Kenedix Residential Next Investment : Notice Concerning Execution of Interest Rate Swap Agreements

Translation of Japanese Original

August 27, 2020

To All Concerned Parties

REIT Issuer:

Kenedix Residential Next Investment Corporation

Representative: Keisuke Sato, Executive Director

(Securities Code: 3278)

Asset Management Company:

Kenedix Real Estate Fund Management, Inc.

Representative: Masahiko Tajima, President & CEO

Contact:Shin Yamamoto, Head of Planning

Division, Residential REIT Department

TEL:[phone]

Notice Concerning Execution of Interest Rate Swap Agreements

Kenedix Residential Next Investment Corporation (the "Investment Corporation") announced today the decision regarding the execution of interest-rate swap agreements. The details are as follows.

1. Interest Rate Swap Agreements

1. Reason for Executing the Interest Rate Swap Agreements
   For a hedge against possible increases in future interest rate for series 45①② with floating interest rate. For further details concerning the abovementioned debt financing, please refer to the press release "Notice Concerning Debt Financing and the Execution of Interest Rate Swap Agreements" announced on August 25, 2020.
2. Details of the Interest Rate Swap Agreements

			Series 45①		Series 45②
Counterparty			Nomura Securities Co.,Ltd.
Notional Amount		¥ 500 million		¥ 300 million
	Fixed interest			0.14000%
Interest	Rate for payment
Rate	Floating interest			Base rate (JPY TIBOR for 3 month)
	Rate for receipt
Commencement Date			August 31, 2020
Termination Date			August 31, 2028
			The first payment is due at the end of November 2020, and on the last day of every three months thereafter,
Payment Date		with the last payment on the principal repayment day.
	(If each payment day is a non-business day, then the payment will be due on the next business day and if the
			next business day is in the next month, then the previous business day will be applied.)

(Note) By entering into the interest rate swap agreements, the interest rate for series 45① is essentially fixed at 0.64000% and series 45② is essentially fixed at 0.69000%

• 2. Others

  In relation to the risks associated with the borrowings, there have been no significant changes to the "Investment Risks" stated in the securities report (Yuka shoken hokokusyo) submitted on April 28, 2020.

• Website URL of the Investment Corporation:https://www.kdr-reit.com/en/

[Provisional Translation Only]

English translation of the original Japanese document is provided solely for information purposes.

Should there be any discrepancies between this translation and the Japanese original, the latter shall prevail.

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