Notice Concerning Disposition of Domestic Trust Beneficiary Interests (Forest Hill SendaiAoba)

August 8, 2025

To All Concerned Parties

Notice Concerning Disposition of Domestic Trust Beneficiary Interests (Forest Hill SendaiAoba)

Daiwa Securities Living Investment Corporation (hereinafter referred to as the “Investment Corporation”) hereby announces that Daiwa Real Estate Asset Management Co. Ltd. (hereinafter referred to as the “Asset Manager”), the asset manager of the Investment Corporation, has resolved to dispose the following property (hereinafter referred to as the “Disposition”). Details are provided below.

1. General Outline of the Disposition

   Name of property (Location)	Book value (as of the end of March 2025) (A) (JPY thousand)	Appraisal value (as of the end of March 2025) (B) (JPY thousand)	Difference between book value and appraisal value (B) - (A) (JPY thousand)	Anticipated disposition Price (JPY thousand) (Note1)	Profit or Loss on Transfer (JPY thousand) (Note2)	Transferee
   Forest Hill SendaiAoba (Sendai, Miyagi)	2,464,885	2,860,000	395,114	2,930,000	352,465	Undisclosed (Note 3)

   A general outline of the property to be disposed of is detailed in the table below. On August 8, 2025, the Investment Corporation has concluded a sale agreement with the transferee for the Disposition, and the Disposition is scheduled to take place on December 19, 2025.

   (Note 1) The anticipated disposition price excludes disposition-related costs, fixed asset tax and city planning tax adjustments and national and local consumption taxes; the same shall apply hereinafter.

   (Note 2) The profit or loss on transfer is a reference figure calculated as the difference between the anticipated disposition price, book value (as of the end of March 2025) and disposition-related expenses at the time, and may differ from the actual profit or loss on transfer.

   (Note 3) The transferee in the Disposition is not disclosed as the consent has not been obtained. The seller, the Investment Corporation, does not fall under the category of “interested party, etc.” under the Enforcement Order of the Law Concerning Investment Trusts and Investment Corporations, nor does it fall under the category of “interested party, etc.” as stipulated in the Rules for Prevention of Conflicts of Interest, which are the internal rules of the Asset Manager.

   (Note 4) The intermediary of the Disposition does not correspond to the interested party.

   (Note 5) Amounts are rounded to the nearest unit and percentages are rounded to the first decimal place. Unless stated otherwise, the same applies hereinafter.

2. Reason for the Disposition

   Based on the asset management objectives and policies set forth in the Investment Corporation Agreement, the Investment Corporation conducts business to ensure the steady growth of assets under management and stable earnings over the medium to long term.

   The property to be disposed have been selected after comprehensively considering the prospects for the future profitability, size and location of the propert and current trends in the real estate sales market, among other factors. The decision has been made to proceed with the Disposition since the total price offered by the transferee for the property to be disposed exceeded the most recent book values and real estate appraisal values; hence the Disposition would enhance investors’ value.

3. Details of the Disposition

   Name of Property (Property No.)	Forest Hill SendaiAoba (O-2-137)
   Type of Asset	Trust beneficiary interests
   Type of Ownership	Proprietary ownership
   Location	5-1, Kawauchi Yodomibashi-Dori, Aoba-ku, Sendai, Miyagi
   Use	Condominium
   Constructed	March 8, 2007
   Appraisal Value	2,860,000 thousand yen
   Appraiser	DAIWA REAL ESTATE APPRAISAL CO., LTD.
   Details of Lease
   	Number of Tenants	1
   	Total Rental Revenue	90,667 thousand yen
   	Lease Deposits and Guarantee Deposits	14,110 thousand yen
   	Total Leasable Area	6,497.06 m2
   	Total Leased Area	6,394.74 m2
   Changes in Occupancy Rate	Nov 2024	Dec 2024	Jan 2025	Feb 2025	Mar 2025
   	92.1%	92.9%	91.3%	90.5%	98.4%

   Unless otherwise noted, the information on the date of appraisal regarding the appraisal value, lease and guarantee deposits and total leased area is as of March 31, 2025, and the information on the total rental revenue indicates that for the fiscal period ended March 31, 2025.

4. Profile of the Counterparty

   The information regardeing the planned transferee for the Disposition, a domestic business entity, is not disclosed since the consent for the disclosure has not been obtained. The undisclosed company has no capital, personnel, or business relationships with the Investment Corporation/the Asset Manager and is not related parties of either the Investment Corporation or the Asset Manager.

   In addition, the undisclosed company does not fall under the category of “interested party, etc.” under the Enforcement Order of the Law Concerning Investment Trusts and Investment Corporations, and the category of “interested party, etc.” as stipulated in the Rules for Prevention of Conflicts of Interest, which are the internal rules of the Asset manager.

5. Schedule of the Disposition

   • Decision of disposition and conclusion of disposition agreement: August 8, 2025

   • Receipt and delivery: December 19, 2025

6. Settlement Method

   A lump-sum settlement shall be made at the time of the Disposition.

7. Forecasts

   The Disposition will have no impact on the operating forecast for the fiscal period ending September 2025 (39th fiscal period), as the scheduled disposition date is December 19, 2025. The impact on the operating forecast for the fiscal period ending March 2026 (40th fiscal period) is currently under review and will be announced once the conditions including the above-mentioned events, have been determined.

8. Summary of Appraisal Report

URL: https://www.daiwa-securities-living.co.jp/en/ End

(Additional Material) Overview of the Portfolio accompanying the Disposition

(Note) This means the assets to be transferred in the “Notice Concerning Disposition of Domestic Real Estate (Rental Housing 2 Properties)” released on July 18, 2025. (The same applies hereinafter.)

(Note 1) “Total (anticipated) acquisition price is calculated based on the (anticipated) acquisition price.

(Note 2) The appraised value includes the appraised value as of February 1, 2025, for Gran Casa Sendai Bansui Dori, Serenite Nihonbashi Miracle and Gran Casa Kawaguchi Namiki, as of May 1, 2025, for Gran Casa Takaida, and as of March 31, 2025, for other properties.

End