Advance Residence Investment : Notice Concerning Debt Financing and Repayment of Loans

September 23, 2020

For Immediate Release

Advance Residence Investment Corporation

Securities Code：3269

1-105Kanda-Jinbocho,Chiyoda-ku, Tokyo

Wataru Higuchi, Executive Director

Asset Management Company:

AD Investment Management Co., Ltd.

Takeshi Takano, President

Inquiries:

Hiroshi Kawakami, Managing Director, CFO

TEL. [phone]

Notice Concerning Debt Financing and Repayment of Loans

Advance Residence Investment Corporation (ADR) announced today its decisions to borrow funds to repay loans coming due.

1. Debt Financing (drawdown date: September 30, 2020)

1. Details of the Debt Financing

(JPY:million)

Planned

Scheduled

Principal

Repayment

Principal

Collateral/

No.

Lender

Drawdown

Interest Rate

Repayment

Amount

Period

Repayment

Guarantee

Date

date

1

Mizuho Trust & Banking

1,000

Unfixed(Note1)

September

10.0 year

Pay in full

September

30, 2030

Unsecured

on the

30, 2020

Non-guaranteed

September

maturity date

2

The Norinchukin Bank

1,000

Unfixed(Note1)

8.0 year

29, 2028

Total or Weighted Average

2,000

9.0 year

(Note1) Interest payment dates are the last business day of every January, April, July, October starting October 31, 2020 and ending on the principal repayment date. The interest rate for the loan will be announced separately.

(2) Purpose of the Debt Financing

To repay existing loans due on September 30, 2020.

1

[Provisional Translation]

This English translation of the original Japanese document is provided solely for informational purposes. Should there be any discrepancies between this translation and the Japanese original, the latter shall prevail.

1. Scheduled Contract Date of the Debt Financing September 28, 2020

2. Details of the Loans to be Repaid

(JPY:million)

Planned

Scheduled

Principal

Repayment

Principal

Collateral/

No.

Lender

Drawdown

Interest Rate

Repayment

Amount

Period

Repayment

Guarantee

Date

date

1

Mizuho Trust & Banking

1,000

Pay in full

September

September

Unsecured

1.06800% (Note2)

7.1 year

on the

13, 2013

30, 2020

Non-guaranteed

maturity date

2

The Norinchukin Bank

1,000

Total or Weighted Average

2,000

1.06800% (Note2)

7.1 year

(Note2) The interest rate is fixed through interest rate swap.

Reference Material: Debt Financing Balance (As of September 30, 2020)

					（JPY:million）
		Before Refinancing		After Refinancing	Increase (Decrease)
	Short-term Loans (Note3)	1,500	1,500	-
	Long-term Loans (Note3)	185,088	185,088	-
Total Loans	186,588	186,588	-
Corporate Investment Bonds	33,000	33,000	-
Total interest-bearing debt	219,588		219,588	-

(Note3) Short-term loans are loans with maturity dates within one year from drawdown date and long-term loans are loans with maturity dates that are more than one year away.

About Advance Residence Investment Corporation

Advance Residence Investment Corporation is the largest residential J-REIT, investing in over 270 rental apartments located mostly in central Tokyo and in other major cities throughout Japan (AUM over 450 billion yen). ADR can be expected have a stable dividend in the long-term and can be considered as a defensive J-REIT, on back of the stable income from residential assets and with the largest dividend reserve among J-REITs.

ADR's website:https://www.adr-reit.com/en/

2

[Provisional Translation]

This English translation of the original Japanese document is provided solely for informational purposes. Should there be any discrepancies between this translation and the Japanese original, the latter shall prevail.