Greetings

Thank you very much for your kind support of Nippon Accommodations Fund (NAF).

It is because of the support of our unitholders and other stakeholders that NAF has been able to develop its asset size and track record steadily from the time of its listing on the Real Estate Investment Trust Securities Market (J-REIT Market) on August 4, 2006, to this day, and for this we are deeply grateful.

NAF defines assets which meet diversifying needs for residences and lodging amidst changes in lifestyles of people and social situations as well as the expectations of users regarding the space and time of their stay as Accommodation Assets. By managing Accommodation Assets appropriately, NAF aims to secure stable income.

The portfolio centers on rental apartments located in Tokyo’s 23 wards that provide both convenience and excellent living conditions, namely the Park Axis series developed by the Mitsui Fudosan Group, the sponsor, and the Park Cube series acquired from third parties. Moreover, NAF defines residential, lodging, and other such facilities including dormitories, corporate housing, senior residences, and hotels as “hospitality facilities” and aims to expand its assets by incorporating a certain amount of these facilities into the portfolio.

Residential real estate centering on rental apartments have been said to possess the characteristic of stable revenue. NAF will endeavor to manage its assets steadily and strategically so as to maximize unitholder value in the medium to long term, taking full advantage of this characteristic.

Additionally, in terms of solving the various social challenges that we face today, while the United Nations advocates benchmarks such as the Sustainable Development Goals for example, NAF will continue to engage in management that emphasizes environmental, social, and governance (ESG) considerations under the Group Environmental Policy and Policy for Social Contribution Initiatives set forth by our sponsor, the Mitsui Fudosan Group.
Mitsui Fudosan Accommodation Fund Management Co., Ltd., to which NAF entrusts the management of its assets, formulated its Sustainability Policy in fiscal 2016 and has been steadily engaging ESG topics while carrying out periodic review. In fiscal 2019, it specified the major ESG challenges that ought to be tackled (material topics) and shared these with NAF.
NAF will continue to carry out its role amid the realization of a sustainable society while taking care to maintain the trust and cooperation of its stakeholders, thereby fulfilling its duty as a corporate citizen.

NAF would like to request your continued support and cooperation.

Takashi Ikeda
Executive Director
Tateyuki Ikura
Executive Director