48th Fiscal Period December 2025 Financial Results Presentation Materials

Overview of Financial Performance

Operating revenue for the fiscal period ending December 2025 was 20,346 million yen, a 2.2% decrease year-over-year; however, rental business income increased by 3.5% to 9,742 million yen. Operating income decreased by 6.3% to 10,547 million yen, while ordinary income and net income attributable to owners of parent both declined by 8.5% to 9,446 million yen. Distributions per unit rose by 5.2% to 2,111 yen, with the total number of investment units at 4,048,256. For the fiscal period ending December 2026, earnings guidance anticipates operating revenue of 19,382 million yen, operating income of 9,234 million yen, net income of 7,962 million yen, and distributions per unit of 2,120 yen.

Growth Strategy and Asset Management

The rental growth rate is expected to exceed the medium-term target of 1.8% annually, reaching 2.3%, supported by proactive rental increase negotiations to build growth momentum. The asset scale aims for early achievement of over 600 billion yen, acquiring three properties totaling 31.9 billion yen through a public offering, and securing approximately 62 billion yen in acquisition capacity via debt. Considering the widening spread between long- and short-term interest rates, cost containment is promoted through flexible use of long-term variable rates and medium-term maturities. The portfolio maintains a strong composition with an 83.8% weighting in the Tokyo area and 80.4% in office use, sustaining an average occupancy rate of 99.0%.