Business Outline

- The Fund has started as a joint venture with a business partner after preparation for one and a half years.

- The Fund focuses on logistic properties under co-asset management with the business partner.

- Fund size of JPY50 billion equity. Additional acquisition is possible.

- Our parent company and the business partner have made co-investments and a Japanese financial institution has also joined as an LP.

- The first closing was in February 2014. The second property acquisition was done in April 2014, the third in October 2014 and the fourth in June 2017.

■ Fund Outline

◯ Fund Start ： 2014　◯ Fund Period ： 7years　◯ Fund Structure ： Double GK-TK Structure　
◯ Investor： Domestic financial institutions・Kokyo Tatemono・Business Partner
◯ Lender ： A Mega Bank of Japan　◯ Asset Manager：Kokyo Asset Management and AM Company of Business Partner

■ Property Outline

◯ Property Type： Logistic　◯ Location ： Tokyo, Chiba and Saitama　◯ Number of Properties：Seven(7)　◯ Building Completion Year： 2006 to 2016

- The Fund has started as the third fund of core residential fund which aims for mid to long term stable returns. The Fund aims to invests into rental residential properties in Tokyo 23 wards, Osaka City, Nagoya City and Fukuoka City.

- Investors are several domestic financial institutions.

- Have procured non-recourse loans from a Japanese bank for 7-year period (excluding a tail period).

- 2 properties have been acquired brand-new, 1 property has been acquired at 1 year old and 1 has been acquired at 3-year-old.

- The Fund aims to enjoy stable income return from properties of by young building age in superior locations.

■ Fund Outline

◯ Fund Start ： 2019　◯ Fund Period ： 7years　◯ Fund Structure ： GK-TK Structure　
◯ Investor： Several domestic financial institutions
◯ Lender ： Domestic Bank　◯ Asset Manager：Kokyo Asset Management

■ Property Outline

◯ Property Type： Residential　◯ Location ： Tokyo, Aichi, Osaka and Fukuoka　◯ Number of Properties：Five (5) (of which, the four(4)  have been acquired)　◯ Building Completion Year： 2016 to 2021 (scheduled)

- The Fund has started as a separate account on behalf of a Japanese institutional investor by acquiring an office building of young age located in Tokyo Metropolitan Area.

- The Fund aims to enjoy stable core return on full equity or low leveraged investment.

- We leased up vacancies with good credit tenants.

- The Fund period of 5 years.

- The Fund size is JPY7 billion.

■ Fund Outline

◯ Fund Start ： 2014　◯ Fund Period ： 5years　◯ Fund Structure ： GK-TK Structure　
◯ Investor： Separate Account by a domestic financial institution
◯ Lender ： Domestic Bank　◯ Asset Manager：Kokyo Asset Management

■ Property Outline

◯ Location ： Tokyo Metropolitan Area　◯ Property Type：Office and Parking Lot　◯ Land Size： 600 tsubo ◯ GFA ： 3000 tsubo
◯ Floor plate：300 tsubo or larger　◯ Completion Year： 2008

- The Fund has been formed to develop a mid-scale resort hotel in Okinawa.

- An operator is a domestic operator.

- The building size of GFA of 4,700 tsubo with 200 rooms.

- The total cost is JPY11 billion and the development period is 2 years.

- The structure is TMK. Full equity investment during development phase and plans to procure a non-recourse loan and invite additional investors upon completion of building.

- Development permit has been obtained.

■ Fund Outline

◯ Fund Start ： 2019　◯ Fund Period ： Not defined　◯ Fund Structure ： TMK (for development)　◯ Investor ： A large domestic developer

◯ Lender： NA (plant to borrow upon completion)　◯ Asset Manager ： Kokyo Asset Management

■ Property Outline

◯ Location ：Okinawa　◯ Property Type ：Hotel　◯ Structure ：RC 5 floors　◯ Completion ：2023 (scheduled)

- We have been engaged by a property trustee which is entrusted a non-recourse loan to a beneficiary who is an operating company.

- The total asset is JPY8.5 billion.

- By doing so, the operating company has successfully procured a non-recourse loan on their balance sheet without selling a property which is booked at a low cost.

- The client has additionally borrowed a loan on a brand-new commercial building in 2020.

■ Fund Outline

◯ Fund Start ： 2017　◯ Fund Period ： 5 years　◯ Fund Structure ： Entrusted loans　◯ Investor ： A domestic company

◯ Lender ： Domestic Bank　◯ Asset Manager ： Kokyo Asset Management

■ Property Outline

◯ Location ： Tokyo (7 properties)　◯ Property Type ： Urban commercial buildings, residential and land　◯ Number of Property ： Seven (7)

■ Provided M&A advisory services to a purchaser of a real estate company with an office building.

◯ Client ： A domestic real estate company　◯ Subject Asset ： A real estate owning company which owned an office building in Tokyo CBD.

◯ Engaged services ： Support to property acquisition and company acquisition　◯ Size ： The total size of less than JPY2 billion

■ Services we provided

◯ Advisory upon acquisition of the company　◯ Valuation of the subject property and structuring

◯ Support on due diligence (tax and legal) on the company　◯ Support on due diligence (real estate) on the subject asset

◯ Negotiation with the seller　◯ Support in procuring loan for acquisition　◯ Preparation and valuation of real estate development scenario

・ Successfully acquired a company at an appropriate price by supporting our client in making decisions based on detail research and analysis.

・After M&A, we were also engaged as adviser to disposition of the property. We realized disposition at a price higher than our business plan by naming up and approaching candidate buyers.