Kenedix Office Investment : Summary of IR Presentation Material for the Fiscal Period Ended October 31, 2022

Table of Contents

Section 1	Management Highlight	P. 2
Section 2 Financial Results and Earning Forecasts	P. 4
Section 3	Management Status	P. 10
Section 4	Financial Status	P. 22
Section 5 Initiatives for Sustainability	P. 26
Section 6	Future Initiatives	P. 29

1

Section 1

Management Highlight

2

Management Highlight

Return to Unitholders

2022/10 period	14,488 yen	Compared to initial forecast +2.4%
DPU		Period over period	+3.5%

Acquisition and cancellation of own investment units (4,295 units, approx. 3.0 billion yen) during 22/10 period

External Growth

• AUM expanded to 457.0 billion yen due to recent asset reshuffling

			Annual NOI increase
Acquisition 19.4 bn yen		Sale 1.6 bn yen
22/4 period			(estimated)
KDX Sendai			736 mn yen
Honcho Building	AUM
6.3 bn yen	+17.8 bn yen		Gains on sale of
(April 28, 2022)		KDX Kiba Building	real estate
22/10 period	Asset
1.6 billion yen	240 mn yen
Edobashi Building	reshuffling
9.6 bn yen		(July 29, 2022)
		Provided amount of
(June 30, 2022)
		reserve for
Shionogi Kobe
		reduction entry
Building
3.4bn yen			304 mn yen
(August 1, 2022)

Internal Growth

• Although the vacancy rate was high in the fiscal period ended

October 31, 2022, the occupancy rate remained high due to appropriate leasing strategies based on market trends and tenant needs

• As the rent gap narrowed, monthly rents continued to increase

on a net basis due to rent revisions	Due to tenant
Occupancy rate	Monthly rent increase
replacements
97.8%	2.3 mn yen	-0.1 mn yen
Due to rent revisions
-0.5% from the end	Due to tenant replacements	2.4 mn yen
of previous period	and rent revisions

Finance

• Reduced interest rate levels and expanded lender formations

Average rate of	Financial	LTV
interest-bearing debt	institutions	(book value basis)
0.82%	26	45.4%
-0.02% from the end of	+1 from the end of	+1.3% from the end of
previous period	previous period	previous period

Sustainability

• Acquired "5 Star" (highest evaluation) and "Green Star"
  (11 consecutive years) in GRESB Real Estate Assessment for 2022
• Received the environmental certifications for 10 properties (Ratio of certified properties: 70.3% in total,
  +5.9% from the end of previous period)
• Initiatives to reduce GHG emissions
• • Introduced electricity derived from effectively renewable energy at 7 properties
  • Installed LED lightning in 4,600 tsubo of tenant area (Ratio based on leasable floor area: 39.3%,
    +3.7 from the end of previous period)
• Enhanced transparency of disclosure
  (Disclosed of GHG emissions by scope and obtained third-party assurance for the data of GHG emissions etc.)
• Established a green finance framework and procured 9.2 billion yen in green loans
• Human capital development
  (Investment ownership program and engagement survey)

Others

• Implemented a 2-for-1 unit split to increase liquidity (November 1, 2022)

3

Section 2

Financial Results and Earning Forecasts

4