Sekisui House Reit : Notice Concerning Borrowing of Funds

July 8, 2022

Real Estate Investment Trust Securities Issuer

Sekisui House Reit, Inc.

Representative:	Atsuhiro Kida, Executive Director
	(Securities Code: 3309)
Asset Management Company
Sekisui House Asset Management, Ltd.
Representative:	Toru Abe,
	President & Representative Director
Inquiries:	Koichi Saito, Chief Manager
	Investor Relations Department
	TEL: [phone] (main)

Notice Concerning Borrowing of Funds

Sekisui House Reit, Inc. ("SHR") hereby announces that it has decided today to undertake new borrowings (the "Borrowing") as described below.

1. Terms of the Borrowing Fixed Interest Rate Borrowing

	Lenders	Borrowing	Interest rate	Drawdown	Borrowing	Repayment	Repayment
Category	amount	(Note 2) (Note 3)	date	method	Security
(Note 1)	date	method
	(mm yen)	(Note 4)	(Note 5)	(Note 6)
	Sumitomo Mitsui	550
	Trust Bank, Limited
	Mizuho Trust &	350
	Banking Co., Ltd.				February 26,
		To be determined
	Resona Bank,	500			2027
	Limited.
	The Norinchukin	400
	Bank			Borrowing
	MUFG Bank, Ltd.	1,400			based on
			individual loan
	(Note 7)
				agreement,
	Mizuho Bank, Ltd.	1,050			dated July 8,		Lump-sum	Unsecured
			2022.
Long-
			July 13, 2022		repayment	and
Sumitomo Mitsui			The lenders
term
Banking	600				at maturity	Unguaranteed
			under the loan
	Corporation				agreement are
	Sumitomo Mitsui	500			as indicated to
	Trust Bank, Limited			the left of this	February 28,
		To be determined
				table.	2030
	Mizuho Trust &
	300
	Banking Co., Ltd.
	Resona Bank,	450
	Limited.
	Development Bank	550
	of Japan Inc.
	The Norinchukin	350
	Bank
	Total	7,000	－	－	－	－	－	－

Disclaimer: This translation is for informational purposes only. If there is any discrepancy between the Japanese version and the English translation, the Japanese version shall prevail.

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(Note 1) MUFG Bank, Ltd., Mizuho Bank, Ltd., and Sumitomo Mitsui Banking Corporation are arrangers of the Borrowings.

(Note 2) The interest rates will be announced once determined.

(Note 3) The first interest payment date will be the last day of February 2023, and subsequent interest payment dates will be the last day of every six months thereafter and the principal repayment date. Where the relevant date is not a business day, such date will be the immediately following business day or (if the immediately following business day falls into the next calendar month) the immediately preceding business day.

(Note 4) The first interest calculation period is from July 13, 2022 to the last day of February 2023.

(Note 5) Where the repayment date is not a business day, such date will be the immediately following business day or (if the immediately following business day falls in the next calendar month) the immediately preceding business day.

(Note 6) SHR may, by giving prior written notice and if certain other terms and conditions are met, make early repayment of the Borrowings (in whole or in part), in the period between the drawdown date and the repayment date.

(Note 7) The borrowing from MUFG Bank, Ltd. is ESG Loan for J-REIT.

1. Purpose of the Borrowing
   The Borrowing (7,000 million yen) is for use as repayment funds of the long-term borrowings (7,000 million yen) which is due for repayment on July 13, 2022 (the "Existing Borrowing").
   For details of the Existing Borrowing, please refer to "Notice Concerning Borrowing of Funds and Establishment of Interest Rate Swaps" announced on November 28, 2017.
2. Amount, Use and Scheduled Outlay of Funds to be Procured from the Borrowing

1. Amount of funds to be procured 7,000 million yen
2. Specific use of funds to be procured
   Funds for repayment of the Existing Borrowing
3. Scheduled outlay July 13, 2022

4. Status of Borrowings, etc. after the Borrowing

				(Unit: million yen)
		Before the Borrowing	After the Borrowing	Increase (Decrease)
		(Note 1)
Short-term borrowings (Note 2)	7,700	7,700	－
Long-term borrowings (Note 2)	224,442	224,442	－
	(repayment due within one year)	33,200	26,200	(7,000)
Total borrowings	232,142	232,142	－
Investment corporation bonds	31,500	31,500	－
	(redemption due within one year)	－	－	－
Total interest-bearing liabilities	263,642	263,642	－

(Note 1) Before the Borrowing indicates the balance after the borrowing described in "Notice Concerning Borrowing of Funds" announced on July 6, 2022

(Note 2) Short-term borrowings refer to borrowings due for repayment within a period of one year or less from the relevant drawdown date, and long-term borrowings refer to borrowings due for repayment within a period of more than one year from the relevant drawdown date.

5. Other Matters Necessary for Investors' Appropriate Understanding/Judgment of Relevant Information With regard to risks associated with the Borrowing, there is no change from the contents of "Part 1. Fund Information; Section 1. Status of Fund; 3. Investment Risks" of the securities report submitted on January 25, 2022.

• Sekisui House Reit, Inc. website:https://sekisuihouse-reit.co.jp/en/

Disclaimer: This translation is for informational purposes only. If there is any discrepancy between the Japanese version and the English translation, the Japanese version shall prevail.

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