Notice Concerning Borrowing of Funds

March 23, 2026

FOR IMMEDIATE RELEASE

Notice Concerning Borrowing of Funds

Activia Properties Inc. ("API") announces that it decided to borrow funds (the "Borrowing") today.

Details are as follows:

1. Borrowings

   1. Details of the borrowing

      < Long-term borrowings >

      Lender	Loan amount	Interest rate	Drawdown date (plan)	Due date (Note 1)	Borrowing and repayment methods, security, and guarantee
      Sumitomo Mitsui Trust Bank, Limited Mizuho Bank, Ltd. MUFG Bank, Ltd. Sumitomo Mitsui Banking Corporation	3.32 billion yen	0.300% +Base rate (Note 2) (Note 3)	March 30, 2026	March 30, 2034	Borrowing based on a borrowing agreement with the lenders shown at left as the creditor, lump-sum repayment, unsecured, and unguaranteed

      (Note 1) If the due date is a non-business day, it shall be the following business day. If such day falls in the following month, it shall be the immediately preceding business day.

      (Note 2) The interest payment will be made on the last day of April 2026 and the last day of each month thereafter as well as on the due date of the principal. (If an interest payment date is a non-business day, it shall be the following business day. If such day falls in the following month, it shall be the immediately preceding business day.)

      The base rate applicable to the period for the calculation of the interest payable on an interest payment date is the JBA one-month Japanese Yen TIBOR as of a date two business days prior to the interest payment date immediately preceding each interest payment date. (For the first interest payment, it will be on the drawdown date.) However, if the base rate applicable to the calculation period doesn't exist, the base rate will be the one corresponding to the period that will be calculated based on a method provided in the agreement. After this, API will not announce the interest rate decisions for the borrowing. For changes in the JBA Japanese Yen TIBOR, the base rate, please check the website of the JBA TIBOR Administration (http://www.jbatibor.or.jp/english).

      (Note 3) The borrowings from Mizuho Bank, Ltd. are scheduled to procured as Positive Impact Finance (hereinafter referred to as "this Positive Impact Finance"). This Positive Impact Finance is scheduled to utilize the "Mizuho Positive Impact Finance" scheme of Mizuho Bank, Ltd. For details on "Mizuho Positive Impact Finance," please refer to

      Mizuho Bank, Ltd.'s website (https://www.mizuhobank.co.jp/corporate/sustainability/pif/index.html). For the third-party opinion regarding compliance with the Principles for Positive Impact Finance and the rationality of the evaluation metrics used, please refer to the Japan Credit Rating Agency, Ltd. website (https://www.jcr.co.jp/).

   2. Reasons for the borrowing

      API will use the funds from the borrowings to redeem a long-term borrowing of 3.32 billion yen (the "Existing Long-term Borrowing") with a due date of March 30, 2026. For the details of the Existing Longterm Borrowings, please refer to "Notice Concerning Borrowings of Funds" released on March 22, 2023.

   3. Amount, use and schedule of disbursement of funds to be raised

      1. Total amount

         3.32 billion yen in total

      2. Specific purpose of use

         Funds will be used to redeem the Existing Long-term Borrowing

      3. Scheduled date of disbursement March 30, 2026

2. Status of borrowings payable, etc. after the Borrowing

   1. Interest-bearing debt balance after the Borrowing

      (In millions of yen)

      	Before the Borrowing (As of March 23, 2026)	After the Borrowing (As of March 30, 2026)	Change
      Short-term borrowings (Note)	3,996	3,996	0
      Long-term borrowings to be repaid within one year	35,920	34,600	(1,320)
      Long-term borrowings (Note)	206,230	207,550	1,320
      Total amount of borrowings	246,146	246,146	0
      Investment corporation bonds to be redeemed within one year	1,000	1,000	0
      Investment corporation bonds	17,700	17,700	0
      Total amount of borrowings and investment corporation bonds	264,846	264,846	0

      (Note) Short-term borrowings refer to borrowings with a maturity period of one year or less, and long-term borrowings refer to borrowings with a maturity period of more than one year.

   2. Basic financing information after the Borrowing

      	Before the Borrowing (As of March 23, 2026)	After the Borrowing (As of March 30, 2026)	Change (point)
      Long-term debt ratio (Note 1) (Note 4)	98.5%	98.5%	0.0
      Long-term debt ratio (excluding the long-term borrowings to be repaid and investment corporation bonds to be redeemed within one year) (Note 2) (Note 4)	84.6%	85.0%	0.4
      Fixed interest ratio (Note 3) (Note 4)	85.0%	86.2%	1.2

      (Note 1) Long-term debt ratio is the ratio of the outstanding long-term borrowings (including the long-term borrowings to be repaid within one year) and investment corporation bonds (including the investment corporation bonds to be redeemed within one year) to the total of outstanding interest-bearing debt.

      (Note 2) Long-term debt ratio (excluding the long-term borrowings to be repaid and investment corporation bonds to be redeemed within one year) is the ratio of the outstanding long-term borrowings (excluding the long-term borrowings to be repaid within one year) and investment corporation bonds (excluding the investment corporation bonds to be redeemed within one year) to the total of outstanding interest-bearing debt.

      (Note 3) Fixed interest ratio is the ratio of the total of outstanding interest-bearing debt with fixed interest rates to the total of outstanding interest-bearing debt. The total of outstanding interest-bearing debt with fixed interest rates includes debts whose interest rates were converted into fixed interest rates by interest rate swap agreements.

      (Note 4) Figures are rounded to the first decimal place.

3. Other

Regarding the risks related to the repayment of the Borrowing, there are no significant changes in the "Investment Risk" section of the securities report submitted on February 25, 2026.

*Website of API: https://www.activia-reit.co.jp/en/