Daiwa Securities Living Investment : Notice Concerning Borrowing of Funds

April 21, 2022

To All Concerned Parties

REIT Issuer: Daiwa Securities Living Investment Corporation

6-2-1 Ginza, Chuo-ku, Tokyo 104-0061

Yoshio Urata, Executive Director

(Securities Code: 8986)

Asset Manager: Daiwa Real Estate Asset Management Co. Ltd.

Yoshiki Nishigaki, President and Chief Executive Officer

Inquiries: Kentaro Azuzmi, General Manager, Corporate Division

Tel: [phone]

Notice Concerning Borrowing of Funds

Daiwa Securities Living Investment Corporation (hereinafter referred to as the "Investment Corporation") has decided today to borrow 3,300 million yen in total (hereinafter referred to as the "Financing").

I. The Financing

1. Borrowing of Funds

• (1) Reason for the Borrowings i). The fund is to be appropriated for the assets acquired on February 1, 2022 and April 1, 2022 (hereinafter referred to as the "recently acquired assets") (temporarily acquired with own funds). For the recently acquired assets, please refer to the press releases dated January 31, 2022 entitled "Notice Concerning Acquisition of Asset (Es Casa Tennoji Kokubucho)" and dated March 23, 2022 entitled "Notice Concerning Acquisition of Asset (Bienestyle Kiyosumishirakawa)."

  ii). The fund is to be appropriated for refinancing the existing borrowings of totaling 500 million yen, which are due for repayment on April 28, 2022.

• (2) Summary of Borrowings

  The Investment Corporation has decided to borrow a total of 3,300 million yen from financial institutions with existing transactions and a new institution.

Individual Loans Concerning Reason for the Borrowings i)

Lenders	Amount of borrowing (JPY million)	Interest rate	Drawdown date	Method	Due date
The Yamaguchi Bank, Ltd.	900	3-month JBA Japanese Yen TIBOR+0.5575% (Note)	April 28, 2022	Unsecured, Lump-sum repayment on the due date	October 31, 2030
THE NISHI-NIPPON CITY BANK, LTD.	900	3-month JBA Japanese Yen TIBOR+0.4325% (Note)	April 28, 2028
The Gunma Bank, Ltd.	1,000	3-month JBA Japanese Yen TIBOR+0.5575% (Note)	October 31, 2030

(Note) The Interest Payment Date is the last day of January, April, July and October of each year after July 29, 2022 (if the relevant day is not a business day, the next business day, and if the next business day falls into the next month, the immediately preceding business day). The base interest rate applied to the calculation period for interest paid on the Interest Payment Date is calculated on the basis of the 3-month JBA TIBOR published two business days prior to the commencement of the calculation period for interest.

Individual Loans Concerning Reason for the Borrowings ii)

Lenders	Amount of borrowing (JPY million)	Interest rate	Drawdown date	Method	Due date
The Musashino Bank, Ltd.	500	3-month JBA Japanese Yen TIBOR+0.4075% (Note)	April 28, 2022	Unsecured, Lump-sum repayment on the due date	April 30, 2027

(Note) The Interest Payment Date is the last day of January, April, July and October of each year after July 29, 2022 (if the relevant day is not a business day, the next business day, and if the next business day falls into the next month, the immediately preceding business day). The base interest rate applied to the calculation period for interest paid on the Interest Payment Date is calculated on the basis of the 3-month JBA TIBOR published two business days prior to the commencement of the calculation period for interest.

2. The Date of This Agreement

April 21, 2022

Ⅱ. Status of the Balance and Interest-bearing Debt Ratio Before and After the Financing.

(Unit: JPY million)

Before the Financing	After the Financing	Change
（April 27, 2022）	（April 28, 2022)
Short-term borrowings (Note1)	0	0	0
Long-term borrowings (Note1) (Long-term borrowings due within one year) (Note2)	156,787	159,587	2,800
19,400	18,900	▲500
Total borrowings	156,787	159,587	2,800
Investment corporation bonds	22,100	22,100	0
Total interest-bearing debt	178,887	181,687	2,800

(Note1) The debt periods for short-term borrowings are within one year and long-term borrowings are over one year.

(Note2) Long-term borrowings due within one year represent borrowings due within one year from the respective dates indicated above.

Ⅲ. Forecasts

There is minimal impact from the Financing on asset management conditions for the fiscal period ending September 30, 2022 (April 1, 2022 to September 30, 2022).

Ⅳ. Other

As for risks pertaining to the Financing, there are no material changes to the "Investment risks" stated in the 31st Financial Period Securities Report (submitted on December 22, 2021) (including subsequent corrections).

*URL:https://www.daiwa-securities-living.co.jp/en/