Japan Hotel REIT Investment : Notice Concerning New Loan (Refinancing)

This English translation is provided for information purposes only. If any discrepancy is identified between this translation and the Japanese original, the Japanese original shall prevail.

June 23, 2022

REIT Issuer:

Japan Hotel REIT Investment Corporation (TSE code: 8985)

Kaname Masuda, Executive Director

Asset Management Company:

Japan Hotel REIT Advisors Co., Ltd.

Hisashi Furukawa, Representative Director and President

Contact:

Makoto Hanamura

Director of the Board, Managing Director

Head of Finance and Planning Division

TEL: [phone]

Notice Concerning New Loan (Refinancing)

Japan Hotel REIT Investment Corporation (hereinafter called "JHR") informs you that JHR resolved as below today on new borrowing (hereinafter called the "New Loan") for the purpose of refinancing of the existing loan due on June 23, 2022.

1. Summary of the New Loan

JHR plans to refinance the existing loan, which is due on June 30, 2022 (hereinafter called the "Loans Scheduled for Repayment").

2. Details of the New Loan

1. Total Amount of the New Loan JPY1,423M
2. Details of the New Loan

Name of Loan	Term Loan 75
Lender	Aozora Bank, Ltd.
Amount of the New Loan	JPY1,000M
Interest Rate	Base interest rate (JBA Japanese Yen TIBOR for 3 months) + 0.50% (*)
Date of Borrowing	June 30, 2022 (plan)
	Individual loan contracts to be concluded on June 28, 2022 with the lenders
Method of Borrowing	indicated above based on the Basic Agreement concluded on November 13,
	2013 (including subsequent amendments).
	The interest payment dates shall be at the end of September 2022, the end of
Interest Payment Date	December 2022, the end of March 2023 (if the payment date is not a business
	day, it shall be paid on the preceding business day) and on the maturity date.
Method of Principal Repayment	Lump-sum payment on the maturity date
Maturity Date	June 30, 2023 (borrowing term: 1 year)
Collateral	Unsecured/Unguaranteed

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Name of Loan	Term Loan 76
Lender	Sumitomo Mitsui Banking Corporation, Mizuho Bank, Ltd., Sumitomo
Mitsui Trust Bank, Limited
Amount of the New Loan	JPY423M
Interest Rate	Base interest rate (JBA Japanese Yen TIBOR for 1 month) + 0.50% (*)
Date of Borrowing	June 30, 2022 (plan)
	Individual loan contracts to be concluded on June 28, 2022 with the lenders
Method of Borrowing	indicated above based on the Basic Agreement concluded on November 13,
	2013 (including subsequent amendments).
	The first interest payment date is the end of July 2022. Subsequent interest
Interest Payment Date	payment dates shall be end of each month (if the payment date is not a
business day, it shall be paid on the preceding business day) and on the
	maturity date.
Method of Principal Repayment	Lump-sum payment on the maturity date
Maturity Date	December 30, 2022 (borrowing term: 6 months)
Collateral	Unsecured/Unguaranteed

1. For Term Loan 75 and Term Loan 76, base interest rate to be applied to the calculation period for the interest to be paid at interest payment dates will be JBA Japanese Yen TIBOR for 3 months and Yen TIBOR for 1 month at 2 business days prior to preceding interest payment date respectively. Please refer to the website of JBA TIBOR Administration for the JBA Japanese Yen TIBOR (http://www.jbatibor.or.jp/english/rate/).

3. Summary of the Loan Scheduled for Repayment

1. Summary of the repayment
   JHR plans to repay the loan with using the New Loans.
2. Total amount of the repayment JPY1,423M
3. Scheduled date of the repayment June 30, 2022
4. Details of the subject individual loan

		Loan	Term Loan 14
		Lenders	Aozora Bank, Ltd., MUFG Bank, Ltd.
		Date of borrowing	July 10, 2015
		Maturity date	June 30, 2022
		Borrowing balance	JPY1,423M
4. Status of the Interest-Bearing Debt Before and After the New Loans (scheduled)
								(Unit: millions of yen)
		Category			Before		After	Variance
			Short-term loans		31,013		32,436	+1,423
						2

		Long-term loans (*2)	93,641		92,218	(1,423)
Total Loans	124,654		124,654	0
Total investment corporation bonds	40,100		40,100	0
	Total interest-bearing debt	164,754		164,754	0
(*1)	Amounts are rounded down to the nearest millions of yen.
(*2)	Long-term loans payable within one year are included in the long-term loans.

• The fixed interest rate ratio to the total interest-bearing debt after the New Loan is forecasted to be around 78%.

5. Other

With respect to the risks of the New Loans, no important change is required for the "Investment Risks" in the Securities Report submitted on March 24, 2022.

* Website of Japan Hotel REIT Investment Corporation: https://www.jhrth.co.jp/en

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