70,960 -38,414 32,545 847,928 -424,534 423,393 314,072 -203,168 110,904 140,668,104 7,021 197,003,145 4,494,579 4,494,579 Investments and Other Assets TK (tokumei kumiai) equity interest Leasehold and security deposits Long-term prepaid expenses Other Allowance for doubtful accounts Total Investments and Other Assets Total Fixed Assets Accrued Assets Bond Issuance Expenses Total Accrued Assets Total Assets Liabilities Current Liabilities Accounts payable Long-term loans (due within one year) Accounts payable – other Accrued expenses Income taxes payable Accrued consumption taxes, etc. Advances received Other Total Current Liabilities Long-Term Liabilities Bonds Long-term loans Tenant leasehold and security deposits Tenant leasehold and security deposits in trust Asset retirement obligations Other Total Long-Term Liabilities Total Liabilities Net Assets Shareholders’ Equity Paid-in capital Surplus Capital reserve surplus Capital reserve surplus deduction Capital reserve surplus (net) Discretionary reserves Dividend reserve Negative goodwill Total discretionary reserves Unappropriated retained earnings Total Surplus Total Shareholders’ Equity Total Net Assets Total Liabilities and Net Assets October 2021 (as of October 31, 2021) – 10,000 1,184,988 114,849 – 1,309,838 203,753,453 50,603 50,603 227,653,077 608,916 19,292,000 1,015,033 24,963 605 234,129 1,554,997 19,708 22,750,353 6,900,000 85,061,250 1,521,592 8,894,482 19,425 84,133 102,480,885 125,231,239 67,675,274 20,566,420 -1,499,919 19,066,500 3,368,625 9,109,544 12,478,170 3,201,892 34,746,563 102,421,837 102,421,837 227,653,077 7 (JPY thousand) April 2022 (as of April 30, 2022) 51,212 10,000 1,292,047 129,281 -3,898 1,478,644 202,976,369 46,275 46,275 228,020,888 731,474 19,266,000 1,114,516 23,865 605 153,754 1,502,700 17,461 22,810,378 6,900,000 85,059,000 1,462,258 8,877,826 19,492 85,867 102,404,444 125,214,822 67,675,274 20,566,420 -1,499,919 19,066,500 3,368,625 9,004,544 12,373,170 3,691,120 35,130,791 102,806,066 102,806,066 228,020,888 (2) Income Statement Operating Revenue Rental income Other rental income Gains on sale of real estate Total Operating Revenue Operating Expenses Rental expense Asset management fee Asset custody fee Administrative service fee Directors’ compensation Other Total Operating Expenses Operating Profit Non-Operating Income Interest income Reversal of distribution payable Insurance payment income Other Total Non-Operating Income Non-Operating Expenses Interest expenses Borrowing-related expenses Amortization of bond issuance expenses Allowance for doubtful accounts Other Total Non-Operating Expenses Recurring Profit Pre-Tax Income Income Taxes – Current Total Income Taxes Net Income Retained Earnings Brought Forward Unappropriated Retained Earnings (JPY thousand) October 2021 (May 1, 2021 to October 31, 2021) April 2022 (November 1, 2021 to April 30, 2022) 7,218,290 625,562 – 7,843,853 2,887,418 871,602 15,106 43,593 5,040 58,429 3,881,190 3,962,663 104 1,065 – 642 1,813 470,997 287,728 4,382 – 30 763,138 3,201,338 3,201,338 605 605 3,200,733 1,158 3,201,892 7,136,936 598,555 940,111 8,675,603 2,991,430 1,102,670 15,106 43,629 5,040 80,998 4,238,874 4,436,728 112 1,046 686 492 2,337 436,542 302,756 4,327 3,898 – 747,525 3,691,540 3,691,540 605 605 3,690,935 185 3,691,120 8 (3) Statement of Shareholders’ Equity October 2021 (May 1, 2021 to October 31, 2021) (JPY thousand) Shareholders’ Equity Surplus Paid-In Capital Capital Reserve Surplus Capital Reserve Surplus Deduction Capital Reserve Surplus (net) Discretionary Reserves Dividend Reserve Negative Goodwill Total Discretionary Reserves 67,675,274 20,566,420 -1,499,919 19,066,500 3,368,625 9,214,544 12,583,170 – – – -105,000 -105,000 67,675,274 20,566,420 -1,499,919 19,066,500 3,368,625 9,109,544 12,478,170 – – -105,000 -105,000 Shareholders’ Equity Surplus Unappropriated Retained Earnings Total Surplus Total Shareholders’ Equity Total Net Assets 3,122,657 34,772,328 102,447,602 102,447,602 105,000 – – -3,226,498 3,200,733 -3,226,498 3,200,733 -3,226,498 3,200,733 79,235 -25,764 -25,764 -3,226,498 3,200,733 -25,764 3,201,892 34,746,563 102,421,837 102,421,837 – Balance as of May 1, 2021 Changes during the Period Negative Goodwill Amortization Dividends Net Income Total Changes during the Period Balance as of October 31, 2021 Balance as of May 1, 2021 Changes during the Period Negative Goodwill Amortization Dividends Net Income Total Changes during the Period Balance as of October 31, 2021 9 April 2022 (November 1, 2021 to April 30, 2022) (JPY thousand) Shareholders’ Equity Surplus Paid-In Capital Capital Reserve Surplus Capital Reserve Surplus Deduction Capital Reserve Surplus (net) Discretionary Reserves Dividend Reserve Negative Goodwill Total Discretionary Reserves 67,675,274 20,566,420 -1,499,919 19,066,500 3,368,625 9,109,544 12,478,170 – – – -105,000 -105,000 – – -105,000 -105,000 67,675,274 20,566,420 -1,499,919 19,066,500 3,368,625 9,004,544 12,373,170 Shareholders’ Equity Surplus Unappropriated Retained Earnings Total Surplus Total Shareholders’ Equity Total Net Assets 3,201,892 34,746,563 102,421,837 102,421,837 105,000 – – – -3,306,706 3,690,935 -3,306,706 3,690,935 -3,306,706 3,690,935 -3,306,706 3,690,935 489,228 384,228 384,228 384,228 3,691,120 35,130,791 102,806,066 102,806,066 Balance as of November 1, 2021 Changes during the Period Negative Goodwill Amortization Dividends Net Income Total Changes during the Period Balance as of April 30, 2022 Balance as of November 1, 2021 Changes during the Period Negative Goodwill Amortization Dividends Net Income Total Changes during the Period Balance as of April 30, 2022 10 Dividend Statement October 2021 (May 1, 2021 to October 31, 2021) April 2022 (November 1, 2021 to April 30, 2022) (JPY) I Unappropriated Retained Earnings 3,201,892,139 3,691,120,583 II III Discretionary Reserve Reversal – Negative Goodwill Amortization Total Dividends (Dividend per Share) IV Retained Earnings Carried Forward 105,000,000 3,306,706,895 (2,185) 185,244 105,000,000 3,795,524,436 (2,508) 596,147 11 (4) Cash Flow Statement Cash Flows from Operations: Pre-tax net income Depreciation Increase (decrease) in allowance for doubtful accounts Interest income Interest expense Decrease (increase) in operating accounts receivable Decrease (increase) in consumption taxes receivable Decrease (increase) in prepaid expenses Decrease (increase) in long-term prepaid expenses Increase (decrease) in accrued consumption taxes Increase (decrease) in operating accounts payable Increase (decrease) in accounts payable Increase (decrease) in advances received Decrease due to sale of property and equipment Other Sub-Total Interest income received Interest expense paid Income taxes paid Net Cash from (Used for) Operations Cash Flows from Investments: Acquisition of property, plant, and equipment Acquisition of property, plant, and equipment in trust Increase in tenant leasehold and security deposits Decrease in tenant leasehold and security deposits Increase in tenant leasehold and security deposits in trust Decrease in tenant leasehold and security deposits in trust Increase due to acquisition of TK (tokumei kumiai) equity interest Net Cash from (Used for) Investments Cash Flows from Financing: Increase in long-term loans Decrease from repayment of long-term loans Proceeds from bond issuance Dividends paid Net Cash from (Used for) Financing Net Increase (Decrease) in Cash and Cash Equivalents Cash and Cash Equivalents at Beginning of Period Cash and Cash Equivalents at End of Period 12 (JPY thousand) October 2021 (May 1, 2021 to October 31, 2021) April 2022 (November 1, 2021 to April 30, 2022) 3,201,338 887,267 – -104 470,997 -4,568 59,893 10,666 3,373 156,388 60,156 40,046 -22,406 – -10,225 4,852,821 104 -459,350 -605 4,392,970 -57,717 -609,708 33,973 -25,360 254,320 -392,033 – -796,525 8,125,000 -9,667,750 1,487,445 -3,225,613 -3,280,918 315,526 22,988,704 23,304,230 3,691,540 893,918 3,898 -112 436,542 14,679 – -14,114 -107,059 -80,374 143,198 99,482 -52,296 727,532 -14,460 5,742,374 112 -437,641 -605 5,304,241 -22,115 -673,956 42,821 -102,155 392,670 -409,326 -51,212 -823,276 9,621,000 -9,649,250 – -3,307,282 -3,335,532 1,145,433 23,304,230 24,449,663 Material Matters after Closing of the Fiscal Period 1. Asset Acquisition Ichigo Office acquired the following asset in accordance with the guidelines specified in its Articles of Incorporation. Ichigo Higashi Ikebukuro 3 Chome Building1 Acquisition Price2 Location Legal Form of Asset Property Right Contract Date Closing Date Seller3 JPY 3.84 billion (expected) 3-13-3 Higashi Ikebukuro, Toshima-ku, Tokyo Trust beneficiary interest in real estate (juekiken) Land: Freehold Building: Freehold June 14, 2022 June 20, 2022 Domestic TMK (tokumei mokuteki kaisha) 1 Ichigo Office will change the building name from Seiwa Ikebukuro Building to Ichigo Higashi Ikebukuro 3 Chome Building. 2 The acquisition price is the transaction price of the trust beneficiary interest (juekiken) itself and does not include fees and applicable property, city planning, and consumption taxes. 3 The seller did not provide consent to disclose its name. 2. New Loans Ichigo Office decided to borrow funds via new loans in order to fund the above asset acquisition. Lender Loan Amount Interest Rate Principal Repayment Date Interest Payment Date Principal Repayment Terms Collateralized Lender Loan Amount Interest Rate Principal Repayment Date Interest Payment Date Principal Repayment Terms Collateralized SMBC JPY 950 million 3M JPY TIBOR + 0.62% (p.a.)1 May 25, 2029 25th of every January, April, July, and October following the loan date and the principal repayment date Lump-sum repayment No Mizuho Bank JPY 950 million 3M JPY TIBOR + 0.62% (p.a.)1 May 25, 2029 25th of every January, April, July, and October following the loan date and the principal repayment date Lump-sum repayment No 1 Ichigo Office will execute interest rate swaps to hedge against a rise in interest rates. 13 Earnings Forecasts For details on the preconditions to these forecasts, please refer to pages 4 and 5. October 2022 Fiscal Period (May 1, 2022 to October 31, 2022) Operating Revenue Operating Profit Recurring Profit Net Income Dividend per Share Dividend in Excess of Earnings Operating Revenue Operating Profit Recurring Profit Net Income Dividend per Share Dividend in Excess of Earnings JPY 7,732 millionJPY 3,737 millionJPY 2,957 millionJPY 2,956 millionJPY 2,023–JPY 7,793 millionJPY 3,818 millionJPY 3,038 millionJPY 3,037 millionJPY 2,076–April 2023 Fiscal Period (November 1, 2022 to April 30, 2023) Note: The forecasts presented above are current figures based on certain preconditions. Accordingly, the actual operating results may vary due to changes in circumstances, and these forecasts should not be construed as a guarantee of such results. 14 Notes to Balance Sheet Cancellation of Treasury Shares Previous Period October 2021 Current Period April 2022 Cumulative No. of shares cancelled Cumulative amount of shares cancelled Note: There were no treasury shares cancelled during the October 2021fiscal period 1,499,919 18,920 18,920 1,499,919 Negative Goodwill Amortization Previous (October 2021) Fiscal Period Initial Amount Amount at the Beginning of the Period Newly Reserved Amount Amortized Amount Amount at the End of the Period Use Negative Goodwill 10,432,940 9,214,544 – 105,000 9,109,544 Current (April 2022) Fiscal Period Initial Amount Amount at the Beginning of the Period Newly Reserved Amount Amortized Amount Amount at the End of the Period Use Negative Goodwill 10,432,940 9,109,544– 105,000 9,004,544 Dividend payment (JPY thousand) Dividend payment (JPY thousand) 15 (JPY thousand) October 2021 (May 1, 2021 to October 31, 2021) April 2022 (November 1, 2021 to April 30, 2022) 7,218,2907,136,936625,5627,843,853598,5557,735,4915,849,440945,265277,53264,697537,13161,423663,709530,80831,778893,918134,056673,75820,78842,6132,887,4182,991,4304,956,4344,744,060Notes to Income Statement 1．Details of Rental Income Rental Income Rental Income Common Area Services Income Parking Lot Income Facility Use Income Other Rental Income Utilities Income Other Total Income A Real Estate Rental Income B Real Estate Rental Expenses Rental Expenses Service Provider Expenses Utilities Trust Fees Depreciation Repair Expenses Property and City Planning Taxes Insurance Other Rental Expenses Total Expenses C Net Rental Income (A-B) 5,914,034965,695274,50264,058526,79698,766660,305481,33136,809887,26786,694672,14520,80042,06316 2. Details of Real Estate Sale (JPY thousand) October 2021 Fiscal Period (May 1, 2021 to October 31, 2021) None April 2022 Fiscal Period (November 1, 2021 to April 30, 2022) Ichigo Akasaka 5 Chome Building Real Estate Sale Income Real Estate Sale Cost Other Real Estate Sale Expenses Gain on Real Estate Sale 1,720,000727,53252,355940,111 17 1. Relationship between Cash and Cash Equivalents at End of the Period and Items Shown on the (JPY thousand) October 2021 (May 1, 2021 to October 31, 2021) April 2022 (November 1, 2021 to April 30, 2022) 9,420,98913,974,370-91,12923,304,23010,526,68414,018,464-95,48424,449,663Notes to Cash Flow Statement Balance Sheet Cash and deposits Cash and deposits in trust Miscellaneous deposits Cash and cash equivalents Notes to Derivatives Transactions 1. Non-Hedge Accounting N/A 2. Hedge Accounting Previous (October 2021) Fiscal Period Accounting Method Transaction Type Special Treatment of Interest Rate Swap method Interest rate swap (pay fixed, receive floating) Hedging Target Long-term loan Contract Amount Total >1 year (JPY thousand) Method of Marking to Market Market Value 91,659,250 72,867,250 Note – Note: Swaps accounted under the Special Treatment of Interest Rate Swap method are processed together with the hedging target (in this case, a long-term loan), and therefore their market values are included in the balance sheet as part of Long-Term Loans. Current (April 2022) Fiscal Period Accounting Method Transaction Type Special Treatment of Interest Rate Swap method Interest rate swap (pay fixed, receive floating) Hedging Target Long-term loan Contract Amount Total >1 year (JPY thousand) Method of Marking to Market Market Value 91,631,000 72,365,000 Note – Note: Swaps accounted under the Special Treatment of Interest Rate Swap method are processed together with the hedging target (in this case, a long-term loan), and therefore their market values are included in the balance sheet as part of Long-Term Loans. 18 Per Share Information October 2021 (May 1, 2021 to October 31, 2021) April 2022 (November 1, 2021 to April 30, 2022) (JPY) 67,932 2,438 Net Assets per Share Net Income per Share 67,678 2,114 Note: Net Income per Share is calculated based on the weighted average number of shares during the period. There are no potentially dilutive shares outstanding. The data used to calculate Net Income per Share are shown below. (JPY thousand) October 2021 (May 1, 2021 to October 31, 2021) April 2022 (November 1, 2021 to April 30, 2022) 3,200,733 3,690,935 – – 3,200,733 3,690,935 1,513,367 shares 1,513,367 shares Net Income Net Income Not Attributable to Common Shareholders Net Income Attributable to Common Shareholders Average Number of Shares in Period Changes in Outstanding Shares There was no new share issuance during the April 2022 fiscal period. Below are the changes to the Total Number of Shares for the past five years. Date Method Total Number of Shares Change Outstanding Issue Amount (JPY million) Change Total April 12, 2021 Share Cancellation -18,920 1,513,367 – 67,675 Note: Ichigo Office bought back shares in the open market via a securities firm between January 8, 2021 and February 12, 2021. All shares bought back were cancelled on April 12, 2021 pursuant to its board resolution on March 26, 2021. There is no change in Issue Amount because funds for the share buyback were deducted from the capital reserve surplus. 19 Portfolio Information Portfolio Composition Legal Form of Asset Area Real estate Trust beneficiary interest in real estate (juekiken) Central Tokyo1 Tokyo Metropolitan Area2 Four Major Regional Cities3 Central Tokyo1 Tokyo Metropolitan Area2 Four Major Regional Cities3 Other Regional Cities Sub-Total TK (tokumei kumiai) equity interest Deposits / Other Assets Total Assets April 2022 Fiscal Period Book Value4 (JPY million) % of Total 5,960 3,959 10,203 107,980 43,305 19,706 10,373 201,489 51 26,480 228,020 2.6 1.7 4.5 47.4 19.0 8.6 4.5 88.4 – 11.6 100.0 1 Central Tokyo 2 Tokyo Metropolitan Area Chiyoda, Minato, Chuo, Shinjuku, Shibuya, and Shinagawa Wards Tokyo (excluding the above six wards), Kanagawa, Chiba, and Saitama Prefectures 3 Four Major Regional Cities Osaka, Nagoya, Fukuoka, and Sapporo 4 Book Value is the respective April 30, 2022 balance sheet real estate or trust beneficiary interest in real estate asset value less depreciation and does not include construction in progress and construction in progress in trust. 20 Portfolio Asset Details No. Area Asset Name Asset Type O-03 Central Tokyo Office O-02 Central Tokyo Office O-09 Central Tokyo Office O-05 Central Tokyo Office O-07 Central Tokyo Office O-04 Central Tokyo Office O-10 Central Tokyo Office O-08 Central Tokyo Office O-06 Central Tokyo Office Ichigo Nishisando Building Ichigo Mita Building Ichigo Nanpeidai Building Ichigo Hanzomon Building Ichigo Hijirizaka Building Ichigo Shibuya Kamiyamacho Building Ichigo Akasaka 5 Chome Building6 Ichigo Shibakoen Building Ichigo Ebisu Nishi Building Ichigo Ginza 612 Building Ichigo Uchikanda Building Ichigo Yotsuya 4 Chome Building Ichigo Tameike Building Ichigo Jimbocho Building Ichigo Hakozaki Building Ichigo Kudan 2 Chome Building Ichigo Kudan 3 O-19 Central Tokyo Office Chome Building O-20 Central Tokyo Office Ichigo Gotanda O-15 Central Tokyo Office O-12 Central Tokyo Office O-16 Central Tokyo Office O-14 Central Tokyo Office O-17 Central Tokyo Office O-18 Central Tokyo Office O-11 Central Tokyo Office Tokyo Metro Area Office O-21 O-22 O-23 O-24 O-26 Tokyo Metro Area Tokyo Metro Area Tokyo Metro Area Tokyo Metro Area Office Building Ichigo Shin Yokohama Building Ichigo Minami Ikebukuro Building Office Ichigo Nakano North Building Ichigo Eitai Building Ichigo Ikejiri Building Office Office Total Leasable Area1 (m2) Total Leased Area2 (m2) Occupancy3 (%) (as of April 30, 2022) Total Rental Income5 (JPY thousand) No. of Tenants4 4,523.19 4,523.19 100.0 17 138,921 4,119.63 3,203.43 77.8 1,925.24 1,925.24 100.0 2,080.37 2,080.37 100.0 1,947.90 1,947.90 100.0 1,321.54 1,145.29 86.7 – – – 1,602.29 1,602.29 100.0 1,484.39 1,484.39 100.0 1,364.97 1,309.86 96.0 1,378.83 1,378.83 100.0 780.64 638.52 494.14 408.95 81.8 82.8 1,891.01 1,891.01 100.0 2,389.54 2,389.54 100.0 1,265.76 – – 1,302.43 651.28 50.0 1,491.50 1,491.50 100.0 1,264.11 1,264.11 100.0 2,605.54 2,605.54 100.0 2,385.69 2,385.69 100.0 21 8 13 5 4 4 – 3 7 8 5 8 7 – 3 23 10 9 7 10 6 92,905 79,497 61,322 59,799 53,231 17,935 49,415 72,581 61,956 43,033 19,537 16,411 72,738 57,213 19,292 26,342 60,792 40,596 72,035 84,046 5,346.39 5,346.39 100.0 15 206,660 4,021.32 3,927.46 97.7 14 81,387 No. Area Asset Name Asset Type O-27 Tokyo Metro Area Office O-28 Central Tokyo Office O-29 O-34 Tokyo Metro Area Four Major Regional Cities Office Office O-37 Four Major Regional Cities Office O-38 O-39 O-42 Other Regional Cities Other Regional Cities Other Regional Cities Office Office Office Total Leasable Area1 (m2) Total Leased Area2 (m2) Occupancy3 (%) No. of Tenants4 Total rental Income5 (JPY thousand) 1,261.91 1,261.91 100.0 33,988 1,328.95 1,033.79 77.8 4,210.87 4,210.87 100.0 3,928.12 3,928.12 100.0 8,601.72 8,601.72 100.0 3,551.46 3,295.32 6,329.33 6,244.44 92.8 98.7 25,582 116,025 217,888 116,428 75,021 156,282 8,009.11 8,009.11 100.0 26 238,315 O-46 Central Tokyo Office 2,523.09 2,523.09 100.0 72,750 O-47 Central Tokyo Office 6,250.53 6,250.53 100.0 1 230,218 O-48 Four Major Regional Cities Office 3,729.35 3,729.35 100.0 15 97,222 O-49 Central Tokyo Office 2,309.39 2,074.84 89.8 83,716 O-50 Central Tokyo Office 2,716.33 2,716.33 100.0 O-51 Central Tokyo Office 3,159.27 3,159.27 100.0 97,708 157,430 O-52 Central Tokyo Office 3,585.93 3,413.36 95.2 10 134,626 O-53 Central Tokyo Office 1,606.92 1,606.92 100.0 8 61,118 Tokyo Metro Area Office Tokyo Metro Area Tokyo Metro Area Other Office Office Regional Cities Office Ichigo Sendai East Building Ichigo Kumamoto Building Ichigo Jingumae Building Other Regional Cities Office O-59 Central Tokyo Office 6,180.68 6,180.68 100.0 30 163,988 2,960.81 2,960.81 100.0 60,391 2,364.71 2,364.71 100.0 5,205.49 5,205.49 100.0 4,507.59 4,507.59 100.0 92,023 104,098 86,515 4,510.04 4,510.04 100.0 7 188,652 Ichigo Nishi Ikebukuro Building Ichigo Nishi Gotanda Building Ichigo Kichijoji Building Ichigo Sakae Building Ichigo Marunouchi Building Ichigo Toyamaeki Nishi Building Ichigo Mirai Shinkin Building Ichigo Takamatsu Building Ichigo Kanda Nishikicho Building Ichigo Akihabara North Building Ichigo Sakaisuji Honmachi Building Ichigo Kanda Ogawamachi Building Ichigo Hatchobori Building Ichigo Ebisu Green Glass6 Ichigo Omori Building Ichigo Takadanobaba Building Ichigo Omiya Building Ichigo Sagamihara Building Ichigo Ofuna Building 1 7 14 19 14 19 15 11 8 7 6 13 9 10 33 22 O-54 O-55 O-56 O-57 O-58 No. Area Asset Name Asset Type Total Leasable Area1 (m2) Total Leased Area2 (m2) Occupancy3 (%) No. of Tenants4 Total rental Income5 (JPY thousand) O-60 Central Tokyo Office 2,789.86 2,457.64 88.1 10 120,810 O-61 Central Tokyo Office 3,510.44 3,510.44 100.0 O-62 Central Tokyo Office 6,425.29 6,425.29 100.0 O-63 Central Tokyo Office 4,216.97 4,216.97 100.0 O-64 Central Tokyo Office 2,971.22 2,971.22 100.0 O-65 Central Tokyo Office 2,312.03 1,775.39 O-66 Central Tokyo Office 3,090.65 2,755.11 76.8 89.1 O-67 Central Tokyo Office 4,548.10 4,548.10 100.0 19 131,121 O-68 Central Tokyo Office Axior Mita 2,369.82 1,896.24 80.0 9 59,107 Ichigo Shibuya Dogenzaka Building Ichigo Hiroo Building Ichigo Sasazuka Building Ichigo Nihonbashi East Building Ichigo Sakurabashi Building Ichigo Shinkawa Building Ichigo Kudan Building Ichigo Higashi Gotanda Building Ichigo Higashi Ikebukuro Building Koriyama Big-i (Office Section) Ichigo Kawasaki Building Ichigo Shibuya East Building Ichigo Ningyocho Building Ichigo Nishi Honmachi Building Ichigo Hakata Building O-69 O-70 O-71 Tokyo Metro Area Other Regional Cities Tokyo Metro Area Office Office Office O-72 Central Tokyo Office O-74 Four Major Regional Cities Office O-75 O-76 O-77 Office Four Major Regional Cities Regional Cities Office Ichigo Nishiki Four Major First Building Ichigo Ikenohata Building Office Tokyo Metro Area Tokyo Metro Area Office Ichigo Ikebukuro O-78 O-79 Central Tokyo Office Ichigo Motoazabu East Building O-80 O-81 O-82 Tokyo Metro Area Office Four Major Office Regional Cities Four Major Regional Cities Office Building Ichigo Otsuka Building Ichigo Nagoya Building Ichigo Fushimi Building 5 6 7 6 5 9 14 16 3 8 6 7 2 3 7 34 38 135,682 188,095 149,942 86,594 70,445 96,557 105,891 76,900 44,497 43,176 79,318 164,540 93,329 68,726 122,768 139,601 92,096 4,433.00 3,896.27 87.9 16 160,440 3,433.07 3,231.09 3,823.01 3,167.83 94.1 82.9 1,041.36 1,041.36 100.0 6,152.00 5,874.00 95.5 30 109,735 2,423.86 2,340.13 96.5 26 53,194 3,324.70 3,324.70 100.0 5,504.15 5,504.15 100.0 3,118.69 3,118.69 100.0 1,329.96 1,329.96 100.0 3,623.98 3,047.80 4,930.30 4,527.68 4,155.60 3,870.29 84.1 91.8 93.1 23 O-73 Central Tokyo Office 1,769.09 1,570.55 88.8 O-85 Central Tokyo Office 1,491.68 1,166.40 78.2 7 68,015 O-89 Central Tokyo Office 3,434.69 3,046.97 O-90 Central Tokyo Office MIF Building 1,690.33 1,690.33 100.0 No. Area Asset Name Asset Type O-83 Four Major Regional Cities Office O-84 Four Major Regional Cities Office O-86 Central Tokyo Office O-87 Tokyo Metro Area Office O-88 Central Tokyo Office Ichigo Nishiki Building Ichigo Minami Morimachi Building Ichigo Shibuya Udagawacho Building Win Gotanda Building Ichigo Hongo Building Oimachi Center Building Win Gotanda Building 2 O-91 Four Major Regional Cities O-92 Tokyo Metro Area O-94 Four Major Regional Cities O-95 O-96 Tokyo Metro Area Tokyo Metro Area Z-09 Other Regional Cities Office Office Office Ichigo Uchi Honmachi Building Ichigo Minami Otsuka Building Ichigo Nogizaka Building Ichigo Hakata East Building Ichigo Nakameguro Building Ichigo Tachikawa Building Other Future IZUMI7 Office Office Ichigo Shibuya Bunkamura Dori Building Twicere Metro Area Other Yokohama Isogo (Retail Section) Metro Area Other Ichigo Kamata Building Tokyo Tokyo Z-11 Z-14 Total Leasable Area1 (m2) Total Leased Area2 (m2) Occupancy3 (%) No. of Tenants4 Total rental Income5 (JPY thousand) 2,006.78 1,891.81 94.3 2,521.51 2,521.51 100.0 24 12 50,341 45,296 3,689.88 3,689.88 100.0 11 118,936 2,733.68 2,733.68 100.0 2,751.08 2,381.39 86.6 88.7 3,004.07 3,004.07 100.0 18 65,817 3,129.49 3,129.49 100.0 2,901.99 2,901.99 100.0 19 75,124 1,044.34 1,044.34 100.0 6 37,960 4,879.78 4,152.15 85.1 13 106,396 3,733.66 1,504.92 40.3 7 7 9 7 8 6 1 4 7 2 90,580 66,666 102,718 67,057 82,124 88,408 5,737 69,556 51,297 53,228 2,717.77 2,195.43 80.8 2,124.68 2,124.68 100.0 O-93 Central Tokyo Office 2,199.35 2,199.35 100.0 Z-10 Central Tokyo Other 778.77 778.77 100.0 Total 263,948.70 249,947.13 94.7 923 7,735,491 1 Leasable Area is subject to minor adjustments due to renovations or rental contract terms. 2 Leased Area is the total space that is leased as of April 30, 2022. 3 Occupancy is the ratio of Leased Area to Total Leasable Area. 4 No. of Tenants is the number of tenants that have a valid lease contract in place with Ichigo Office (including trust structures owned by Ichigo Office). The number of tenants is counted as one where there is a master lease contract in place with a master lease company other than Ichigo Office. 5 Total Rental Income is the total of rental income, common area services income, parking lot income, and other related income generated from the asset. 6 Sold on February 18, 2022 24 Book Value and Appraisal Value of Portfolio Assets No. Asset Name Location O-02 Ichigo Nishisando Building Yoyogi, Shibuya-ku, Tokyo O-03 Ichigo Mita Building Shiba, Minato-ku, Tokyo O-04 Ichigo Nanpeidai Building Nanpeidaicho, Shibuya-ku, Tokyo O-05 Ichigo Hanzomon Building Hayabusacho, Chiyoda-ku, Tokyo O-06 Ichigo Hijirizaka Building Mita, Minato-ku, Tokyo O-07 O-09 O-10 Ichigo Shibuya Kamiyamacho Building Ichigo Shibakoen Building Ichigo Ebisu Nishi Building Kamiyamacho, Shibuya-ku, Tokyo Shiba, Minato-ku, Tokyo Ebisu-Nishi, Shibuya-ku, Tokyo O-11 Ichigo Ginza 612 Building Ginza, Chuo-ku, Tokyo O-14 Ichigo Yotsuya 4 Chome Building Yotsuya, Shinjuku-ku, Tokyo O-15 Ichigo Tameike Building Akasaka, Minato-ku, Tokyo O-16 Ichigo Jimbocho Building Kanda-Jimbocho, Chiyoda-ku, Tokyo O-17 Ichigo Hakozaki Building Nihonbashi Kakigaracho, Chuo-ku, Tokyo O-18 Ichigo Kudan 2 Chome Building Kudan Minami, Chiyoda-ku, Tokyo Form of Ownership Trust beneficiary interest in real estate Trust beneficiary interest in real estate Trust beneficiary interest in real estate Trust beneficiary interest in real estate Trust beneficiary interest in real estate Real estate Real estate Real estate Trust beneficiary interest in real estate Trust beneficiary interest in real estate Real estate Trust beneficiary interest in real estate Trust beneficiary interest in real estate Trust beneficiary interest in real estate 25 (as of April 30, 2022) Appraisal Value1 (JPY million) Book Value2 (JPY million) % of Portfolio3 3,270 3,342 1.7 3,630 2,708 1.3 2,550 1,892 0.9 2,070 1,500 0.7 1,490 1,201 0.6 1,900 1,280 2,570 1,333 1,095 1,917 2,150 1,802 580 725 499 504 2,370 1,794 0.7 0.5 1.0 0.9 0.2 0.3 0.9 1,180 1,134 0.6 937 763 0.4 O-12 Ichigo Uchikanda Building Uchikanda, Chiyoda-ku, Tokyo Real estate 1,390 1,108 0.5 No. Asset Name Location O-19 Ichigo Kudan 3 Chome Building Kudan Minami, Chiyoda-ku, Tokyo O-20 Ichigo Gotanda Building Higashi Gotanda, Shinagawa-ku, Tokyo O-21 Ichigo Shin Yokohama Building Shin Yokohama, Kohoku-ku, Yokohama O-22 Ichigo Minami Ikebukuro Building Minami Ikebukuro, Toshima-ku, Tokyo O-23 Ichigo Nakano North Building Arai, Nakano-ku, Tokyo O-24 O-26 O-27 O-28 Ichigo Eitai Building Ichigo Ikejiri Building Ichigo Nishi Ikebukuro Building Ichigo Nishi Gotanda Building O-29 Ichigo Kichijoji Building Ichigo Sakae Building Ichigo Marunouchi Building O-34 O-37 O-38 Eitai, Koto-ku, Tokyo Ohashi, Meguro-ku, Tokyo Ikebukuro, Toshima-ku, Tokyo Nishi Gotanda, Shinagawa-ku, Tokyo Kichijoji Honcho, Musashino City, Tokyo Sakae, Naka-ku, Nagoya Marunouchi, Naka-ku, Nagoya Ichigo Toyamaeki Nishi Building Jinzu Honmachi, Toyama City, Toyama O-39 Ichigo Mirai Shinkin Building Niagemachi, Oita City, Oita O-42 Ichigo Takamatsu Building Kotobukicho, Takamatsu City, Kagawa O-46 Ichigo Kanda Nishikicho Building Kanda-Nishikicho, Chiyoda-ku, Tokyo Form of Ownership Trust beneficiary interest in real estate Trust beneficiary interest in real estate Trust beneficiary interest in real estate Trust beneficiary interest in real estate Trust beneficiary interest in real estate Real estate Real estate Real estate Trust beneficiary interest in real estate Trust beneficiary interest in real estate Real estate Real estate Trust beneficiary interest in real estate Trust beneficiary interest in real estate Trust beneficiary interest in real estate Trust beneficiary interest in real estate 26 Appraisal Value1 (JPY million) Book Value2 (JPY million) % of Portfolio3 923 808 0.4 6,630 4,785 2.4 1,680 1,656 0.8 1,890 1,344 0.7 977 718 1,500 2,260 1,030 1,423 1,945 589 2,860 2,153 6,270 7,540 4,679 5,524 0.4 0.7 1.0 0.3 1.1 2.3 2.7 895 753 0.4 1,850 1,451 0.7 1,350 1,124 0.6 3,860 2,117 1.1 3,290 2,000 1.0 No. Asset Name Location O-47 Ichigo Akihabara North Building Sotokanda, Chiyoda-ku, Tokyo O-48 Ichigo Sakaisuji Honmachi Building Honmachi, Chuo-ku, Osaka O-49 Ichigo Kanda Ogawamachi Building Kanda-Ogawamachi, Chiyoda-ku, Tokyo O-50 Ichigo Hatchobori Building Shintomi, Chuo-ku, Tokyo O-51 Ichigo Ebisu Green Glass Ebisu Minami, Shibuya-ku, Tokyo O-52 Ichigo Omori Building Minami Oi, Shinagawa-ku, Tokyo O-53 Ichigo Takadanobaba Building Takadanobaba, Shinjuku-ku, Tokyo O-54 Ichigo Omiya Building O-55 Ichigo Sagamihara Building O-56 Ichigo Ofuna Building O-57 Ichigo Sendai East Building O-58 Ichigo Kumamoto Building Miyacho, Omiya-ku, Saitama City, Saitama Sagamihara, Chuo-ku, Sagamihara City, Kanagawa Ofuna, Kamakura City, Kanagawa Miyagino, Miyagino-ku, Sendai, Miyagi Karashimacho, Chuo-ku, Kumamoto City, Kumamoto O-59 Ichigo Jingumae Building Jingumae, Shibuya-ku, Tokyo O-60 Ichigo Shibuya Dogenzaka Building Maruyamacho, Shibuya-ku, Tokyo Form of Ownership Trust beneficiary interest in real estate Trust beneficiary interest in real estate Trust beneficiary interest in real estate Trust beneficiary interest in real estate Trust beneficiary interest in real estate Trust beneficiary interest in real estate Trust beneficiary interest in real estate Trust beneficiary interest in real estate Trust beneficiary interest in real estate Trust beneficiary interest in real estate Trust beneficiary interest in real estate Trust beneficiary interest in real estate Trust beneficiary interest in real estate Trust beneficiary interest in real estate 27 Appraisal Value1 (JPY million) Book Value2 (JPY million) % of Portfolio3 8,070 5,474 2.7 2,470 1,712 0.8 2,540 2,187 1.1 2,760 1,745 0.9 7,630 5,764 2.9 4,570 3,782 1.9 1,950 1,581 0.8 4,280 3,538 1.8 1,310 1,210 0.6 2,320 1,958 1.0 2,180 1,569 0.8 1,600 1,553 0.8 7,910 7,425 3.7 5,330 3,682 1.8 No. Asset Name Location O-61 Ichigo Hiroo Building Hiroo, Shibuya-ku, Tokyo Appraisal Value1 (JPY million) Book Value2 (JPY million) % of Portfolio3 4,730 3,986 2.0 O-62 Ichigo Sasazuka Building Sasazuka, Shibuya-ku, Tokyo 6,230 4,889 2.4 Form of Ownership Trust beneficiary interest in real estate Trust beneficiary interest in real estate Trust beneficiary interest in real estate Trust beneficiary interest in real estate Trust beneficiary interest in real estate Trust beneficiary interest in real estate Trust beneficiary interest in real estate Trust beneficiary interest in real estate Trust beneficiary interest in real estate Trust beneficiary interest in real estate Trust beneficiary interest in real estate Trust beneficiary interest in real estate Trust beneficiary interest in real estate Trust beneficiary interest in real estate 28 O-63 Ichigo Nihonbashi East Building Nihonbashi Bakurocho, Chuo-ku, Tokyo O-64 Ichigo Sakurabashi Building Hatchobori, Chuo-ku, Tokyo O-65 Ichigo Shinkawa Building Shinkawa, Chuo-ku, Tokyo O-66 Ichigo Kudan Building Kanda-Jimbocho, Chiyoda-ku, Tokyo O-67 Ichigo Higashi Gotanda Building Higashi Gotanda, Shinagawa-ku, Tokyo O-68 Axior Mita Mita, Minato-ku, Tokyo O-69 Ichigo Higashi Ikebukuro Building Higashi Ikebukuro, Toshima-ku, Tokyo O-70 Koriyama Big-i (Office Section) O-71 Ichigo Kawasaki Building Ekimae, Koriyama City, Fukushima Higashi Tamachi, Kawasaki-ku, Kawasaki City, Kanagawa O-72 Ichigo Shibuya East Building Higashi, Shibuya-ku, Tokyo O-73 Ichigo Ningyocho Building Nihonbashi Horidomecho, Chuo-ku, Tokyo O-74 Ichigo Nishi Honmachi Building Awaza, Nishi-ku, Osaka 5,620 4,371 2.2 3,180 2,544 1.3 3,020 2,391 1.2 3,710 3,233 1.6 4,410 3,637 1.8 2,370 1,706 0.8 5,460 4,601 2.3 2,140 1,505 0.7 2,280 1,814 0.9 1,550 1,381 0.7 1,600 1,490 0.7 2,500 2,192 1.1 No. Asset Name Location O-75 Ichigo Hakata Building Gionmachi, Hakata-ku, Fukuoka Appraisal Value1 (JPY million) Book Value2 (JPY million) % of Portfolio3 1,530 1,359 0.7 O-76 Ichigo Nishiki First Building Nishiki, Naka-ku, Nagoya 2,170 1,959 1.0 Form of Ownership Trust beneficiary interest in real estate Trust beneficiary interest in real estate Trust beneficiary interest in real estate Trust beneficiary interest in real estate Trust beneficiary interest in real estate Trust beneficiary interest in real estate Trust beneficiary interest in real estate Trust beneficiary interest in real estate Trust beneficiary interest in real estate Trust beneficiary interest in real estate Trust beneficiary interest in real estate Trust beneficiary interest in real estate Trust beneficiary interest in real estate Trust beneficiary interest in real estate 29 O-77 Ichigo Ikenohata Building Ikenohata, Taito-ku, Tokyo O-78 Ichigo Ikebukuro East Building Higashi Ikebukuro, Toshima-ku, Tokyo O-79 Ichigo Motoazabu Building Motoazabu, Minato-ku, Tokyo O-80 Ichigo Otsuka Building O-81 Ichigo Nagoya Building Minami Otsuka, Toshima-ku, Tokyo Meieki, Nakamura-ku, Nagoya O-82 Ichigo Fushimi Building Nishiki, Naka-ku, Nagoya O-84 Ichigo Minami Morimachi Building Matsugaecho, Kita-ku, Osaka O-85 Ichigo Shibuya Udagawacho Building Udagawacho, Shibuya-ku, Tokyo O-86 Win Gotanda Building O-87 Ichigo Hongo Building Nishi Gotanda, Shinagawa-ku, Tokyo Hongo, Bunkyo-ku, Tokyo 5,500 5,119 2.5 3,430 2,998 1.5 2,350 1,913 0.9 3,100 2,756 1.4 3,910 3,525 1.7 2,540 2,325 1.2 1,260 1,054 0.5 4,180 3,559 1.8 3,540 3,105 1.5 2,690 2,300 1.1 O-88 Oimachi Center Building Oi, Shinagawa-ku, Tokyo 2,090 1,698 0.8 O-83 Ichigo Nishiki Building Nishiki, Naka-ku, Nagoya 1,480 1,289 0.6 No. Asset Name Location O-89 Win Gotanda Building 2 Osaki, Shinagawa-ku, Tokyo O-90 MIF Building Uchikanda, Chiyoda-ku, Tokyo O-91 Ichigo Uchi Honmachi Building O-92 Ichigo Minami Otsuka Building O-93 Ichigo Nogizaka Building Uchi Honmachi, Chuo-ku, Osaka Minami Otsuka, Toshima-ku, Tokyo Akasaka, Minato-ku, Tokyo O-94 Ichigo Hakata East Building Hakataeki Higashi, Hakata-ku, Fukuoka O-95 Ichigo Nakameguro Building O-96 Ichigo Tachikawa Building Aobadai, Meguro-ku, Tokyo Akebonocho, Tachikawa, Tokyo Z-09 Future IZUMI Fuchucho, Izumi City, Osaka Z-10 Ichigo Shibuya Bunkamura Dori Building Udagawacho, Shibuya-ku, Tokyo Z-11 Twicere Yokohama Isogo (Retail Section) Mori, Isogo-ku, Yokohama Z-14 Ichigo Kamata Building Nishi Kamata, Ota-ku, Tokyo Form of Ownership Trust beneficiary interest in real estate Trust beneficiary interest in real estate Trust beneficiary interest in real estate Trust beneficiary interest in real estate Trust beneficiary interest in real estate Trust beneficiary interest in real estate Trust beneficiary interest in real estate Trust beneficiary interest in real estate Trust beneficiary interest in real estate Trust beneficiary interest in real estate Trust beneficiary interest in real estate Trust beneficiary interest in real estate Appraisal Value1 (JPY million) Book Value2 (JPY million) % of Portfolio3 3,610 3,289 1.6 2,370 2,191 1.1 2,180 2,001 1.0 3,270 2,858 1.4 3,620 3,507 1.7 2,610 2,287 1.1 1,640 1,550 0.8 4,010 3,832 1.9 563 1,051 0.5 3,040 2,450 1.2 1,500 1,445 0.7 1,530 1,447 0.7 Total 246,330 201,489 100 1 Pursuant to Ichigo Office’s internal rules and the rules of the Investment Trusts Association of Japan, Appraisal Value at period-end is an appraisal value from the Japan Real Estate Institute, Daiwa Real Estate Appraisal, Tanizawa Sōgō Appraisal, or Rich Appraisal Institute. 2 Book Value at period-end does not include construction in progress and construction in progress in trust. 3 % of Portfolio is based on book value. 30 Major Capital Expenditures a. Major Planned Capital Expenditures (as of April 30, 2022) Asset Name (Location) Purpose Timing Total Expenditures (JPY thousand) Amount Already Paid (JPY thousand) Koriyama Big-i (Office Section) (Koriyama City, Fukushima) Upgrade air conditioning systems (Phase 3) Ichigo Minami Morimachi Building (Osaka) Renovate exterior walls Dec 2022 49,000 Nov 2022 31,870 1,000 Ichigo Otsuka Building (Toshima-ku, Tokyo) Renovate exterior walls Dec 2022 30,670 Ichigo Sagamihara Building (Sagamihara City, Kanagawa) Ichigo Takatanobaba Building (Shinjuku-ku, Tokyo) Upgrade elevator Jan 2023 25,162 Upgrade elevator Nov 2022 23,020 Ichigo Uchikanda Building (Chiyoda-ku, Tokyo) Renovate exterior walls Apr 2023 20,470 Oimachi Center Builidng (Chiyoda-ku, Tokyo) Ichigo Shin Yokohama Building (Yokohaa) Ichigo Kudan 2 Chome Building (Chiyoda-ku, Tokyo) Ichigo Nishi Gotanda Building (Shinagawa-ku, Tokyo) Ichigo Yotsuya 4 Chome Building (Shinjuku-ku, Tokyo) Upgrade air conditioning systems Upgrade high-voltage switching equipment (Phase 1) Renovate tenant spaces Mar 2023 20,470 Feb 2023 17,860 Jul 2022 15,370 Upgrade elevators May 2022 12,310 Renovate tenant spaces Jun 2022 5,120 31 – – – – – – – – – – b. Major Capital Expenditures during the Current Fiscal Period (April 2022) During the April 2022 fiscal period, capital expenditures totaled JPY 808,604 thousand. Of this total JPY 674,547 thousand were capitalized and JPY 134,056 thousand were treated as expenses (Building Maintenance & Repair Expenses). Asset Name (Location) Purpose Timing Total Expenditures (JPY thousand) Koriyama Big-i (Office Section) (Koriyama City, Fukushima) Upgrade air conditioning systems (Phase 2) Sep – Dec 2021 48,251 Ichigo Kumamoto Building (Kumamoto) Upgrade elevator (Lift No. 1) Oct – Dec 2021 29,140 Ichigo Kudan 2 Chome Building (Chiyoda-ku, Tokyo) Renovate all common spaces Mar – Apr 2022 28,630 Future IZUMI (Izumi City, Osaka) Upgrade machine and equipment Dec 2021 – Mar 2022 24,040 Ichigo Minami Morimachi Building (Osaka) Upgrade elevators (Phase 2) Oct – Nov 2021 10,745 Other Total 533,741 674,547 32