Industrial & Infrastructure Fund Investment Corpor : Notice Concerning New Debt Financing（153.9KB）

January 10, 2018

To all concerned parties:

Investment Corporation

Industrial & Infrastructure Fund Investment Corporation (Tokyo Stock Exchange Company Code: 3249）

Representative:Yasuyuki Kuratsu, Executive Director

URL:http://www.iif-reit.com/english/

Asset Management Company

Mitsubishi Corp.-UBS Realty Inc.

Representative: Inquiries:Toru Tsuji, President & CEO Hidehiko Ueda,

Head of Industrial Division

TEL: [phone]

Notice Concerning New Debt Financing

Industrial & Infrastructure Fund Investment Corporation ("IIF") announced today the financing of new loan ("the Debt Financing") as outlined below.

1．Overview of the Debt Financing

Debt Term	Amount （Million Yen）	Fixed/ Floating	Interest Rate (Note1)	Lender	Signing Date	Anticipated Borrowing Date	Repayment Date	Remarks/ Repayment Method
Debt 1	6.5 years	2,900	Fixed	To be determined （Note2）	The Bank of Tokyo-Mitsubishi UFJ, Ltd., Mitsubishi UFJ Trust and Banking Corporation and Sumitomo Mitsui Trust Bank, Limited	Jan. 10, 2018	Feb. 1, 2018	Aug. 1, 2024	Unsecured, unguaranteed, and lump sum repayment
Debt 2	10 years	700	Fixed	To be determined （Note2）	Mizuho Bank, Ltd.	Jan. 10, 2018	Feb. 1, 2018	Feb. 1, 2028	Unsecured, unguaranteed, and lump sum repayment
Debt 3	12 years	2,400	Fixed	To be determined （Note2）	Sumitomo Mitsui Trust Bank, Limited, New Lender Japan Post Insurance Co., Ltd.	Jan. 10, 2018	Feb. 1, 2018	Feb. 1, 2030	Unsecured, unguaranteed, and lump sum repayment

Average Borrowing Period (Note3)	Total amount to be borrowed (Million Yen)	Average Debt Cost (estimate) (Note4)
9.1 years	6,000	0.62%

(Note1) Interest payments will start on March 30, 2018, followed by the last days of March, June, September, and December until the maturity date (if the corresponding date falls on a non-business day, the immediately following business day; and, if the immediately following business day falls on the next calendar month, the immediately preceding business day) and the maturity date.

(Note2) The interest rate will be determined on or before the anticipated borrowing date based on the loan agreements dated January 10, 2018. The announcement of the interest rate will be made at the time of determination.

(Note3) Weighted average based on the borrowing amounts.

(Note4) The applicable interest rate is not yet determined as of the date of this press release. Individual interest rates are calculated by

adding the spread set forth in each loan agreement to the rate calculated based on the offered rate, etc. of the fixed interest rate (Reuters Page 9154) published at 11:00 a.m. on December 20, 2017 (Tokyo Time), by taking into account the loan agreements executed associated with this new borrowing on January 10, 2018. Since the applicable interest rate is determined before each borrowing is completed based on the loan agreements executed on January 10, 2018, the estimated interest rate above may differ from the actual applicable interest rates. The actual applicable interest rates may deviate significantly from the numerical value above when the trend of interest rates changes drastically due to factors such as rapid changes in the economic environment, among other factors. The same shall apply hereinafter.

2. Reason for the Debt Financing

The Debt Financing is to be allocated for a portion of the acquisition costs of IIF Fukuoka Hakozaki Logistics Center I (40% Co-ownership Interest) and IIF Fukuoka Hakozaki Logistics Center II (40% Co-ownership Interest) which are scheduled to be acquired on February 1, 2018. For the details of this acquisition, please refer to the news release titled "Notice Concerning Acquisition of Real Estate Trust Beneficiary Rights" announced today.

Moreover, IIF is further diversifying its lender base by adding a new lender, Japan Post Insurance Co., Ltd.

3.

Status of Interest-Bearing Debts After the Debt Financing

(in Million Yen)

Before the Debt Financing	After the Debt Financing	Change
Short-term Borrowings	0	0	0
Long-term Borrowings	121,500	127,500	+6,000
Total Borrowings		121,500	127,500	+6,000
Investment Corporation Bond		10,000	10,000	0
Interest-bearing Debt in Total		131,500	137,500	+6,000

(Note) The amount of long-term borrowings includes the current portion of long-term borrowings.

4．Future Outlook

The Debt Financing will not impact the operating results forecast for the January 2018 (21st) Fiscal Period (August 1, 2017 to January 31, 2018); our forecast will remain unchanged.

About IIF: Industrial and Infrastructure Fund Investment Corporation ("IIF") is the first J-REIT focused on acquiring and operating both industrial and infrastructure properties in Japan－properties that play a vital role in the Japanese economy, and for which IIF expects to see stable demand in the mid to long term. With respect to industrial properties, IIF intends to invest in a diverse portfolio of properties, including manufacturing and research and development facilities. Please refer to our website athttp://www.iif-reit.com/english/

Contacts: For the further information relating to this press release as well as IIF and its Asset Manager, please feel free to contact

Mr. Hidehiko Ueda (Telephone Number: 81-3-5293-7090), Head of Industrial Division at Mitsubishi Corp.-UBS Realty, Inc., asset manager for Industrial & Infrastructure Fund Investment Corporation.

Investor Relations: Telephone Number: 81-3-5293-7091 E-mail:[e-mail]

This English language release is for informational purposes only, and the Japanese language release should be referred to as the original.