First REIT Management Limited, in its capacity as manager of First Real Estate Investment Trust announced that PT Karya Sentra Sejahtera, an indirect wholly-owned subsidiary of First REIT has entered into a master lease agreement with PT Lippo Karawaci Tbk in respect of the lease renewal of Imperial Aryaduta Hotel & Country Club for a term commencing 1 January 2023 and ending 31 December 2023. Term Under the Renewed IAHCC MLA, PT KSS has a right to terminate for any reason prior to the expiry of the Term by giving no less than six months' written notice to LPKR. If LPKR gives written notice to PT KSS, not later than 14 weeks before the expiry date of the Term, that it requires a further lease and at the expiry date of the Term, LPKR is not in default under the Renewed IAHCC Master Lease Agreement, upon the mutual agreement of PT KSS and LPKR, PT KSS shall grant to LPKR a lease of IAHCC for a further term of one year commencing on the date after the expiry date of the Term.

The lease for the Further Term shall be on terms and conditions (including the rent payable for the Further Term) to be mutually agreed in good faith between PT KSS and LPKR. Rent The rent payable by LPKR for the Term shall be a fixed amount of 20,235,751,296 Indonesian Rupiahs, which shall be paid by LPKR in Indonesian Rupiah and shall be paid quarterly in advance. Prior to the finalisation of the terms of the Renewed IAHCC MLA, Colliers International Consultancy & Valuation (Singapore) Pte Ltd, in collaboration with KJPP Rinaldi Alberth Baroto & Partners was commissioned by the Manager and Perpetual (Asia) Limited, in its capacity as trustee of First REIT, to provide an independent assessment on the fair market rental rate(s) of IAHCC.

The Independent Valuer had, on 9 December 2022, issued its independent valuation report on the fair market rental rate(s) for IAHCC. As set out in the Independent Valuation Report, having considered all relevant information, the Independent Valuer considers that the rental rate under the Renewed IAHCC MLA is reasonable and in line with market. Security Deposit Under the Renewed IAHCC MLA, LPKR is required to pay to and maintain with PT KSS, for the duration of the Term, a security deposit equivalent to three months of the monthly rent payable by LPKR in accordance with the terms of the Renewed IAHCC MLA for the Term.