Japan Exchange : Notice Concerning Sale of Investment Asset(COMFORIA SHINSAKAE)

December 9, 2019

For Immediate Release

Real Estate Investment Trust Securities Issuer:

Comforia Residential REIT, Inc

1-1Minami-Aoyama1-chome,Minato-ku, Tokyo

Takehiro Izawa

Executive Director

(Code: 3282)

Asset Management Company:

TLC REIT Management Inc.

Hiroyuki Tohmata

President & CEO

Inquiries:

Kentaro Yoshikawa

General Manager of Strategy Department

Comforia Management Division

(TEL: [phone])

Notice Concerning Sale of Investment Asset

(COMFORIA SHINSAKAE)

Comforia Residential REIT, Inc ("CRR") announces tha t TLC REIT Management Inc., to which CRR entrusts management of its assets ("TRM") decided today for CRR to sell the investment asset as shown below. (hereafter referred to as the "Sale").

1. Summary of the Sale

			Sale Price
	Type of Asset	Property Name	(thousand yen)
			(Note)
1	Beneficial Interest in	COMFORIA SHINSAKAE	1,870,000
Real Estate
		Total	1,870,000

(Note) "Sale Price" denotes the amount exclusive o f the various expenses required in the Sale of the concerned asset, etc. (brokerage commission, taxes and public dues, etc.) (the amount of real estate or beneficial interest in real estate trust specified in the Agreement on Purchase and Sale).

① Book value

1,647,197 thousand yen (as of July 31, 2019)

• Difference between sale price and book value 222,807 thousand yen

③	Date of agreement	December 11, 2019
④	Date of sale	December 25, 2019
⑤	Buyer	Refer to "4. Summary of the Buyer"
⑥	Method of payment	Full payment at the time of delivery

• Use of proceeds from the sale of the property

Plans to allocate to future acquisitions of properties, repayment of borrowings, payment for repairs and maintenance, working funds, etc.

2. Reason for the Sale

TRM decided to sell the investment asset based on the asset management policy and subject defined in the articles of CRR for ensuring steady growth of the portfolio and stable earnings.

As to the Sale, the decision was made in consideration of the fact that the market competitiveness of the property has declined relative to other properties in the portfolio.

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Regarding capital gains resulting from the sale of the property, a portion is planned to be internally reserved through reduction entry utilizing the "Special Prov isions for Taxation in the Event of Advance Acquisition of Land, etc. in 2009 and 2010".

3. Summary of the Sale

1. Details of the Sale

Property Name	COMFORIA SHINSAKAE
Type of Asset	Beneficial Interest in Real Estate
Trustee of Beneficial Trust	Mitsubishi UFJ Trust and Banking Corporation
Expiration Date of Beneficial Trust Contract	March 19, 2029
Location (Residential address) (Note 1)	2-28-18 Shinsakae, Naka-ku,Nagoya-shi, Aichi
Land	Area (Note 1)	779.60 m2
Type of Ownership	Ownership
		Completion Date (Note 1)	May 2009
		Structure / Number of Floors	RC / 13F
		(Note 1)
Building	Gross Floor Area (Note 1)	4,098.97 m2
		Type of Ownership	Ownership
		Use (Note 1)	Apartment building / Parking / Bicycle parking / Storage / Garbage depot
		Rentable Units (Note 5)	144 Units
Property Management Company (Note 2)	Tokyu Housing Lease Corporation
Master Leasing Company (Note 3)	Tokyu Housing Lease Corporation
Master Leasing Type	Pass-through type
Appraisal Company	DAIWA REAL ESTATE APPRAISAL CO., LTD.
Appraisal Value	1,740,000 thousand yen (Appraisal Date: July 31, 2019)
Collateral		None
Special affairs (Note 4)	None
Summary of Rental Status (as of October 31, 2019) (Note 5)
	Rentable Area	3,674.88 m2
	Rented Area	3,478.26 m2
	Occupancy Rate	94.6 %
	Rentable Units	144 Units
	Rented Units	136 Units
	Total Number of Tenants	1
	Total Monthly Rent	8,982 thousand yen
	Security Deposit	9,887 thousand yen

(Note 1) "Location" is based on the residential add ress. However, for properties that have no residential address, the building address on the registry is indicated. In addition, "Area" of " Land," "Completion Date," "Structure / Number of Fl oors," "Gross Floor Area" and "Use" of building are based on information in t he real estate registry, and may not necessarily be identical with the actual figures. "Gross Floor Area" of building denotes the area of the entire building (excepting annexes).

(Note 2) "Property Management Company" is the compa ny that is scheduled to provide property management service for each property. (Note 3) "Master Leasing Company" is the lessee tha t is scheduled to conclude a master lease agreement with the titleholder of each property. (Note 4) "Special affairs" are matters recognized a s important, regarding the right and use, etc. of the asset, as well as consideration of the

degree of impact on the appraised value, profitability, and appropriation. They include the following matters:

1. Significant limitation or restriction by laws, regulations and rules
2. Significant burdens or limitations on rights, etc.
3. Significant cases where there are architectural structures crossing the boundaries of the concerned property, etc. and cases where there are issues with boundary confirmation, etc., and related arrangements, etc.
4. Significant agreements, arrangements, etc. concluded with co-owners / sectional owners.

(Note 5) Explanation of "Summary of Rental Status"

i "Rentable Area" is the total rentable floor area of residences and retail stores, etc. of the asset (if the common area, etc. is leased, the concerned area is also included). "Rentable Are a" for Non-Pass-through type master lease agreement s (master lease agreements (defined in ii below) other than Pass-through type master lease agreements (defined in ii below)) is the rentable area based on the lease agreement concluded between CRR or Trustee of Beneficial Trust and the Master Leasing Company.

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The Rentable Area is not based on the real estate registry, but the floor area stated in the lease agreement or the floor area calculated from the building as-built drawing, etc., and may not necessarily be identical to the floor area written in the real estate registry.

1. 1. In the following cases, "Rented Area" means the flo or area (based on the floor area in the lease agreement; however, limited to the floor area of residences and retail stores, etc. (when all units are leased in bulk, the floor area of the entire leased units and excluding the leased area of parking lots) that is actually leased and a lease agreement is executed with the end-tenant. Cases where all or some units are leased in bulk, based on the lease agreement ("Master Lease Agreemen t"), and the Master Leasing Company in Master Lease Agreement subleases end-tenants, besides there is an agreement under which the rent of Master Lease Agreement is in accordance with the rent, etc. that end-tenants paid (hereafter this type of Master Lease Agreement is referred to as "Pass-through type Mast er Lease Agreement"). "Rented Area" for Non-Pass-th rough type master lease agreements is the rented area based on the lease agreement concluded between CRR or Trustee of Beneficial Trust and the Master Leasing Company
   2. "Occupancy Rate" is the rate of rented area to rent able area.
   3. "Rentable Units" is the number of rentable units (i ncluding the number of stores, if any). "Rentable U nits" for Non-Pass- through type master lease agreements is the number of units that the Master Leasing Company can sublease.
   4. "Rented Units" is the number of rented units (which includes the number of stores, if any) that is actually leased and a lease agreement is executed with the end-tenant. "Rented Units" for Non-Pass-through type master lease agree ments is the number of units leased to the Master Leasing Company.
   5. "Total Number of Tenants" is the number of tenants with which CRR or Trustee of Beneficial Trust has a direct rental contract relationship. Therefore, when CRR or Trustee of Beneficial Trust leases comprehensively to the Master Leasing Company all units of the acquired property, and the Master Leasing Company subleases each unit to end-tenants, the Total Number of Tenants is 1; that is, the end-tenants of the sublease agreements are excluded.
   6. When the Master Leasing type is a Pass-Through type Master Lease Agreement, "Total Monthly Rent" means the total monthly rent, as of October 31, 2019 (including the common area expense, but not fees for incidental facilities such as parking lot or trunk room) stated in the lease agreements executed by the Master Leasing Company, or the owner of each real estate or real estate in real estate trust with end-tenants. In addition, in the case that the master lease type is a non-pass-through master lease agreement, the monthly rent (common area expense are included (except when the common area expense is not a fixed amount.), except for parking lots, trunk rooms and other ancillary facilities.) based on the lease agreement between CRR or the Trustee of Beneficial Trust and the Master Leasing Company is stated.. Amounts are rounded down to the nearest thousand yen. Consumption tax and other taxes are excluded.
   7. In the case that the master lease type is a Pass-Through type Master Lease Agreement, "Security Deposi t" is the total amount of security deposit, as of October 31, 2019, based on lease agreements executed with the end-tenants, rounded down to the nearest thousand yen. However, if a Security Deposit does not need to be repaid according to special policy conditions such as the redemption of the deposit in a lease agreement, the amount of the Security Deposit is excluded. In addition, in the case that the Master Lease type is a Non-Pass-Through type Master Lease Agreement, the Security Deposits based on the lease agreement between CRR or the Trustee of Beneficial Trust and the Master Leasing Company are stated.
2. Summary of the Appraisal Report

(thousand yen)

Property Name		COMFORIA SHINSAKAE
Appraisal Company		DAIWA REAL ESTATE APPRAISAL CO., LTD.
Appraisal Date		July 31, 2019
Appraisal Value		1,740,000
					Content	Appraisal summary
Income Capitalization Approach	1,740,000
Value
	Price of the Direct
	Capitalization Method	1,760,000
	((6)/(7))
		(1) Operating Income	119,314
			Potential Gross	127,646
			Income
				Rental Income
				(including common	115,959
				area expense)		Calculated with consideration of the average income according to ongoing
				Utility Charge	0	rental agreements as well as the assumed income level of new rents. Other
				Income	income is calculated with consideration of the performance of ongoing
				Parking Lot	8,574	asset management.
				Income
				Key Money /	2,500
				Renewal Income
				Other Income	612
			Vacancy Loss	▲ 8,332	Calculated with consideration of occupancy rates in the past and those of
			similar properties in the same supply and demand area.
			Collection Loss	0	Collection loss has not been calculated.

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		(2)	Operating Expense	28,344
				Maintenance and	2,724	Calculated with consideration of the characteristics of the property,
				Management Fee	referring to fees for similar properties as well as actual fees in previous
				Utility Charge	1,999	years.
							Expenses for restoring rooms to their original conditions are calculated
							with consideration of the level of expenses that are usually incurred, while
				Repair Cost	5,493	repair costs are calculated with consideration of the actual costs in previous
							years, the cost level in similar properties, and average repair costs
							presented in engineering reports.
				Property Management		Calculated with consideration of commissions for managing similar
				3,486	properties and the characteristics of the property, referring to the tariff of
				Fee
						commissions of the property management company.
							Calculated with consideration of such factors as average the replacement
				Tenant Advertisement	3,310	rate of inhabitants per year and occupancy rates, while referring to the
				Cost		conditions of ongoing agreements and rental agreements of similar
							properties.
				Taxes and Public	8,999	Appraised based on the standard amount of taxation for the previous year.
				Dues
				Insurance	227	Calculated with consideration of insurance premium rates of ongoing
				insurance contracts as well as those for similar properties.
				Other Expenses	2,104	Calculated with consideration of the management of current assets.
		(3)	Net Operating	90,969
		Income (NOI, (1)-(2))
				(4)	Interest on	88	Assumed in consideration of rental conditions for ongoing and new
				Security Deposit	contracts, as well as occupancy rates and yields on deposits.
				(5)	Capital		Appraised in consideration of capital expenditure in similar properties,
				8,386	building ages, and the average renovation expenses per year in engineering
				Expenditure
					reports.
		(6)	Net Cash Flow	82,671
		(NCF, (3)+(4)-(5))
							Appraised based on basic yields for the respective areas, adjusted with
							spreads calculated from the geographical and social conditions of the
		(7)	Cap Rate	4.7%	property's location, conditions of the building, and other factors, while
							considering future uncertainties, yields on trades pertaining to similar
							properties, etc.
	Price of the DCF Method	1,730,000
		Discount Rate	4.5%	Appraised in full consideration of the characteristics of the property and
		other factors, referring to yields on investments in similar properties.
							Appraised in full consideration of future trends in yields on investments,
		Terminal Cap Rate	4.9%	possible risks from investment in the property, general forecasts on future
		economic growth, trends in property prices and rents, and other factors,
							while referring to yields on trade pertaining to similar properties.
Cost Approach Value	1,710,000
		Total Value of Land and	1,713,663
		Building
				Land Value	787,618	Appraised based on actual trade prices, calculated using a market
				comparison approach method.
							Appraised based on a cost approach method, where new prices for
				Building Value	695,019	repurchasing properties are multiplied by a discount rate that has been
							decided from current situations and regional characteristics.
				Supplementary cost	231,026	Appraised in consideration of the development cost and development
				profit.
		Adjustment for Change	100%	Appraised in consideration of marketability etc.

Other matters taken into consideration by appraisal institutions when issuing appraisals

Income approach value is adopted based on the determination that it is more convincing to use income approach value as it precisely recreates a value building process in terms of profitability, while the cost approach is used only for reference.

(Note) Summary of the Appraisal Report is the appraisal value described in the respective real estate appraisal reports that were prepared by DAIWA REAL ESTATE APPRAISAL CO., LTD., based on an important notice concerning real estate appraisal in the context of the Act on Investment Trusts and Investment Corporations, the Act on Real Estate Appraisal (Act No. 152 of 1963. Including subsequent revisions) and real estate appraisal standards. The appraisal value is the judgment and opinion of the appraiser at a fixed point in time, with no guarantees as to the validity or accuracy of the report, nor to the possibility of transactions at the appraised value.

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4．Summary of the Buyer

The buyer is the special purpose company in Japan, but the details aren't disclosed by the intention of the company. The buyer is not an interested party of TRM or CRR.

1. TRM's Interested Parties in the Sale None.
2. Summary of Brokerage

None.

7. Forecast

Capital gains are forecast to arise from the Sale. Regarding some of the capital gains, it is planned to be internally reserved as reserve for reduction entry utilizing the "Special Provisions for Taxation in th e Event of Advance Acquisition of Land, etc. in 2009 and 2010."

The Sale has only a minor influence on the earnings forecasts for fiscal period ending January 31, 2020 (August 1, 2019 - January 31, 2020) and fiscal period ending July 31, 2020 (February 1, 2020 - July 31, 2020). Therefore, the earnings forecasts remain unchanged.

*The original Japanese version of this press release has been distributed to the press club of TSE (Kabuto Club), the Ministry of Land, Infrastructure, Transport and Tourism, and to the press club of the construction trade newspaper of the Ministry of Land, Infrastructure, Transport and Tourism.

*Website of CRR: https://www.comforia-reit.co.jp/en/

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Attachments 1. Portfolio List

						Acquisition	Share
Area (Note 1)	Property Name	Location (Residential address)	Type of Asset	Price (million
(Note 3)
						yen) (Note 2)
	COMFORIA	3-5-10	Nihonbashi Ningyocho, Chuo-	Beneficial
Central Tokyo	Interest in Real	1,586	0.7%
NIHONBASHININGYOCHO	ku, Tokyo
		Estate Trust
					Beneficial
	COMFORIA WASEDA	147 Bentencho, Shinjuku-ku, Tokyo	Interest in Real	1,900	0.8%
					Estate Trust
					Beneficial
	COMFORIA SHIMOOCHIAI	2-7-10 Nakaochiai, Shinjuku-ku, Tokyo	Interest in Real	1,181	0.5%
					Estate Trust
		4-34-2	Kitashinjuku,	Shinjuku-ku,	Beneficial
	COMFORIA HIGASHINAKANO	Interest in Real	552	0.2%
	Tokyo
				Estate Trust
					Beneficial
	COMFORIA GINZA EAST	1-3-1 Irifune, Chuo-ku, Tokyo	Interest in Real	3,059	1.3%
					Estate Trust
					Beneficial
	COMFORIA AZABUDAI	3-4-4 Azabudai, Minato-ku, Tokyo	Interest in Real	574	0.3%
					Estate Trust
					Beneficial
	COMFORIA SHIBAKOEN	2-2-15 Shibakoen, Minato-ku, Tokyo	Interest in Real	1,398	0.6%
					Estate Trust
					Beneficial
	COMFORIA NISHIAZABU	4-1-10 Nishiazabu, Minato-ku, Tokyo	Interest in Real	755	0.3%
					Estate Trust
		4-1-12	Minamiaoyama,	Minato-ku,	Beneficial
	COMFORIA MINAMIAOYAMA	Interest in Real	1,041	0.5%
	Tokyo
				Estate Trust
		1-5-19	Takadanobaba,	Shinjuku-ku,	Beneficial
	COMFORIA NISHIWASEDA	Interest in Real	1,685	0.7%
	Tokyo
				Estate Trust
					Beneficial
	COMFORIA HARAJYUKU	3-61-3 Sendagaya, Shibuya-ku, Tokyo	Interest in Real	3,629	1.6%
					Estate Trust
					Beneficial
	COMFORIA MITA NORTH	2-7-16 Mita, Minato-ku, Tokyo	Interest in Real	850	0.4%
					Estate Trust
	COMFORIA				Beneficial
	3-13-12 Kaigan, Minato-ku, Tokyo	Interest in Real	2,650	1.2%
	SHIBAURA BOWHOUSE
				Estate Trust
	COMFORIA				Beneficial
	5-1-21 Mita, Minato-ku, Tokyo	Interest in Real	1,300	0.6%
	SHIROKANETAKANAWA
				Estate Trust
	COMFORIA	3-6-3	NihonbashiNingyocho, Chuo-ku,	Beneficial
	NIHONBASHININGYOCHO	Interest in Real	2,139	0.9%
	Tokyo
	EAST			Estate Trust
					Beneficial
	COMFORIA ATAGO	3-23-7 Toranomon, Minato-ku, Tokyo	Interest in Real	826	0.4%
					Estate Trust
		2-6-12	Kudanminami,	Chiyoda-ku,	Beneficial
	COMFORIA KUDAN	Interest in Real	1,280	0.6%
	Tokyo
				Estate Trust
	COMFORIA	1-1-6	NihonbashiHoridomecho, Chuo-	Beneficial
	NIHONBASHININGYOCHO	Interest in Real	1,108	0.5%
	ku, Tokyo
	NORTH		Estate Trust

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			Beneficial
Central Tokyo	COMFORIA SHINKAWA	2-15-5 Shinkawa, Chuo-ku, Tokyo	Interest in Real	1,840	0.8%
			Estate Trust
			Beneficial
	COMFORIA AKASAKA	2-17-63 Akasaka, Minato-ku, Tokyo	Interest in Real	1,945	0.9%
			Estate Trust
			Beneficial
	COMFORIA MITA EAST	4-18-1 Shiba, Minato-ku, Tokyo	Interest in Real	3,190	1.4%
			Estate Trust
			Beneficial
	COMFORIA SHIBAURA CANAL	3-1-9 Kaigan, Minato-ku, Tokyo	Interest in Real	1,570	0.7%
			Estate Trust
			Beneficial
	COMFORIA KITASANDO	4-5-10 Sendagaya, Shibuya-ku, Tokyo	Interest in Real	4,268	1.9%
			Estate Trust
			Beneficial
	COMFORIA YOYOGIUEHARA	2-31-5 Uehara, Shibuya-ku, Tokyo	Interest in Real	1,560	0.7%
			Estate Trust
			Beneficial
	COMFORIA SASAZUKA	1-59-10 Sasazuka, Shibuya-ku, Tokyo	Interest in Real	1,789	0.8%
			Estate Trust
	COMFORIA		Beneficial
	1-13-3 Shinjuku, Shinjuku-ku, Tokyo	Interest in Real	1,806	0.8%
	SHINJUKUGYOENⅡ
		Estate Trust
	COMFORIA	18-2 Ichigayayanagicho, Shinjuku-ku,	Beneficial
	Interest in Real	1,623	0.7%
	ICHIGAYAYANAGICHO	Tokyo
	Estate Trust
			Beneficial
	COMFORIA KAGURAZAKA	26-1 Iwatocho, Shinjuku-ku, Tokyo	Interest in Real	736	0.3%
			Estate Trust
			Beneficial
	COMFORIA NIBANCHO	4-8 Nibancho, Chiyoda-ku, Tokyo	Interest in Real	1,621	0.7%
			Estate Trust
		1-20-12 Kitashinjuku, Shinjuku-ku,	Beneficial
	COMFORIA NISHISHINJUKU	Interest in Real	1,625	0.7%
	Tokyo
		Estate Trust
		1-42-2 Kandajinbocho Chiyoda-ku	Beneficial
	COMFORIA KANDAJINBOCHO	Interest in Real	1,434	0.6%
	Tokyo,
		Estate Trust
		1-2-2 Nihonbashibakurocho, Chuo-ku,	Beneficial
	COMFORIA NIHONBASHI	Interest in Real	1,956	0.9%
	Tokyo
		Estate Trust
			Beneficial
	COMFORIA TAMACHI	4-5-13 Shibaura, Minato-ku Tokyo	Interest in Real	3,272	1.4%
			Estate Trust
			Beneficial
	COMFORIA AZABUJUBAN	1-2-15 Mita, Minato-ku, Tokyo	Interest in Real	1,471	0.6%
			Estate Trust
	COMFORIA		Beneficial
	1-10-4 Shinjuku, Shinjuku-ku, Tokyo	Interest in Real	1,406	0.6%
	SHINJUKUGYOENⅠ
		Estate Trust
	COMFORIA		Beneficial
	7-3 Iwatocho, Shinjuku-ku, Tokyo	Interest in Real	1,245	0.5%
	KAGURAZAKA DEUX
		Estate Trust
			Beneficial
	COMFORIA AZABU EAST	2-29-1 Higashiazabu, Minato-ku, Tokyo	Interest in Real	1,900	0.8%
			Estate Trust

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Central Tokyo			（Tower Building）
		6-27-29 Shinjuku, Shinjuku-ku, Tokyo
	COMFORIA SHINJUKU		（Annex Building）	Beneficial
		Interest in Real	13,264	5.9%
	EASTSIDE TOWER		6-27-28 Shinjuku, Shinjuku-ku, Tokyo
		Estate Trust
			（Gate Building）
			6-27-14 Shinjuku, Shinjuku-ku, Tokyo
	COMFORIA		74-23 Ichigayayakuojimachi, Shinjuku-	Beneficial
		Interest in Real	941	0.4%
	ICHIGAYAYAKUOJI		ku, Tokyo
		Estate Trust
			2-9-19	Higashikanda, Chiyoda-ku,	Beneficial
	COMFORIA AKIHABARA EAST		Interest in Real	4,425	2.0%
		Tokyo
				Estate Trust
					Beneficial
	COMFORIA MITA TROIS		3-43-6 Shiba, Minato-ku, Tokyo	Interest in Real	890	0.4%
					Estate Trust
	COMFORIA SHIBAURA		2-3-33 Shibaura, Minato-ku, Tokyo	Real Estate	1,065	0.5%
					Beneficial
	COMFORIA SHINJUKU		5-8-20, Shinjuku, Shinjuku-ku, Tokyo	Interest in Real	2,150	0.9%
					Estate Trust
	COMFORIA		3-6-4	Higashi-Nihonbashi,Chuo-ku,	Beneficial
		Interest in Real	1,194	0.5%
	HIGASHINIHONBASHI		Tokyo
			Estate Trust
	COMFORIA				Beneficial
		2-1-8 Minato, Chuo-ku, Tokyo	Interest in Real	2,380	1.0%
	GINZA EAST NIBANKAN
				Estate Trust
		Subtotal			90,083	39.7%
Sub-central					Beneficial
COMFORIA BUNKYOKASUGA		1-15-12 Nishikata, Bunkyo-ku, Tokyo	Interest in Real	1,470	0.6%
Tokyo
				Estate Trust
	COMFORIA				Beneficial
		1-11-5 Matsugaya, Taito-ku, Tokyo	Interest in Real	910	0.4%
	ASAKUSAMATSUGAYA
				Estate Trust
					Beneficial
	COMFORIA NISHIOI		6-6-1 Nishioi, Shinagawa-ku, Tokyo	Interest in Real	902	0.4%
					Estate Trust
					Beneficial
	COMFORIA NAKANO		2-40-12 Kamitakada, Nakano-ku, Tokyo	Interest in Real	881	0.4%
					Estate Trust
					Beneficial
	COMFORIA SHIMOKITAZAWA		1-9-14 Hanegi, Setagaya-ku, Tokyo	Interest in Real	2,587	1.1%
					Estate Trust
					Beneficial
	COMFORIA NISHIKAMATA		6-37-3 Nishikamata, Ota-ku, Tokyo	Interest in Real	1,550	0.7%
					Estate Trust
					Beneficial
	COMFORIA OYAMA		4-4 Oyamacho, Itabashi-ku, Tokyo	Interest in Real	1,987	0.9%
					Estate Trust
	COMFORIA				Beneficial
	KIYOSUMISHIRAKAWA		3-2-13 Miyoshi, Koto-ku, Tokyo	Interest in Real	740	0.3%
	SOUTH				Estate Trust
					Beneficial
	COMFORIA KOMAZAWA		2-1-5 Komazawa, Setagaya-ku, Tokyo	Interest in Real	1,290	0.6%
					Estate Trust

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Sub-central

Tokyo

		Beneficial
COMFORIA KOISHIKAWA	2-17-27 Koishikawa, Bunkyo-ku, Tokyo	Interest in Real	552	0.2%
		Estate Trust
		Beneficial
COMFORIA SENGOKU	4-3-20 Sengoku, Bunkyo-ku, Tokyo	Interest in Real	1,219	0.5%
		Estate Trust
COMFORIA		Beneficial
2-1-7 Aobadai, Meguro-ku, Tokyo	Interest in Real	926	0.4%
DAIKANYAMAAOBADAI
	Estate Trust
		Beneficial
COMFORIA IKEBUKURO	2-57-1 Ikebukuro, Toshima-ku, Tokyo	Interest in Real	602	0.3%
		Estate Trust
COMFORIA		Beneficial
1-36-1 Ishiwara, Sumida-ku, Tokyo	Interest in Real	651	0.3%
RYOGOKUISHIWARA
	Estate Trust
COMFORIA		Beneficial
5-24-10 Asakusabashi, Taito-ku, Tokyo	Interest in Real	874	0.4%
ASAKUSABASHI DEUX
	Estate Trust
		Beneficial
COMFORIA OSHIAGE	4-7-2 Narihira, Sumida-ku, Tokyo	Interest in Real	714	0.3%
		Estate Trust
COMFORIA		Beneficial
2-11-12 Honjo, Sumida-ku, Tokyo	Interest in Real	762	0.3%
HONJOAZUMABASHI
	Estate Trust
COMFORIA		Beneficial
3-5-14 Shirakawa, Koto-ku, Tokyo	Interest in Real	873	0.4%
KIYOSUMISHIRAKAWA TROIS
	Estate Trust
COMFORIA		Beneficial
16-8 Fuyuki, Koto-ku, Tokyo	Interest in Real	2,658	1.2%
MONZENNAKACHO
	Estate Trust
		Beneficial
COMFORIA HIMONYA	2-3-3 Himonya, Meguro-ku, Tokyo	Interest in Real	1,189	0.5%
		Estate Trust
		Beneficial
COMFORIA MISYUKU	3-23-2 Ikejiri, Setagaya-ku, Tokyo	Interest in Real	1,874	0.8%
		Estate Trust
COMFORIA		Beneficial
6-46-6 Shimouma, Setagaya-ku, Tokyo	Interest in Real	1,138	0.5%
GAKUGEIDAIGAKU
	Estate Trust
COMFORIA	4-2-19 Higashinakano, Nakano-ku,	Beneficial
Interest in Real	833	0.4%
HIGASHINAKANO DEUX	Tokyo
Estate Trust
COMFORIA	3-22-21 Higashiikebukuro, Toshima-ku,	Beneficial
Interest in Real	3,911	1.7%
HIGASHIIKEBUKURO WEST	Tokyo
Estate Trust
		Beneficial
COMFORIA RYOGOKU DEUX	1-2-10 Chitose, Sumida-ku, Tokyo	Interest in Real	1,014	0.4%
		Estate Trust
		Beneficial
COMFORIA OMORI DEUX	3-4-2 Omorikita, Ota-ku, Tokyo	Interest in Real	1,188	0.5%
		Estate Trust
		Beneficial
COMFORIA MACHIYA	5-51-7 Arakawa, Arakawa-ku, Tokyo	Interest in Real	594	0.3%
		Estate Trust
		Beneficial
COMFORIA ASAKUSABASHI	2-20-10 Yanagibashi, Taito-ku, Tokyo	Interest in Real	2,680	1.2%
		Estate Trust

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Sub-central

Tokyo

				Beneficial
COMFORIA RYOGOKU SOUTH	2-14-8 Chitose, Sumida-ku, Tokyo	Interest in Real	1,240	0.5%
				Estate Trust
				Beneficial
COMFORIA TOYOSU	1-4-12 Edagawa, Koto-ku, Tokyo	Interest in Real	3,096	1.4%
				Estate Trust
COMFORIA				Beneficial
5-18-5 Tachibana, Sumida-ku, Tokyo	Interest in Real	938	0.4%
SUMIDA-TACHIBANA
			Estate Trust
				Beneficial
COMFORIA UENOHIROKOJI	3-17-4 Ueno, Taito-ku, Tokyo	Interest in Real	1,050	0.5%
				Estate Trust
COMFORIA				Beneficial
1-11-18 Kasuga, Bunkyo-ku, Tokyo	Interest in Real	2,912	1.3%
KASUGATOMISAKA
			Estate Trust
	2-29-24	Honkomagome,	Bunkyo-ku,	Beneficial
COMFORIA HONKOMAGOME	Interest in Real	1,344	0.6%
Tokyo
			Estate Trust
				Beneficial
COMFORIA MORISHITA	3-6-8 Shinohashi, Koto-ku, Tokyo	Interest in Real	1,530	0.7%
				Estate Trust
				Beneficial
COMFORIA KIBAKOEN	2-17-7 Kiba, Koto-ku, Tokyo	Interest in Real	956	0.4%
				Estate Trust
COMFORIA	2-6-25	Kamiosaki, Shinagawa-ku,	Beneficial
Interest in Real	1,972	0.9%
MEGURO CHOJAMARU	Tokyo
		Estate Trust
				Beneficial
COMFORIA NISHIMAGOME	2-35-8 Nishimagome, Ota-ku, Tokyo	Interest in Real	990	0.4%
				Estate Trust
COMFORIA	2-8-1 Higashiikebukuro,	Toshima-ku,	Beneficial
Interest in Real	1,712	0.8%
HIGASHIIKEBUKURO EAST	Tokyo
		Estate Trust
COMFORIA	4-3-5	Higashiikebukuro,	Toshima-	Beneficial
Interest in Real	1,132	0.5%
HIGASHIIKEBUKURO	ku,Tokyo
	Estate Trust
				Beneficial
COMFORIA KOMABA	4-8-25 Ikejiri, Setagaya-ku, Tokyo	Interest in Real	5,000	2.2%
				Estate Trust
				Beneficial
COMFORIA KINSHICHO	3-8-6 Taihei, Sumida-ku, Tokyo	Interest in Real	1,042	0.5%
				Estate Trust
COMFORIA				Beneficial
4-4-20 Miamisuna, Koto-ku, Tokyo	Interest in Real	4,681	2.1%
MINAMISUNAMACHI
			Estate Trust
COMFORIA	3-22-11, Higashishinagawa, Shinagawa-	Beneficial
Interest in Real	1,510	0.7%
HIGASHISHINAGAWA	ku, Tokyo
	Estate Trust
				Beneficial
COMFORIA MEGUROYAKUMO	1-12-10 Yakumo, Meguro-ku, Tokyo	Interest in Real	813	0.4%
				Estate Trust
				Beneficial
COMFORIA YOGA	3-24-3 Yoga, Setagayaku-ku, Tokyo	Interest in Real	1,041	0.5%
				Estate Trust
COMFORIA				Beneficial
62-2 Nakajuku, Itabashi-ku, Tokyo	Interest in Real	3,794	1.7%
ITABASHINAKAJUKU
			Estate Trust

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Sub-central		1-20-8	Kitashinagawa,	Shinagawa-ku,	Beneficial
COMFORIA SHINAGAWA EAST	Interest in Real	1,430	0.6%
Tokyo	Tokyo
			Estate Trust
	COMFORIA OJIMA	4-8-10 Ojima, Koto-ku, Tokyo	Real Estate	2,110	0.9%
	COMFORIA	3-36-7 Omorikita, Ota-ku, Tokyo	Real Estate	866	0.4%
	OMORI TROIS
	COMFORIA				Beneficial
	1-3-2 Honkomagome, Bunkyo-ku Tokyo	Interest in Real	1,330	0.6%
	BUNKYOHAKUSAN
				Estate Trust
					Beneficial
	COMFORIA KAMATA	4-21-2 Kamata, Ota-ku, Tokyo	Interest in Real	5,721	2.5%
					Estate Trust
	COLLEGE COURT	1-15-1	Kamitakaido,	Suginami-ku,	Beneficial
	Interest in Real	1,245	0.5%
	HACHIMANYAMA	Tokyo
			Estate Trust
					Beneficial
	COMFORIA UENOIRIYA	2-6-8 Ryusen, Taito-ku, Tokyo	Interest in Real	2,173	1.0%
					Estate Trust
					Beneficial
	COMFORIA IKEJIRI	2-31-18 Ikejiri, Setagaya-ku, Tokyo	Interest in Real	1,313	0.6%
					Estate Trust
	COMFORIA				Beneficial
	3-6-11 Kamiuma, Setagaya-ku, Tokyo	Interest in Real	2,622	1.2%
	SETAGAYAKAMIUMA
				Estate Trust
	COMFORIA				Beneficial
	26-11 Iwabuchimachi, Kita-ku, Tokyo	Interest in Real	2,500	1.1%
	AKABANEIWABUCHI
				Estate Trust
	COMFORIA RYOGOKU TROIS	1-5-15 Kamezawa, Sumida-ku, Tokyo	Real Estate	1,660	0.7%
	COLLEGE SQUARE	1-15-2 Kamitakaido, Suginami-ku,	Beneficial
	Interest in Real	880	0.4%
	HACHIMANYAMA	Tokyo
			Estate Trust
					Beneficial
	COMFORIA KINSHICHO DEUX	2-10-20 Mori, Koto-ku, Tokyo	Interest in Real	2,213	1.0%
					Estate Trust
					Beneficial
	COMFORIA KAMEIDO SOUTH	6-25-5 Kameido, Koto-ku, Tokyo	Interest in Real	2,050	0.9%
					Estate Trust
					Beneficial
	COMFORIA SHIBUYA WEST	4-4-5 Aobadai, Meguro-ku, Tokyo	Interest in Real	5,397	2.4%
					Estate Trust
	COMFORIA				Beneficial
	2-4-7 Komagata, Taito-ku, Tokyo	Interest in Real	1,254	0.6%
	ASAKUSAKOMAGATA
				Estate Trust
					Beneficial
	COMFORIA OMORIKASHIMA	6-20-10 Oi, Shinagawa-ku, Tokyo	Interest in Real	864	0.4%
					Estate Trust
					Beneficial
	COMFORIA OMORIMACHI	4-11-5Omori-nishi,Ota-ku, Tokyo	Interest in Real	1,096	0.5%
					Estate Trust
					Beneficial
	COMFORIA KAMIIKEDAI	5-7-22 Kamiikedai, Ota-ku, Tokyo	Interest in Real	1,842	0.8%
					Estate Trust

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Sub-central	CAMPUS VILLAGE						Beneficial
	3-2-19 Nagasaki, Toshima-ku, Tokyo	Interest in Real	2,740	1.2%
Tokyo	SHIINAMACHI
					Estate Trust
		Subtotal					114,631	50.6%
Tokyo	COMFORIA						Beneficial
Metropolitan		1-9-10 Shioyaki, Ichikawa-shi, Chiba	Interest in Real	606	0.3%
ICHIKAWAMYODEN
Area						Estate Trust
							Beneficial
	COMFORIA YATSUKA		3-38-3 Sezaki, Soka-shi, Saitama	Interest in Real	626	0.3%
							Estate Trust
			2-216-2	Koyasudori,	Kanagawa-ku,	Beneficial
	COMFORIA SHINKOYASU		Interest in Real	1,077	0.5%
		Yokohama-shi, Kanagawa
				Estate Trust
			2-1-13	Gyotokuekimae,	Ichikawa-shi,	Beneficial
	COMFORIA GYOTOKU		Interest in Real	978	0.4%
		Chiba
						Estate Trust
			40-3, Chigasaki Chuo, Tsuzuki-ku,	Beneficial
	GRANCREER CENTER-MINAMI		Interest in Real	4,150	1.8%
		Yokohama-shi, Kanagawa
				Estate Trust
			2-12-1	Utsukushigaoka,	Aoba-ku,	Beneficial
	COMFORIA TAMA-PLAZA		Interest in Real	2,220	1.0%
		Yokohama-shi, Kanagawa
				Estate Trust
		Subtotal					9,657	4.3%
Other Major			1-21-24 Higashinakajima,			Beneficial
COMFORIA SHIN-OSAKA				Interest in Real	2,400	1.1%
Cities		Higashiyodogawa-ku,Osaka-shi, Osaka
		Estate Trust
			2-2-51 Kitasanjohigashi, Chuo-ku,	Beneficial
	COMFORIA KITASANJO		Interest in Real	660	0.6%
		Sapporo-shi, Hokkaido
					Estate Trust
	COMFORIA SAPPORO		10-1-6 Kitanijonishi, Chuo-ku,	Beneficial
		Interest in Real	1,250	0.6%
	SHOKUBUTSUEN		Sapporo-shi Hokkaido
				Estate Trust
			3-7-15 Tenjinbashi, Kita-ku,Osaka-shi,	Beneficial
	COMFORIA OGIMACHI		Interest in Real	1,435	0.9%
		Osaka
						Estate Trust
	COMFORIA		2-6-8 Bakuromachi, Chuo-ku, Osaka-	Beneficial
		Interest in Real	1,980	0.7%
	SHINSAIBASHI EAST		shi, Osaka
				Estate Trust
			1-16-14	Kyomachibori,	Nishi-ku,	Beneficial
	COMFORIA KYOMACHIBORI		Interest in Real	1,567	0.6%
		Osaka-shi, Osaka
					Estate Trust
			1-5-5 Enokojima, Nishi-ku,Osaka-shi,	Beneficial
	COMFORIA AWAZA		Interest in Real	1,289	0.8%
		Osaka
						Estate Trust
			2-1-14	Imabashi, Chuo-ku,	Osaka-shi,	Beneficial
	COMFORIA KITAHAMA		Interest in Real	1,719	0.8%
		Osaka
						Estate Trust
		Subtotal					12,300	5.4%
			Total					226,671	100.0%
(Note 1) Explanation of "Area"

1. "Central Tokyo" denotes the five major wards of Tokyo (Chiyoda, Chuo, Minato, Shinjuku and Shibuya).
2. "Sub-centralTokyo" denotes the other 18 wards of Tokyo.
3. "Tokyo Metropolitan Area" denotes residential areas in Central Tokyo and Sub-central Tokyo (areas outside of Central Tokyo and Sub-central Tokyo (including Tokyo, Kanagawa, Saitama and Chiba) where demand for rental residences is strong.
4. "Other Major Cities" denotes ordinance-designated cities, etc except for Central Tokyo, Sub-central Tokyo and Tokyo

Metropolitan Area.

(Note 2) "Acquisition (planned) price" is the purch ase price (not including tax and rounded down to the nearest million yen) of the trust

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beneficial interest in real estate or the real estate listed in the respective sales and purchase agreement.

(Note 3) "Share" refers to the ratio of the acquisi tion price of each property to the total acquisition price rounded to the nearest hundredths.

- 13 -