Investor Presentaiton

Market Environment for Retail and Hotel Properties Retail Sales (YoY Change) Daiwa House REIT Investment Corporation / Number of Overnight Guests by Accommodation Type (million guest nights) 6% 600 474 504 510 509 492 466 4% 2% 0% -2% -4% 500 400 300 200 100 17/3 17/5 17/7 17/9 17/11 18/1 18/3 18/5 18/7 18/9 18/11 19/1 0 2013 2014 2015 2016 2017 2018 Retail sales Supermarket sales -Supermarket sales (Food and beverages) Ryokan (Japanese-style inn) ■Business Hotel ■Resort Hotel City Hotel Note: Retail sales exclude sales of cars and fuel. Source: "Monthly Report on the Current Survey of Commerce", Ministry of Economy, Trade and Industry, or METI Simple lodging ■Corporate / group lodging Source: "Accommodation Survey", Japan Tourism Agency // BtoC E-Commerce Ratio by Category of Goods Guest Room Occupancy Ratio of Accommodation Facilities 30.2% 30% 26.4% Consumer electronics, AV equipment, PC, Peripherals Books, audio software 90% 80% 20.4% 20% Household goods, furniture, interior 70% Clothes, fashion, accessories 11.5% 60% 10% X 5.8% Total of goods 50% 2.4% -Food, beverage, alcohol 2013 2014 2015 2016 2017 2018 0% 2013 2014 2015 2016 2017 Source: "E-Commerce Market Survey", Ministry of Economy, Trade and Industry, or METI City Hotel Business Hotel Resort Hotel Source: "Accommodation Survey", Japan Tourism Agency 44

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