Notice Regarding the Determination of Price and Other Details for New Investment Unit Issuance and Investment Unit Offering

Overview of Capital Policy

Japan Real Estate Investment Corporation decided the price for the issuance of new investment units and investment unit offering at the board meeting held on March 19, 2026, with the determination made on March 25, 2026. The general offering consists of 161,200 units, of which 70,493 units are for European and Asian overseas investors. The issue price is 115,898 yen per unit, and the payment price is 112,350 yen per unit, with a total payment scheduled of approximately 18.11 billion yen. The overallotment offering consists of 8,060 units, and the third-party allotment for new investment units expects a maximum payment receipt of approximately 905 million yen.

Use of Proceeds and Future Outlook

The net proceeds of approximately 18.11 billion yen from the general offering will be allocated to the acquisition funds of domestic real estate and domestic real estate trust beneficiary rights announced on March 19, 2026, and partial repayment of short-term borrowings of 15 billion yen. The cap on the proceeds from the third-party allotment will be held as cash on hand to be applied for specific asset acquisitions or debt repayments in the future. The issue price was calculated based on the closing price on March 25, 2026, less expected distributions and a 2.00% discount rate. The payment date is April 1, 2026, with settlement scheduled for April 2.