Sekisui House Reit : Notice Concerning Borrowing of Funds

July 6, 2022

Real Estate Investment Trust Securities Issuer

Sekisui House Reit,Inc.

Representative:	Atsuhiro Kida, Executive Director
	(Securities Code:3309)
Asset Management Company
Sekisui House Asset Management, Ltd.
Representative:	Toru Abe,
	President & Representative Director
Inquiries:	Koichi Saito, Chief Manager
	Investor Relations Department

TEL:[phone] (main)

Notice Concerning Borrowing of Funds

Sekisui House Reit, Inc. ("SHR") hereby announces that it has decided today to undertake new borrowings (the "Borrowing") as described below.

1. Terms of the Borrowing

	Lenders	Borrowing	Interest rate	Drawdown	Borrowing	Repayment	Repayment
Category	amount	(Note 2) (Note 3)	date	method	Security
(Note 1)	date	method
	(mm yen)	(Note 4) (Note 5)	(Note 6)	(Note 7)
					Borrowing
	MUFG Bank, Ltd.	1,160			based on
	(Note 8)			individual loan
			Base rate (JBA 1-		agreement,
				dated July 6,
			month Japanese			Lump-sum	Unsecured
Long-				2022.
		Yen TIBOR) plus	July 11, 2022	July 11, 2024	repayment	and
Mizuho Bank, Ltd.	960
term	The lenders
		0.190%			at maturity	Unguaranteed
				under the loan
					agreement are
	Sumitomo Mitsui				as indicated to
	Banking	880			the left of this
	Corporation				table.
	Total	3,000	－	－	－	－	－	－

(Note 1) MUFG Bank, Ltd., Mizuho Bank, Ltd., and Sumitomo Mitsui Banking Corporation are arrangers of the Borrowings.

(Note 2) The borrowing expenses and other charge payable to the lenders are not included.

(Note 3) The base rate applicable to the calculation period for the interest payable on an interest payment date shall be the Japanese Yen TIBOR (Tokyo Inter Bank Offered Rate), corresponding to the calculation period of the interest, two business days prior to the immediately preceding relevant interest payment date. The Japanese Yen TIBOR is published by the Japanese Bankers Association (JBA) TIBOR Administration. The base rate is subject to review every interest payment date. Where no rate that corresponds to the interest calculation period exists, the base rate shall be that which corresponds to the concerned period calculated based on the method provided for in the relevant individual loan agreement. For changes in the base rate (being the Japanese Yen TIBOR published by JBA), please check the

website of JBA TIBOR Administration(https://www.jbatibor.or.jp/english/rate/).

(Note 4) The first interest payment date will be the last day of July 2022. Subsequent interest payment dates will be the last day of every month and the principal repayment date. Where the relevant date is not a business day, such date will be the immediately following business day or (if the immediately following business day falls into the next calendar month) the immediately preceding business day.

(Note 5) The first interest calculation period is from July 11, 2022 to the last day of July 2022.

(Note 6) Where the repayment date is not a business day, such date will be the immediately following business day or (if the immediately following business day falls in the next calendar month) the immediately preceding business day.

(Note 7) SHR may, by giving prior written notice and if certain other terms and conditions are met, make early repayment of the Borrowings (in whole or in part), in the period between the drawdown date and the repayment date.

(Note 8) The borrowing from MUFG Bank, Ltd. is ESG Loan for J-REIT.

Disclaimer: This translation is for informational purposes only. If there is any discrepancy between the Japanese version and the English translation, the Japanese version shall prevail.

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1. Purpose of the Borrowing
   The Borrowing (3,000 million yen) is for the redemption of the Sekisui House Reit, Inc.Second Series Unsecured Investment Corporation Bonds (with pari passu clause among specified investment corporation bonds) (the "Second Series Bonds"), which isdue for redemption on July 13, 2022.
   For details of the Second Series Bonds, please refer to "Notice ConcerningIssuance of Investment Corporation Bonds and Partial Early Repayment of ExistingBorrowings" announced on July 7, 2017.
2. Amount, Use and Scheduled Outlay of Funds to be Procured from the Borrowing

1. Amount of funds to be procured 3,000 million yen
2. Specific use of funds to be procured
   Funds for the redemption of the Second Series Bonds
3. Scheduled outlay July 13, 2022

4. Status of Borrowings, etc. after the Borrowing

				(Unit: million yen)
		Before the Borrowing	After the Borrowing	Increase (Decrease)
Short-term borrowings (Note 1)	7,700	7,700	－
Long-term borrowings (Note 1)(Note 2)	221,442	224,442	3,000
	(repayment due within one year)(Note 2)	33,200	33,200	－
Total borrowings	229,142	232,142	3,000
Investment corporation bonds	34,500	31,500	(3,000)
	(redemption due within one year)	3,000	－	(3,000)
Total interest-bearing liabilities	263,642	263,642	－

(Note 1) Short-term borrowings refer to borrowings due for repayment within a period of one year or less from the relevant drawdown date, and long-term borrowings refer to borrowings due for repayment within a period of more than one year from the relevant drawdown date.

(Note 2) Only the Borrowing and redemption of the Second Series Bonds mentioned above is included, and repayment of the long-term borrowings due on July 13, 2022 are not considered.

5. Other Matters Necessary for Investors' Appropriate Understanding/Judgment of Relevant Information With regard to risks associated with the Borrowing, there is no change from the contents of "Part 1. Fund Information; Section 1. Status of Fund; 3. Investment Risks" of the securities report submitted on January 25, 2022.

• Sekisui House Reit, Inc. website:https://sekisuihouse-reit.co.jp/en/

Disclaimer: This translation is for informational purposes only. If there is any discrepancy between the Japanese version and the English translation, the Japanese version shall prevail.

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