Heiwa Real Estate REIT : Notice Concerning the Determination of the Number of Investment Units for the Issuance of New Investment Units through Third-Party Allotment

June 23, 2023

For Immediate Release

REIT Issuer

HEIWA REAL ESTATE REIT, Inc.

5-1 Nihonbashi Kabuto-cho,Chuo-ku, Tokyo

Aya Motomura, Executive Director

(Securities Code: 8966)

Asset Management Company

HEIWA REAL ESTATE Asset Management CO., LTD.

Masanori Hirano, Representative Director, President and Chief Executive Officer Inquiries: Junichi Kawamura, Managing Officer and General Manager of Planning & Finance Department TEL. [phone]

Notice Concerning the Determination of the Number of Investment Units for the Issuance of New Investment

Units through Third-Party Allotment

HEIWA REAL ESTATE REIT, Inc. (the "Investment Corporation") announced that today SMBC Nikko Securities Inc., the scheduled holder of the new investment units issued through third-party allotment (the "Third-Party Allotment") determined by resolution of the Board of Directors at meetings held on May 22, 2023 and May 25, 2023, at the same time as resolutions for the issuance of new investment units through public offering and the offering of investment units through a greenshoe option, notified the Investment Corporation of its intention to apply for all of the investment units to be issued. Details are as follows.

	Details
（1）	Number of new investment units to be issued	：1,700 units
		（anticipated number of investment units：1,700 units）
（2）	Amount to be paid in (issue value)	：143,449 yen per unit
（3）	Total amount to be paid (total issue value)	：243,863,300 yen
（4）	Allottee and number of investment units	：SMBC Nikko Securities Inc. 1,700 units
（5）	Period for subscription (application date)	：June 26, 2023 (Monday)
（6）	Payment date	：June 27, 2023 (Tuesday)

＜Reference＞

1. Change in the number of investment units after the third-party allotment （1） Current number of issued investment units outstanding

（2） Number of new investment units to be issued through the Third-party Allotment

（3） Total number of issued investment units after the Third-party Allotment

：1,148,233 units

• 1,700 units

：1,149,933 units

• For details of the Third-Party Allotment, please refer to "Notice Concerning the Issuance of New Investment Units and Secondary Offering of Investment Units" published May 22, 2023 and "Notice Concerning Determination of Prices, etc. for Issuance of New Investment Units and Secondary Offering of Investment Units" published May 25,2023

2. Use of funds acquired through the Third-Party Allotment

The net proceeds of 243,863,300 yen from the Third-Party Allotment will be allocated to part of the expenses for the acquisition of specified assets (within the meaning of Article 2 (Act No.198 of 1951, including all subsequent amendments), Paragraph 1 of the Act on Investment Trusts and Investment Corporations, Hereinafter the same applies) announced in the releases, Notice Concerning Acquisition of Assets (Kitahama 1-Chome Heiwa Building and Heiwa Real Estate Kitahama Building), dated May 22, 2023 and part of the expenses for the Third-Party Allotment and the issuance of new investment units through public offering, a resolution for which was passed on the same day as the resolution for the Third-Party Allotment. The REIT will treat the remainder as a cash reserve, and allocate it as a portion of the funds it will spend on the future acquisition of specified assets if any balance is left.

(Note) The amount to be procured will be deposited into accounts with financial institutions until the expenditure is made.

• Investment Corporation Website:https://www.heiwa-re.co.jp/en/

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