Kenedix Retail REIT : Notice Regarding Re-conclusion of Alliance Agreement with

Translation of Japanese Original

October 6, 2021

To All Concerned Parties

REIT Issuer:

Kenedix Retail REIT Corporation

Representative:	Moyuru Watanabe, Executive	Director
	(Securities	Code: 3453)

As se t M an ag e r:

Kenedix Real Estate Fund Management, Inc.

Representative:	Masahiko Tajima, President & CEO
Contact:	Koichiro Nobata, Head of Planning Division,
	Retail REIT Department
TEL:	[phone]

Notice Regarding Re-conclusion of Alliance Agreement with

Sumitomo Mitsui Finance and Leasing Co., Ltd. and SMFL MIRAI Partners Co., Ltd.

Kenedix Retail REIT Corporation ("the Investment Corporation") and Kenedix Real Estate Fund Management, Inc. ("the Asset Manager") have announced today that they have terminated the former Alliance Agreement ("the Former Alliance Agreement") with Sumitomo Mitsui Finance and Leasing Co., Ltd. ("SMFL") and SMFL MIRAI Partners Co., Ltd. ("FLMP") and that the Asset Manager has entered into new support agreements ("the Alliance Agreements") with SMFL and FLMP.

1. Reasons for cancellation of the old support contract and conclusion of this support contract

As announced in the "Announcement Concerning Changes in Parent Companies (Specified Related Corporation) of the Asset Management Company" announced on January 12, 2021, SMFL and FLMP became the Parent Company (Designated Affiliated Corporations) of the Asset Management Company through a tender offer by SMFL Mirai Partners Investment No. 2, Inc., a corporation in which 100.0% of the issued shares are held by SMFL's wholly-owned subsidiary, to Kenedix, Inc., the parent company of the Asset Management Company. In addition, Kenedix Corporation and SMFL entered into a capital-business alliance on November 20, 2020. The Asset Management Company had previously entered into the Former Alliance Agreement with SMFL and FLMP in relation with the Investment Corporation. However, it has decided to terminate the Former Alliance Agreement and conclude the Alliance Agreement with the aim of expanding the scope of the Alliance Agreement not only to the Investment Corporation but also to other REITs managed by the Asset Manager. Through the Alliance Agreement with SMFL and FLMP, the REITs including the Investment Corporation, which the Asset Management Company manages can expect to promote their growth strategies and contribute to further enhancement of their unitholder value by making maximum use of their extensive support including pipeline support from SMFL and FLMP. The support for the Investment Corporation is substantially the same as the Former Alliance Agreement except for the addition of "provision of environmentally-friendly technology and knowhow."

2. Overview of the Alliance Agreement

1. Details of support provided through the Alliance Agreement
2. • Pipeline support to the Asset Management Company
   • Acquisition support through warehousing support by FLMP and financing for warehousing SPCs by
     SMFL

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1. • Provision of environmentally-friendly technology and knowhow
   • Other necessary support including cooperation in securing human resources and provision of training
2. Contract period
   The contract period of the Alliance Agreement is one year from the date of execution of the Alliance Agreement. However, if no written offer is made by either party to the Alliance Agreement to all other parties six months prior to the date of expiry, the Alliance Agreement will be renewed for one year from the day following the date of expiry.
3. Outline of the Alliance Companies

Name	Sumitomo Mitsui Finance and Leasing Company, Limited
Location	3-2, Marunouchi 1-chome,Chiyoda-ku, Tokyo
Representative	Makoto Horie, Chairman of the Board
	Masaki Tachibana, President
Business description	1.	Leasing and installment sales of a variety of equipment and machinery
	2.	Loans and factoring
	3.	Other
	4.	Services relating to above-mentioned businesses
Paid-in capital	15,000 million yen (as of March 31, 2021)
Establishment	February 1963
Net assets	922,067 million yen (as of March 31, 2021)
Total assets	7,041,995 million yen (as of March 31, 2021)
Major shareholder and	Sumitomo Mitsui Financial Group, Inc.	50.0%
shareholding ratio
Sumitomo Corporation	50.0%
(As of March 31, 2021)

Relationship between the Investment Corporation/Asset Management Company and the parent company (specified related corporation)

	Capital relationship	The company is the Asset Management Company's parent company indirectly
		holding 70% of the Asset Management Company's outstanding shares as of
		today. It is deemed a related party under the Investment Trust Law.
	Personnel	There is no special personnel relationship between the Investment Corporation/
	relationship	Asset Management Company and the company.
	Business	The company, as an Alliance Company for the Investment Corporation,
	relationship	provides pipeline support, etc. for the Investment Corporation in accordance
		with the Alliance Agreement as of today.
	Related parties	The company is the Asset Management Company's parent company indirectly
		holding 70% of the Asset Management Company's outstanding shares as of
		today. It is deemed a related party.
Name	SMFL MIRAI Partners Company, Limited
Location	3-2, Marunouchi 1-chome,Chiyoda-ku, Tokyo
Representative	Tatsurou Terada, President
Business description	1. Real estate business
		2. Environmental and energy business
		3. Other
		4. Services relating to above-mentioned businesses
Paid-in capital	200 million yen (as of March 31, 2021)
Establishment	October 1, 2018
Net assets	22,527 million yen (as of March 31, 2021)
Total assets	979,064 million yen (as of March 31, 2021)
Major shareholder and
shareholding ratio	Sumitomo Mitsui Finance and Leasing Company, Limited	100.0%
(As of March 31, 2021)
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Relationship between the Investment Corporation/Asset Management Company and the parent company (specified related corporation)

	Capital relationship	The company is the Asset Management Company's parent company indirectly
		holding 70% of the Asset Management Company's outstanding shares as of
		today. It is deemed a related party under the Investment Trust Law.
	Personnel	There is no special personnel relationship between the Investment Corporation/
	relationship	Asset Management Company and the company.
	Business	The company, as an Alliance Company for the Investment Corporation,
	relationship	provides pipeline support, etc. for the Investment Corporation in accordance
		with the Alliance Agreement as of today.
	Related parties	The company is the Asset Management Company's parent company indirectly
		holding 70% of the Asset Management Company's outstanding shares as of
		today. It is deemed a related party.

KRR website address:https://www.krr-reit.com/en/

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