Financial Statements

	Balance Sheet

(unit: thousand yen)

Assets			3rd Period (As of June 30, 2007)			4th Period (As of December 31, 2007)			Variation
Assets			Amount		Share	Amount		Share	Amount	Share
I.	Current assets
		Deposits		7,909,130			92,244		(7,816,886)
		Deposits in trust		1,355,555			1,631,290		275,734
		Accounts receivable − trade		60,957			66,456		5,498
		Accounts receivable − other		4,288			2,191		(2,097)
		Prepaid expenses		49,187			55,308		6,121
		Deferred tax assets		20			19		(1)
		Consumption taxes receivable		−			101,185		101,185
		Other current assets		2,640			5,915		3,274
	Total current assets			9,381,781	13.8%		1,954,610	2.6%	(7,427,170)	(79.2%)
II.	Fixed assets
	1.	Property and equipment, at cost
		Buildings in trust	26,949,052			35,328,142
		Accumulated depreciation	(938,905)	26,010,146		(1,301,773)	34,026,368		8,016,222
		Structures in trust	132,396			136,953
		Accumulated depreciation	(16,198)	116,198		(21,282)	115,671		(527)
		Machinery and equipment in trust	133,096			133,096
		Accumulated depreciation	(10,491)	122,605		(14,798)	118,298		(4,306)
		Tools, furniture and fixtures in trust	396,003			418,218
		Accumulated depreciation	(87,282)	308,721		(115,125)	303,092		(5,628)
		Land in trust		31,879,025			38,229,240		6,350,215
		Other property and equipment	126			126
		Accumulated depreciation	(56)	69		(75)	50		(18)
		Property and equipment, net		58,436,767	86.0%		72,792,722	97.2%	14,355,955	24.6%
	2.	Intangible assets
		Software		1,077			957		(119)
		Total intangible assets		1,077	0.0%		957	0.0%	(119)	(11.1%)
	3.	Investments and other assets
		Long-term prepaid expenses		53,870			47,429		(6,441)
		Guarantee deposits		10,000			10,000		−
		Total investments and other assets		63,870	0.1%		57,429	0.1%	(6,441)	(10.1%)
	Total fixed assets			58,501,715	86.1%		72,851,109	97.3%	14,349,394	24.5%
III.	Deferred assets
		Investment unit issuance expenses		41,616			26,811		(14,804)
		Investment corporation bond issuance expenses		-			53,214		53,214
	Total deferred assets			41,616	0.1%		80,026	0.1%	38,409	92.3%
Total assets				67,925,112	100.0%		74,885,746	100.0%	6,960,633	10.2%

(unit: thousand yen)

Liabilities			3rd Period (As of June 30, 2007)			4rd Period (As of December 31, 2007)			Variation
Liabilities			Amount		Share	Amount		Share	Amount	Share
I.	Current liabilities
		Accounts payable − trade		32,066			32,468		402
		Short-term debt		-			6,940,000		6,940,000
		Current portion of long-term debt		-			1,600,000		1,600,000
		Accounts payable − other		289,909			284,340		(5,569)
		Accrued expenses		39,812			54,516		14,704
		Income taxes payable		849			412		(436)
		Consumption taxes payable		36,782			6,130		(30,652)
		Rent received in advance		1			0		0
		Other current liabilities		13,320			38,894		25,574
	Total current liabilities			412,741	0.6%		8,956,763	12.0%	8,544,021	2,070.1%
II.	Long-term liabilities
		Investment corporation bonds		-			10,000,000		10,000,000
		Long-term debt		30,200,000			18,600,000		(11,600,000)
		Long-term accounts payable		2,675			1,440		(1,234)
		Lease and guarantee deposits received in trust		34,223			36,884		2,661
	Total long-term liabilities			30,236,898	44.5%		28,638,324	38.2%	(1,598,573)	(5.3%)
Total liabilities				30,649,640	45.1%		37,595,088	50.2%	6,945,447	22.7%
Net Assets
	Unitholders' equity
	1.	Unitholders' capital		36,262,894	53.4%		36,262,894	48.4%	-
	2.	Retained earnings
		Unappropriated retained earnings		1,012,578	1.5%		1,027,764	1.4%	15,185
	Total unitholders' equity			37,275,472	54.9%		37,290,658	49.8%	15,185	0.0%
Total net assets				37,275,472	54.9%		37,290,658	49.8%	15,185	0.0%
Total liabilities and net assets				67,925,112	100.0%		74,885,746	100.0%	6,960,633	10.2%

	Profit and Loss Statements

(unit: thousand yen)

			3rd Period (Jan 1 − Jun 30, 2007)			4th Period (Jul 1 − Dec 30, 2007)			Variation
			Amount		Share	Amount		Share	Amount	Share
I.	Operating revenues
		Rental income	1,936,342			2,146,856
	Gain on sale of real estate properties		267,833	2,204,175	100.0%	129,854	2,276,711	100.0%	72,535	3.3%
II.	Operating expenses
		Rental expenses	700,691			769,747
		Asset management fees	170,064			203,024
		Asset custodian fees	6,352			7,025
		General administration fees	17,603			19,465
		Directors' compensation	1,200			1,440
		Other operating expenses	47,542	943,453	42.8%	54,301	1,055,003	46.3%	111,550	11.8%
	Operating income			1,260,721	57.2%		1,221,707	53.7%	(39,014)	(3.1%)
III.	Non-operating revenues
		Interest income	1,734			7,047
		Refundable consumption taxes	22,866			85,357
		Other non-operating revenues	-	24,601	1.0%	20	92,425	4.1%	67,824	275.7%
IV.	Non-operating expenses
		Interest expense	188,813			200,155
		Interest on investment corporation bonds	−			21,198
		Amortization of investment unit issuance expenses	13,603			14,804
		Amortization of investment corporation bond issuance expenses	-			2,058
		New investment unit public offering expenses	32,615			-
		Commission paid	10,822			-
		Financing expenses	25,892			40,119
		Other non-operating expenses	-	271,748	12.3%	7,074	285,410	12.6%	13,662	5.0%
	Ordinary income			1,013,574	45.9%		1,028,721	45.2%	15,147	1.5%
	Income before income taxes			1,013,574	45.9%		1,028,721	45.2%	15,147	1.5%
		Current income taxes	1,010			987
		Deferred income taxes	(1)	1,008	0.0%	1	988	0.1%	(20)	(2.1%)
	Net income			1,012,565	45.9%		1,027,733	45.1%	15,167	1.5%
		Retained earnings brought forward		12			30		17	139.8%
Unappropriated retained earnings				1,012,578			1,027,764		15,185	1.5%

Balance Sheet

Profit and Loss Statements