Ichigo Office Reit Investment Corporation · TSE:8975

Ichigo Office Reit Investment — October 2024 Earnings Presentation

62 slides from Ichigo Office Reit Investment's earnings presentation, Dec 16, 2024

1. Slide 1: Ichigo Office October 2024 Fiscal Period Corporate Presentation

   Ichigo Office (8975) Ichigo Office October 2024 Fiscal Period Corporate Presentation December 16, 2024 Ichigo Office REIT Investment Corporation (8975) Ichigo Investment Advisors Co., Ltd. © Ichigo Investment Advisors Co., Ltd. Ichigo Office REIT Investment Corporation All rights reserved. www.ichig

2. Slide 2: Make The World More Sustainable

   Make The World More Sustainable © Ichigo Investment Advisors Co., Ltd. Ichigo Office REIT Investment Corporation All rights reserved.

3. Slide 3: © Ichigo Investment Advisors Co., Ltd. Ichigo Office REIT Investment Corporation All rights reserved.

   © Ichigo Investment Advisors Co., Ltd. Ichigo Office REIT Investment Corporation All rights reserved.

4. Slide 4: © Ichigo Investment Advisors Co., Ltd. Ichigo Office REIT Investment Corporation All rights reserved.

   © Ichigo Investment Advisors Co., Ltd. Ichigo Office REIT Investment Corporation All rights reserved.

5. Slide 5: Ichigo – A Sustainable Infrastructure Company

   Ichigo – A Sustainable Infrastructure Company Whether developing new technologies to allow buildings to last 100 years, powering communities with clean energy, or creating new possibilities for tenants and stakeholders, Ichigo is working to build a more prosperous and sustainable society for all. ©

6. Slide 6: Agenda: October 2024 Results, Growth Strategy, Appendix

   October 2024 Results Appendix  October 2024 Highlights  Ichigo Office ESG  October 2024 Earnings  Financial & Portfolio Data  October 2024 Financial Metrics  Other  Growing Shareholder Value: NAV  Occupancy & Average Rent per Tsubo (3.3m2)  Organic Growth: New Tenants at Higher Rents  Orga

7. Slide 7: October 2024 Results

   October 2024 Results © Ichigo Investment Advisors Co., Ltd. Ichigo Office REIT Investment Corporation All rights reserved. 7

8. Slide 8: October 2024 Highlights

   October 2024 Highlights Achievements Details • Acquired 6 assets in central Tokyo and Fukuoka City, Asset Acquisitions • 6 assets / JPY 15.4B growing portfolio to JPY 225.1B (as of Oct 31, 2024) • Book value at time of sale: JPY 740M, sold at price significantly exceeding JPY 1.2B appraisal value As

9. Slide 9: October 2024 Earnings

   October 2024 Earnings (JPY million) October 2024 April 2024 October 2024 vs. Forecast Initial Major Variation Factors Actual Actual (A) (A) - (B) Forecast (B) Increase in Rental Income +37 Operating Revenue 8,068 9,223 9,214 +8 Decrease in Other Rental Income -10 Decrease in utilities income -26 (El

10. Slide 10: October 2024 Financial Metrics

    October 2024 Financial Metrics Maintaining Financial Base Stability & Driving Asset Value October 2023 April 2024 October 2024 Dividend JPY 2,115 JPY 2,199 JPY 2,692 NAV (per Share) JPY 97,624 JPY 100,189 JPY 101,306 FFO (per Share) JPY 2,617 JPY 2,643 JPY 2,579 Book Value LTV 49.7% 49.8% 50.6% Mark

11. Slide 11: Growing Shareholder Value: NAV

    Growing Shareholder Value: NAV Achieved Record NAV on Growing Value via Strategic Acquisitions & Sales, Value-Add Capex (JPY) +3.8% NAV Growth in Past Year: +3.8% 101,306 Annual Average NAV Growth: 100,189 After Becoming Specialized Office REIT: +4.2% 97,079 96,660 97,624 95,053 93,193 92,787 92,874

12. Slide 12: Occupancy & Average Rent per Tsubo

    Occupancy & Average Rent per Tsubo (3.3m2) − Maintained Stable Occupancy & Steady Rent per Tsubo Increase − Rental per Tsubo Increase in Central Tokyo Driving Rent per Tsubo Increase Across All Assets Occupancy (Office) Average Rent per Tsubo (3.3m2) 100% 8 months Office (All) (JPY) Average Free-Ren

13. Slide 13: Organic Growth: New Tenants at Higher Rents

    Organic Growth: New Tenants at Higher Rents 80% of New Tenants at Higher Rents, Decrease in New Tenants at Lower Rents New Tenant Rent vs. Previous Tenant Rent Impact on Monthly Rental Income From Tenant Turnover (Office, Leased Area Basis) Downward: (Office) 3 new tenants ■ Downward ■ Flat ■ Upward

14. Slide 14: Organic Growth: Rent Renewals of Existing Tenants

    Organic Growth: Rent Renewals of Existing Tenants Only 1 Downward Rent Renewal New Rent vs. Previous Rent Change in Total Monthly Rent (Office, Leased Area Basis) (Office) (JPY thousand) ■ Downward ■ Flat ■ Upward Upward +4,160 Downward 4.4% 1.1% 0% 0.7% +1,517 +4,160 +1,563 Downward: 1 tenant +1,76

15. Slide 15: Driving Growth via Value-Add Capex (1)

    Driving Growth via Value-Add Capex (1) Value-Add Capex ROI c. 28% − Realized Upside via Common Area Renovations & Ready to Move In Office Format Conversions − Continue Forecasting High ROI Value-Add Capex Rent Rent Detail ROI Renewal % Increase p.a. Rent Increase Ichigo Ikebukuro East ・ Common area

16. Slide 16: Driving Growth via Value-Add Capex (2)

    Driving Growth via Value-Add Capex (2) Ichigo Shibuya Kamiyamacho Building − Installed Ready to Move In Office Using Nov 2023 Value-Add Capex Financing − Leased to New Tenant at 44% Rent Increase − Planning to Conduct Value-Add Capex on Section Expected to be Vacant Ichigo Shibuya Kamiyamacho Buildi

17. Slide 17: Ichigo Sasazuka Building Leasing Status

    Ichigo Sasazuka Building Leasing Status At Time of Tenant Departure As of October 31, 2024 Future Leasing Strategy 13F Occupied by tenant 13F Occupied by tenant Asset Strengths 12F Occupied by tenant ・ Entrance & common areas 12F Occupied by tenant renovated via value-add capex 11F Occupied by tenan

18. Slide 18: Leasing Status of Assets Acquired During October 2024 Period

    Leasing Status of Assets Acquired During October 2024 Period − NOI of 6 Acquired Assets +5.1% vs. Initial Forecast − Hakata Meiji Dori Building: Leased Up at 47.5% Rent Increase − Tenjin North Building: Began Leasing Activities After Converting Residential Section to Office Section & Building Ready

19. Slide 19: Gains on Sale From Asset Sale

    Gains on Sale From Asset Sale Sold Asset With Limited Value-Add Potential, Distributing Gains on Sale − Sold at Price 2.0X Book Value, 1.7X Appraisal Value − Gains on Sale (JPY 420M) to be Distributed as April 2025 Dividend − Executed Sale Without Broker Ichigo Yotsuya 4 Chome Building Asset Type Of

20. Slide 20: Sustainability Initiatives

    Sustainability Initiatives Completed 100% Renewable Energy Transition for All Assets − Purchased Non-Fossil Certificates With Tracking for Ichigo Power Plants for 4 Partially-Owned & Co-Owned Assets − Ichigo Office & Ichigo Hotel are Only J-REITs out of 57 J-REITs That Have Completed 100% Renewable

21. Slide 21: Ichigo Office Growth Strategy

    Ichigo Office Growth Strategy © Ichigo Investment Advisors Co., Ltd. Ichigo Office REIT Investment Corporation All rights reserved. 21

22. Slide 22: Ichigo Office Total Return Track Record

    Ichigo Office Total Return Track Record − Although Total Return of Most Recent 1-Year is +0.9% vs. TSE REIT Index, +4.6% vs. TSE Office REIT Index, -2.1% in Absolute Value Terms, Significantly Short of Target − Total Return (Total Shareholder Return) Since Listing: +319.0% As of October 31, 2024 1-Y

23. Slide 23: Future AM Strategy: Strengthen Shareholder Returns

    Future AM Strategy: Strengthen Shareholder Returns Strategy Initiatives  Value-add capex financing from lender Promoting Value-Add pursuing high ROI  Accelerating asset cash flow, NAV  Highly-liquid real estate buy-sell market Flexible Asset Sales  Gains on Sale increase due to value-add driving

24. Slide 24: Loan to Fund Value-Add Capex

    Loan to Fund Value-Add Capex Proactive & Flexible Value-Add Execution − First J-REIT Committed Term Loan to Fund Value-Add Capex for Growing Portfolio Value − Secured Flexible Financing From Main Bank SMBC − Proactively Deploy Value-Add Capex via Committed Term Loan & Know- How − Aiming to Further G

25. Slide 25: Execution of Strategic Asset Sales

    Execution of Strategic Asset Sales – Sold Retail Asset With Unrealized Losses to Third-Party Buyer – Gains on Sale (JPY 67M) from 3 Assets to be Distributed as April 2025 Dividend Ichigo Kudan 3 Chome Ichigo Tameike Building Future IZUMI Building Asset Name Other (Retail) Asset Type Office Office Pa

26. Slide 26: Future Sustainability Initiatives

    Future Sustainability Initiatives Setting New Targets Due to 100% Renewable Energy Transition at All Assets (1) Acquire More Environmental Certifications – Planning to acquire 3-4 environmental certifications per year, gradually increasing ratio of environmentally-certified assets Current Target (Oc

27. Slide 27: Access to Sponsor Ichigo’s Robust Pipeline of Office Assets

    Access to Sponsor Ichigo’s Robust Pipeline of Office Assets Growth via Sponsor Pipeline (17 Assets, JPY 75.7B) No. Assets Area 1 Office in Sapporo City, Hokkaido Four Major Regional Cities 2 Office in Chiyoda-ku, Tokyo Central Tokyo 3 Office in Minato-ku, Tokyo Central Tokyo Sapporo City, 4 Office i

28. Slide 28: April 2025 Forecast

    April 2025 Forecast Dividend Forecast to Decrease on Gains on Sales Decrease (JPY million) October 2024 April 2025 vs. October 2024 Major Variation Factors (vs. October 2024) Actual (B) Forecast (A) (A) - (B) Decrease in Gains on Sale -558 Operating Revenue 9,223 9,322 +99 Increase in Rental Income

29. Slide 29: October 2025 Forecast

    October 2025 Forecast – Dividend Forecast to Decrease due to no Asset Sales Scheduled – Dividend & EPS Growth on Value-Add Capex Impact (JPY million) April 2025 October 2025 vs. April 2025 Major Variation Factors (vs. April 2025) Forecast (B) Forecast (A) (A) - (B) Decrease in Gains on Sale -492 Ope

30. Slide 30: Appendix: Ichigo Office ESG

    Appendix: Ichigo Office ESG © Ichigo Investment Advisors Co., Ltd. Ichigo Office REIT Investment Corporation All rights reserved. 30

31. Slide 31: Ichigo Office’s Sustainability Commitment

    Ichigo Office’s Sustainability Commitment Ichigo Sustainability Policy Ichigo believes that working on behalf of society and the environment is a fundamental social responsibility and will support the sustainable growth of Ichigo and Ichigo Office. Ichigo has thus made sustainability a key priority,

32. Slide 32: Ichigo Climate Positive: CO2 Reduction vs. Emissions (1)

    Ichigo Climate Positive: CO2 Reduction vs. Emissions (1) (as of February 29, 2024) Ichigo CO2 Reduction = 4X CO2 Emissions Ichigo Office CO2 Emissions 2,252 tons CO2 Reduction CO2 Emissions 101,217 22,767 tons tons CO2 Reduction due to Ichigo & Ichigo Green (9282) Clean Scope 1 & 2 Emissions Energy

33. Slide 33: Ichigo Climate Positive: CO2 Reduction vs. Emissions (2)

    Ichigo Climate Positive: CO2 Reduction vs. Emissions (2) Ongoing Ichigo Clean Energy Production Growth (CO2 Reduction Increase) & Renewable Energy Transition & Carbon Offsets (CO2 Emissions Reduction) CO2 Reduction/Reduction Impact/CO2 Emissions ■ Total Ichigo Power Plant CO2 Reduction ■ Total Ichig

34. Slide 34: RE100: Completed Renewable Energy Transition

    RE100: Completed Renewable Energy Transition Maintain 100% Renewable Energy to Achieve RE100 Certification & Ichigo 2030 RE100 KPI RE100 Progress (as of August 31, 2024) Non-Fossil Certificate Renewable Energy Switch Tracking for Ichigo Power Plants RE100 61% 39% 100% Ichigo Office 63% of Total Rene

35. Slide 35: Ichigo SBT (Science Based Targets) Certification

    Ichigo SBT (Science Based Targets) Certification Ichigo’s Greenhouse Gas Reduction Targets Certified as SBT Aligned SBT Certified Ichigo’s Greenhouse Gas Reduction Targets Target Target Year Direct emissions owned or controlled by a Scope 1 company 70% Reduction Indirect emissions associated with th

36. Slide 36: ESG Initiatives: Environmental (1)

    ESG Initiatives: Environmental (1) Sustainability Initiatives Progress GRESB Real Estate Assessment (Since 2016) − Awarded 3 Stars in GRESB Rating − Won Green Star designation 8 years in a row, in recognition of its ESG-related policies and organizational setup (the “Management Component”), and envi

37. Slide 37: ESG Initiatives: Environmental (2)

    ESG Initiatives: Environmental (2) Environmental Certifications (as of October 31, 2024) − 24 Certifications (21 Assets), 32.7% of Total Leasable Area for Offices Tokyo Low-Carbon Small CASBEE BELS and Medium-Sized Model Buildings S Rank 2 Stars 1 Star A3 A3- A2+ A2 (★★) (★) Ichigo Ichigo Ichigo Ich

38. Slide 38: ESG Initiatives: Social

    ESG Initiatives: Social Contributing to Society Contributing to Regional Revitalization Ichigo University Sports Initiatives As a top partner of the J.League Ichigo works to revitalize local communities Ichigo established Ichigo University in May professional soccer league, we support the and promot

39. Slide 39: ESG Initiatives: Governance

    ESG Initiatives: Governance Global Best Practice Governance No Fixed Fee, Performance Fee-Only Structure Best Practice Governance  Shifted to performance- REIT Asset Management Company (AMC) linked fee structure on  Monitors Asset Management Company  Best Practice Asset Management Structure Novem

40. Slide 40: Appendix: Financial & Portfolio Data

    Appendix: Financial & Portfolio Data © Ichigo Investment Advisors Co., Ltd. Ichigo Office REIT Investment Corporation All rights reserved. 40

41. Slide 41: Borrowing Details (1)

    Borrowing Details (1) Average Interest Rate and Average Remaining Loan Maturity Loan Details (Average Remaining Loan Maturity Including Bonds, Years) Interest (Interest Rate) Amount Maturity Rate 2.5% 5 Average Interest Rate Average Remaining Loan Maturity 3M JPY JPY 3.3B 6.9 years TIBOR 2.0% 4 +0.6

42. Slide 42: Borrowing Details (2)

    Borrowing Details (2) Loan Maturity Distribution (as of October 31, 2024) Bank Loans (fixed rate including fixed via interest rate swaps) Bank Loans (floating rate) Bonds Subordinate Bonds (JPY million) 11,645 11,814 1,200 9,812 10,102 9,763 9,347 9,360 8,846 8,908 1,000 1,200 1,000 7,346 7,595 1,00

43. Slide 43: Interest-Bearing Liabilities and Ichigo Office Credit Rating

    Interest-Bearing Liabilities and Ichigo Office Credit Rating Lender Base (as of October 31, 2024) (JPY million) Credit Rating Lender Amount Ratio Credit Rating Agency Japan Credit Rating Agency (JCR) SMBC 32,828 26.5% Mizuho Bank 23,195 18.7% Type of Rating Long-Term Issuer Rating SBI Shinsei Bank 1

44. Slide 44: Trend of Portfolio Unrealized Gains

    Trend of Portfolio Unrealized Gains October 2024 Unrealized Gains JPY 55.3B, +JPY 2.5B vs. April 2024 (JPY million) 500,000 30% Period-End Book Value (left axis) Period-End Appraisal Value (left axis) 25.60% 25.03% Unrealized Gains Ratio (right axis) 23.50% 23.41% 22.78% 22.25% 20.77% 20.39% 20.53%

45. Slide 45: Survey of New & Departing Tenants: Reason for Relocation

    Survey of New & Departing Tenants: Reason for Relocation New Tenants Departing Tenants Moving to a different building for larger floor space or better location Moving to a different building for larger floor space or better location Opening a new office Closing office Reducing cost or floor space Re

46. Slide 46: Rapid Re-Tenanting After Vacancies

    Rapid Re-Tenanting After Vacancies Newly Leased and Newly Vacated Office Space (m2) Newly Leased Newly Vacated Net Leased Area Average Leased Area 11,799 11,422 8,185m2 10,164 (May 1, 2020 ~ Oct 31, 2024) 8,629 7,418 7,304 7,101 5,804 4,023 TBD1 -5,6582 -6,059 -6,714 -8,711 -8,212 -8,314 Average Vac

47. Slide 47: Free-Rent Incentive Trends

    Free-Rent Incentive Trends Free Rent Incentive Trends Rental Income Loss Due to Free Rent (Months) (JPY million) 4 Tokyo Metro Area (Average) Loss from Free Rent Actual Rent Income Regional Cities (Average) 130 2.8 126 3 2.7 122 116 99 2.3 2.1 2.1 2.0 2 1.8 2.0 1.5 1.4 6,936 6,894 7,144 6,836 6,863

48. Slide 48: Value-Add Capex to Drive Tenant Satisfaction

    Value-Add Capex to Drive Tenant Satisfaction Capex Tailored to Tenant Needs Maintenance Costs, Capex, and Depreciation April 2025 Capex Plan (JPY million) 2,000 Asset Name Details Investment Maintenance CAPEX (Value-Add) Ichigo Shibuya East Building Tenant Area Renovation JPY 90M CAPEX (LCC) Depreci

49. Slide 49: Portfolio Details (1)

    Portfolio Details (1) as of October 31, 2024 Acquisition Leasable Oct 2024 Appraisal Apr 2024 Appraisal Change Asset Book Value No. Asset Name Area Location Price Area Occupancy Value Value Value Type (JPY M) Cap rate Cap rate Cap rate (JPY M) (m 2) (JPY M) (JPY M) (JPY M) O-02 Ichigo Nishisando Bui

50. Slide 50: Portfolio Details (2)

    Portfolio Details (2) as of October 31, 2024 Acquisition Book Leasable Oct 2024 Appraisal Apr 2024 Appraisal Change Asset No. Asset Name Area Location Price Value Area Occupancy Value Value Value Type 2 Cap rate Cap rate Cap rate (JPY M) (JPY M) (m ) (JPY M) (JPY M) (JPY M) O-47 Ichigo Akihabara Nor

51. Slide 51: Portfolio Details (3)

    Portfolio Details (3) as of October 31, 2024 Acquisition Book Leasable Oct 2024 Appraisal Apr 2024 Appraisal Change Asset No. Asset Name Area Location Price Value Area Occupancy Value Value Value Type 2 Cap rate Cap rate Cap rate (JPY M) (JPY M) (m ) (JPY M) (JPY M) (JPY M) O-79 Ichigo Motoazabu Bui

52. Slide 52: Portfolio Details (4)

    Portfolio Details (4) as of October 31, 2024 Acquisition Leasable Oct 2024 Appraisal Apr 2024 Appraisal Change Asset Book Value No. Asset Name Area Location Price Area Occupancy Value Value Value Type (JPY M) Cap rate Cap rate Cap rate (JPY M) (m 2) (JPY M) (JPY M) (JPY M) Z-09 Future IZUMI Other Re

53. Slide 53: Portfolio: 98% Office, 74% Tokyo Metropolitan Area

    Portfolio: 98% Office, 74% Tokyo Metropolitan Area No. Of Assets 92 Assets as of October 31, 2024 Total Acquisition Price JPY 225.1B Map Key Location By Asset Type Appraisal Value JPY 276.4B Acquisition Price (JPY B) Other Leasable Area 278,292.10m2 % of Portfolio 2% Occupancy 95.7% NOI Yield 5.1% P

54. Slide 54: Highly Diversified Tenant Mix

    Highly Diversified Tenant Mix as of October 31, 2024 Tenants by Industry Total Number of Tenants: 1,070 (Based on No. Of Tenants) Education Share of Top 10 Tenants 2% Restaurant/Hotel 3% 9.9% of Leased Area Construction Other 11.3% of Rental Income 3% 5% Real Estate 4% Top 10 Tenants (by Building &

55. Slide 55: Appendix: Other

    Appendix: Other © Ichigo Investment Advisors Co., Ltd. Ichigo Office REIT Investment Corporation All rights reserved. 55

56. Slide 56: J.League Shareholder Program

    J.League Shareholder Program Represents Two Firsts for a Shareholder Program in Japan − First Japanese company to include not just its own shareholders, but also the shareholders of the REITs and solar power producer that it manages, in its shareholder program (89,000 shareholders total) − First com

57. Slide 57: Ichigo Office’s Sponsor: Ichigo (2337)

    Ichigo Office’s Sponsor: Ichigo (2337) Core Businesses: Asset Management, Sustainable Real Estate, Clean Energy ‒ Manages Ichigo Office (8975), Ichigo Hotel (3463), and Ichigo Green (9282) ‒ Sustainable Real Estate business adds value to existing buildings by drawing upon its real estate technologie

58. Slide 58: Sponsor/Asset Manager/REIT Relationship

    Sponsor/Asset Manager/REIT Relationship Sponsor Ichigo (TSE Prime 2337) 100% Subsidiary Sponsor Support Value-Add Capabilities Asset Manager Ichigo Investment Advisors Financial Support (Asset Warehousing) Asset Management  Specializes in mid-size offices Ichigo Office  Focused on the Tokyo Metrop

59. Slide 59: Sustainable Growth via Sponsor Support

    Sustainable Growth via Sponsor Support Pursuing Long-Term Sustainable Growth by Leveraging Ichigo’s Market- Leading Value-Add Capabilities Buy Sell Ichigo Office Ichigo (8975) (Prime 2337) Third- Buy Party Investors Preserve and improve real estate Real Estate Value-Add Buy/Sell leveraging Ichigo’s

60. Slide 60: Shareholder Composition

    Shareholder Composition as of October 31, 2024 Major Shareholders Shareholdings by Shareholder Type No. Of Foreign Corporations & Individuals Non-Financial Domestic Corporations Name Share Domestic Individuals Shares Domestic Financial Institutions 1 Ichigo Trust Pte. Ltd. 384,704 24.7% 556,181 624,

61. Slide 61: Ichigo Office Overview

    Ichigo Office Overview Investment Corporation as of October 31, 2024 Name Ichigo Office REIT Investment Corporation Securities Code 8975 Address 2-6-1 Marunouchi, Chiyoda-ku, Tokyo Executive Director Takafumi Kagiyama Portfolio Assets 92 Assets Portfolio Value JPY 225.1B (based on acquisition price)

62. Slide 62: Disclaimer

    Disclaimer These materials are for informational purposes only, and do not constitute or form a part of, and should not be construed as, an offer to sell or a solicitation of an offer to buy any securities of Ichigo Office REIT Investment Corporation (“Ichigo Office”). These materials may contain fo

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