[For Information Purpose Only.
The Japanese language press release should be referred to as the original.]
December 8, 2021
To All Concerned Parties
Name of REIT Issuer:
Invincible Investment Corporation
Naoki Fukuda, Executive Director
(Securities code: 8963)
Asset Manager:
Consonant Investment Management Co., Ltd.
Naoki Fukuda, President & CEO
Contact: Jun Komo
General Manager of Planning Department
(Tel. +81-3-5411-2731)
Notice concerning Sale of Domestic Trust Beneficiary Interests
Invincible Investment Corporation ("INV") is pleased to announce the decision to sell trust beneficiary interests (the "Sale") in 13 domestic residential properties (individually the "Asset to be Sold," or collectively the "Assets to be Sold") as decided today by Consonant Investment Management Co., Ltd. ("CIM"), the asset manager of INV.
1. Overview of Sale
(in million yen) | |||||||||||||||||||||
Property | Book | Anticipated | Expected | 4 | Anticipated | ||||||||||||||||
Property Name | Gain on | Transferee | |||||||||||||||||||
Number | Value1 | Sale Price2, | Sale Date | ||||||||||||||||||
Sale2,3 | |||||||||||||||||||||
A77 | Invoice Shin-Kobe | 1,106 | |||||||||||||||||||
Residence | |||||||||||||||||||||
A78 | Cosmo Court Motomachi | 840 | |||||||||||||||||||
A85 | Vendir Hamaotsu Ekimae | 484 | |||||||||||||||||||
6,150 | 1,949 | December 22, 2021 | |||||||||||||||||||
A86 | Salvo Sala | 471 | Kansai | ||||||||||||||||||
A89 | Winntage Kobe Motomachi | 438 | Residence | ||||||||||||||||||
Tokutei | |||||||||||||||||||||
A91 | Corp Higashinotoin | 393 | |||||||||||||||||||
Mokuteki | |||||||||||||||||||||
A95 | HERMITAGE NANBA WEST | 312 | |||||||||||||||||||
Kaisha | |||||||||||||||||||||
A79 | Revest Honjin | 575 | |||||||||||||||||||
A80 | Revest Matsubara | 565 | 4,450 | 1,437 | January 12, 2022 | ||||||||||||||||
A82 | Alba Noritake Shinmachi | 516 | |||||||||||||||||||
A83 | Revest Meieki Minami | 506 | |||||||||||||||||||
This English language notice is a translation of the Japanese-language notice released on December 8, 2021 and was prepared solely for the convenience of, and reference by, non-Japanese investors. It is not intended as an inducement or solicitation for investment. We caution readers to undertake investment decisions based on their own investigation and responsibility. This translation of the original Japanese-language notice is provided for informational purposes only, and no warranties or assurances are given regarding the accuracy or completeness of this English translation. Readers are advised to read the original Japanese-language notice. In the event of any discrepancy between this translation and the Japanese original, the latter shall prevail in all respects.
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A88 | Luna Court Edobori | 461 | ||||
A98 | Little River Honmachibashi | 274 | ||||
Total | 6,946 | 10,600 | 3,386 | - | - | |
(Note 1) As of June 30, 2021.
(Note 2) Anticipated sale prices show the sale prices set forth in the purchase and sale agreement for the trust beneficiary
interests, and do not include adjustments for property taxes or city planning taxes, or national or local consumption taxes. | |
The anticipated sale price of individual properties are not disclosed as the transferee's consent has not been obtained | |
for disclosure. Accordingly, the expected gain on sale of individual properties is not disclosed either. The same shall | |
apply hereinafter. | |
(Note 3) | Expected gain on sale is calculated by deducting the estimated transfer related cost and is an estimate as of today and |
is subject to change upon finalization of the financial results. The same shall apply hereinafter. | |
(Note 4) | For an overview of the transferee, please refer to "4. Overview of Transferee" as described below. |
(Note 5) | The broker in connection with the Sale is not a related party of INV/CIM. |
(Note 6) | Amounts are rounded down to the nearest million yen. The same shall apply hereinafter. |
2. Reasons for Sale
INV selected the Assets to be Sold by comprehensively considering portfolio strategy, trends in the real estate market, and characteristics of Assets to be Sold. The total anticipated sale price of the Assets to be Sold exceeds the total book value (Note 1) by 52.6%, and INV will record a gain on total sale (Note 2) of JPY 1,949 million for the fiscal period ending December 2021 (from July 1, 2021 to December 31, 2021) and JPY 1,437 million for the fiscal period ending June 2022 (from January 1, 2022 to June 30, 2022). The Assets to be Sold have an actual NOI yield (Note 3) of 4.9%. The main reason for the Sale is for INV to maintain positive earnings for the fiscal period ending December 2021 while at the same time maintaining good long-term dividend prospects. The sale proceeds will be reserved as cash on hand, and as described in "7. Use of Sale Proceeds" below, INV plans to repay a part of existing borrowings to maintain an appropriate LTV ratio. INV also plans to appropriate a portion of the proceeds as a source of cash distribution.
(Note 1) As of June 30, 2021.
(Note 2) The gain on sale is calculated by deducting the estimated transfer related cost and is an estimate as of today, and is subject to change upon finalization of the financial results.
(Note 3) "Average actual NOI yield" is calculated by the following formula;
(the sum of actual NOI of the Assets to be Sold) ÷ (the sum of anticipated sale price for the Assets to be Sold) The sum of actual NOI of the Assets to be Sold is the total amount of the actual NOI from July 1, 2020 to June 30, 2021.
3. Details of the Assets to be Sold
Details of the Assets to be Sold and the appraisal reports are as follows.
Unless otherwise noted, information on the date is as of June 30, 2021 and total rental revenue indicates that for the fiscal period ended June 30, 2021.
This English language notice is a translation of the Japanese-language notice released on December 8, 2021 and was prepared solely for the convenience of, and reference by, non-Japanese investors. It is not intended as an inducement or solicitation for investment. We caution readers to undertake investment decisions based on their own investigation and responsibility. This translation of the original Japanese-language notice is provided for informational purposes only, and no warranties or assurances are given regarding the accuracy or completeness of this English translation. Readers are advised to read the original Japanese-language notice. In the event of any discrepancy between this translation and the Japanese original, the latter shall prevail in all respects.
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[Details]
- A77: Invoice Shin-Kobe Residence
Type of Specified Assets | Trust Beneficiary Interest | ||||||
Property Right | Land: Ownership / Building: Ownership | ||||||
Location | 3-3-8 Ikutacho, Chuo-ku,Kobe-shi, Hyogo | ||||||
Purpose of Use | Condominium | ||||||
Appraisal Value (Date of | JPY 1,550 million (as of November 1, 2021) | ||||||
Valuation) | |||||||
Appraisal Firm | Japan Real Estate Institute | ||||||
Outline of a Lease Contract | |||||||
Total number of tenants | 1 | ||||||
Rental Revenue | JPY 50,571 thousand | ||||||
Tenant Leasehold | JPY 1,601 thousand | ||||||
and security deposit | |||||||
Total Leasable area (m2) | 2,773.71 | ||||||
Total Leased area (m2) | 2,695.77 | ||||||
As of the end of | As of the end of | As of the end of | As of the end of | As of the end of | |||
Occupancy Trend | Jun. 2019 | Dec. 2019 | Jun. 2020 | Dec. 2020 | Jun. 2021 | ||
97.7% | 94.4% | 96.3% | 94.5% | 97.2% | |||
- A78: Cosmo Court Motomachi
Type of Specified Assets | Trust Beneficiary Interest | ||||||
Property Right | Land: Ownership / Building: Ownership | ||||||
Location | 3-12-20 Motomachidori, Chuo-ku,Kobe-shi, Hyogo | ||||||
Purpose of Use | Condominium, Garage, Bicycle parking lot | ||||||
Appraisal Value (Date of | JPY 1,200 million (as of November 1, 2021) | ||||||
Valuation) | |||||||
Appraisal Firm | Japan Real Estate Institute | ||||||
Outline of a Lease Contract | |||||||
Total number of tenants | 1 | ||||||
Rental Revenue | JPY 38,310 thousand | ||||||
Tenant Leasehold | JPY 1,474 thousand | ||||||
and security deposit | |||||||
Total Leasable area (m2) | 2,310.49 | ||||||
Total Leased area (m2) | 2,167.02 | ||||||
As of the end of | As of the end of | As of the end of | As of the end of | As of the end of | |||
Occupancy Trend | Jun. 2019 | Dec. 2019 | Jun. 2020 | Dec. 2020 | Jun. 2021 | ||
98.7% | 98.9% | 97.7% | 98.8% | 93.8% | |||
- A85: Vendir Hamaotsu Ekimae
Type of Specified Assets | Trust Beneficiary Interest | |
Property Right | Land: Ownership / Building: Ownership | |
Location | 1-2-15 Hamaotsu, Otsu-shi, Shiga | |
Purpose of Use | Condominium | |
Appraisal Value (Date of | JPY 841 million (as of November 1, 2021) | |
Valuation) | ||
Appraisal Firm | Japan Real Estate Institute | |
Outline of a Lease Contract | ||
Total number of tenants | 1 | |
Rental Revenue | JPY 35,075 thousand | |
Tenant Leasehold | JPY 5,455 thousand | |
and security deposit | ||
This English language notice is a translation of the Japanese-language notice released on December 8, 2021 and was prepared solely for the convenience of, and reference by, non-Japanese investors. It is not intended as an inducement or solicitation for investment. We caution readers to undertake investment decisions based on their own investigation and responsibility. This translation of the original Japanese-language notice is provided for informational purposes only, and no warranties or assurances are given regarding the accuracy or completeness of this English translation. Readers are advised to read the original Japanese-language notice. In the event of any discrepancy between this translation and the Japanese original, the latter shall prevail in all respects.
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Total Leasable area (m2) | 2,670.66 | |||||
Total Leased area (m2) | 2,528.41 | |||||
As of the end of | As of the end of | As of the end of | As of the end of | As of the end of | ||
Occupancy Trend | Jun. 2019 | Dec. 2019 | Jun. 2020 | Dec. 2020 | Jun. 2021 | |
98.8% | 93.4% | 95.3% | 97.8% | 94.7% | ||
(4) A86: Salvo Sala
Type of Specified Assets | Trust Beneficiary Interest | |||||
Property Right | Land: Ownership / Building: Ownership | |||||
Location | 2-6-21 Shimanouchi, Chuo-ku,Osaka-shi, Osaka | |||||
Purpose of Use | Condominium | |||||
Appraisal Value (Date of | JPY 697 million (as of November 1, 2021) | |||||
Valuation) | ||||||
Appraisal Firm | Japan Real Estate Institute | |||||
Outline of a Lease Contract | ||||||
Total number of tenants | 1 | |||||
Rental Revenue | JPY 23,732 thousand | |||||
Tenant Leasehold | JPY 220 thousand | |||||
and security deposit | ||||||
Total Leasable area (m2) | 1,428.12 | |||||
Total Leased area (m2) | 1,267.02 | |||||
As of the end of | As of the end of | As of the end of | As of the end of | As of the end of | ||
Occupancy Trend | Jun. 2019 | Dec. 2019 | Jun. 2020 | Dec. 2020 | Jun. 2021 | |
93.7% | 83.3% | 92.0% | 91.1% | 88.7% | ||
- A89: Winntage Kobe Motomachi
Type of Specified Assets | Trust Beneficiary Interest | ||||||
Property Right | Land: Ownership / Building: Ownership | ||||||
Location | 7-2-2 Motomachidori, Chuo-ku,Kobe-shi, Hyogo | ||||||
Purpose of Use | Condominium | ||||||
Appraisal Value (Date of | JPY 666 million (as of November 1, 2021) | ||||||
Valuation) | |||||||
Appraisal Firm | Japan Real Estate Institute | ||||||
Outline of a Lease Contract | |||||||
Total number of tenants | 1 | ||||||
Rental Revenue | JPY 22,778 thousand | ||||||
Tenant Leasehold | JPY 1,093 thousand | ||||||
and security deposit | |||||||
Total Leasable area (m2) | 1,433.35 | ||||||
Total Leased area (m2) | 1,356.27 | ||||||
As of the end of | As of the end of | As of the end of | As of the end of | As of the end of | |||
Occupancy Trend | Jun. 2019 | Dec. 2019 | Jun. 2020 | Dec. 2020 | Jun. 2021 | ||
93.0% | 96.7% | 91.3% | 90.8% | 94.6% | |||
- A91: Corp Higashinotoin
Type of Specified Assets | Trust Beneficiary Interest | |
Property Right | Land: Ownership / Building: Ownership | |
Location | 380-1 Kawaranomachi, Higashinotoindori Nijo Kudaru, Nakagyo-ku,Kyoto-shi, Kyoto | |
Purpose of Use | Condominium | |
Appraisal Value (Date | of | JPY 559 million (as of November 1, 2021) |
Valuation) | ||
Appraisal Firm | Japan Real Estate Institute |
This English language notice is a translation of the Japanese-language notice released on December 8, 2021 and was prepared solely for the convenience of, and reference by, non-Japanese investors. It is not intended as an inducement or solicitation for investment. We caution readers to undertake investment decisions based on their own investigation and responsibility. This translation of the original Japanese-language notice is provided for informational purposes only, and no warranties or assurances are given regarding the accuracy or completeness of this English translation. Readers are advised to read the original Japanese-language notice. In the event of any discrepancy between this translation and the Japanese original, the latter shall prevail in all respects.
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Outline of a Lease Contract | ||||||
Total number of tenants | 1 | |||||
Rental Revenue | JPY 18,525 thousand | |||||
Tenant Leasehold | JPY 755 thousand | |||||
and security deposit | ||||||
Total Leasable area (m2) | 1,029.05 | |||||
Total Leased area (m2) | 982.56 | |||||
As of the end of | As of the end of | As of the end of | As of the end of | As of the end of | ||
Occupancy Trend | Jun. 2019 | Dec. 2019 | Jun. 2020 | Dec. 2020 | Jun. 2021 | |
97.6% | 95.1% | 93.3% | 93.3% | 95.5% | ||
- A95: HERMITAGE NANBA WEST
Type of Specified Assets | Trust Beneficiary Interest | |||||
Property Right | Land: Ownership / Building: Ownership | |||||
Location | 4-10-3 Sakuragawa, Naniwa-ku,Osaka-shi, Osaka | |||||
Purpose of Use | Condominium, Garage | |||||
Appraisal Value (Date of | JPY 489 million (as of November 1, 2021) | |||||
Valuation) | ||||||
Appraisal Firm | Japan Real Estate Institute | |||||
Outline of a Lease Contract | ||||||
Total number of tenants | 1 | |||||
Rental Revenue | JPY 16,451 thousand | |||||
Tenant Leasehold | JPY 288 thousand | |||||
and security deposit | ||||||
Total Leasable area (m2) | 992.76 | |||||
Total Leased area (m2) | 992.76 | |||||
As of the end of | As of the end of | As of the end of | As of the end of | As of the end of | ||
Occupancy Trend | Jun. 2019 | Dec. 2019 | Jun. 2020 | Dec. 2020 | Jun. 2021 | |
100.0% | 100.0% | 88.0% | 87.2% | 100.0% | ||
(8) A79: Revest Honjin
Type of Specified Assets | Trust Beneficiary Interest | ||||||
Property Right | Land: Ownership / Building: Ownership | ||||||
Location | 2-13 Toriidori, Nakamura-ku,Nagoya-shi, Aichi | ||||||
Purpose of Use | Condominium | ||||||
Appraisal Value (Date of | JPY 875 million (as of November 1, 2021) | ||||||
Valuation) | |||||||
Appraisal Firm | Japan Real Estate Institute | ||||||
Outline of a Lease Contract | |||||||
Total number of tenants | 1 | ||||||
Rental Revenue | JPY 31,746 thousand | ||||||
Tenant Leasehold | JPY 3,581 thousand | ||||||
and security deposit | |||||||
Total Leasable area (m2) | 1,933.80 | ||||||
Total Leased area (m2) | 1,813.35 | ||||||
As of the end of | As of the end of | As of the end of | As of the end of | As of the end of | |||
Occupancy Trend | Jun. 2019 | Dec. 2019 | Jun. 2020 | Dec. 2020 | Jun. 2021 | ||
92.5% | 91.3% | 92.5% | 96.2% | 93.8% | |||
- A80: Revest Matsubara
Type of Specified Assets | Trust Beneficiary Interest |
Property Right | Land: Ownership / Building: Ownership |
This English language notice is a translation of the Japanese-language notice released on December 8, 2021 and was prepared solely for the convenience of, and reference by, non-Japanese investors. It is not intended as an inducement or solicitation for investment. We caution readers to undertake investment decisions based on their own investigation and responsibility. This translation of the original Japanese-language notice is provided for informational purposes only, and no warranties or assurances are given regarding the accuracy or completeness of this English translation. Readers are advised to read the original Japanese-language notice. In the event of any discrepancy between this translation and the Japanese original, the latter shall prevail in all respects.
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Invincible Investment Corporation published this content on 08 December 2021 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 08 December 2021 06:31:08 UTC.