Notice Regarding Revision of Earnings Guidance for the Fiscal Year Ending September 2026 and Earnings Guidance for the Fiscal Year Ending March 2027

Overview of Revision to Earnings Guidance

Japan Real Estate Investment Corporation has revised upward its earnings guidance for the fiscal year ending September 2026: operating revenue from 41,150 million yen to 43,580 million yen, operating income from 19,340 million yen to 21,410 million yen, ordinary income from 17,580 million yen to 19,370 million yen, and net income attributable to owners of parent from 17,800 million yen to 19,110 million yen. The dividend per unit remains unchanged at 2,561 yen. The revision reflects multiple property acquisitions and additional purchases, contributing to an increase in managed assets.

Earnings Guidance and Assumptions for the Fiscal Year Ending March 2027

For the fiscal year ending March 2027, operating revenue is forecasted at 42,090 million yen, operating income at 20,100 million yen, ordinary income at 18,020 million yen, net income attributable to owners of parent at 18,300 million yen, and dividend per unit at 2,586 yen. The portfolio consists of 78 properties with an average occupancy rate of 99% expected during the period, and interest-bearing debt is planned at 468,190 million yen. Gains on the sale of Akasaka Park Building and rational assumptions regarding rental fee fluctuations from lease renewals are factored in. The impact of the new lease accounting standard is fully reflected, with excess profit distributions expected to be zero.