Unveiling First REIT 2.0: Our New Growth Strategy
15
2
Enlarged and Diversified Portfolio Positioned for Long-term Growth
HIGH-QUALITY DEFENSIVE PORTFOLIO WITH STRONG OPERATORS
The Japan Nursing Homes are 100% master-leased to independent, well-established and experienced local nursing home operators
Highly Defensive Cashflows
High Quality Operators
HIKARI HEIGHTS
VARUS
Safety Life
Co., Ltd
Master
Tenanted(1)
100%
of Leases
Japan
Nursing
7 in Sapporo
2
in Nara
Fixed Rent(2)
¡Annual rental may be revisedi
100%
Homes
Operating
Track Record(2)
upwards every 2 to 3 years
upon negotiation
of Leases
Gross Rent
Per Annum (3)
Back-Up
Operator
Clause
100%
of Leases
34 years
JPY1.0bn 72%
of Portfolio
✓ Listed on Sapporo Stock
Exchange with 320 employees
2nd largest operator in
Sapporo with 9 facilities
✓ High degree of recognition
and credibility in Sapporo
21 years
JPY219mm 16%
of Portfolio
Operates 5 facilities in Nara
✓ Highly experienced and well-
regarded nursing home
operator in Nara
Orchard Care
Co., Ltd
2 in Nagano
1 in Kyoto
7 years
JPY162mm 12%
of Portfolio
✓ Operates 5 facilities across
Osaka, Kyoto, Nagano and
Shizuoka
✓ Well-regarded and profitable
nursing home operator
Under the terms of each of the Master Lease Agreements, the relevant master lessee is required to pledge to the lessor a rental deposit for an amount equal to six months or four months of the monthly rent payable by the relevant master lessee in accordance with the terms of the
relevant Master Lease Agreement
Source: IMR
(1)
(2)
(3)
Under the terms of each of the master lease agreements in respect of the Japan Nursing Homes, the annual rent shall be a fixed amount, save that such annual rent may be revised every two years or three years upon negotiation based on the increase in prices and interest rates. The rent
may not be reduced unless certain requirements under Article 32 of the Act on Land and Building Leases are met.
As at 29 October 2021
FIRST" REIT
ASIA'S PREMIER HEALTHCARE TRUSTView entire presentation