To Our Unitholders

On behalf of Sekisui House Reit, Inc. (“Sekisui House Reit”), I would like to express our sincere gratitude for your support.

Sekisui House Reit was listed on the Tokyo Stock Exchange Real Estate Investment Trust Section (the J-REIT market) on December 3, 2014 under the support of our unitholders and other stakeholders.

Sekisui House Reit has been established to achieve mutual growth and prosperity with all of its stakeholders. As its basic policy, Sekisui House Reit aims to provide high-quality social capital and maximize unitholder value by conducting asset management that pursues stable earnings over the medium to long term and steady growth of its investment assets.

Sekisui House Reit mainly invests in such commercial properties as office buildings, retail properties and hotels. In particular, its core investment targets are what it defines as “prime properties,” or commercial properties that feature strategic locations or high quality. We make it a policy to focus investments on office buildings located in the three major metropolitan areas (Greater Tokyo, Osaka Area and Nagoya Area) where Sekisui House, Ltd. (“Sekisui House”), the sponsor, has many achievements in development projects. Moreover, although Sekisui House Reit has been stated the policy to investigate acquisitions of properties outside Japan in the future since IPO, we waived the Preferential Negotiation Right regarding investments in overseas real estate in November 2016 and decided not to invest in overseas properties for the time being.

Going forward, Sekisui House Reit will take full advantage of the sponsor support from Sekisui House, which has an excellent track record of developing commercial properties. By doing so, Sekisui House Reit will endeavor to secure stable earnings and realize steady growth of its investment assets, aiming to maximize the unitholder value.

Together with the asset management company, we will devote ourselves to managing our assets so that we can prove ourselves worthy of the unitholders’ trust and meet their expectations. We ask for your continued support and encouragement.

Junichi Inoue, Executive Director

Junichi Inoue, Executive Director