Notice Concerning Acquisition of Trust Beneficiary Rights to Real Estate Properties in Japan

To All Concerned Parties

December 18, 2025

6-8-7 Ginza, Chuo-ku, Tokyo Frontier Real Estate Investment Corporation Toshihide Ichikawa, Executive Director

(Securities Code: 8964)

Asset Management Company: Mitsui Fudosan Frontier REIT Management Inc.

Shigekazu Yokochi Chief Executive Officer and Representative Director

Inquiries: Mitsui Fudosan Frontier REIT Management Inc.

Morio Shibata Chief Finance Officer and Director

Tel: +81-3-3289-0440

Notice Concerning Acquisition of Trust Beneficiary Rights to Real Estate Properties in Japan (Mitsui Shopping Park LaLaport IZUMI; additional acquisition of a 71.5% quasi co-ownership stake;

Frontier Real Estate Investment Corporation (the "Investment Corporation") hereby announces that on December 18, 2025, its asset management company, Mitsui Fudosan Frontier REIT Management Inc. (the "Asset Management Company"), reached the decision to additionally acquire a 71.5% quasi co-ownership stake in Mitsui Shopping Park LaLaport IZUMI as well as to acquire M Building Naha Kokusai Dori I and M Building Naha Kokusai Dori II (collectively referred to as the "Acquisition"; the properties are referred to below as the "Assets to Be Acquired").

1. Outline of the Assets to Be Acquired

   (1) Property name	Mitsui Shopping Park LaLaport IZUMI (additional acquisition of a 71.5% quasi co-ownership stake)	M Building Naha Kokusai Dori I	M Building Naha Kokusai Dori II
   (2) Type of asset	Trust beneficiary rights to real estate
   (3) Planned acquisition price*1	¥18,970 million (Land: ¥11,173 million; building: ¥7,796 million)	¥1,598 million (Land: ¥1,155 million; building: ¥442 million)	¥871 million (Land: ¥649 million; building: ¥222 million)
   (4) Contract date	December 18, 2025
   (5) Planned acquisition date	January 13, 2026 (delivery and clearance date)	April 16, 2026 (delivery and clearance date)
   (6) Seller*2	SMFL MIRAI Partners Co., Ltd.	Not disclosed
   (7) Broker	None	Savills Japan Co., Ltd.*3
   (8) Acquisition financing	Self-financing and loans (planned)	Self-financing (planned)
   (9) Payment method	Single payment at the time of delivery	Payment of ¥10 million*4 as earnest money at the contract date and the remaining amount at the time of delivery

   *1. The amount noted here excludes miscellaneous acquisition costs, real property taxes, city planning taxes, consumption taxes, etc.

   *2. Please refer to "4. Seller Profile" below.

   *3. Please refer to "6. Broker Profile" below.

   *4. Both the seller and the Investment Corporation confirmed that this earnest money is construed only as an earnest money deposit and not as a cancellation deposit. Therefore, the seller is not allowed to cancel the contract regarding the sale of M Building Naha Kokusai Dori I and M Building Naha Kokusai Dori II even if it repays the earnest money in double. Similarly, the Investment Corporation is not allowed to cancel this contract even if it forfeits its rights to the earnest money.

2. Rationale

   The proposed acquisition is in line with the Investment Corporation's "Basic Policy of Asset Management" as stipulated in its Articles of Incorporation. Specifically, the Investment Corporation expects the Acquisition to help expand its asset size while enhancing the diversity of its properties in terms of geographical location and other aspects. By doing so, the Investment Corporation aims to maintain and improve the quality, profitability and stability of its portfolio. In its decision to acquire these assets, the Asset Management Company also considered, inter alia, the following factors:

   Mitsui Shopping Park LaLaport IZUMI (additional acquisition of a 71.5% quasi co-ownership stake)

   1. Evaluation of the Site

      This property is situated within "Trivert IZUMI," an extensive residential district in Izumi City, Osaka, and is approximately 3 kilometers from Izumi Chuo Station of Semboku Rapid Railway and approximately 500 meters from Kishiwada Izumi Interchange of Hanwa Expressway. While this district is crossed by the aforementioned expressway from north to south, it is also crossed by the Osaka Outer Loop Line (National Route No. 170) from east to west. Therefore, the site is suitable to attract visitors using cars from a broad range of regions. The population within a 3 km radius of the retail trading area is estimated at 56,000 and 186,000 within a 5 km radius. Moreover, the number of people within a distance of a 30-minute drive is estimated at 791,000, suggesting a sufficient population in the surrounding communities. In particular, "Trivert IZUMI," which was completed and opened in the 1990s, is now home to a number of households that are raising children. Because of this, we consider the site an appropriate location for a regional shopping center like LaLaport.

   2. Features of the Property

   The property is a regional shopping center opened in October 2014 and is currently operated by Mitsui Fudosan Co., Ltd. While accommodating approximately 200 tenants, such as Lopia, Akachan Honpo, Edion, ZARA, Nitori, Mujirushi Ryohin, UNIQLO, Round One, LOFT, and other diverse facilities, the property boasts a parking lot capable of housing approximately 3,400 cars. Thus, the property is deemed to have high competitiveness and be suitable to attract visitors driving cars. In April 2025, the supermarket chain Lopia opened a store within the property. Accordingly, sales from this property are generally on an upward track.

   M Building Naha Kokusai Dori I

   1. Evaluation of the Site

      This property is located alongside Kokusai Dori, the most prominent street in Okinawa. In this extremely bustling location which attracts tourists from within and outside Japan, the property is approximately a six-minute walk from Prefectural Office Station of Okinawa Urban Monorail (Yui Rail) and is easily accessible from areas around the prefectural office. Thus, the property's site is deemed suitable to attract visitors from neighboring communities as well as from a broad range of other regions.

   2. Features of the Property

   The first to third floors of the property are occupied by "GiGO," which is the only amusement arcade in Kokusai Dori and can attract many patrons. Moreover, while a majority of buildings alongside Kokusai Dori have aged, the property was completed in June 2021 and therefore boasts rarity as a new building. In addition, the façade of the building is highly visible from the street, enabling the property to stand out. Due to these factors, we consider the property to boast a profound local presence.

   M Building Naha Kokusai Dori II

   1. Evaluation of the Site

      This property is similarly located alongside the prominent Kokusai Dori, which is quite bustling with tourists from within and outside Japan. In particular, it is located near Matsuo Crossroad, which is known for even higher traffic volume than other locations along Kokusai Dori. Thus, as a retail facility, this property benefits greatly from this location. In addition, due to the concentration of accommodation facilities in the neighboring areas, the property is expected to attract a large number of visitors even early in the morning and late at night.

   2. Features of the Property

   The property houses Don Quijote Kokusai Dori Kumoji, which opened in June 2025 and specializes in accommodating inbound tourists. This tenant is expected to create synergetic effects with Don Quijote Kokusai

   Dori, another chain store that is just a few blocks away. Furthermore, the property was completed in July 2021 and therefore boasts rarity as a new building among other neighboring buildings on the street, many of which have aged.

3. Details of the Assets to Be Acquired

   Mitsui Shopping Park LaLaport IZUMI (additional acquisition of a 71.5% quasi co-ownership stake)

   Name of asset		Mitsui Shopping Park LaLaport IZUMI (a 71.5% quasi co-ownership stake)
   Type of asset		Trust beneficiary rights to real estate
   Trust formation date		March 24, 2020
   Trustee		SMBC Trust Bank Ltd.
   Trust contract period		March 31, 2030
   Location (residence indication)		4-4-7 Ayumino, Izumi City, Osaka
   Land	Lot area*	113,617.13 m2 (registered)
   	Use	Semi-industrial area
   	Plot ratio	200%
   	Building to land ratio	60%
   	Ownership	Proprietary ownership
   Buildings	Structure / Number of floors	Steel frame, flat roof construction, five floors (registered)
   	Construction completed	September 30, 2014
   	Gross floor area*	151,947.36 m2 (registered)
   	Use	Retail outlets, parking
   	Ownership	Proprietary ownership
   Planned acquisition price		¥18,970 million
   Appraisal value		¥20,449 million
   Appraiser		Japan Real Estate Institute
   PML in earthquake		12.8%
   Collateral		None
   Lease details
   	Lessor	SMBC Trust Bank Ltd.
   	Lessee	Mitsui Fudosan Co., Ltd.
   	Type of contract	Building lease contract (fixed-rent master lease contract)
   	Contract term	20 years (from March 24, 2020 to March 23, 2040)
   	Annual rent income*	¥1,902 million
   	Termination during the contract term	Not allowed until March 1, 2026
   	Rent revision	None
   	Leasehold deposit*	¥951 million
   	Security deposit	None
   	Number of tenants	1
   	Total leasable floor space*	168,552.13 m2
   	Total leased floor space*	168,552.13 m2
   	Occupancy rate	100% (total leased floor space / total leasable floor space)
   Note		Corporation, the seller, Mitsui Fudosan Co., Ltd. and the trustee have all agreed that this Letter of Agreement between

   • The Investment Corporation holds a quasi co-ownership stake in the trust beneficiary rights (hereinafter the "Beneficiary Rights" in this note) to the property together with the seller and Mitsui Fudosan Co., Ltd. and has signed a Letter of Agreement between the Quasi Co-Owners with the seller, Mitsui Fudosan Co., Ltd., and the trustee. At the same time, the Investment

   the Quasi Co-Owners shall be amended when the Acquisition of this property is completed. (This amended Letter of Agreement between Quasi Co-Owners shall be referred to as the "Amended Letter of Agreement between Quasi Co-Owners" in this note. The signatories of the Amended Letter of Agreement between Quasi Co-Owners are expected to consist of the Investment Corporation, Mitsui Fudosan Co., Ltd., and the trustee.) Main provisions to be stipulated under this Amended Letter of Agreement between Quasi Co-Owners shall be as described below.

   1. The Investment Corporation shall be entitled to exercise sole discretion over matters that need to be decided by the beneficiaries of the Beneficiary Rights in accordance with the trust agreement, etc. Notwithstanding, however, decisions on certain important matters must be made after obtaining consent from each beneficiary.

   2. If a beneficiary wishes to transfer its quasi co-ownership stake in whole or in part, it must provide the other beneficiaries with a prior written notice and offer the right of first refusal for the transfer of this quasi co-ownership stake to another beneficiary who expresses, upon the receipt of such notice, its wish to become the transferee or designate a third-party as the transferee.

   3. If the trustee returns its quasi co-ownership stake in the property to the beneficiaries due to such reasons as the termination of the trust agreement related to the Beneficiary Rights, the signatories will refrain from exercising their rights to request the division of the property as defined under Article 256 of the Civil Code for a period of five years from the date at which such quasi co-ownership stake is returned.

* Although the Investment Corporation plans to acquire a 71.5% quasi co-ownership stake in the trust beneficiary rights to the property, the lot area, gross floor area, annual rent income, leasehold deposit, total leasable floor space, and total leased floor space presented above reflect the data for the entire property.

M Building Naha Kokusai Dori I

* Not disclosed as the Investment Corporation has not obtained the lessee's permission to do so.