KDX Realty Investment Corporation ("KDXR") announced that Kenedix Real Estate Fund Management Inc., decided to build a new building ("the New Building") through construction (property expansion) at Ashico Town Ashikaga ("the Property"), an existing property of KDXR. Property Name: (C2013) Ashico Town Ashikaga Restaurant Building. Location: Ashikaga, Tochigi.

Type of Specified Asset: Real estate. Usage: Retail. Zoning: Industrial area.

Expected Gross Floor Area: Approximately 201.17 m2 (planned). Expected Structure /No. of Floors: Steel structure one-story building (planned).

Expected Construction Costs: Approximately JPY 155 million (excluding consumption tax) (planned). Construction Funds: Cash on hand. Construction Company: Daiwa House Industry Co.

Ltd. (planned). Assumed Increase in NOI: Approximately JPY 14 million (increase due to expansion). Assumed NOI Yield: Approximately 9.4% (assumed increase in NOI to construction costs).) Expected Completion Date: Late October 2024 (planned) (planned acquisition date).

Schedule: Decision to construct the New Building: February 29, 2024. Construction Starts: Early May 2024 (scheduled). Completion and Transfer of the New Building: Late October 2024 (scheduled).

Future outlook: There are no changes to the forecasts of fiscal period ending October 31, 2024 (May 1, 2024 to October 31, 2024) as the impact of the construction of the New Building is minimal. There is no impact to the forecasts of fiscal period ending April 30, 2024 (November 1, 2023 to April 30, 2024) as the construction of the New Building is scheduled to start in early May.