Investment in Modern Logistics Facilities

We intend to invest mainly in “modern logistics facilities,” which refers to highly functional leasable logistics facilities with a minimum gross floor area of 10,000㎡. There is a limited supply of modern logistics facilities, and demand for modern logistics facilities is expected to increase based on the growth of Japanese 3PL operators* as well as the e-commerce market. We intend to focus on modern logistics facilities with the following features, among others, which in our view indicate high functionality: Floor-to-ceiling height of 5.5 meters or more and a floor load tolerance of 1.5 tons/㎡ or more in more than 50% of the gross floor area.

1. Third-party logistics (“3PL”) operators provide logistics services to partially or completely manage supply chains for client businesses. A typical 3PL company provides unified operational storage and transportation operations that can be adjusted and customized to fit the scale and needs of client businesses to match market trends in the goods and services of the customer industry, and to match the demand for supply- and logistics-related services.

Characteristics of Modern Logistics Facilities

We intend to invest mainly in modern logistics facilities with the following features, among others, which in our view indicate high functionality

Functions of Modern Logistics Facilities

In investing in modern logistics facilities, we will also consider the following functions:

1. The foregoing information shows the major functions of modern logistics facilities as an example. We do not intend to invest only in leasable logistics facilities