INTEGRATED REPORT

Fiscal2020 year ended March 31, 2020 Editorial Policy Contents

For stakeholders, including shareholders and investors, to gain a correct understanding of Fudosan’s Value Creation the complete picture concerning the Group’s management strategy and Mitsui Fudosan’s Value Creation p.03 corporate activities, in addition to financial information such as financial results, review of operations and management strategies, it is also important to gain a systematic Group Statement/ Vision/ Mission 03 understanding of non-financial information relating to aspects such as society, the Our Value Creation 05 environment, human resources and governance. Based on this belief, our Integrated A History of Value Creation: Unceasing Challenge in Our DNA 07 Report features enhanced and integrated non-financial information. In editing the report, Initiatives for Creating Value Through Neighborhood Creation 09 we strived to incorporate the perspectives of all stakeholders by referring to the International Integrated Reporting Framework, which was published by the International Integrated Reporting Council (IIRC) in December 2013, and Guidance for Integrated Corporate Disclosure and Company-Investor Dialogues for Collaborative Value Creation

advocated by ’s Ministry of Economy, Trade, and Industry. Value Creation Strategy

Moreover, the Group’s activities have been selected and included in the report, based on Value Creation Strategy p.13 their importance for stakeholders. For more information, please refer to various other Long-Term Vision VISION 2025 13 forms of communication given below. Message from the CEO 17 Message from the CFO 23 Message from the Managing Director in Charge of Personnel 25 Message from an Outside Director 28 Positioning of the Integrated Report Value Creation Sources and Achievements 31 Importance to stakeholders ESG Management Financial information Non-financial information ESG Management p.33 Addressing the COVID-19 Pandemic 34 Reduce Environmental Impact and Generate Energy 35 Integrated Report Create New Industries Through Open Innovation 38 Establish Ultra-Smart Societies by Creating Neighborhoods 39 Achieve Health, Safety and Security in People’s Daily Lives 42 Achieve a Society Where a Diverse Workforce Can Thrive 46 Continuously Improve Compliance and Governance 48 •Annual securities report •Corporate governance report Management Team 55 •Investor presentations •Internal controls report Importance to Mitsui •Summary of results •ESG report Business Report Fudosan’s value creation Business Report p.59

Office Buildings 61 Retail Facilities 65 Logistics 69 Housing (Homes and Living) 71 About the Website Hotels and Resorts 75 Dramatically Growing the Overseas Business 77 Model for Joint Value Creation with Investors and Sources of Revenue 81 Corporate Website Shareholder and Investor Information https://www.mitsuifudosan.co.jp/english/ Contains materials related to nancial results, audio and video

versions of results brie ngs and information for shareholders Data Section and investors. https://www.mitsuifudosan.co.jp/english/corporate/ir/ Data Section p.83 Performance Highlights 83 Financial Analysis 85 ESG/Sustainability Corporate Data/Shareholders’ Information/External Assessments 91 Introduces initiatives for society and the environment based on the Mitsui Fudosan Group’s Group Vision. Caution Concerning Forward-Looking Statements More detailed information on ESG can be found in the Group’s ESG Report. This Integrated Report contains figures related to the future, which are included in results forecasts and so forth. These are based on judgements made using information obtained at the time of publication, and thus contain risks https://www.mitsuifudosan.co.jp/english/esg_csr/ and uncertainties. Furthermore, Mitsui Fudosan makes no guarantee that these forecasts will be realized. Therefore, you should not rely on these forecasts alone when making investment decisions. You should be aware that business results arise through various important factors and actual results may vary greatly from forecasts. Important factors influencing actual results include the economic situation encompassing the Group’s business domains, foreign currency exchange rates including yen-U.S. dollar cross rate, and the Japanese share market.

01 Integreted Report 2020 Integreted Report 2020 02 Mitsui Fudosan’s Value Creation Group Statement/Vision/Mission

GROUP STATEMENT The Mitsui Fudosan Group aims to bring affluence and comfort to urban living. The Group Statement, Vision, and Mission embody the Group management’s basic philosophy and its vision for the future. Since their formulation in 1999, they have guided the Mitsui Fudosan Group as an integrated management policy.

GROUP VISION GROUP MISSION What we want to be What is expected of us

Philosophy Provide business and lifestyle-related solutions Seeking to coexist in harmony with society, link and services diverse values and achieve a sustainable society, •Maximize urban value creation by providing secure, safe and as symbolized by the Mitsui Fudosan “ ” logo, attractive urban spaces and soft services that bring enrichment we will work to foster social and economic and comfort to urban living development as well as global environmental preservation. •Provide variable and innovative solutions that stimulate the real —Under “ ”, we will aim for a society estate investment market that enriches both people and the planet. Work in partnership with customers from a Evolution and value creation global perspective By advancing the real estate business we bring •Treat customers as the business foundation on which to the dreams and excitement of a new age to progress and develop the Company people. By bringing knowledge and experience together in diverse ways, we create new value, •Propose and provide products and services by deploying the both at home and abroad, proactively responding collaborative strength of the Group with a multidisciplinary to global changes in social environments and approach that meets the real needs of customers market structures. •Work in partnership with customers to raise brand value by continuously providing services that are highly valued by them A profitable and growing Mitsui Fudosan Group Raise our corporate value We seek to create a pro table and growing Mitsui •Raise corporate value through sustainable pro t growth and Fudosan Group, acting honestly and fairly to continual innovation realize the capabilities of the entire organization. •Optimize the allocation and use of available resources and pursue ef cient operations •Conduct operations while closely monitoring and managing business risks

Create strong corporate group by building the capabilities of individuals •Seek to maintain a creative and pioneering spirit by integrating various skills and values •Cultivate and institutionalize the professional capabilities of individuals to raise our creative ability for value-added products and services •Maintain high awareness of ethical, disciplinary, and compliance issues, and act accordingly

03 Integrated Report 2020 Integrated Report 2020 04 Mitsui Fudosan’s Value Creation

Our Value Creation

In accordance with the principles embodied by the “ ” logo—coexist in harmony with society, link diverse values and achieve a sustainable society—the Mitsui Fudosan Group leverages our strengths of engagement in every asset class, an expansive value chain, and development capabilities necessary for creating neighborhoods to solve social issues through neighborhood creation with the aim of achieving a sustainable society and driving sustainable profit growth.

•Create neighborhoods that put Neighborhood creation that Solve social issues through neighborhood people first enriches the spirit •Create neighborhoods that get better * creation under the “ ” logo principles with age *Coexist in harmony with society, link diverse values and achieve a sustainable society •Provide real estate to customers as a service rather than a thing Extensive customer base (real estate ICT) Office tenants: approx. 3,000 companies Establish Retail tenants: approx. 2,400 companies Support for diverse workstyles Mitsui Housing Loop members: approx. 240,000 a Sustainable Society p. p.

Diverse human resources Group headcount: 20,864 Ratio of female employees 40.2% Ratio of mid-career hires 17.6% Creating neighborhoods full of life

Management Resources Providing Value p. (Society and stakeholders)

High quality real estate asset stock Multi-site shared offices for Rental Properties: approx. ¥3.1 trillion corporate clients Unrealized gain on real estate for rent: approx. ¥2.9 trillion Real property for sale: approx. ¥1.9 trillion Drive Sustainable Before development The former Hibiya Mitsui Building Profit Growth p. Solid financial position p. D/E ratio: 1.45 times Ratio of Long-Term Debt (Excl. Non-recourse): 92.4% Unused commitment line: ¥400 billion Group Strengths •Earnings and profit growth After development MIDTOWN HIBIYA Promoting exchange between major •Improvements in asset and (As of March 31, 2020) •Engaged in every asset class firms and startup companies (Offices, retail, housing, hotels, logistics, etc.) capital efficiency •Expansive value chain •Shareholder return enhancements (Investment, development, management, leasing and sales) •Development capabilities necessary for creating neighborhoods

E-commerce mall linked to real stores

External Environment Recognition •Population decline •Diversification and fragmentation in perceptions of value •Low birthrates and an aging society •Increase in awareness of ESG •Evolution of ICT etc.

05 Integrated Report 2020 Integrated Report 2020 06 Mitsui Fudosan’s Value Creation

A History of Value Creation: The Mitsui Fudosan Group’s Roots Around 350 years ago, Takatoshi Mitsui founded Echigo-ya, a clothing Unceasing Challenge in Our DNA store in the district of old Edo. The store’s business

developed rapidly based on the groundbreaking business philosophy of Mitsui Fudosan’s Value Creation Mitsui Fudosan has its origins in Echigo-ya, a clothing store opened in 1673 in what is now the Nihonbashi district of Tokyo. In 1941, “cash only and fixed, low prices.” This spirit of enterprise and focus on the real estate division of Mitsui Company was separated from the parent and Mitsui Fudosan Co., Ltd. was established. customers continues within the Mitsui Fudosan Group today. Echigo-ya’s Through numerous transitional periods in Japan’s economy and real estate markets, the Company began with land reclamation in business continued to expand and it developed into Mitsui Company. In coastal areas, then developed Japan’s first skyscraper and first genuine outlet mall, listed Japan’s first J-REIT as a fusion of real 1941, Mitsui Company’s Real Estate Division, which managed the real Takatoshi Mitsui, Echigo-ya in Nihonbashi during estate held by the company, was spun off and became Mitsui Fudosan the Company’s founder the Edo period estate and financing, and otherwise leveraged its spirit of enterprise and customer orientation to create new value. (Photo provided by (Picture from the Mitsui Memorial Co., Ltd. Mitsui Bunko) Museum collection)

1941(Founding) – 1970– 1990– 2000– 2010– Business foundation established Moved to diversify management Rebuilt business during the period of Asset deflation convergence and advancing Advancing mixed-use neighborhood creation during a period of rapid to achieve stable growth deflation following the collapse of neighborhood creation amid market maturity economic growth Japan’s economic bubble

1929 1968 Construction of Construction of Kasumigaseki Leveraging Our Strengths to Create Mixed-Use Neighborhoods Fusing an Array of Functions Office Mitsui Main Building Building completed Buildings completed

Expansion of asset classes 1968 1971 1993 Construction of Construction of Mita Tsunamachi Park Mansion Construction of the entire Okawabata Yurigaoka Garden completed River City 21, West Block completed Housing Mansion completed

1981 1995 LaLaport TOKYO-BAY opens for MITSUI OUTLET PARK OSAKA TSURUMI Retail business opens for business Facilities

1984 Hotels & Mitsui Garden Hotel Osaka Yodoyabashi opens for business 2004 – 2007 2014 2018 Resorts Nihonbashi Revitalization Plan begins opens for Kashiwa-no-ha Smart City opens opens business for business for business

2014 Logistics Construction of Mitsui Fudosan Logistics Park Yashio completed Facilities

Expansion of overseas 1973 1984 1986 2013 North Mitsui Fudosan (Hawaii) Acquisition of 1251 Avenue of San Francisco Branch established America (USA) opens for business the Americas (New York) business areas established

1990 Europe Mitsui Fudosan (U.K.) Ltd. established Hudson Yards Television Centre

1972 2005 2013 2016 2020 Establishment of TID Pte Ltd., a joint venture with Establishment of Participation in MITSUI OUTLET PARK TAIWAN Construction of RMZ Ecoworld Asia Hong Leong Group in Singapore the Shanghai Representative housing business in LINKOU opens for business in Taiwan 30 started in India Office in China Southeast Asia

Late 1950s- 1968 1981 1993 1995 2001 Contributing to infrastructure development Japan’s first skyscraper A forerunner in shopping centers A forerunner in Tokyo Bay-area tower Japan’s first genuine outlet mall Japan’s first corporation listed on the J-REIT Creation of new value in the Tokyo metropolitan area Pioneering Japan’s skyscraper era Creating new lifestyles condominium buildings Creating a new consumption style Creating new businesses in the Transforming sea into land Resolving housing issues in real estate industry the city center Keiyo Rinkai reclamation project LaLaport TOKYO-BAY Okawabata River City 21, West Block MITSUI OUTLET PARK OSAKA TSURUMI Nippon Building Fund Inc.

07 Integrated Report 2020 Integrated Report 2020 08 Nihonbashi – A place that attracts life science knowledge We are encouraging open innovation in the life science industry by gathering various companies and organizations from the public, private, and academic sectors in the Nihonbashi area, primarily through Link-J, and fostering exchange, education, and collaboration to build a framework for generating new industries. Through this, we aim to “enhance value by establishing a Nihonbashi brand,” “use industry as an entry point for neighborhood creation,” and “boost demand for office space.”

Mitsui Fudosan’s Value Creation

Exit 4 Exit 1 Metropolitan Expressway Route No.1 Ueno Line Showa-dori Street Ginza Line Kodenmacho Sta. Creation of new industries Exit 3

Initiatives for Creating Value Through Neighborhood Creation Supporting both hard and soft aspects of industry growth SEIJO ISHII _ based on the theme of cocreating business and culture Sobu Main Line Honcho MFPR Nihonbashi Honcho Building The focus will be on new strategic areas like aerospace, mobility Exit 8 Exit 6 Tosho Building Mitsui Fudosan’s Value Creation Shin-Nihombashi Nihonbashi Life Science Building 2 and food, in addition to life science, to promote industry-creation Station Exit 5 Exit 4

Exit 2 distinctive to Nihonbashi. We will support both the hard and soft Edo-dori Street Head Of ce Building Suginomori Shrine Chuo-dori Street NOF Nihonbashi Horidomecho aspects of industry growth by generating an original Nihonbashi Honcho Building Revitalizing Nihonbashi Underpass business and culture and facilitating cocreation by providing Nihonbashi Life Science Building Ueno Building The Nihonbashi Revitalization Plan - Proceeding to Create While Retaining and Reviving spaces and creating opportunities. Ueno Building DOUTOR DOUTOR YUITO LAWSON Nihonbashi Astellas Fukutoku Shrine Mitsui Building STARBUCKS Honcho 2-chome Mitsui Fudosan was founded in Nihonbashi. Based on the concept of “proceeding to create while retaining Mitsukoshimae Sta. COFFEE STARBUCKS COFFEE COREDO Horidome Muromachi 2 Children's Park COREDO LAUNCH Building and reviving,” we are advancing the Nihonbashi Revitalization Plan with the hope of returning prosperity to Muromachi 1 Bank of Japan Nihonbashi Life Science Hub (Muromachi Chibagin Mitsui Building 8F) the area as a hub for cultural, economic, and commercial activity. In the third stage of the plan, which began Mitsui Main Building COREDO Muromachi 3 Ningyocho Station in 2019, we are implementing three priority Initiatives based on an “understand, collaborate, communicate” Fukushima Building Toei Asakusa Mitsukoshi Main Building Line approach in order to create original value in Nihonbashi and communicate it to the world. 7-Eleven

Tokyo Metro Hanzomon Line Mitsukoshimae Sta. Mitsukoshi 7-Eleven New Building Nihonbashi – A place that attractsEdobashi kita Tokyo life Metro Hanzomon science Line knowledge We are encouraging open innovation in the life science industry by gathering various companies and organizations from the public, private, and academic sectors in the Nihonbashi area, primarily through Link-J (see p.64), and fostering exchange, education, and collaboration to build a framework for generating new industries. Through this, we aim to “enhance value by establishing a Nihonbashi brand,” “use industry as an entry point for neighborhood creation,” and “boost demand for office space.”

Revitalization of rich waterfront Accelerating the gathering and exchange of people, goods, and experiences to realize Nihonbashi as an aquapolis connected to the world Large-scale redevelopment is planned for Nihonbashi’s riverside area. When the Shuto Expressway is moved underground, there will be a large, park-like water area that is approximately 100 meters wide, including the river, and 1,200 meters long. The riverside will see sophisticated mixed-use development that includes retail for urban vitality and plazas, offices and accommodation facilities. The area will also be integrated with the Nihonbashi area to create a pedestrian zone that makes movement around the areas easier. In addition, a waterway transport network with Nihonbashi as a hub will connect multiple points on the waterfront, such as Haneda, Odaiba, Shibaura, Harumi, Toyosu, and Asakusa, providing new Making the area more international transportation options for tourism and everyday travel. through events Making Nihonbashi an international stage through the Riverside mixed-use development seamless connection of a variety of functions Nihonbashi’s riverside development will create an Nihonbashi is conveniently accessible from within Japan and from enriching pedestrian zone where users can enjoy the overseas. We are considering holding large-scale events that air, water, and greenery. We aim to realize a new combine business and entertainment to create international appeal landmark for Tokyo where many people visiting for a by organically connecting areas, including public spaces and Mitsui range of purposes, including shopping, tourism, and Fudosan’s conference facilities, in order to turn the entire business, will create an air of excitement. neighborhood into an event space. We will also leverage the strong relationships of trust with traditional, old companies and stores that *The illustration to the right is a projection and may differ from the we have cultivated through neighborhood creation as well as our actual development plan (current as of August 2019) relationships with a variety of creators with the aim of creating appealing projects that combine tradition and innovation.

09 Integrated Report 2020 Integrated Report 2020 10 Mitsui Fudosan’s Value Creation

Initiatives for Creating Value Through Neighborhood Creation Initiatives for Creating Value Through Neighborhood Creation

A Neighborhood of the Future Realizing Worldwide Mitsui Fudosan’s Value Creation in Kashiwa Neighborhood Creation Kashiwa-no-ha Smart City – Japan’s first mixed-use smart city Leveraging our strengths as an integrated developer to advance global Environment, energy, food, and health. There is no shortage of issues that humanity needs to solve. Japan is ahead of the neighborhood creation with a local focus world in facing these issues head on. We have this responsibility with Kashiwa-no-ha Smart City, a base for collaboration Since the 1970’s, we have been advancing various businesses in areas around the world, between public, private, and academic sectors that facilitates the creation of stages for problem solving that are open to including building businesses in major cities in Europe and the U.S. We are currently all people, realizing a vision of the world’s future. building an excellent portfolio in Europe and the U.S. and developing business in areas with great growth potential in Asia and going forward, we will continue to expand the areas in which we conduct business globally.

Realizing environmental harmony London Realizing a city that is gentle on people and the planet Partnering with local partners to advance mixed-use development but resilient to disasters Mitsui Fudosan (U.K.) Ltd. is partnering with Stanhope PLC, a major We are promoting renewable energy usage and the optimization London-based developer, to work on a variety of projects, mainly focused of energy consumption across the entire city. We aim to establish on office buildings. We are leveraging our strength of being able to handle a self-operated power supply network and install an Area Energy multiple product lines and working closely with locally hired staff to advance Management System (AEMS) over a wider area, as well as development that is tailored to the characteristics of the region. In the further enhancing its functions, to develop a smart grid that Television Centre Redevelopment Project, which began in 2012, we have supports lifestyles and innovation. created new appeal and value by regenerating the neighborhood as a mixed-use area while retaining the unique exteriors of the buildings, with a focus on a building being used as the headquarters and studio of the BBC.

Encouraging health and longevity Ensuring all generations can live with health and peace of mind We have established a participation-style health center and are carrying out the provision of health-related information and measurement of health-related data with a focus on exercise, communication, and diet, the building New York blocks of everyday health. Raising the value of the area through mixed-use neighborhood creation Mitsui Fudosan America, Inc., has been growing roots in the Creation of new industries U.S. market for over 40 years and has built an excellent portfolio through its office building and residence businesses. Cultivating new growth areas where Japan can thrive In 2015, it joined the Hudson Yards large-scale redevelopment We will promote neighborhood creation that realizes a hub for new project in Manhattan, an area that has been experiencing a industry creation, containing a concentration of universities, research remarkable transformation in recent years. We have been institutions, and incubation facilities. We will also support companies contributing to raising the value of the area through two office and entrepreneurs by creating places where diverse people can building development projects, 55 Hudson Yards and 50 gather and communities that facilitate a wide range of collaboration. Hudson Yards.

11 Integrated Report 2020 Integrated Report 2020 12 Value Creation Strategy 14 Integrated Report 2020 % 5 ROA Around Build an optimal portfolio Diversify fundraising methods Appropriately control the as appropriate for various asset types balance sheet Asset and financial strategy • • • % 30

Of which: governance Around Overseas income Around 2025 Organization, systems and Strengthen governance and strictly Establish organization and systems Enhance awareness of Group-wide enforce compliance that encourage innovation optimization • • • Infrastructure to support initiatives Dramatically grow the overseas business Dramatically grow the overseas Drive evolution in the creation of neighborhoods Drive evolution billion Realize sustainable growth of profits for around 2025 Innovate business models by harnessing real estate tech models by harnessing real Innovate business Consolidated ¥350 operating income operating Human resource strategies platforms for ultra-smart societies. platforms for ultra-smart integrated developer. Expand business by leveraging the Mitsui Fudosan Group’s strengths as a comprehensive and Expand business by leveraging the Mitsui neighborhood creation development projects overseas. Promote further localization and expand Provide business and daily lifestyles to people, who are the centerpiece of the creation of neighborhoods. daily lifestyles to people, who are the Provide business and as age and develop smart cities that serve of neighborhoods that improve with Realize the creation businesses and create new businesses through Real Estate × ICT. Enhance the competitiveness of existing physical spaces, such as offices, retail facilities, and residences. Accumulate and utilize data from real Recruit and train globally minded Promote further diversity Encourage higher workforce human resources and IT professionals participation by women • • • • • • • • • Around Outlook Main Initiatives Opportunities Diverse workforce due to diversity Increase in overseas business Rise in demand due to increase in Market creation through the promotion opportunities inbound customers manifestation of potential demand • • • • implement open innovation Strengthen Group synergies Promote Group collaboration globally Strengthen external collaboration and Evolution of Group management • • • Establish a sustainable society Drive sustainable profit growth Risk Achieve Society 5.0 Contribute to the SDGs Increased costs incurred by response Shrinking of existing businesses due Decrease in demand and labor to environmental considerations, etc. to digital disruption shortages due to population decline • • • Customer-centered management customers’ values Create markets by uncovering unmet needs Appropriately address changes in Execute on a global level • • • VISION 2025 VISION Pursue common social value Business innovation Environment Innovate the real estate business Make extensive use of digital technology Establish new profit models • • • Awareness of the External Successfully establish a sustainable society through the creation of neighborhoods a sustainable society Successfully establish business to innovate the real estate Harness technology Evolve into a global company The advance of globalization Evolving technology Population decline in Japan, low Greater awareness of sustainability Diversification and fragmentation birthrates and an aging society in perceptions of value • • • • • • • • Integrated Report 2020 Basic Strategies In May 2018, Mitsui Fudosan published VISION 2025, the Group’s long-term vision, based on its existing Group on its existing Group vision, based the Group’s long-term published VISION 2025, Mitsui Fudosan In May 2018, achieve estate business and to innovate the real on the Group to aim VISION 2025 calls Vision, and Mission. Statement, society. and contribute to establishing a sustainable maintain robust growth and profitability, further globalization, Long-Term Vision Long-Term VISION 2025 VISION Value Creation Strategy Strategy Creation Value 13 Value Creation Strategy 16 % 9 36.

Integrated Report 2020 % 2 35.1 4. 20 in a bid to 35.0 over the stable 4.4 35% of profit 25.5 based on comprehensive 20 20 20 20 20 25.2 % 7 4.6 4.6 0 7. 0 0 20 0 Undertaking the stable payment of dividends while flexibly repurchasing own shares Total shareholder return ratio of Quality Based Asset Portfolio 20 Investment for Growth and Building 4.1 20 20 20 20 7.4 0 0 0 ROA Reinvestment of profits in good investment opportunities Building of quality-based asset portfolio 7.4 6.8 flexibly repurchasing its own shares flexibly repurchasing 1.45 Increase Shareholder Value while 6.2 20 20 20 20 returns profits to shareholders returns profits Shareholder Return Enhancements 0 0 0 0 ROE Continuously Enhance Corporate Value, Continuously Enhance Corporate 1.24 reinvests earnings to increase shareholder value to increase shareholder reinvests earnings 1.15 1.18 Financial Soundness Financial medium to long term and medium to long term enhance capital efficiency. consideration of such factors as the business environment and its performance and finances. environment and its performance the business such factors as consideration of of parent. attributable to owners payment of dividends Mitsui Fudosan ratio of around identified a total shareholder return has Mitsui Fudosan Fudosan undertakes the shareholder returns, Mitsui In order to strengthen 20 20 20 20 20 • • • 1.16 0 200 0 00 00 e D/E ratio Ensuring of appropriate D/E ratio level The Company has a basic policy of continuously The Company has a basic policy of continuously value through enhancing shareholder value and corporate fiscal year for well-balanced distribution of earnings every in expanding returns to shareholders and investing growth, while maintaining financial soundness. Basic Capital Policy Shareholder Return Policy Shareholder visitors Enjoyable lifestyles Enable affluent and comfortable in the creation of Our aspiration neighborhoods Create new industries workers Sustainable Society Improve the productivity of Sustainable Profit Growth residents and healthy lifestyles for Comfortable innovation governance through open compliance and Create new industries Continuously improve

energy and security in people’s daily lives impact and generate Achieve health, safety Reduce environmental Priority Goals of neighborhoods Drive evolution in the creation

Proactively harness new technologies to develop smart cities that Create communities closely tied to localities and promote Create communities closely tied to localities serve as platforms for ultra-smart societies high-quality town management neighborhoods where a diverse • • Achieve a society

societies by creating workforce can thrive Establish ultra-smart Integrated Report 2020 To date, the Mitsui Fudosan Group has contributed to the realization of a sustainable society through its business activities and neighborhood creation, in accordance with the core philosophy expressed in our Group Statement, “The Mitsui Fudosan Group aims to bring affluence and comfort to urban living.” Going forward, we will work to achieve the SDGs through the six priority goals. We are also aiming to realize ultra-smart societies based on the 5th Science and Technology Basic Plan proposed by the Japanese government. This innovation-inspired social transformation is being referred to as Society 5.0 and we will make maximum use of technology to innovate the real estate business, thus contributing to the realization of ultra-smart societies. Engaging the SDGs and Society 5.0 The Mitsui Fudosan Group’s Approach to ESG Management Approach Fudosan Group’s The Mitsui and Society, positioned ESG (Environment, Fudosan Group has creation, the Mitsui realize continuous value In order to neighborhood goals for the area. By further evolving management issue, and established six priority Governance) as a key profit growth. a sustainable society and drive sustainable pursuit of these goals, the Group aims to achieve creation through the

Value Creation Strategy Creation Value ESG Management ESG 15 Value Creation Strategy 18 Integrated Report 2020 Capital Investment Capital Investment venture companies venture companies LP investment in life science LP investment in life science Fostering/support Fostering/support • •

Rental Lab & Office (Mitsui Lab & Office) Rental Lab & Office (Mitsui Lab & Office) Community Building Community Building ablish a sustainable society through the Interaction/cooperation • Interaction/cooperation • • • Location Establishment Location Establishment It is also clear that life science initiatives will become science initiatives It is also clear that life LINK-J* with a group of founded we Specifically, pandemic has demonstrated the COVID-19 The  Successfully est creation of neighborhoods This year is the third year since the formulation of VISION of since the formulation is the third year year This Nihonbashi Life Science Building series Entrusted operation of the University of Tokyo Entrepreneur Lab Preparation of shared lab in Nihonbashi • Nihonbashi Life Science Building series Entrusted operation of the University of Tokyo Entrepreneur Lab Preparation of shared lab in Nihonbashi • 1. 1. the real estate business to innovate 2. Harness technology into a global company 3. Evolve • • • • • • Innovation assets Innovation assets • • 2025 and I feel the steady stream of results we are seeing are we the steady stream of results 2025 and I feel changing in these rapidly Now, represent a strong response. realizing these toward need to continue working times, we greater sense of speed. visions with an even the Since 2016, more important globally in the future. even sciences innovation, to inspire life Group has been working building in Nihonbashi by and create an ecosystem the creationcommunities and creating places that support industries with the aim of contributing to problem- of new all people for solving that will lead to health and longevity the world. over is an incorporatedThis from academia (see p.64). volunteers promoting for association that uses Nihonbashi as a base sciences field through cooperation in the life open innovation and academia. It has grown government, among industry, 400 holds LINK-J members and to a scale that includes over We per year. 500 networking and collaboration events over Science Buildings as hubs for Nihonbashi Life also develop sciences-related fields and venture in life a variety of players these in nine have now companies among others, and we have they years, five over attracted locations and have companies and other organizations amounting to attracted tenants into Nihonbashi. around 120 sciences, and Nihonbashi will increasing importance of life sciences of life continue to contribute to the development neighborhood that generates a a diverse as in Japan through people, services,wide range of values and At the same time, the Group will continue communities. neighborhood creation that can lead to the to advance solution of a range of issues, not only in Nihonbashi, but and the rest of the world. also across Japan Overview of the Life Science Innovation Promotion Business Promotion Science Innovation of the Life Overview *Life Science Innovation Network Japan Science Innovation *Life life life 120 120 Life science facilities already established Life science facilities to be newly established Life science facilities already established Life science facilities to be newly established science-related companies and organizations are gathered in Nihonbashi Approx. science-related companies and organizations are gathered in Nihonbashi Approx. * As of July 31, 2020 * As of July 31, 2020 Showa Showa Building Building Kodenmacho Station Kodenmacho Station Ningyocho Station Ningyocho Station Ueno Building Ueno Building LAUNCH Building LAUNCH Building Nihonbashi Life Science Building 2 Nihonbashi Life Science Building 2 Nihonbashi-Honcho 3-chome Building Nihonbashi-Honcho 3-chome Building Tosho Building Life Tosho Science Floor Tosho Building Life Tosho Science Floor Nihonbashi Life Science Building Nihonbashi Life Science Building Nihonbashi Life Science Hub Nihonbashi Life Science Hub Fukushima Building Fukushima Building Honcho Building Honcho Building MFPR Nihonbashi MFPR Nihonbashi Mitsukoshimae Station Mitsukoshimae Station Essentially, we need to create neighborhoods that we Essentially, has already participated in a number Group The advancing the Group has been example, For Nihonbashi Nihonbashi Shin-Nihombashi Station Shin-Nihombashi Station Nihonbashi Muromachi Mitsui Tower (Scheduled to open in 2020) Nihonbashi Muromachi Mitsui Tower (Scheduled to open in 2020) 日本橋本町 日本橋本町 Going forward, in order to continue capturing the essence Going forward, in order to continue capturing while solving customer needs are changing of how think about our we how need change social issues, we that produces ideas about business and take an approach individual assetsneighborhood creation rather than about instead buildings and which office as residences and such provides or spaces, structures of creating just physical business and daily lifestyles. of path that will lead to the evolution The put people first. “real and a development to mixed-use the Group is a shift instead of just giving which approach, estate as a service” with a serviceclients a piece of real estate, them provides Also, solutions. properties with soft that combines physical that we it is crucial a sustainable society, in order to achieve the putting with age by neighborhoods that get better realize in and visit the neighborhood first, people who live diverse and promotingcreating communities closely tied to localities, also need we high-quality management. Furthermore, town sustainable proactively to advance neighborhood creation by smart cities. to develop technologies harnessing new Tokyo, projects in central redevelopment of mixed-use in this kind and Nihonbashi. However, including in Hibiya of neighborhood creation, buildings are not the goal, but alongside therather the start. It is constantly evolving Group through the people, services, and communities that in these neighborhoods. are found Plan. Nihonbashi has the Nihonbashi Revitalization and discovery since the Edo period drug been hub for sciences mecca that is home to many it is a life nowadays pharmaceutical-related companies. The Evolution of Neighborhood Creation the Mitsui Fudosan Group is Aiming For Aiming For is Group the Mitsui Fudosan Creation of Neighborhood The Evolution 2. Our Vision 2025 Long-Term Vision Long-Term Vision 2025 Our 2. and anticipating change Group is always Mitsui Fudosan The our the real estate and advance business to innovate working sustainably order to continue growing global activities, and in published our we 2018, in May from the mid-2020s onwards, Vision. It contains three visions that VISION 2025 Long-term Group: the for represent our aspirations Nihonbashi Life Science Building Bases Nihonbashi Life ” logo, and we led the way by by led the way ” logo, and we Also, the times ahead will require an even greater Also, the times ahead will require an even aGoing forward, the Group will continue to make Recently words such as “sustainability” and as such words Recently actively engaging in initiatives that facilitate coexistence coexistence that facilitate engaging in initiatives actively society and make more with the global environment sustainable creation. In other through neighborhood and supports our business creates social value words, the spirit of ESG. so I believe realizing a sustainable society, towards effort Group the Mitsui Fudosan by the role that can be played more important. will become even the social issues contained in to tackle sincere effort economic value, the SDGs and in addition to providing and realizing will contribute to creating social value we sustainability. through value creation also leads to sustainable creation also leads growth through value a company. for concepts “sustainable come to symbolize society” have before even However, as ESG and the SDGs. such commonly used, Mitsui Fudosan were these words the principles of linking diverse already advocating was and realizing with society, in harmony coexisting values, represent the philosophy sustainable societies, which “ our embodied by Masanobu Komoda Officer and Chief Executive President Co., Ltd. Mitsui Fudosan Companies need to provide more than just economic Companies need to provide So, what is the mission of a company in these So, what is the mission of a company Adding to this, the global COVID-19 pandemic has pandemic to this, the global COVID-19 Adding Integrated Report 2020 value, they also need to create social value. I believe that I believe also need to create social value. they value, contributing to the realization of a sustainable society difficult times? What course can we take that will steer us What course can we times? difficult of meaning and value The through this age of uncertainty? question, andcompanies is once again being called into has become more importantmanagement philosophy than ever. further amplified the uncertainty of the times. While it further amplified the uncertainty of the times. to predict when the spread of the virus remains difficult and economic activity continue to will will abate, lifestyles this will be a protracted it looks like As limited. be severely of balancing challenge the difficult must tackle we battle, with reviving of further spread of the virus the prevention the economy. Currently the world is experiencing what is being called what is being is experiencing the world Currently problems Global environmental “age of uncertainty.” an is making serious and climate change are becoming more having is This disasters bigger and more frequent. natural entire business activities, and a huge impact on lifestyles, the state of theeconomies on a global scale. Meanwhile, trade by as demonstrated constantly, is changing world in and China, widespread chaos friction between the U.S. such issues Europe, and other geopolitical risks. In Japan, birthrates, the aging of society, as population decline, low and labor shortages become more severe, continue to in every industry. is impacting businesses which 1. The Mitsui Fudosan Group’s Social Mission and Management Philosophy and Management Social Mission Group’s The Mitsui Fudosan 1. Sustainable Society and Medium- to Long-Term Profit Growth Through Through Growth Profit Long-Term to Society and Medium- Sustainable Social Issues That Solves Creation Neighborhood Working with All Stakeholders to Support Each Other While Realizing a Realizing While Other Each Support to All Stakeholders with Working Message from the CEO from Message Value Creation Strategy Creation Value 17 Value Creation Strategy 20 Integrated Report 2020 Also, the pandemic has increased the speed of the Also, the pandemic has increased the speed from On the other hand, the limitations of working through provide can we value What kind of new and work to build services to and work responsive that are in society and neighborhood creation change structural and keeps that accelerates the use of digital technology ESG as a central consideration. providing to ICT technology, already accelerating shift the digital to realize opportunity us with an excellent industry, an As of the real estatetransformation industry. to trends in sensitive more need to be even I think we this society and carefully consider the course which should take. digital transformation and also become clear, have home and remote working that aims to raise the value a perspective it looks like with digital of real spaces that cannot be substituted more important. In order will become even technology in the age of uncertainty, evolving Company the to keep raise our organization capabilities, that we it is crucial mindset, and gather and collaborative teamwork, from both inside and outside the together knowledge is an area that This ideas. to generate new Company from home and remote the limits of working reveals through face-to-face working, as it needs to be realized communication in real spaces. methods in order to enhance the both real and virtual Going forward, productivity of tenants and workers? our Group to leverage the Mitsui Fudosan like I would strength to meet this challenge. collaborative In order to provide solutions that are tailored to In order to provide the Group is aiming to create neighborhoods The times as an opportunity these changing will seize We 3. Firmly Capturing Change to Realize Further Growth Further Realize to Change Capturing Firmly 3. We need to stay focused on the possible structural on the possible structural need to stay focused We of society and the very fabric that in lifestyles changes These pandemic. the COVID-19 will be brought about by business opportunities present significant changes more thoroughly need to be even the Group so we for of in the nature changes to capture customer-orientated growth. customer needs that could lead to new the customer needs and deliver increasingly diverse need to engage in we maximum amount of added value, a neighborhood creation that will help realize mixed-use before more than ever and comfort society of enrichment services through realized confident that soft are and we and other methods will be the harnessing of technology a greater number of customers. appreciated by by value are neighborhoods that generate diverse themselves. encouraging people to gather and enjoy leading to the connect people and spark innovation, They will continue to be our aim This creation of the future. Whether in pandemic has ended. once the COVID-19 will properly identify the unique we or overseas, Japan optimized of a neighborhood and provide characteristics services and out its development that draw mixed-use is not something integrated approach This strengths. think it other companies and we that can be imitated by edge in the medium- to with a competitive us provides long-term. (As of July 31, 2020) of July (As 500 Corporate Member Contracts Corporate Over 150,000

Going forward, it is certain that the environment harnessing Group will continue actively The

Office Locations Office 56 Members Approx. 55 Hudson Yards Project Centre Redevelopment Television A WORK STYLING SHARE multi-site shared office STYLING WORK A around the real estate industry increasing diversity will see greater demand styles even and and working in lifestyles the merging of real with digital.for data and digital to raise the usage transformation and services of our products competitiveness aim and an ultra-smart society through the creation of to realize businesses. new Our ability to provide products and service that offer Our ability products and service to provide that offer Also in the U.S. and U.K., where there is relatively where there is relatively and U.K., Also in the U.S. In the three years since the business started, we have have since the business started, we In the three years This business fully harnesses technology to enable business fully harnesses technology This For example, while many companies have now now companies have while many example, For To date, the Group has been harnessing technology to has been harnessing technology date, the Group To Integrated Report 2020 added value is a universal ability that enables us to meet is a universal added value Going the world. of customers all over the expectations our global business to expand will continue forward, we the appeal of areas through the creation of raising by to their area that bring further life neighborhoods new country in such to create social value strive will and we and region. little mixed-use development, we believe the mixed- believe we development, mixed-use little built up through have we expertise use development a significant strength, so is of experience years many as Hudson projects such in redevelopment engaged we Centre project on Television and the York in New Yards These headquarters in the U.K.. the site of the BBC’s bustling and are now been transformed areas have a diverse by neighborhoods that are used and enjoyed range of people. The Group is advancing its business globally by developing developing its business globally by is advancing Group The This locations. local real estate businesses in overseas real estate capabilities to using our collective involves neighborhood creation. added-value high realize The Globalization the Mitsui Fudosan Group is Aiming For Aiming For is Group The Globalization the Mitsui Fudosan already completed agreements with over 500 companies already completed agreements with over Workers members. 150,000 registered over and have WORK styles daily working using the flexible can realize 50 urban and suburban in over offer we offices STYLING of productivity, in higher levels results This locations. or nursing care jobs due to childcare people leaving fewer through value responsibilities, and the creation of new greater cross-industry collaboration. companies to carry out workforce management remotely. management remotely. companies to carry out workforce long-distance commutes to avoid their workers allows This in a remote working and engage in highly productive manner. and convenient comfortable introduced and are gaining experience of working from of working experience introduced and are gaining pandemic, to the COVID-19 due home and remote working of been promoting the effectiveness the Group has already STYLING WORK through our since 2017 remote working shared offices multi-site provides business, which targeting corporate clients. advance a range of projects that realize highly productive productive highly realize a range of projects that advance more comfortable lifestyles make environments, office and fun shopping lives. more convenient and provide The world is experiencing a rapid digital transformation, is experiencing world The that going forward,be a paradigm there will and it is likely in every field, regardless of industry. shift Harnessing Technology to Innovate the Real Estate Industry Industry Real Estate the Innovate to Technology Harnessing Message from the CEO from Message Value Creation Strategy Creation Value 19 Value Creation Strategy 22 0 70 60 50 40 30 20 10 (FY) (Billions of yen) Integrated Report 2020 2019 6. 5.0 . 35.1 43.2 2018 16.0

In our forecast for the current fiscal year, while we while we fiscal year, the current for In our forecast to strengthen will strive Going forward, we continued support. look forward to your We 35.0 39.5 2017 15.0 President and Chief Executive Officer President Co., Ltd. Mitsui Fudosan strong lines of communication with the capital andstrong lines of communication market decided to have so we of trust, deepening relationships disclose our forecasts. a temporaryexpect reduction in profits due to measures, out carried we which as closing retail facilities, such our social and health in order to fulfill to protect life certainly business itself will responsibilities, the Group’s will grow are confident that profits and we not lose value, will continue we Therefore, in the medium- to long-term. to our shareholders and maintain stableproviding returns when an annual dividend of ¥44 per share. Furthermore, our normalize can and we pandemic abates the COVID-19 will consider further enhancing creation, we cash flow shareholder return. actively understandingin the Group by of and confidence investors including communicating with all stakeholders, in ourand shareholders, and reflecting their opinions business management. Total amount of treasury stock acquired (right axis) Growth 33.5 25.5 2016 Investment Abundant Investment Pipeline Total dividends (right axis) 25.2 29.6 2015 Continuity Returns 24.7 24.1 2014 Shareholder Approx. 35% Therefore, going forward we will stay consistent to going forward we Therefore, worked we 2020, ended March In the fiscal year to forecast difficult Also, although it is extremely Total shareholder return ratio (left axis) 0 70 60 50 40 30 20 10 (%) Total dividends, Total amount of treasury stock acquired, and total shareholder return ratio Total dividends, Total amount of treasury stock acquired, and total shareholder return Shareholder Return Enhancements Return Shareholder To Shareholders and Investors (Capital and Shareholder Return Policies) Policies) Return and Shareholder (Capital and Investors Shareholders To enhancing by shareholder returns Group delivers The and in good projects through investment corporate value comprising returns shareholders with direct providing our own of repurchases a stable and flexible dividend on must focus two goals, we these achieve To shares. maintainingin a soundness and continuing to act financial consistent manner. steadily by long-term profit growth our policy of achieving of the full pipeline of development completing construction of sustainably strengthening projects, and our approach to the shareholders who are supporting our growth returns from a long-term perspective. stores, andto support our partners, particularly tenant of Group employees situation maintain the employment in profit growth 9% year-on-year over while still achieving aim to we Therefore, of parent. owners to attributable to shareholders with a total shareholder a solid return give maintaining our annual dividend of ratio of 36.9% by return of our worth ¥25 billion’s ¥44 per share and repurchasing shares. own when thebusiness results while it remains unclear that in this kind firmly recognize pandemic will abate, we in maintaining need to be active we of crisis situation Balancing Shareholder Returns and Growth Investment and Growth Returns Balancing Shareholder Total Shareholder Return Ratio ） FY （ 7.7 2018 2019 7.4 7.4 2017 6.8 2016 6.2 2015 P the period  We have long said that in the real estate business, have We been have a result of the financial strategy we As striving to formulate will continue Going forward we Defending the lives and health of the people is a the lives Defending are taking a medium- to long-term perspective We 0 8.0 7.0 6.0 ROE (%) *ROE = *ROE equity over shareholders’ ofparent/Average toowners rofit attributable excessive financial leverage can raise risk during credit financial leverage excessive promising also offer and these crunches crunches, to think that it is crucial so we business opportunities, maintain financial soundness during periods of normality financial exercising to avoid better and that it is technically ROE. to improve leverage practicing to date, while there are companies being forced global the by into tight cash management situations pandemic, the the COVID-19 economic disorder created by Group still has stable access to funds. with the real estatefinancial strategy that is in tune maintain business cycles, financial soundness through our debt/equity ratio, and maintain our credit rating, as as well interest-bearing debt procured is diverse ensuring that any and long-term. perfect example of the Company’s responsibility to of the Company’s example perfect The management. the S in ESG as represented by society, the to prevent and strived lives saving Group has prioritized voluntarily suspending operations, by spread of infection in order to protect theincluding those at retail facilities, we Furthermore, and their families. health of employees been store tenants who have support for provided have and maintained the employment situation put in a difficult to worked have we In this way, of all Group employees. and going of all stakeholders the health and safety realize with partners such will continue to work forward we of mutual as local communities and tenants in a spirit that difficulties any assistance can overcome so that we arise together. our relationships with stakeholders and striving to make stronger so that when the pandemic finally abates, even more essential the Group will be regarded as an even presence in society.

fering risk and return offered by each real each by offered risk and return fering ” logo. Specifically, we plan to constantly pursue the we Specifically, Real estate development requires the constant holding estateReal development To enhance ROE, we think it is technically better to better think it is technically we enhance ROE, To I feel that now, more than ever, the COVID-19 the COVID-19 more than ever, that now, I feel aising asset turnover ratio by selling development assets as well selling development ratio by aising asset turnover Organizing the dif estate product in a balanced manner to raise resistance to fluctuations. market  sale at the appropriate time, and shrinking cross-shareholdings: R  as collecting rental income from held assets while incorporating management business, or in other words, high-efficiency “holding, trading, management” businessimplementing a steady model: R Integrated Report 2020 1) sellingrealproperty for ourassetportfolio, egularly rearranging 2) 3) optimization of our asset portfolio based on a combination optimization of our asset portfolio of real estate implementing various products and areas by including: initiatives of assets that are unprofitable while in development as well of assets that are unprofitable while in development industry so it is a difficult as ongoing large-scale investment, in ROA. short-term dramatic improvements to realize in which important Within it is extremely that we this environment, controlling the consistently by through ROA aim to raise ROE balance sheet in a manner that is conscious of asset quality. avoid exercising financial leverage and instead, continue to financial leverage exercising avoid maintain a strong financial standing to raise while working up to 2025. in the period ROA Asset and Financial Strategy Asset and Financial Strategy Group also considers it important theThe to demonstrate in the capital in addition to market, pursuit of efficiency and going forward we medium- to long-term profit growth, in the medium- to long-term. ROE will aim to grow At the start of this message, I described how we are we At the start of this message, I described how “sustainability” aimed at realizing efforts expanding come that have concepts “sustainable society,” and a this scale and how the SDGs, on a global to symbolize on ESG must put greater focus we is a period in which Mitsui The generation. the benefit of the next for initiatives to contribute to achieving Group will continue Fudosan realizing a sustainableSociety and the SDGs by 5.0 society through and driving sustainable profit growth embodied neighborhood creation, based on the philosophy by our “ Advancing ESG Management ESG Management Advancing 4. Priority Measures Priority 4. Message from the CEO from Message Value Creation Strategy Creation Value pandemic has forced us to reconsider the significance of us to reconsider the significance pandemic has forced in regard to realizing sustainable societies. Inthe Company the pandemic, response to the global crisis presented by that the priority issues arethe Group has recognized to end the pandemic as the spread of infection preventing have We the economy. as possible and recovering quickly and cooperatedfully embraced our social responsibilities and lives protect people’s to efforts with government-led health, with the aim of realizing a sustainable society. 21 Value Creation Strategy 24 2 02 0 Stable Stable Stable Stable Outlook Integrated Report 2020 (As of March 31, 2020) — A-1 a-1+ J-1+ Consolidated Japanese currency Foreign currency Short-term Interest Rate Situation A A2 AA AA- Long-term Fixed Rating Agencies The Group’s main business is real estate main development Group’s The we carefully selected investments, When advancing created by within the harsh business environment Even April when the spread of to from March Specifically, to enhance corporate value will strive Going forward, we Moody’s Standard & Poor’s R&I JCR Floating Building a Sound Financial Standing and Standing a Sound Financial Building Funds Procuring Excl. Non-recourse Excl. Credit Rating Credit Debt Ratio of Fixed-Interest The Group’s financial strategy is to build a stable financial Group’s The and for realizing sustainable growth foundation financial efficiency. improving use of the of business is heavy and one of the characteristics in development, ongoing investment balance sheet through a medium- to long-term take important we so it is extremely by properly and maintain financial soundness perspective of interest-bearing debt and debt/ managing the balance equity ratio. in the to reduce risk from fluctuations been working have ourby diversifying during development financial markets rates and interest fund procurement, raising the ratio of fixed staggering periods, and repayment long-term borrowings, maintaining credit ratings. reason that the Group pandemic, I think the the COVID-19 still has stable the result of these efforts. access to funds is as took action such we became more severe, the virus billion and as of ¥145.0 issuing corporate bonds to the value and foreign already procured funding in yen have a result, we Furthermore, dollars) required in fiscal 2020. (U.S. currency lines of credit totaling ¥400 billion committed have we in the financial prepared in case there is further disruption and procurement becomes difficult. in the future markets in our businesses that balances a more realizing cash flow by while with recoveries, to investment disciplined approach foundation our sound and stable financial make to working tunemore robust, based on a long-term financial strategy in with real estate business cycles. Year Long-Term 2 Average Duration Average Short-Term Ratio of Long-Term Debt Ratio of Long-Term Excl. Non-recourse Excl. 0 Corporate - JPY Non-Recourse -Others Non-Recourse While healthcare experts are unable to provide a clear unable to provide are While healthcare experts think it is we this kind of environment, within However, from forecast revenue we fiscal 2020 for Therefore, in the pandemic, at the impact of the COVID-19 Looking long the pandemic lasts, actual Depending on how Non-Recourse -JPY Non-Recourse Corporate - Others 0 Outlook for Fiscal 2020 Fiscal for Outlook The rapid spread of COVID-19 is having a significant and is having rapid spread of COVID-19 The Group companies are Mitsui Fudosan wide-ranging impact. based on the spread of infection striving to prevent actively have and we and local governments guidance from national as and well-being, such safety taken measures prioritizing to fulfill our and hotels, and worked closing retail facilities commercial for support providing by social responsibilities tenants through temporary and the like. rent reductions has had a significant impact on profits. this Naturally it is extremelyoutlook as to when the pandemic might end, extent economic activity to what will beforecast to difficult impact this much year and how limited throughout the fiscal business results. on the Group’s will have andimportant communicate with shareholders to actively our business announce our outlook for now so we investors, results based on certain and hypotheses. assumptions forecasts following calculated the we have Specifically, based on the assumption that economic activity will remain and localstrictly limited under guidance from national JulyJune), but from in the first quarter (April to governments and these limits will be relaxed year, to the end of the fiscal to normal. will begin to return the situation of ¥200.0operations of ¥1,850.0 billion, operating income billion and profit attributable billion, ordinary of ¥169.0 income billion. of parent of ¥120.0 to owners business will the retail facilities expect segment we Leasing the expect Sales segment we in the Property be affected, in the business will be affected, property sales to investors business the brokerage expect Management segment we and the hourly car park leasing business will be individuals for the hotels and expect and in the Other segment we affected, predict on this, we Based resorts business will be affected. billion on impact of roughly ¥100.0 there will be an overall andoperating income, non-operating income/expenses, extraordinary gains/losses combined. in announcing vary will be swift results may so we when necessary. corrections Interest-Bearing Debt Interest-Bearing 0 4,000 3,000 2,000 1,000 (FY) 20 20192018 (Billions of yen) 2 2017 2015 2016 0 Interest-bearing debt (right) 0 0 2 In regard to the balance sheet, total assets were 2010 2011 2012 20142013 Debt/Equity ratio (left) Shareholders’ equity (right) 0 2.0 1.5 1.0 0.5 (time) Trend of D/E Ratio, Etc. of D/E Ratio, Trend achieve income and profit increases, maintain a healthy achieve When employed. financial standing, employees keep our and taken into account the have we deciding shareholder return, as measures such as other factors, as well situation above to support commercial tenants including temporary rent ratio is a result, the totalAs return shareholder reductions. owners of parent. to 36.9% of profit attributable of ¥592.6 billion from the end billion, an increase ¥7,395.3 making steady been We have year. fiscal of the previous in future our business and investing progress in expanding in tangible and intangibleassets, through investment growth in the Yards and 50 Hudson Tower One as Otemachi such sale. increasing the amount of real properties for and by U.S., consolidated interest-bearing On the other hand, the Group’s ¥2,486.5 billion and net assets were ¥3,481.1 debt was financial maintained a healthy have a result, we As billion. equity times and an standing with a debt/equity ratio of 1.45 ratio of 32.6%. 0 50 200 150 100 (FY) VISION 2025 (Billions of yen) 0 Long-Term Vision 2017 20192018 2016 0 2015 00 201420132012 20 2 0 Attributable to owners of parent (right axis) Revenue from operations (left axis) 500 1,000 1,500 (Billions of yen) 2,000 Business Results for the Past 8 Years 8 Past the Business Results for In fiscal 2019, the second fiscal year of the Group’s VISION year of the Group’s the second fiscal In fiscal 2019, from operations recorded revenue 2025 long-term vision, we billion,of ¥1,905.6 billion, operating income of ¥280.6 ordinary to billion and profit attributable income of ¥258.5 record for a new billion, setting of parent of ¥183.9 owners year the eighth consecutive from operations for revenue operating income, ordinary records for income,and new for the sixth of the parent owners to and profit attributable 2019 in fiscal shareholder return For year. consecutive an annual dividend of ¥44 per share as initially will pay we own of our repurchases flexible announced and, following billion, April amounting to ¥15 through shares from March up additional shares worth decided to repurchase have we business has Although the Group’s billion. to a further ¥10 the impact of the spread of the COVID-19 by been affected been able to safely have pandemic since early 2020, we Integrated Report 2020 Overview of Fiscal 2019 Business Results of Fiscal 2019 Overview Managing Director, Executive Managing Officer Executive Managing Director, by Building a Stable Financial Foundation Building a by Hamamoto Wataru Striving to Enhance Corporate Value Value Corporate Enhance to Striving Message from the CFO from Message Value Creation Strategy Creation Value 23 Value Creation Strategy 26 1 17.8 pr 2020 pr 2020 Integrated Report 2020 Women Management Women 2 0

il 201 il 201 0 0 0 0 Ratio of Ratio Employees) Candidates (Full-time Ratio of Mid-career Hires of Mid-career Ratio Employees Among Regular 10 100 200 200 10 100 管理職候補者層女性比率（総合職） （%） （%） pr 2020 1,678 ar 2020 Women in Management Women

March 2015 il 201 Additionally, Mitsui Fudosan has been selected for Mitsui Fudosan Additionally, 0 800 400 0 2,000 1,600 1,200 0 0 0 20 10 such as training and mentorship programs for women who women programs for as training and mentorship such (the women recruiting and actively are full-time employees years is the last five graduate hires over in new ratio of women of raising the target set in 2015 we achieved have We 31.1%). more than in management positions by the number of women working to we are now by 2020, and levels 3 times fiscal 2015 of management positions 10% having by further these efforts their are leveraging Women 2025. by women occupied by a broad area and are over and attributes career experience at companies departments, including as staff thriving in many and overseas. and in business lines in Japan (WIN) Select Women Empowering inclusion in the MSCI Japan Pension the Government has been adopted by which Index, ESG investments. for (GPIF) as an index Fund Investment Ratio of Ratio Employees) (Full-time Positions Number of Mitsui Fudosan Number of Mitsui Fudosan (Non-consolidated) Employees （%） Selected for inclusion in the MSCISelected for Index Women Empowering Japan (WIN) AND ANY MSCI INDEX, IN LTD. CO., FUDOSAN THE INCLUSION OF MITSUI MARKS OR INDEXNAMES SERVICE TRADEMARKS, THE USE OF MSCI LOGOS, OR ENDORSEMENT A SPONSORSHIP, CONSTITUTE NOT HEREIN, DO ANY OFITS MSCI OR BY LTD. CO., FUDOSAN OF MITSUI PROMOTION OF MSCI. PROPERTY THE EXCLUSIVE ARE THE MSCI INDEXES AFFILIATES. TRADEMARKS ARE AND LOGOS THE MSCI INDEX NAMES AND MSCI AFFILIATES. MARKS OF MSCI OR ITS ORSERVICE * % Also, as part of efforts to both deepen understanding of Also, as part of efforts We learn about the situation and needs of employees by and needs of employees learn about the situation We are increasing the number of women Also, we Measures Based on the Personnel Strategy Based on the Measures In order to advance the innovation of the real estate business, the innovation In order to advance actively by a variety of knowledge will need to mobilize we from other industries who employees mid-career recruiting with diverse Employees to the real estateare new industry. originality based can offer career histories and viewpoints will aim to abilities, and we and on their unique experiences services. new integrate this diversity to deliver business in our core businesses and accumulate experience are advancing areas outside of these core businesses, we our ability and problems that cultivate to solve initiatives business within a radically changing create added value a business proposal as implementing such environment, and a secondary to create that aims system system work and social contribution. innovation management candidates by providing career support measures providing management candidates by from Childcare Leave Rate Return Employees Among Regular Past 20 years 100 *Fiscal 2000 – fiscal 2019 Further Promoting Diversity Further Promoting Thrive and It to Grow and Enabling Workforce a Diverse Assembling by Women Encouraging Higher Workforce Participation Working to Continue Women Support That Workplaces Aiming for workforce enabling our diverse for One of our initiatives participation by is to encourage higher workforce to thrive women. and Department interview all employees, the Personnel having responded at an early stage establishingwe by an environment (including and childcare that supports the balancing of work working hours duringfor reduced system adopting a flex-time and establishing system, in-office and work-at-home childcare since these systems 20 years nurseries). In the period of over rate from return maintained a 100% have we adopted, were employees. among regular Mitsui Fudosan leave childcare Furthermore, recognizing that the advance of digital recognizing that the advance Furthermore, think it will we In order to further promote diversity, customers values and lifestyles and responding to these and lifestyles customers values into understandingby boldly venturing our customers and business areas. new unconventional very changing the structures is significantly transformation we to now, done business up have we through which thoroughly by provide we need to increase the real value that will and creating innovation utilizing digital technology the real estate business. approach we the way change this is a personnel strategy achieving for bedrock The incorporates a wide range that embraces our diversity, creativity cultivates technologies, and new of knowledge with pioneering spirit while also that is overflowing we In fiscal 2019, to thrive. workforce enabling a diverse Mitsui Muromachi in Nihonbashi concentrated our offices that further integrating our diverse expect and we Tower, and enabling them to take the workforce and multifaceted creation and together will lead to value and work initiative innovation. be particularly important to encourage higher workforce and train globally and recruit women participation by Also, professionals. minded human resources and IT workforce a diverse in which to create an environment initiatives will advance we more dynamically, can work such including establishing personnel systems various and nursing care, prolonging our child as support for senior set retirement age to promote participation by personnel, and increasing organizational productivity and individual happiness through workstyle reform.

Yasuo Onozawa Yasuo (in charge of personnel) (in charge Managing Director, Executive Vice President Vice President Executive Managing Director, Making Workforce DiversityMaking Workforce Edge into a Competitive While customer-centered management continues While customer-centered At Mitsui Fudosan, we all share the progressive all share the progressive we At Mitsui Fudosan, Basic Approach to Personnel Strategy Basic Approach to Personnel Integrated Report 2020 to be one of the basic strategies of VISION 2025, to be one of the basic strategies of birthrates and aging populations, as low such factors the increasing participation of of society, the maturation and the further development in the workforce, women of globalization mean that the diversity and individuality of customers using our services continues to expand increasing the diversity of our people Further dramatically. will be particularly important going forward, enabling in agilely reading changes for us to create a foundation spirit and willingness to flexibly and tenaciously and tenaciously on spirit and willingness to flexibly take DNA since that has been part of the company’s challenges open corporate a free and also have We its founding. providing for used as a driver have we which culture, business and lifestyle-related and innovative diverse solutions and services. of this include the Good examples of Kasumigaseki Building and our initiatives construction to human real estate. securitizing for Our basic approach as an employee resources management is to treat each can they in which individual and create an environment and abilities through knowledge sharpen their professional real industry increase their ability experience, to create through team performance and transform added-value, values. the integration of diverse Personnel strategy is extremely important as infrastructure important strategy is extremely as infrastructure Personnel VISION 2025, Group in initiatives various advancing for edge. It is a source of our competitive Vision. Long-Term of our ongoing see our people as an asset and drivers We as a real estate value developer. creation of new Message from the Managing Director in Charge of Personnel Charge in Director Managing from the Message Value Creation Strategy Creation Value 25 Value Creation Strategy 28 Integrated Report 2020 Furthermore, all the Company’s outside directors, all the Company’s Furthermore, effectiveness, In addition to enhancing the Board’s compensation system. the executive revised have We including myself, have come from industries other have including myself, been so there have than the real estate industry, sessions on a variety of themes and workplace study observations our understanding to deepen arranged of and has been effective This business. the Company’s able to speak with learnt a lot. I was I personally have ordinarily rarely whom I would frontline employees felt they how to meet and got to know the chance have deepened have opportunities These about their work. of the understanding and culture my of the environment Company. In governance. to improve there are other initiatives Advisory established the Company a Nomination 2015, Advisory Committee. and a Compensation Committee and comprise the President these committees of Both and six other directors. Four who serves as chair, CEO, up a majoritymembers, who make of these committee While it initially took members, are outside directors. feel that feet, I to find their these committees time for become increasingly substantive. discussions have has been compensation system A restricted stock compensation in the introduced to replace the previous options with the aim of incentivizing internal stock of form

Masako Egawa Managing Director (Outside, Independent) Raising Corporate Value by Value Corporate Raising to the FurtherContributing of Governance Evolution First of all, the effectiveness of the Board of Directors of the Board First of all, the effectiveness shared at board meetings, the information Regarding Improving the Effectiveness, Transparency, and Diversity of the BoardImproving the Effectiveness, of Directors Value Creation Strategy Creation Value Message from an Outside Director Outside from an Message management been participating in the Company’s I have years since being appointed as an outside director five for Corporate Japan’s Since the introduction of in 2015. a range of companies Code in 2015, Governance increased their number of outside directors and have we have During this period officers. appointed female and within this across Japan, reform seen governance has made Mitsui Fudosan that I believe environment, progress in terms of governance. to the criteria for revisions example, For has improved. board meeting agenda items has led to a reduction in has resulted the number of items to be discussed, which and more robust discussion of importantin focused decision-making regarding urgent matters, Also, matters. out through projects, used to be carried as bids for such deliberation at extraordinary later board meetings and was reported at regular board meetings. Since the agenda those kinds of projects are now been improved, has flow usually discussed at regular board meetings. on medium- to be focused explanations I requested for and risk, rather than challenges, to long-term strategy, has been This detailed reports on individual projects. resulting in deeper discussions at up, properly followed board meetings. (cumulative total)

Number of Technical Number of Technical Specialists (IT) Recruited As of April 2020 39 pr 2020 il 201 Also, we aim to realize innovation which employs employs which innovation aim to realize Also, we 0 0 0 0 20 Number of Employees Overseas Posted employees, designated language training for mid-career for designated language training employees, internship program, and overseas a yearlong employees, overseas. job rotation that includes posting employees recruiting actively area by business in each technology which ICT expertise high-level have mid-career hires who in order to harness real estate immediately can be utilized Mitsui Fudosan Additionally, at an accelerated pace. tech and Trade the Ministry by of Economy, chosen was Competitive as a 2019 Exchange Stock Tokyo Industry and Strategy Company. IT Resources Management Resources Close-up Human group of a diverse develop aims to Mitsui Fudosan full use of their who are able to make employees, and advanced both specialized with individual attributes, In and a broader perspective. business knowledge, adopted a basic have this goal, we order to achieve that broadens policy on personnel development combining four individual by the capabilities of each 2: annual interviews between (1: OJT, opportunities 3: job employee, and each Department the Personnel Within annual these, rotation, and 4: training programs). interviews an important play each role in supporting their career plan and vision for to create a life employee and function as a contact discussing various point for and concerns. matters In order to achieve overseas income that accounts income overseas In order to achieve Integrated Report 2020 for 30% of consolidated operating income by around income by 30% of consolidated operating for graduates and mid- new recruiting are actively 2025, we and striving to global experience career hires who have as such initiatives train globally minded personnel through months of compulsory young several training for language We are focused on recruiting and training globally minded and on recruiting are focused We can support who professionals IT human resources and harnessing real estate models by business “innovate us to business,” the overseas grow “dramatically and tech” VISION 2025. of are main initiatives which Engaging in Comprehensive Real Estate Business on the Global Stage Through Through Estate Real on the Global Stage Business Engaging in Comprehensive Technology Edge Use Cutting That Ideas New Recruiting and Training Globally Minded Human Resources and IT Professionals Resources and Minded Human and Training Globally Recruiting Message from the Managing Director in Charge of Personnelin Charge Director the Managing from Message Value Creation Strategy Creation Value 27 Value Creation Strategy 30 Integrated Report 2020 I will also do my best to contribute further so that we further so that we best to contribute I will also do my just this industry. For the Company’s core business, we we core business, the Company’s For just this industry. the real estateother competitors in industry, benchmark there are companies corporate governance, but for as finance such in other industries, leading the way these should benchmark and we and manufacturing, can our scope, so that we companies while broadening our corporate governance. further improve represented by philosophy the management can advance value. “&” logo and raise long-term corporate the Another issue is that as our business becomes moreAnother issue is that I frequently in corporate governance, expert an As in the real estate is a leading company Mitsui Fudosan to continue enhancing global risk management, while enhancing global risk to continue as paying strategy as well growth pursuing aggressive to defense. attention is still being spent a lot of time and complex, diversified While on deliberating on important individual projects. I think that securing course to steer, it will be a difficult the entire range of activities tomore time to discuss risk corporate strategy, such create corporate value, creation process, and the value management, materiality, discussions at the board meetings.will further enhance “Internal say, presentationsgive on the subject. I often and outside directors are officers) directors (executive value.” together to enhance corporate partners working to call the outside directors it is normal for Overseas, It is important Company.” “My serve they company a commitment to the that outside directors make should not be reserved officers while executive company with outside matters and discussing in approaching directors. governance, but when it comes to corporate industry, beyond to see us become a leading company I want We have also made progress in disclosure to have We estate projects involve a very large number of Group estate projects involve as pressure and partner companies. In recent years, on companies to fulfill their social responsibilities is growing, detailed management is required scrutinizing including every individual link of the supply chain, Group companies in distant partner locations and many the Company this background, Against companies. April 2019 Group in established a Global Governance on strengthening the risk management and to focus need we businesses. I believe compliance of our overseas director and I feel it is my personal mission to promote personal it is my I feel director and Yukimi appointed, Since I was women. roles for active made have we and auditor, has joined as corporate Ozeki the style Furthermore, progress in working reform. fields. in various leaders has increased number of female the qualityEnhancing diversity is important as it improves of decision-making, of strengthening the competitiveness will continue to accelerate and I hope we the Company, progress in this area. so in 1991, adopted was sustainable society”, “achieving As 30 years. been addressing those issues for have we of the to contribute to the achievement are working we be regarded may solving global social issues, we SDGs by that is essential to the society. highly as a company are underway discussions to publicly announce Currently, those targets that setting quantitative targets. I believe will not only of our initiatives and clarifying the focus but also deepen within the Company, heighten awareness the understanding a wide range of stakeholders, by communicationincluding shareholders, through the clear externally. of our initiatives more providing are now we example, For investors. detailed Governance through the Corporate information including our cross-shareholding policy and the Report, It is very effectiveness. of Board and evaluation analysis our disclosure based important steadily improve that we on the PDCA cycle. Over the past five years, we have greatly expanded greatly we have years, the past five Over The Group has positioned ESG (Environment, Society, Society, Group has positioned ESG (Environment, The In addition, we recognize that ensuring the diversity that ensuring recognize In addition, we Furthermore, we have improved transparency improved have we Furthermore, Evolving Corporate Governance Commitment to the SDGs and Providing Stakeholders withCommitment to the SDGs Information Integrated Report 2020 our overseas business, and now we have to improve to improve have we business, and now our overseas on a global scale. Operating businesses Group governance partners and with new areas, while working in unfamiliar and business practices systems adapting to the diverse and requires difficult is extremely country, each in found real In addition, comprehensive careful, strenuous work. We plan to realize further globalization through Vision globalization through further plan to realize We in May long-term vision formulated 2025, the Group’s 2018. and Governance) as a key management issue in order as a key and Governance) creation, and it is aiming to continuous value to realize a sustainable society sustainable and drive profit achieve neighborhood creation. In further evolving by growth sincerely addressed issues always have we particular, as reducing environmental impact and coexisting such with local communities. Mitsui Fudosan’s in harmony “coexisting represents the principles of “&” logo, which and values” “linking diverse with society”, in harmony of the Board of Directors is an important of Directors is of the Board theme for participated I have of the Company. governance reforming female outside first Company’s in management as the we set fiscal 2019, business results for In the Company’s the eighth from operations for revenue record for a new to shareholders and profit attributable year, consecutive that I believe year. the sixth consecutive of the parent for strategy thatthese results are the product of a successful of the holding, trading in each aims at balanced growth asset class, and management businesses and in each We are residences, and retailfacilities. including offices, business in preparation for new advancing also actively the future. regarding cross-shareholdings. We have set a policy of have We regarding cross-shareholdings. while status cross-shareholding continuously reviewing disclosed that and we to reduce shareholdings working in the previous at ¥20.3 billion valued stocks sold 13 we year. fiscal directors to pursue the sustainabledirectors to of corporate growth with shareholders. value and further sharing value Message from an Outside Director an Outside from Message Value Creation Strategy Creation Value 29 Value Creation Strategy 32 0 60 50 40 30 20 10 p p p p p bn bn bn % 20 Integrated Report 2020 bn bn Total treasury stock (right axis) (Billions of yen) ¥3,171.1 ¥2,918.4 20202020202020220 ¥6,089.5 36.9 20 ¥25.0 ¥42.8 2 0 Total dividends (right axis) 0 0 Unrealized loss(Market value - Book value) Unrealized loss(Market value - (In principle, figures are as of the end of March 2020) (In principle, figures are as of the end of March 2 20 20 20 20 2 200 22 0 Total shareholder axis) return ratio (left Book value 0 Accumulation of quality leased assets Accumulation of quality (Billions of yen) 6,000 5,000 4,000 3,000 2,000 1,000 60 50 40 30 20 10 (%) Shareholder return enhancements Joining RE100 Revitalizing river and waterside Conservation activities concerning Group-owned forests in Hokkaido Participating in the UN Global Compact Realizing neighborhood creation through public-private-academic collaboration in Kashiwa-no-ha 0 500 % 4,000 3,000 2,000 1,000 bn 9.6 20 bn (Billions of yen) Shareholders' equity (right axis) 1.45 20 ¥2,408.6 2 20 ¥3,481.1 202020202020220200 p p p p p p Interest-bearing debt (right axis) 2 0 0 0 20 20 20 2 Debt/Equity ratio (left axis) Ratio of overseas income* 0 0 Calculated for overseas equity method affiliated companies by multiplying a company’s operating multiplying a company’s companies by equity method affiliated overseas Calculated for equity interest. Mitsui Fudosan’s to operating income by income or amount equivalent profit after to the simple calculation of a company’s to operating income refers Amount equivalent taking into consideration its tax burden. Expanding overseas business (%) 20.0 15.0 10.0 * Total overseas income / (Operating income pro forma operating income of overseas affiliates) × 100 affiliates) operating income of overseas / (Operating income pro forma income overseas Total * Ensuring financial soundness Ensuring financial 2.5 2.0 1.5 1.0 0.5 (Times) % % 20 20 7.7 4.2 Promoting solar and offshore wind power generation businesses, etc. Supporting workstyle reform at companies through WORK STYLING Supporting the incubation of venture companies through 31VENTURES, etc. Establishment of Challenged Centers under the Personnel Department Initiatives at Kashiwa-no-ha Smart City Greatly reducing construction waste through REFINING ARCHITECTURE Establish a Sustainable Society Drive Sustainable Profit Growth Drive Sustainable 2 20 20 20 20 20 20 20 20 Major Initiatives for Achieving the SDGs p2 p p2 p2 p 0 0 ROA 8.0 7.0 6.0 (%) 5.0 4.5 4.0 (%) ROE ROA = (Operating income + Non-operating income)/Average total + Non-operating income)/Average = (Operating income ROA the period assets over ROE = Profit attributable to owners of parent/Average shareholders’ shareholders’ of parent/Average to owners attributable = Profit ROE the period equity over Maintaining and improving Maintaining and business efficiency Value Creation Achievements Creation Value 0 80 40 bn 200 160 120 of yen) (Billions bn 20 20 ¥188.3 ¥183.9 ¥1,905.6 ¥1,905.6 20 20 20 20 Pro t attributable to owners of parent (right axis) 20 20 0 Encourage higher workforce participation by women Initiatives for conserving and effectively using water resources &EARTH Clothing Support Project GREENCOLLAR Table Grape Production and Sales Business https://www.mitsuifudosan.co.jp/english/ corporate/news/2020/0326/ Addressing the COVID-19 pandemic Online learning and exchange with junior high school students from Minamisanriku, Miyagi Prefecture, through Watasu Nihonbashi 20 20 0 EPS (left axis) Revenue from operations 0 500 50 (Billions of yen) 2,000 1,500 1,000 (Yen) 250 200 150 100 Earnings expansion Earnings per share (EPS) and profit attributable to owners of parent p p companies trillion (Excl. Non-recourse) 240,000 12,000,000 2,400 ¥2.9 % % % t Reoe t ar ar eang t *Including sales of joint ventures Has achieved cumulative sales of over 200,000* condominiums No.1 for number of brokered deals for 34 consecutive years Operates car parks in over 15,000 locations across Japan Retail facility tenants: Approx. Mitsui Housing Loop members: Approx. Mitsui Shopping Park point card members: Mitsui Shopping Park Approx. Unrealized gain on real estate for rent: Approx. Ratio of long-term debt: 92.4 Ratio of women employees: 40.2 Ratio of mid-career hires: 17.6 for property sales to investors ¥1.2 trillion for property sales to individuals ¥0.7 trillion p p p trillion trillion companies Operates Company-owned hotels offering about Operates Company-owned hotels offering about 10,000 guest rooms in major Japanese cities (As of July 31, 2020) ¥1.9 ¥3.1 billion 150,000 400,000 2,500,000 (general positions) times % 3,000 % Management Resources Representative brands in each asset class Representative brands in each asset Operates over 100 office buildings, primarily in central Tokyo Records revenue-generating capacity of ¥1.3 trillion Unused commitment line: ¥400 1.45 Real property for sale: Approx. D/E ratio: 11.3 Ratio of employees returned from childcare leave: 100 Group headcount: 20,864 Ratio of women in general positions: Approx. Rental properties: Office tenants: Approx. Mitsui Garden Hotel members: Approx. WORK STYLING members: Approx. &mall registered users: Approx. Value Creation Sources Creation Value

base Solid brands human

Diverse position financial customer Extensive resources real estate of product Full lineup asset stock High quality Integrated Report 2020

Value Creation Strategy Creation Value Value Creation Sources and Achievements 31 anageent 34 Integrated Report 2020 (as of June 30, 2020) (as of June Donations totaling 800 million yen to Mitsui Memorial Hospital* and other medical institutions, universities, Donations totaling universities, Memorial Hospital* 800 to Mitsui and other medical institutions, million yen etc. facilities, research and the Company, by equipment, and masks owned of disaster readiness supplies, protective Provision etc. medical institutions, distribution of meals, to the above of visitors and facility personnel the health and safety Closing of retail and hotels to ensure facilities distribution to medical practitioners etc. intended for meals, equipment, of supplies (masks, beverages, Provision in areas around retail facilities and residents) to local governments restaurant operators sales by Support for Area Management Muromachi of Nihonbashi PROJECT BRIDGE HEART the NIHONBASHI Support for donations attached Hotels with and Mitsui Garden HOTELS CELESTINE The for plans accommodation of Provision (US) Yards medical practitioners at Hudson Donations to a meal supply program for medical to industry in the construction and distribution of vouchers workers foreign Material support for practitioners (Singapore) (Drive-through marche events for stores in MITSUI OUTLET PARK HOKURIKU OYABE and surrounding stores) and surrounding OYABE HOKURIKU PARK OUTLET stores in MITSUI for events marche (Drive-through Located at 1 Kanda Izumi-cho, Chiyoda-ku, Tokyo, Mitsui Memorial Hospital acute care hospital is a 482-bed advanced that serves as a metropolitan Tokyo, Chiyoda-ku, at 1 Kanda Izumi-cho, Located by cancer care hub hospital and a disaster hub hospital, Hospital, in 1906 among other functions. Its roots lie in Mitsui Jizen founded Tokyo a century of on over Drawing medical care due to poverty. to receive unable funds to aid people who were private Mitsui from his own Hachiroemon to medical care in collaboration with the Mitsui Group. the hospital remains committed history, Close-up Pandemic the COVID-19 Addressing the pandemic to an early end as the and bring of COVID-19 the spread to prevent efforts recognize We are we our social responsibilities as a company, fulfill To highest priority issue in our ESG management. populace, and are making and health of the to protect the lives with initiatives leading and cooperating VISION 2025 long-term a sustainable society as a Group to realize defined in our as unified efforts management policy. Group Fudosan Specific Initiatives by the Mitsui 1) 2) 3) 4) 5) 6) 7) Cross Society. Red to the Japanese 8) 9) patients (Philippines) COVID-19 of temporary for to the construction Donation clinical facilities 10) (China) to communities around LaLaport SHANGHAI JINQIAO of masks Provision 11) *About Mitsui Memorial Hospital the Mitsui Relevant SDGs Relevant p.48 p.52 p.53 p.35 p.36 p.36 p.36 p.37 p.38 p.39 p.42 p.43 p.44 p.44 p.46 p.46 p.47 Sustainable Development Goals (SDGs) ILO Declaration on undamental Principles and Japan Business ederation Charter of Corporate Rights at Work Behavior principles symbolized by the Mitsui udosan logo Socially Orientated Initiatives Human Rights Initiatives Initiatives Employee-ocused Corporate Governance Risk Management Compliance Creating New Value and Markets Value Creating New the QualityImproving of Urban Development Community Involvement Supply Chain Management (CS) Customer Satisfaction to Improve Our Efforts and Secure Neighborhood Creation Safe Responding to Climate Change Responding Water and Resources Environmental Pollution ConservationBiodiversity Supply Chain Environmentally riendly Theme of Engagement

United Nations Global Compact Universal Declaration of Human Rights and United Nations Guiding Principles on Business OECD Guidelines for Multinational Enterprises Human Rights For details regarding the main initiatives being carried out, please refer to the latest ESG Report. https://www.mitsuifudosan.co.jp/english/corporate/esg_csr/

Priority Goals Priority Continuously Improve Compliance and Governance Achieve a Society Where a a Society Achieve Diverse Workforce Can Thrive Achieve Health, and Safety Achieve Daily Lives inSecurity People’s Establish Societies Ultra-Smart by Creating Neighborhoods Create New Industries Through Open Innovation Reduce Environmental Reduce Impact and Generate Energy International Initiatives That We Support International Initiatives Nations Global Compact and other Group supports and has signed the United The Mitsui udosan philosophy and goals. international initiatives that align with our WEB Integrated Report 2020 udosan Group has positioned ESG(Environment, Society, and Governance) asa key management issue. We have establishedsi priority goals in ourVISION 2025 Long-Term Vision, with the aim of a sustainable society and driving sustainable profit growth. To achieve sustainable value creation under the principles of coeisting in harmony with society, linking diverse values, and achieving a sustainable society ESG Management 33 anageent 36 Integrated Report 2020 For more information on the Mitsui Home Group Resource more information on the Mitsui Home Group For Guidelines: Procurement - https://www.mitsuifudosan.co.jp/english/corporate/esg_csr/envi ronment/06.html#p04 In addition to this, Mitsui Fudosan aims to effectively use aims to effectively Fudosan In addition to this, Mitsui Nihonbashi Revitalization Plan REFINING ARCHITECTURE WEB Example Initiative renovated, and are making efforts to conserve water during to conserve water efforts and are making renovated, and operations together with routine building management tenants, stores, and customers. our business partners, and grey taking resources by advantage of rainwater water buildings, retail at its office (processed wastewater) water condominium buildings, and strives and built-for-sale facilities utilizing water-permeable by underground to direct rainwater on-site roads, and external parking lots, walkways, for paving also aim to preserve the water We sections of the building. with temporary flooding and prevent storage environment runoff rainwater tanks adjustment ponds to prevent and flow in large volumes. resource procurement to ensure policy of sustainable forest and to maintain regional society. an abundant ecosystem to reduce its global diligently is working company The environmental load. Group is engaged in promoting REFINING The services consulting providing by regarding ARCHITECTURE re-using the the revitalization of deteriorating real estate by properties. like-new buildings to realize of existing framework 80% of the that makes a demolition process Through are significantly reducing reusable, we framework existing waste. construction has been positioned as a priority In Nihonbashi, which projects redevelopment the Group, five area for development a total that will have riverside the Nihonbashi are planned for 6.7 hectares and totalsite area of approx. floor space facility waterfront” of rich hectares. ”Revitalization 122 of approx. is one of the priority of the projects and it will initiatives area and pedestrian network contribute to realizing a water and conserving biodiversity. Biodiversity Conservation Biodiversity Water and Resources Pollution Environmental Mitsui Home Group Resource Procurement Guidelines Procurement Resource Mitsui Home Group Policy Example Initiative Example Initiative Policy Policy We develop buildings and create neighborhoods that buildings and create develop We through measures environment help preserve the water and replenishment of of water utilization effective like also preserve resources water We aquifers. subterranean use of water conservation and effective through water our business partners, tenants and resources together with stores, and customers. equipment in installs Group water-saving Mitsui Fudosan The to also been switching have We buildings. constructed newly are when they buildings equipment in existing water-saving observing environmental pollution by laws, prevent We water regulations, and ordinances relating to air pollution, pollution, soil contamination, and hazardous materials, hard to curb emissions of pollutants work and and we laws, contaminantsare not subject to regulation by that take hazardous regulations, and ordinances. In addition, we as land as well materials into consideration when acquiring also ensure appropriate We in the building design stage. impacts prevent management and disposal, and thereby or building due to hazardous materials on the environment strive we construction, when advancing users. Furthermore, load and to procure materials that lessen global environment produced. reduce the amount of waste in the conduct on trees and forests that draws a company As of its business activities, Mitsui Home adheres strictly to a project, the Mitsui When carrying development out a new forests, Group confirms the presence of trees, Fudosan that should environment and other elements of the natural preserve, sites, and we be preserved on development transplant, or conserve and other natural trees, forests regions with many when needed. In developing features assess environmental impact on plants, areas, we natural regulations, and based on laws, animals, and ecosystems ordinances relating to environmental impact assessments environment. and protection of the natural 31 prediction Heat source operation plan Heating demand (As of April 1, 2020) of (As (As of April 1, 2020) of (As

Heat supply plant ata input -generated heat -generated heat Amount of CGS* Demand for CGS* Demand for Area energy management system management energy Area CGS Past recordsPast forecasts Weather Events CGS* prediction and environmental benefits for the entire area and environmental Formulate an operational plan with economic Formulate operation plan Energy demand Implement operational controls based on the plans Megasolar Projects Megasolar System Management Energy The Mitsui Fudosan Group is installing Group optimal energy Mitsui Fudosan The type of property: office at each management systems detached buildings, retail condominiums, and facilities, are also introducing area energy management We housing. of (AEMS) to link the energy management systems systems an entire block. individual buildings, and manage energy over Toyosu, AEMS in Nihonbashi, has installed Mitsui Fudosan are promoting resilient, eco- and we and Kashiwa-no-ha, friendly neighborhood creation. AEMS Toyosu Overview of the Semi Top Level Offices: Offices: Level Top •Semi buildings) (11 complexes Eight office stations in operation 5 •Megasolar power 72 MW •Planned totalApprox. generating capacity kWh 70 million Approx. generation •Annual power needs of to the annual power •Equivalent 20,000 approximately typical households *Abbreviation of cogeneration system. A system offering high overall energy high overall offering A system of cogeneration system. *Abbreviation by using the heat produced when generating electricity using city gas efficiency heating and cooling. for on the information disclosure on the information the recommended by framework TCFD. in business activities from Group The energy. renewable the use of aims to realize 100% energy for renewable of electricity used in business 2050. activities by Responding to Climate Change Climate Responding to Excellent Designated GHG Office Certification by the by Certification Office GHG Designated Excellent Renewed Government Metropolitan Tokyo Joining RE100 Joining Agreement with the Task Force on Climate-related on Climate-related Force Task with the Agreement (TCFD) Financial Disclosures For details regarding the main initiatives being carried out, please refer to the latest ESG Report. the main initiatives details regarding being carried For https://www.mitsuifudosan.co.jp/english/corporate/esg_csr/ Integrated Report 2020 *As of March 2020, more than 230 companies had joined RE100 with Mitsui 2020, more than 230 companies had joined RE100 of March *As energy here Renewable from Japan. among 33 member companies Fudosan or wind power. hydro, to biomass (including biogas), geothermal, solar, refers Convention the United Nations Framework adopted by Agreement Paris The global temperatures average on Climate Change at COP21 aims to prevent is supporting the and RE100 pre-industrial levels, from rising to 2˚C above of this goal. achievement Top Level Offices: Offices: Level •Top (six buildings) complexes Six office Since fiscal 2010, we have been acquiring and renewing and renewing been acquiring we have Since fiscal 2010, Tokyo metropolitan area buildings in the for office certification Metropolitan Tokyo standardsthe on based the established by Designated GHG Offices. Excellent for Government On February 28, 2020, the Group joined RE100*, a global a global 28, 2020, the Group joined RE100*, On February of electricity used aims to procure 100% which initiative On February 28, 2020, the Group announced that it has On February on Climate-related Financial Force Task agreed with the promotes the disclosure of risks Disclosures (TCFD), which relation to climate change. companies in for and opportunities TCFD Consortium created to discuss also participate in the We disclosures based will make Going forward, we this initiative. The Group recognizes that responding to climate change responding to climate change that Group recognizes The buildings and create We management issue. is a key energy consumption and reduced neighborhoods with low aim to build a low- emissions of greenhouse gases, and we carbon society taking with our business steps together by customers, to partners, tenant companies and stores, and as conservation of energy. address global warming, such Climate Change Engagement Policy Engagement Change Climate The Mitsui Fudosan Group considers contributing to the realization of a sustainable society to be an important Group considers Fudosan The Mitsui to be an important society realization of a sustainable contributing to the corporate value. related to increasing directly challenge business environment to the global and contribute and comfort of enrichment to create urban environments endeavor We and comfort. safety, with stakeholderswhile cooperating security, and improve burden to reduce environmental Reduce Environmental Energy Generate Impact and Reduce ESG Management ESG Example Energy Conservation, Energy Energy Conservation, Example Energy Initiatives Storage and Energy Creation, WEB 35 anageent 38 Integrated Report 2020 The MAG!C Business Proposal System Business Proposal The MAG!C Program Training Business Incubation ”Tanren-juku” Hub Open Innovation Studio WARP WARP Studio open innovation hub open innovation Studio WARP A Framework for Using Digital to Promote the Promote Using Digital to for A Framework of New Industries Creation spirit of entrepreneurship and its DNA Mitsui’s activate To while promoting the creation of new of sparking innovation out the ideas of individual employees, drawing businesses by in terms of enhanced our business proposal system we This to create MAG!C. budget, personnel, and incentives 80 entries and received in fiscal 2018, launched system expanded its scope to we 2019, In fiscal year. in its first led to the program encompass Group companies, which entries, significantly and receiving 147 becoming more active more than in the initial year. multiple outside partners, this incubation Under mentoring by and the development for support powerful program provides passed the have commercialization of business seeds that business proposal system. final screening of the MAG!C Studio WARP established we the Tokyo, area of Yaesu In the open laboratory under the concept of accelerating creative is The studio from the head office. away getting ideas by project teams, including those of different several used by business under the MAG!C business projects created new projects that combine Group and DX proposal system work companies. Here we companies and partner venture atmosphere and to accelerate to create an open and creative teams to internal and external mixed allowing innovation, function effectively. Creating New Value and Markets Value New Creating Mitsui Fudosan is working to create new industries under to create new is working Mitsui Fudosan Industry-Academia Collaboration Department Business Innovation Planning Department Life Science Innovation Department Venture Co-Creation Department DX Division At the Mitsui Fudosan Tokyo University Lab established with The University University The University Lab established with Tokyo At the Mitsui Fudosan generation and proposals related to the next engage in research we Tokyo, of industries in collaboration with venture to create new also work We of cities. Tokyo. of University The companies from on the with a focus business development department engages in new This businesses domain. It also promotes the creation of new real estate tech solicits a wide range of which system, business proposal through its MAG!C business ideas from throughout the company. by building science in the field of life ecosystems department constructs This funds to support the and providing opportunities, communities, developing creation of innovation. promotion of collaboration, investment, department engages in startup This intrapreneur training in large and support for construction, ecosystem through open innovation. industries companies, with the aim of creating new For details regarding the main initiatives being carried out, please refer to the latest ESG Report. out, please main initiatives the carried details regarding being For https://www.mitsuifudosan.co.jp/english/corporate/esg_csr/ Innovation Created through organizational strengthening of our IT state-of-the-artDepartment, the DX Division utilizes digital technology digital human resources to promote and support for knowledge new support for advancement, system operations, of existing transformation businesses, data utilization, and other digital transformations. In order to resolve social issues and create new value, the Mitsui Fudosan Group is working to promote Group is working Fudosan value, the Mitsui and create new resolve social issues In order to bodies and with a variety of government and cooperating by collaborating create new industries and innovation outside the Group. companies inside and ESG Management ESG Open Innovation Through Industries New Create and Structures Organizations Hubs: Innovation Business Innovation Promote to in the business of rapid changes the backdrop Against their a need to transform companies face environment, IT management and their business models through and digital transformation. technology within and outside the Group, to create innovation a structure the strengths of five through collaboration that leverages organizations: DX Division (established in 2020), the Industry- Collaboration Department (established in 2020), Academia Planning Department (established in Business Innovation Department (established in Science Innovation 2020), Life Co-creation Department (established Venture and 2017), in 2015). Innovation Support That In-House Hub Organizations WEB Using Mitsui Group Fudosan Cultivating Planting p.43 Supply Chain Management

Parkview Garden Parkview Using Timber from Group-Owned Forests Using A retail facility interior The Mitsui Fudosan Group uses timber from the forests it owns to make building materials, fixtures and other products for use in our group’s residential houses, offices, retail facilities and other properties. By using wood from forestry management (FM) certified, Group-owned forests, we create a sustainable forest cycle, and promote the creation of “never-ending forests.” We also help to support the Japanese forestry industry. :Locations of Group-Owned Forests survey was carried out based on the REFOREST on the REFOREST out based carried survey was damaged in on land (reclaiming nature concept development Based and deforestation). repeated development the past by of existing selected the principal trees on the results, we on the site, and forests out prioritycarried planting starting from locations no with artificially developed In this as lawns. trees, such to restore worked we way, with in harmony the forest of environment the natural the region. environmentally friendly, sustainable procurement. We have have We sustainable procurement. environmentally friendly, Sustainable Standards summarizingformulated Procurement published these standards We basic guidelines in this area. our main notified and have in December 2018, on our website business partners. Afforestation Training for Group Employees Tree-planting by group employees Planned tree-planting is needed to create a “never-ending forest.” After felling, we strive to renew the forest through tree planting. Also, every year, afforestation training for Group employees is held in Group-owned forests. This is a setting where they can think about the “never-ending forest” and the global environment by planting seedlings with their own hands. Planting of green space of green space 2 year 533 absorption and fixation by 2 Appropriate Management of Hand-Planted and Natural Forests Approx Group-owned forests is calculated using a formula stipulated by Hokkaido Prefecture in which the biomass yield of new growth is multiplied by the ratio of carbon content. *Annual CO Carbon Dioxide Absorption and Absorption Carbon Dioxide Forests Group Mitsui Fudosan Fixation by value) (Estimated The Mitsui Fudosan Group owns roughly 5,000 hectares of forest (equivalent to 1,063 Tokyo Domes) in 31 cities, towns and villages in Hokkaido. Less than 40% is natural forest of trees such as Mongolian oak, and more than 60% is hand-planted Sakhalin fir and other varieties. In our natural forests, management is kept to a minimum so they can be preserved in their natural state, and in our hand-planted forests, we conduct planned tree-planting and provide appropriate management and care. In this way, we create “never-ending forests.” Mitsui Fudosan Group Group Mitsui Fudosan Activities Forest Conservation taken We provide housing and offices that use timber from our forest management Group-owned forests, all of which have acuired Council SGEC. certification from the Sustainable Green Ecosystem creation sing the gifts from these endless forests in neighborhood further increases the sustainability of the forests and contributes to and supporting the conserving the environment and apanese landscape apanese forestry industry. TOPICS Environmentally Friendly Supply Chain Friendly Environmentally Restoring Wildlife Habitats at Resort Hotels Habitats at Resort Wildlife Restoring Creation and Conservation of Green Space in TOKYO TOKYO in Space Green of and Conservation Creation HIBIYA MIDTOWN Cultivating At AMANEMU (Shima City, Mie), a pre on-site vegetation Mie), a pre on-site vegetation AMANEMU (Shima City, At (greening rate 40%). Reduce Environmental and Generate Energy Impact Reduce Integrated Report 2020 As a corporate group supporting offices, housing, and other a corporate group supporting offices, As the Mitsui Fudosan at we necessary daily life, for infrastructure that it is our social responsibility to reduceGroup recognize toour environmental impact and conserve the environment efforts believe accomplish this, we To higher standard. an even to promote chain should be made throughout the entire supply Policy At TOKYO MIDTOWN HIBIYA (Chiyoda-ku, Tokyo), the the Tokyo), (Chiyoda-ku, HIBIYA MIDTOWN TOKYO At of incorporates the same local varieties planted foliage across the road, to located Park Hibiya trees as the adjacent The Parkview lush greenery. with the park’s ensure harmony SkyGarden (sixth floor), Garden (ninth floor) and other 2,000 approximately m amenities provide ESG Management ESG 37 ESG Management 40 Integrated Report 2020 Lifelog ellness Spatial data Personal data 3D map foundation Railway, bus, ETC2.0, Railway, Rent-a-bicycle Transportation data Shifting to smart healthcare to smart Shifting servicesinstitution related to health and medical care Data-driven healthy lifestyle lifestyle Data-driven healthy guidance and support Health support deeply rooted deeply Health support in life based around the station Public data Private data Receipt data Facility data Sensing data Public space Flow of people and of people and Flow environment Statistics (population, industries, etc.), Public administrative facilities, services Administrative data Health insurance, healthcare institutions, clinical Health insurance, healthcare institutions, medicine, departments, illness names, injections of treatments, surgeries, etc. Offices, residences, retail Offices, conference hotels, facilities, centers Area management based on public-private-academia and drivenpartnerships by data Managing vibrant urban spaces around the station Preventive maintenance Preventive based on sensing Data-driven urban design management the movement capturing of people Public-Private Platform Public-Private Management Database) (Distributed emissions

2 reductions

2 Energy in the multi-purpose area in front of the station Reduction of CO Reduction Increasing efficiency of energy Increasing efficiency creation through sensing based on data Evolving area energy Evolving management system Inducing precise energy- and CO saving Initiatives for a model proect to realize a smart city a smart realize to a model proect for Initiatives Issue: Utilize dispersed base facilities, promote the environment, promote the environment, dispersed base facilities, Issue: Utilize cityhealth and interaction and carry management out self-sufficient Smart Compact City centered on the station Compact City centered Smart Data collection and coordination in the area around the station Mobility Building automated loop bus network Providing stress-free Providing transportation service area in in the anticipation of MaaS Improving convenience for local convenience Improving centered transportation on the station Cross-Sector Data Usage Data Cross-Sector Model Initiatives for a Smart Compact City Smart a for Model Initiatives The Kashiwa-no-ha Smart City public- is building a Consortium Kashiwa-no-ha The a private two other platforms: that links platform private related sector in the private that collects information platform in the Kashiwa-no-ha and facilities to people, the environment, that collects data gathered through area, and a public platform of personal encourages a flow This services. government data from dispersed service realizing a distributed operators, all the dispersed datamanagement database connected to for to carryingan individual. In addition out cross-sector analysis sectors, and usage of data private from both the public and are we AI and IoT, as such technologies introducing new by applications and services.engaged in creating new mobility, in the areas of energy, initiatives advancing are We with the aim of realizing a smart public spaces, and wellness, compact city environmental impact in a high- with controlled density space. complex Smart Compact City Approach Safe, Safe, reliable, sustainable city smart Aua Terrace/ Aua Terrace/ T-STE aaport aaport KASAA niversity Campus Kashiwa-no-ha Kashiwa-no-ha Kashiwa-no-ha Campus Station The niversity of Tokyo Tokyo The niversity of Campus Kashiwa Konbukuro Pond Pond Konbukuro ature Museum Park The ational Cancer Center ospital East The niversity of Tokyo Tokyo The niversity of Campus Kashiwa Kashiwa orth Central ntegrated Type Type Central ntegrated orth Kashiwa Area Project and Readjustment Communication Site Former Kashiwa Area Project and Readjustment Kashiwanoha Park Kashiwanoha Area within a one-mile radius (approx m) (approx within a one-mile radius Area Campus Station on Kashiwa-no-ha centered Area withing mile ( km) Realizing a Data-Driven “Smart Compact City” Compact “Smart Realizing a Data-Driven The Kashiwa-no-ha area, an area with a radius of around two area, an Kashiwa-no-ha The Station, Campus Kashiwa-no-ha is kilometers centered on a hospital, including universities, and home to facilities Seeking further urban LaLaport KASHIWANOHA. Smart City the Kashiwa-no-ha Consortium, led development, and the UDCK, will build a Mitsui Fudosan, City, Kashiwa by and public-sector data, data linking private-sector platform of the area centered on the utilizing the special characteristics tend to station, people, goods, and information a place where AI and as such technologies congregate. By introducing new a data-driven, smart the consortium aims to form IoT, the consortium compact city on the station. centered In 2019, project model in the Smart City selected as an advanced was the by realizing Society 5.0 being advocated for Model Project Tourism. and Transport Ministry of Land, Infrastructure, the elderly interaction capacity technological Integrate management of regional energy use energy conservation, production, and storage Promote production and consumption of energy and food Local urban transport systems low-carbon New, lifelines Secure, disaster-resistant health care for and preventative coordination of disease prevention Regional the elderly social participation by Active multi-generational A society all, with ICT-facilitated of vibrant living for Japanese companies utilizing world-famous regional startup Support for industries support green economy New community international startup Form • • • • • • • • • • • Chiba University Academic The University of Tokyo, Environmental Environmental City armony ealth and City ongevity ew Industry City Creation Public , An open platform Collaboration and Academic Public, Private, that accelerates problem solving Kashiwa City, NPO organizations Companies, private citizens Private Improving the Quality of Urban the Quality Improving Development Urban Design Center Kashiwa-no-ha (UDCK) Kashiwa-no-ha Urban Design Center Development Concept Development Kashiwa-no-ha Kashiwa-no-ha a City, Smart model for global problem solving For details regarding the main initiatives being carried out, please refer to the latest ESG Report. the main initiatives details regarding being carried For https://www.mitsuifudosan.co.jp/english/corporate/esg_csr/ UDCK is a neighborhood creation base jointly run by seven seven by run UDCK is a neighborhood creation base jointly Tokyo, of and academic entities: the University public, private, Chamber of Kashiwa City, Kashiwa Chiba University, Council, Hometown Region Tanaka Commerce and Industry, and Mitsui Fudosan. Company, Metropolitan Intercity Railway Chiba City, district of Kashiwa in the Kashiwa-no-ha Based research, urban planning support for it provides Prefecture, activities, and also and citizen social experiments, to the public. disseminates information Kashiwa-no-ha Smart City creation project Kashiwa-no-ha is a neighborhood social issues. It solutions for on providing that focuses by Chiba Prefecture City, in Kashiwa has been developed are being initiatives since 2005. Currently, the Company based on collaboration between the public, private, advanced environmental and academic sectors with the aim of realizing and the creation of new health and longevity, harmony, industries. Integrated Report 2020 Approach to Kashiwa-no-ha Smart City Smart to Kashiwa-no-ha Approach Example Initiatives at Kashiwa-no-ha at Kashiwa-no-ha Example Initiatives City Smart The Mitsui Fudosan Group aims to contribute to solving social issues through neighborhood creation by creating creation by through neighborhood social issues to contribute to solving Group aims Fudosan The Mitsui new value. that generate societies ultra-smart and to realize in industries, new marketsthat capture changes EstablishNeighborhoods Creating by Societies Ultra-Smart ESG Management ESG WEB 39 ESG Management 42 Integrated Report 2020 The Nihonbashi Sakura Festival The An event at LaLaport TOKYO-BAY at LaLaport An event Tokyo 2020 Olympic and Paralympic Games-Real Estate Development Gold Neighborhood Creation Partner Japanese Women’s National Basketball Team Japanese National Sport Climbing Team Japanese National Wheelchair Rugby Team Kawasaki Frontale Kashiwa Reysol FES NIHONBASHI SAKURA Nihonbashi “Hashi-Arai” Cleaning Event Public-Private Cooperative Study Abroad Promotion Campaign-Tobitate! (Leap for Tomorrow) Study Abroad Initiative Mitsui Memorial Museum Mitsui Memorial Hospital Disaster Reconstruction Efforts &EARTH x SOLTILO FAMILIA SOCCER SCHOOL Soccer Support Project &EARTH DAY (Environmental Education Event) Sumida River Fireworks Festival Shiki Theatre Company-Kokoro no Gekijo Project Promoting, Restoring and Preserving the Beauty of Japan’s Art-Tsumugu Project Center for iPS Cell Research and Application Other Initiatives Support for Sport Local Support International Exchange/Global Environment fiscal 2019, the project was the project fiscal 2019, implemented at 23 retail and more than facilities 28 tons of clothing was collected from a total of 5,970 participants. Mitsui Fudosan Group Initiatives Culture and Education Local Support International Exchange/Global Environment Mitsui Fudosan Initiatives Culture and Education A Mitsui Fudosan Sports Academy Sports A Mitsui Fudosan 2020 event Tokyo for s school) is a s school) ’ Community Involvement and Social Contribution and Social Community Involvement &EARTH Clothing Support Project Clothing Support &EARTH Mirai Kodomo Gakko Kodomo Mirai and Exchange Transmission Information Area Disaster Nihonbashi” Base “Watasu For details regarding the main initiatives being carried out, please refer to the latest ESG Report. initiatives the main being carried details regarding For https://www.mitsuifudosan.co.jp/english/corporate/esg_csr/ ESG Management ESG The opening of Watasu Nihonbashi Watasu opening of The In order to enable workers and other members of society to pass their time in health, safety, and security, the enable workersIn order to and security, and other members safety, their time in health, of society to pass that makes facility up the infrastructure of each the quality of usage Group is enhancing Mitsui Fudosan disaster well as preparing retail facilities, as housing, and as offices, for daily life, such necessary worst in case the countermeasures local societies. with in harmony working to coexist should happen and Policy Achieve Health, Safety and Security in People’s Daily Lives Daily and Security Safety Health, People’s in Achieve coexisting values, on the principles of linking diverse Based and realizing sustainable societies, with society, in harmony “ ” logo, the embodied by are the philosophy which and collaborate with regional to coexist the Group works of the characteristics that leverages communities in a way have We communities. the creation of new an area to realize as Social Contribution Initiatives for also put in place a Policy activities advancing the Group for for a shared foundation local core areas: the global environment, on four focused and education, and international communities, culture exchange. Example Initiative children (future Gakko Mirai Kodomo The platform for experience-based learning that goes beyond the learning that goes beyond experience-based for platform ranging to students It is provided curriculums. limits of school in the Kashiwa-no-ha students to high school from infants City City of Kashiwa and the Kashiwa With the backing area. include local residents and of Education, instructors Board campuses of the University as people from as well workers, located in the area, and a and Chiba University Tokyo of range of programs has been provided. diverse and transmitting a facility for Nihonbashi” is “Watasu created as the result of exchanges information exchanging the Great East with the people of Minamisanriku following A variety of activities take place at the Earthquake. Japan including the operation of a bar and restaurant,facility and and lectures. workshops been collected from Since 2008, unused clothing items have through Group retail and donated around the world facilities, disasters. In by an NPO to refugees and other people affected WEB power generation status power Effective energy creation Effective through monitoring of solar on human movement data on human movement Improve station flow lines station flow Improve and signage planning based Kashiwa-no-ha Campus StationKashiwa-no-ha LaLaport KASHIWANOHA through self-driving buses Enhanced mobility in the area Utilize weather data weather and Utilize Park Axis Kashiwanoha Park Public Space Wellness the station in sales promotions human movement data around human movement Preventive Maintenance and Management Using Preventive Maintenance Sensing and AI Analysis and centrally manage are using sensing to visualize We data, road data, and uneven underground cavity analysis pipe and manhole data, enabling us to diagnose risk sewer as advance such maintenance, and carry out preventative repairs of potential sources of danger. to Utilize Flow Data for People Visiting Hospitals Eliminate Patients’ Waiting Time and increase aiming to reduce the stress of waiting are We hospitalsthe number of patients that can be seen at by to medical files to using personal identification tags attached information location automatically record and store a patient’s periods can identify places and time so we within the facility, that are becoming congested. Utilizing Wide- Provision of Health Services and Advice Ranging Data a ASHITA, making use of the member network of are We to collect health-related data participation-style center, health and sheet-type devices pressure sensors from wearable datatogether with nursing care and medical receipt in order health servicesto provide target and advice that individuals. AI Camera/Sensor Installation and Monitoring, Data and Monitoring, Data Installation AI Camera/Sensor Utilization parks, AI cameras in facilities, installed around 30 have We around the station,and other public spaces enabling us in the neighborhood through the congestion to visualize of children the safety over of people and watch movement and the elderly. Cyber space Physical space Physical activities utilizing lifelog data activities utilizing lifelog measures with AI cameras measures with Promote walking and other health walking Promote Safety and crime-prevention and crime-prevention Safety Kashiwanoha data platform Kashiwanoha Gate Square Kashiwanoha Kashiwanoha Terrace Aqua Kashiwano Harappa Kashiwano Park City Kashiwanoha Park patient waiting time patient waiting conservation in the city in hospitals to eliminate Utilize monitored data energy Utilize for Utilize human movement data human movement Utilize Energy Mobility Construction of an Energy-Related Data Platform for Construction of an Energy-Related Data Facilities in the Area AEMS to link to weather the conventional evolving are We data to electricitydata in addition and human movement interchange of power data in order to increase the efficiency energy demand a neighborhood’s making predictions of by more accurate. Introduction of a System to Automatically Detect the Introduction of a System to Automatically Degradation of Solar Panels introduce an IoT maintenance and management will We and generation statuses that can manage power platform at solar power automatically detect filth and degradation to each through a sensor that is attached generation facilities generation efficiency power aim to maximize We solar panel. reducing the costs associated with equipment inspections by and regular panel replacement. Introduction of Self-Driving Buses of Self-Driving Introduction Smart Mobility Co., Ltd., a Advanced in invested have We start-up that is engaged in researching, Tokyo of University autonomous driving systems and commercializing developing on operated bus was a self-driving In 2019, vehicles. for a long-distance of 2.6 km between Kashiwa-no-ha route Campus Kashiwa Tokyo Campus Station and the University of Going test. while also acting as a feasibility in an initiative and will carryforward, development we out further vehicle tests. ongoing feasibility of MaaS Introduction agreement with and concluded a collaborative have We the world’s is developing which in MaaS Global Ltd., invested feasibility testing Following first full-scale MaaS platform. collaboration with MaaS Global and transport out in carried are aiming to realize area, we operators in the Kashiwa-no-ha neighborhood the practical use of MaaS from a user and that is not simply limited to commuting creation perspective living people for lifestyles to create comfortable experiences, in the area. and working Establish Ultra-Smart Societies by Creating Neighborhoods Creating Establish by Ultra-Smart Societies Integrated Report 2020 ESG Management ESG A Smart Compact City Centered on the Station Area and Supported Through CyberspaceThrough Area and Supported Compact City Centered on the Station A Smart 41 ESG Management 44 Integrated Report 2020 Improvements to elevator operating programs to elevator Improvements to restroom facilities Improvements Installation of larger coin lockers made to kids spaces Refurbishments/enlargements parking areas Increase in vehicle/bicycle Enhancement of shared amenities

• • • • • • providing information has been installed) management during disasters have been permanently been have disasters during management installed communication devices, such as new video communication dedicated with channels systems Examples of Improvements Based on Examples of Improvements Customer Feedback Buildings Office Retail Facilities Retail Facilities Logistics that can act as control centers during disasters Issuing a disaster-related handbook a Issuing Permanently installing Crisis Management Center functions functions Center Management Crisis installing Permanently (1) Crisis(1) Management Centers that enable unified information (2) They are fully equipped with multiple emergency (3) Someone is on duty 24 hours 365 a day, days a year A Disaster Preparedness Handbook and a Guide Preventing to Office Fixtures from Falling orOverturning have been issued to tenant companies communicate to the Company’s disaster preparedness initiatives and the importance of measures for preventing the falling and overturning of office fixtures (2) Information dispersal has been enhanced (digital signage for Quality Management in Each Business in Each Quality Management of quality-based security, safety, and comfort is a prerequisite and comfort safety, of quality-based security, (CS). realizing customer satisfaction for design guidelines, manuals, up its own business draws Each etc. on quality into practice management and puts them guidelines, The to ensure quality is managed thoroughly. to as needed and revised manuals, etc. are also reviewed place, taken problems that have feedback, reflect customer out from are carried matters of safety-related etc. Reviews a disaster. time to time and following ❹ ❸ One day’s worth of food and water per employee is provided A set amount of food and water for people unable return to home has been secured to tenantsto free of charge 72 hours has been made into standard equipment in key buildings (also enabling exclusive power supply for specific areas) elevators, toilets, and ventilation systems) has been strengthened expanded been ・ ・ after disaster a functions for 72 hours after an infrastructure shut-down Securing electrical capabilities and maintaining key Strengthening capacity to aid people unable to return home (1) Deployment of disaster stockpiles has been enhanced been has stockpiles disaster Deployment of (1) (1) Emergency(1) power generation equipment that can operate for (2) Ability maintain to and quickly restore functions key (such as (3) The introduction of building damage evaluation systems has Main Initiatives at Mitsui Office Main Initiatives ❶ ❷ Our Efforts to Improve Customer Satisfaction (CS) Satisfaction Customer Improve to Our Efforts Creation Neighborhood and Secure Safe Policy Example Initiatives and BCP Initiatives Countermeasures Disaster Quality Management The Mitsui Fudosan Group works diligently to improve the diligently to improve Group works Mitsui Fudosan The products and services while quality of its customer-oriented to communication as a part of efforts consistently promoting and every customer. satisfy each listening to customer of our businesses is actively Each are used to make opinions and comments These feedback. of operations in the improvement as such improvements as in other areas, including store planning as well facilities, and design. neighborhood creation that is Group has been advancing The local communitiesresilient to disasters and coordinating with as working to enhance disaster countermeasures, as well aspects of BCP on strengthening both the hard and soft as strengthening operation and countermeasures, such management structures. the diligently to ensure works Group Mitsui Fudosan The as every other quality of its buildings as well management of its business operations, including products and facet and security, safety, services, providing for as the foundation that the delivery are convinced We to its customers. comfort  for equal opportunity discrimination and ensure Ban workers  and regulations and laws Comply with countries’ items when standards in relation to the aforementioned conducting business  and do not engage in bribery corruption Prevent  Build an internal reporting system  the protection of those making consideration for Show internal reports

• • • • • Energy Conservation (IBEC) which certifies both hard and soft initiatives concerning office buildings. It not only evaluates factors that directly affect the health and comfort of people working in an office building, but also factors that contribute to raising intellectual productivity and performance in regard to safety and security.  items including the aforementioned Preserve the environment,

Health promotion event, “&well Festa” (An event held in the large roofed plaza in July 2019) *An accreditation initiative implemented by the Institute for Building Environment and notified our main business partners. The standards include partners. notified our main business both the by promoted with or actively items to be complied share We Group and its business partners. Mitsui Fudosan these standards and operate an within the Group to build of our process in line with the nature ordering and contract and request the understandingbusiness, and also notify of our business partners. emissions and water use, etc. use, emissions and water • 2

ws and regulations of the countries in which business is undertaken, international treaties and social business is undertaken, international ws and regulations of the countries in which  accidents and disasters for Build a risk management framework  and ensure health and safety at least minimum wage Pay  labor labor or forced Do not engage in child overwork  and prevent work overtime excessive Reduce  and just trade Engage in fair  in a timely manner Disclose corporate information  with anti-social forces business Avoid  of quality of necessary levels and improvement to ensure achievement Strive  CO use including energy, to reduce resource Strive  Manage and reduce in an appropriate manner contaminated materials substances of waste and generation  biodiversity consideration for Show  and personal information Handle appropriately and protect confidential information  basic human rights, freedom of association for Respect bargaining rights and collective  Comply with la  norms.

• • • • • • • • • • • • • • ws or the The building is equipped with an energy plant, making it Nihonbashi Muromachi Mitsui Tower Acuires CASBEE-WO Certification CASBEE-WO Acuires Tower Mitsui Nihonbashi Muromachi In May 2020, Nihonbashi Muromachi Tower acquired “S” rank certification, the highest level, under the CASBEE-WO (Wellness Office) certification system and achieved a score of 92.0 points, the highest of any lease office buildings certified to date. Furthermore, the Group has registered a self-evaluation under the “CASBEE-Building” for the building, which has also been accredited with CASBEE Smart Wellness Office Certification based on an overall evaluation of high environmental performance. Japan’s first initiative to provide electricity and heat using an independent distributed power source in an existing urban district, and it also has the latest seismic structural control devices, facilitating safe and secure neighborhood creation and business continuity planning. It also offers facilities and enhanced programs to promote workers’ health and these initiatives resulted in a favorable overall evaluation. Going forward, the Group will continue contributing to the solution of social issues and achievement of the SDGs by providing offices that are conscious of health and new workstyles. TOPICS espect for Human espect for Supply Chain Management Supply Consideration f Environment  Secure Corporate Ethics  R Rights Related to Rights Related Labor  and Regulations, etc. and Regulations, Compliance with La 5. Risk Management 7. Achieve Health, Safety and Security in People’s Daily Lives Security and Safety Health, in People’s Achieve 3. 4. Ensuring Quality Integrated Report 2020 Mitsui Fudosan Group Sustainable Procurement Standards Group Sustainable Procurement Mitsui Fudosan 1. In consideration of our social responsibility to provide social responsibilityIn consideration of our to provide as well solutions and services business and lifestyles, for societyas the expectations of and stakeholders, the Group Standards Sustainable in Procurement has formulated and across our supply chains ESG initiatives order to expand published We a sustainablecontribute to realizing society. and have 2018 in December these standards on our website ESG Management ESG 2. 6. Information Security 6. Information 43 ESG Management 46 Integrated Report 2020 t doan entre oreaton proet e will not permit child labor or forced labor. labor or forced e will not permit child e respect freedom of association and the right to W W bargaining.collective We also support and respect the basic rights for workers workers also support and respect the basic rights for We 31VENTURES Venture Co-creation Project Co-creation Venture 31VENTURES (3) (4) 31VENTURES Venture Co-creation Project Co-creation Venture 31VENTURES Generation the Parenting to Tailored Rental Condominiums West Tower Campus the Gate City Kashiwa-no-ha Park 31VENTURES is a platform that leverages the Group’s wide the Group’s that leverages 31VENTURES is a platform start- to provide and overseas range of businesses in Japan centered on growth, support for ups with comprehensive funding. support, and In order to support start- community, also brought in legal firms, have of areas, we ups in a variety as support auditing companies, and consulting companies partners. area is seeing an ongoing population Kashiwa-no-ha The children. families with small influx, particularly from with the aim of providing developed project was This as children social issues such condominiums that solve the need to put in place and daycare lists for on waiting dual-career geared toward raising environments a child floors lower building’s condominium The households. with families support for contain that provide facilities daycare an after-school as a preschool, such small children, and a pediatric clinic. provider, set out in the ILO Declaration on Fundamental Principles and Principles set out in the ILO Declaration on Fundamental on Business Guiding Principles and the UN’s Work Rights at pursue methods to we and Human Rights. Furthermore, ensure that basic human rights are respected in countries and basic regions that do not adhere to internationally-recognized human rights. e will eliminate all discrimination on the grounds of of harassment, including form e will not tolerate any W or sexual age, disability, religion, sex, race, nationality, orientation. W of power. harassment or abuse sexual Human Rights Initiatives Socially Orientated Initiatives Socially Orientated (1) (2) Basic Approach to Human Rights to Approach Basic WORK STYLING Multi-Site Shared Offices for Corporate Corporate for Offices Shared Multi-Site STYLING WORK Clients For details regarding the main initiatives being carried out, please refer to the latest ESG Report. the main initiatives details regarding being carried For https://www.mitsuifudosan.co.jp/english/corporate/esg_csr/ Policy Achieve a Society Where a Diverse Workforce Can Thrive Can Workforce a Diverse Where a Society Achieve drivers and the most important people as an asset Group sees our value. in creating new Fudosan The Mitsui a is aiming to build the Group aging society, and an low birthrates, with a declining population, is faced As Japan a diverse workforce can thrive in which by promoting the realization of a society sustainable society anywhere. Policy Example Initiatives The Mitsui Fudosan Group respects basic human rights Mitsui Fudosan The and regulations concerning and complies with the laws conduct business we country in which rights of each worker’s activities. and Group complies with the laws Mitsui Fudosan The conduct we country and region in which regulations of each business activities. ESG Management ESG social needs In order to respond to dramatically changing Group the Mitsui Fudosan creation, value new and realize personnel that allows platform is building an infrastructure their realize to fully talents, and lifestyles values, with diverse capabilities. the leveraging by in 2017 STYLING WORK launched We to create spaces that inspire more efficient expertise Group’s these to providing in addition results. Currently, and creative services also provides STYLING that can WORK spaces, and corporate as member further enhance business, such on certain focused business and events client matching, trends or skills. Grid pipelines Gas from electricity medium-pressure system Cogeneration Going forward, we plan to develop the business primarily Going forward, we plan Electricity Waste heat Waste Electrical substation production and local consumption of energy, while in times production and local consumption disaster-resilient characteristics of of disaster, leverage the pipelines to maintain a gas supplied from medium-pressure continuous energy supply. to realizing a sustainable in urban centers to contribute SDGs through eco-friendly, society and achieving the disaster-resilient neighborhood creation. Energy Center Heat chiller CGS (Toyosu) Central Control Room (Nihonbashi) Genelink Gas boiler Centrifugal accumulator Hot water and steam Cold water

Shinonome Bridge Area covered by electricity and heat supply Toyosu Station (Tokyo Metro Yurakucho Line) Toyosu Center Building facilities Toyosu Station ( Line) Building and Toyosu Energy Center emissions through the local COREDO Muromachi Nihonbashi Mitsukoshimae Station Harumi-dori street Area covered covered Area and heat supply electricity by Toyosu Park Shin-Nihombashi Station

Mitsui Main Building Nihonbashi Mitsui Tower Station Shin-Toyosu To Urban Dock LaLaport TOYOSU Nihonbashi Muromachi Mitsui Tower Mitsukoshimae Station

TOYOSU BAYSIDE CROSS Harumi Bridge Harumi

Sotobori-dori Street N To Tokyo Station Station Tokyo Tokyo To To Supply area Supply area These are Smart Energy Projects that during normal These are Smart Energy Projects that during normal TOPICS Stage Toyosu Smart Energy Project Stage 1 Nihonbashi Smart Energy Project Stage 1 Nihonbashi Smart Energy Project Overview Mitsui Fudosan is building energy supply facilities centered Mitsui Fudosan is building redevelopments in central Tokyo. on gas CGS within new independent energy supply This also involves establishing distributed energy networks to develop area-independent and Toyosu that will not only supply projects in Nihonbashi (heating and cooling) to new supply electricity and heat existing facilities. developments, but also times, realize reductions in CO Mitsui udosan and Collaborate on Smart Energy Projects Energy on Smart Gas Collaborate Tokyo and Mitsui udosan Supplying irst Projects apans Through of the SDGs Achievement the to Contributing Existing acilities to Including Energy Distributed Area-Independent Achieve Health, Safety and Security in People’s Daily Lives Security and Safety Health, in People’s Achieve Integrated Report 2020 ESG Management ESG WEB 45 ESG Management 48 Accountant Integrated Report 2020 ❼ Certified Public Committees ESG Promotion Committee Strategy Planning Special Committee Risk Management Special Committee Executive Management Committee

❻ Department ❹ Corporate Auditor’s ❹ Board of Corporate Auditors Board of Corporate Auditors  Nomination Advisory Committee In addition, corporate auditors conduct audits to evaluate to evaluate In addition, corporate auditors conduct audits The Nomination Advisory Committee, headed by President President headed by Advisory Committee, Nomination The Komoda as Chairman Masanobu Officer and Chief Executive and comprising six members, including one internal director Egawa, outside directors (Masako and four Onozawa) (Yasuo Ito), and Shinichiro Tsunehiro Nakayama, Masafumi Nogimori, pertaining to the nomination of managing meets on matters as the appointment directors and corporate auditors, as well and dismissal of managers. ❹ Senior Corporate headed by Auditors, of Corporate Board The corporate auditors, Masatoshi Sato and comprising five Auditor internal auditors (Masatoshi Sato and Hiroyuki including two Yasushi Kato, Ishigami) and three outside auditors (Yoshitaka auditing policies and formulates Ozeki), Yukimi Manago, and reports and discusses determines assignments. It also receives material items on audits conducted according to these policies Department Auditor’s and assignments. Note that the Corporate has been established specifically to assist the corporate auditors corporate auditor has been assigned and each with their work, two dedicated employees. functions of the directors and enhance management functions of the directors transparency. managing directors while by of business execution the status Department and the certified Audit coordinating with the been taken to put steps have public accountant. Moreover, as Group Compliance Policies, in place the Mitsui Fudosan that will ensure that Group directors and as a structure well engage in business activities in an appropriate employees manner. ❸ Audit Department Shareholders’ Meeting Corporate Officers

❶ Board of Directors Departments/Divisions ❺ President and Chief Executive Officer

❺

Committee Board of Directors Advisory Committee Advisory Corporate Governance Corporate Compensation Advisory Committee The corporate auditors also attend meetings of the Board of meetings of the Board corporate auditors also attend The For details regarding the main initiatives being carried out, please refer to the latest ESG Report. out, please main initiatives the carried details regarding being For https://www.mitsuifudosan.co.jp/english/corporate/esg_csr/ ❷ Compensation ❸ Nomination ESG Management ESG Basic Policy The Board of Directors, headed by Chairman Hiromichi Iwasa and Iwasa Chairman Hiromichi of Directors, headed by Board The members, including eight internal directors comprising twelve Kitahara, Yoshikazu Masanobu Komoda, Iwasa, (Hiromichi Yamamoto, Takashi Kiyotaka Yasuo Onozawa, Fujibayashi, outside directors Hamamoto) and four Wataru Ueda, and Takashi and Tsunehiro Nakayama, Masafumi Nogimori, Egawa, (Masako Ito), decides on issues material to Mitsui Fudosan Shinichiro managing directors. of business by and monitors the execution Mitsui Act, Article 373 (1) of the Companies In addition, under has designated a special managing director who may Fudosan pass judgment on the urgent acquisition of assets via bidding, Article of Directors under the Board by etc., when so empowered Act. 362 (4) of the Companies opinions as necessary. Directors and provide ❷ President headed by Advisory Committee, Compensation The Komoda as Chairman and Masanobu Officer and Chief Executive comprising six members, including one internal director (Yasuo Masafumi Egawa, outside directors (Masako and four Onozawa) Ito), meets on and Shinichiro Tsunehiro Nakayama, Nogimori, pertaining to the compensation of managing directors. matters Continuously Improve Compliance and Governance and Compliance Improve Continuously from the standpoint governance optimum corporate and maintain Group aims to build Fudosan The Mitsui earn the trust of all in order to of management and efficiency transparency the soundness, of improving stakeholders. of and a Board of Directors a Board has both Mitsui Fudosan and has also established a Compensation Auditors Corporate to Advisory Committee and Nomination Advisory Committee compensation enhance management transparency regarding managing directors and nomination of managing directors for a corporate and corporate auditors. It has also adopted of to enhance the soundness and efficiency system officer separating and strengthening management management by and also invites Fudosan functions. Mitsui and executive oversight appoints outside directors to strengthen the Structure Corporate Governance ❶ (14 days per year with 7 in each half) with 7 in each per year days (14 (five consecutive days) consecutive (five Utilize daycare centers inside worksites centers inside daycare Utilize Use a PC use time control system  internal publicity/broadcasting and a Utilize to conduct portal reform site on workstyle educational activities and share expertise Training Leave* Childrearing-Father including days, Set targets using vacation for paid leave Department supports Innovation Workstyle  The transforms department´s initiatives, each and establishes infrastructure awareness, within individual organizations. Shared Offices STYLING WORK  the Utilize some (for system Introduce work-at-home employees)     

• • • • • • • • Units Work Reform in Reforming Awareness Encouraging the Employment of People with with of People the Employment Encouraging Disabilities Promoting Workstyles Diverse Infrastructure Improvements Organizational We are continually working to employ people with disabilities, people with to employ working are continually We as corporate social responsibility and such based on perspectives Challenged and First Facilities Also, a special subsidiary, diversity. promote proactively Challenged Centers within the Company them with of people with disabilities and provide employment opportunities. experience work the sustained of the for growth it is essential believe We personnel participation by encourage active that we Company and enable talents, and experience, values, with diverse stages while suited to their life to select workstyles employees goals and build a these achieve To fully realizing their capabilities. human resources, diverse enabling participation by foundation reform. are promoting workstyle we Mitsui Fudosan’s Workstyle Reform Activities Reform Workstyle Mitsui Fudosan’s Fair Employment Screening and Human Rights Awareness Awareness Rights Screening and Human Employment Fair company. Group with each Liaison Conferences Raising improve to continuously working are we Additionally, rights regarding human understanding and awareness as holding human rights awareness such through initiatives employees. all Mitsui Fudosan training for *A program separate from childrearing leave. It aims to provide male It aims to provide leave. *A program separate from childrearing with a deeper understanding of whose spouse has had a baby employees of entire the awareness to transform and create opportunities childrearing workplaces. Personnel y. p.25 Message from the Managing Director in Charge of

Employee-Focused Initiatives Employee-Focused Encouraging Higher Workforce Participation by Women Women by Participation Workforce Higher Encouraging Globally Minded Human Training and and Recruiting and IT Professionals Resources Personal Interviews and Stress Checks and Stress Interviews Personal Health Management Support That Includes That Includes Support Health Management Spouses Employees’ Initiatives for Raising Human Rights Awareness Human Rights Raising for Initiatives Mitsui Fudosan regards the health and safety of our of our the health and safety regards Mitsui Fudosan the sustained as an important issue essential for employees to working are actively and we of our company, growth while striving maintain and promote the health of employees can work where employees environment a workplace for energetically in accordance with their a company As lifestyles. respective engaged in health actively was management, Mitsui Fudosan Enterprise of certified as an Excellent Management Productivity and Health 2020 (White 500) the large in enterprise categor Achieve a Society Where a Diverse Workforce Can Thrive Can Workforce Where a Diverse a Society Achieve Personal interviews between Personnel Department staff and all Department staff interviews between Personnel Personal in order to year out each are carried and stress checks employees We and mental health and wellbeing. physical ensure employees’ working of employees’ also tried to gain an accurate picture have with log-in management system syncing our attendance hours by computers, enabling employees’ and log-out times recorded by We this information. and their bosses to easily check employees conditions and working to understandalso strive our employees’ interviews arranging with an industrial by health situation more than 80 hours over who work employees for physician month. hours in a single legally stipulated working In addition to carrying out yearly health checkups for all employees, all employees, for In addition to carrying health checkups out yearly 35 over employees all thorough health screening for also offer we and employees female for and their spouses, gynecological exams to undergo thorough leave and the spouses of male employees, has also established a Health health screening. Mitsui Fudosan and Health Management Center-specialized Committee health-and maintaining employee organizations for and improving the rate at as improving goals such to achieve are working we Furthermore, undergo periodic health checkups. employees which set up a Health Consultation Service have we where employees can freely discuss health issues, and in partnership with the public health nurses, Department, industrial physicians, Personnel the working are striving to improve and counselors, we and mental health of employees. and the physical environment Health Management Initiatives Health Management Integrated Report 2020 ESG Management ESG Mitsui Fudosan has established a Code of Employee Conduct Conduct has established a Code of Employee Mitsui Fudosan a Group- are also building We to human rights. with regard establishing respecting human rights by for wide framework Rights Screening and Human Employment the internal Fair and organizing Committee Promotion Raising Awareness WEB 47 ESG Management 50 9/10 11/12 10/10 12/12 Integrated Report 2020 Meetings: 11/12 Meetings: 11/12 Meetings: 11/12 Meetings: 11/12 Meetings: 10/12 Meetings: 10/12 Board of Directors Board of Directors Board of Directors Board Board of Corporate Auditors Auditors of Corporate Board Auditors of Corporate Board Auditors of Corporate Board Fiscal 2019 of Directors Meetings at Board Attendance Meetings Auditors of Corporate and Board *Newly appointed as an outside director on June 27, 2019 27, on June appointed as an outside director *Newly their expert knowledge and extensive experience. Note that, experience. and extensive knowledge their expert judging requirements for Exchange Stock Tokyo in line with the Company independent officers, the independence of judging said independence: standards for uses the following of the of conflicts of interest with any whether there is a risk special general shareholders; whether any Company’s to and whether in working with the Company; interests exist and transparency of the Company’s enhance the soundness is capable of making objective, management, the individual and impartial judgments. fair As a current outside corporate auditor of the Company, Yoshitaka Kato Yoshitaka outside corporate auditor of the Company, a current As execution ability to audit the directors’ has demonstrated sufficient has reappointed him as an outside Company The of their duties. as it sees no risk of conflicts corporate auditor and independent officer general shareholders and of the Company’s of interest with any further contributions in this role. that he will make expects Yasushi outside corporate auditor of the Company, a current As ability to audit the directors’ Manago has demonstrated sufficient has reappointed him as an Company The of their duties. execution as it sees no risk of outside corporate auditor and independent officer general shareholders of the Company’s conflicts of interest with any further contributions in this role. that he will make and expects Ozeki Yukimi outside corporate auditor of the Company, a current As of execution ability to audit the directors’ has demonstrated sufficient has reappointed her as an outside corporate Company The their duties. as it sees no risk of conflicts of auditor and independent officer general shareholders and expects of the Company’s interest with any further contributions in this role. that she will make Reasons for the Appointment the for Reasons has Egawa Masako outside director of the Company, a current As properly fulfilled her duty of strengthening supervisory functions and has Company The of Directors. ensuring the transparency of the Board as it officer reappointed her as an outside director and independent general of the Company’s sees no risk of conflicts of interest with any contributions in further that she will make shareholders and expects this role. Nogimori has Masafumi outside director of the Company, a current As properly fulfilled his duty of strengthening supervisory functions and has Company The of Directors. ensuring the transparency of the Board as it officer reappointed him as an outside director and independent general of the Company’s sees no risk of conflicts of interest with any contributions in further that he will make shareholders and expects this role. as an outside Tsunehiro Nakayama has appointed Company The sees no risk of conflicts of as it director and independent officer general shareholders and expects of the Company’s interest with any manager as a corporate experience on his extensive that he will draw opinions regarding the various to provide and broad knowledge supervisory strengthening towards management of the Company of Directors. Board functions and ensuring the transparency of the Ito as an outside director and has appointed Shinichiro Company The of conflicts of interest with as it sees no risk independent officer that he will general shareholders and expects of the Company’s any as a corporate manager and broad experience on his extensive draw opinions regarding the management various to provide knowledge strengthening supervisory towards of the Company functions and of Directors. ensuring the transparency of the Board ○ ○ ○ ○ ○ ○ ○ Officer Independent The Company also appoints its outside auditors with the also appoints Company The Shinichiro Ito* Shinichiro Corporate Auditor Kato Yoshitaka Corporate Auditor Manago Yasushi Corporate Auditor Ozeki Yukimi Outside Directors and Outside Auditors and Outside Directors Outside directors with the appoints its outside Mitsui Fudosan contribute their extensive will expectation that they to the Company’s and broad knowledge experience role in an appropriate will play they management, and that of Directors and function of the Board strengthening the audit ensuring transparency. stance bring an objective to auditing will expectation that they based on of their duties, the directors in the performance Name Managing Director Masako Egawa Managing Director Masafumi Nogimori Managing Director Tsunehiro Nakayama* Managing Director vious evaluation of vious evaluation persons atus of operation of the Board of Directors (number of operation of the Board atus oard of Directors structure (number of members, ratio (number of members, ratio oard of Directors structure  etc.) members, diversity, to non-executive of executive  rates, time spent for of meetings held, attendance of deliberation, number of items deliberated, provision etc.) questions and answers, information,  Advisory Compensation efficacy; of Directors’ Board meetings Advisory Committee; Nomination Committee; of outside directors and outside corporate auditors; etc.) B St Other (issues raised in the pre The Company conducted interviews all directors Company with The to complete free- them and corporate auditors and asked of Directors’ response questionnaires regarding Board at the evaluation and conducting an analysis efficacy, 22, 2020. of Directors meeting held on May Board • • • To achieve sustained increases in the Group’s corporate sustained increases in the Group’s achieve To Board of Directors confirmed that the it was value, was being properly maintained, including efficacy based on the results of initiatives that improvement out (enhancement of the interviews being carried were of content of progress reports regarding the execution to be discussed matters to criteria for duties, revisions results of this The of Directors meetings, etc.). at Board the functioning will be used to further improve evaluation of Directors. of the Board Executive Management Committee Executive Financial Auditing (1) Evaluation method (1) Evaluation items (2) Evaluation (3) Evaluation results and future response results and future (3) Evaluation persons Each year, the Company analyzes and evaluates the efficacy the efficacy and evaluates analyzes the Company year, Each of Directors, aiming to further enhance its of the Board of the of our evaluation and results An overview functions. below. are provided efficacy of Directors’ Board ❻ of executive consisting Committee, Management Executive The deliberate and report on formed to has been corporate officers, and supervises execution related to business important matters corporate management. Full-time internal control and risk of important stay informed meetings to auditors also attend execution, of business and the status decision-making processes as necessary. opinions and provide ❼ has concluded an auditing contract with KPMG Mitsui Fudosan conducts LLC as its certified public accountant, which AZSA the auditor and the is no shared interest between There audits. the operations for conducting nor between employees Company, auditor and the Company. Analysis and Evaluation of Board of Director of Director of Board Analysis and Evaluation Effectiveness persons person or directors or corporate officers, etc. or corporate officers, 994 00 00 005 007 008 009 00 0 0 05 0 07 08 09 00 ant matters ters that are especially important in regard to aluating internal controls concerning financial eporting on audit activities implemented during the eporting on the results of compliance promotion reliminary of director candidates selection ormulating an audit plan for the fiscal year the fiscal ormulating an audit plan for ormulating a compliance promotion plan for the fiscal ormulating a compliance promotion plan for he appointment and dismissal of representative directors he appointment and dismissal of executive he appointment and dismissal of key employees he appointment and dismissal of key he appointment and dismissal of corporate officers he appointment and dismissal of corporate officers Other import P directors Compensation and bonuses f  reporting during the fiscal year and formulating audit- year and reporting during the fiscal activities) related policy (J-SOX   R year fiscal Ev F year R year activities implemented during the fiscal F Compensation and bonuses f and executive corporate officers and executive T T T T • • • • • • • • • • • • • Other mat managing the Company or executing duties or executing managing the Company Corporate Officer System Corporate (1) Matters related to shareholders’ meetings related to shareholders’ (1) Matters related to directors (2) Matters (3) Matters related to the Company’s structure related to the Company’s (3) Matters related to compliance, etc. (4) Important matters (5) Important matters related to personnel (5) Important matters (6) Important matters related to finance and assets (6) Important matters (7) Established Nomination Advisory Committee Introduced Outside Directors Established Corporate Auditor’s Department Established Compensation Advisory Committee Introduced Outside Auditors Introduced Corporate Officer System Continuously Improve Compliance and Governance Compliance Improve Continuously Integrated Report 2020 The following matters shall be resolved by or reported to by shall be resolved matters following The laws of Directors as stipulated by Board the Mitsui Fudosan of Incorporation, Articles and regulations, the Company’s of Board as those regarding the such rules and company Directors. Initiatives for Corporate Governance for Initiatives ❺ with system a corporate officer has introduced Mitsui Fudosan that best framework execution the aim of creating a business and activities. By promoting suits its operating environment of the management and the separation and reinforcement the responsibility of previously were functions, which executive enhances management soundness the directors, the system the to further reinforce In addition, seeking and efficiency. also have Group, we Fudosan management of the Mitsui under which system, officer introduced a Group corporate and a status given been at Group companies have executives June 26, As of of the corporate officers. mission similar to those officers. 11 Group and 28 managing officers have 2020, we ESG Management ESG Board of Director Decisions and Reports of Director Board 49 ESG Management 52 ancing Integrated Report 2020 Department Compliance Management (Business risk management) Strategy Planning Special Committee Department Executive Management Committee dministrative risk: Administrative risk is operational risk associated risk is operational risk associated Administrative risk: dministrative Business risk: Business risk is primarily risk associated with adv Business risk: Business risk business and earning profits, including development risk, leasing risk, risk, leasing risk, including development business and earning profits, risk. and market A with administrative duties, including disaster risk, system risk, clerical risk, risk, system duties, including disaster with administrative risk, and compliance risk. Risk associated with compliance with laws and regulations Risk associated with compliance with laws and regulations, to laws, Risk associated with changes policy government Risk of legal action or conflict Risk of conflicts of interest Risk associated with internal controls and accounting Risk concerning cyber security *1 *2 measures. Where required, the committee shares Where required, the committee measures. with the and/or communicates in other ways information Group. Mitsui Fudosan Clerical Risk Management Mitsui Fudosan Group Administrative Risk Administrative Group Mitsui Fudosan (1) (2) (3) (4) (5) (6) Group companies respectively. (Administrative risk management) *2 Risk Management Special Committee Respective headquarters, departments, etc. Department System Risk Management Board of irectors resident and CE and administrative risk and administrative *1 Department Disaster Risk Management Risk of changes in the economic environment Risk of changes interest rates Risk associated with market procurement risk Fund Risk from competition in the real estate industry risk estateReal development Risk associated with rental income business Risk associated with overseas partners Risk associated with external in asset values Risk of changes in operating cost Risk of changes Risk associated with climate change disasters, man-made disasters, etc. Risk of natural Environmental risk diseases Risk associated with the spread of infectious Risk Management The Risk Management Special Committee meets in Risk Management Special Committee The (1) (2) (3) (4) (5) (6) (7) (8) (9) (11) (10) (12) (13) (14) Mitsui Fudosan Group Business Risk Mitsui Fudosan Major Risks* Under the Executive Management Committee, which which Committee, Management Under the Executive and Fudosan Mitsui management for supervises risk overall Special Group, the Strategy Planning the Mitsui Fudosan Special Committee and the Risk Management Committee manage business risk Risk Management System principle once a month to identify and delineate risk issues principle once a month and response preventative and propose and evaluate 230 230 111 106 110 110 139 9 3 9 Executives (Millions of Yen) _ _ ○ Total Compensation Total Number of Applicable Restricted Stock Compensation Stock Restricted 8 8 7 7 16 16 10 Medium- to Long-Term Incentives Medium- to Long-Term 82 _ _ Stock Options Stock 93 93 52 39 39 39 39 __ Bonus Options Stock _ _ ○ Bonus _ _ 428 Bonus Executive compensation granted to managing directors Executive Compensation paid to managing directors (outside directors) paid to managing Compensation corporate auditors is solely basicCompensation paid to has established Compensation the In addition, the Company 75 28 34 58 63 63 120 120 Short-Term Incentives Short-Term Basic Basic Amount of Compensation by Type (Millions of Yen) (Millions of Type Amount of Compensation by and corporate auditors in fiscal 2019 was as follows. follows. was as and corporate auditors in fiscal 2019 encourage a further sharing of value with shareholders. encourage a further sharing of value been granted as already have acquisition rights which Stock will continue been exercised not yet options but have stock options will be granted. stock no new However, to exist. is solely basic compensation. is solely basic within the scope set and approved compensation in an amount Meeting of Shareholders. General resolution of the 106th by internal directors and a comprising two Advisory Committee outside directors. Decisions onmajority independent of four to solely compensation are not entrusted managing directors’ of Directors but are made at Board and CEO, the President consultation with the Compensation meetings following Advisory Committee. Compensation Total Compensation (Millions of Yen) Compensation (Millions of Total 96 579 106 Basic Compensation Basic ○ ○ ○ Mitsui Fudosan Co., Ltd. Mitsui Fudosan Mitsui Fudosan Co., Ltd. Mitsui Fudosan Co., Ltd. Mitsui Fudosan Co., Ltd. Mitsui Fudosan Co., Ltd. Mitsui Fudosan Co., Ltd. Residential Mitsui Fudosan Co., Ltd. Mitsui Fudosan Co., Ltd. Mitsui Fudosan Company Basic Compensation Basic 96 106 1,089 (Millions of Yen) Total Compensation Total President and Chief Executive and Chief Executive President (Representative) Officer Managing Director Managing Director Managing Director Chairman of the Board and Chairman of the Board Officer Chief Executive (Representative) and Chief Executive President (Representative) Officer Managing Director (Representative) Managing Director Title Restricted Stock Compensation System Stock Restricted Breakdown of Compensation Breakdown Continuously Improve Compliance and Governance and Compliance Improve Continuously Yasuo Onozawa Yasuo Ishigami Hiroyuki Yamamoto Takashi Kiyotaka Fujibayashi Masanobu Komoda Kitahara Yoshikazu Compensation of Executives Exceeding ¥100 million Outside directors and corporate auditors corporate and directors Outside Internal directors Internal corporate auditors Executive Compensation Structures Internal corporate auditors Outside directors and corporate auditors Compensation by Title, Amount of Compensation by Type and Number of Applicable Executives Compensation by Title, Amount At the 108th Ordinary General Shareholders’ Meeting held Ordinary General Shareholders’ At the 108th decided that a restricted stock 26, 2020, it was on June options as compensation compensation will replace stock outside directors, with the managing directors, excluding for continuous to achieve an incentive aim of providing and to corporate value of the Company’s improvement Managing directors’ compensation consists of basic compensation Managing directors’ within the scope set and approved compensation in an amount Meeting of Shareholders, General resolution of the 106th by that comprehensively incentives bonuses paid as short-term results things as business such take into consideration by must be approved year which fiscal in each achieved Meeting of Shareholders, andresolution at the General medium- to long-term compensation paid as restricted stock by approved in an amount within the scope set and incentives General Meeting of Shareholders. resolution of the 108th Executive Compensation Executive Integrated Report 2020 ESG Management ESG Title Name Internal directors Title Hiromichi Iwasa Hiromichi 51 ESG Management 54 Integrated Report 2020 Decision-making according to rules harassment and power of sexual Prohibition Separation of public and private Respecting Human Rights Respecting Human Appropriately Information Managing Company Other In Interactions Between the Company and the Company Between In Interactions Its Employees age, sex, does not discriminate due to Mitsui Fudosan creed, religion, ethnicity, race, birthplace, nationality, human respects Company The other grounds. or any disability, workplaces. to maintainrights and strives fair the importance of managing recognizes Mitsui Fudosan to implement and strives documents and information appropriate management based on its Information System Information Document Rules, Management Rules, and the like. Management Rules, (1) (2) (3) is not

Also, the Company has established a structure and rules and rules has established a structure Also, the Company Mitsui Fudosan has prohibited the illicit provision of the illicit provision has prohibited Mitsui Fudosan and other individuals in similar benefits to public officials Also, in dealings with business connections and positions. the rule has been established preventing etc., a affiliates, entertainment, and gifts, giving or receiving of excessive the like. Prohibiting Bribery and Handling of Gifts and Bribery and Handling of Gifts Prohibiting Entertainment bribery and is and has formulated to prevent to be followed Bribery with the Preventing for implementing Regulations it occurs. conduct before such aim of preventing Organizations and Political Donations to Politicians political donations for provide does not Mitsui Fudosan political parties other than official parties activities to any and political fund-raising organizations. Furthermore, political organizations is conducted activities by support for Control Funds appropriately in accordance with the Political Offices to the Public and regulations connected laws Law, and regulations. laws and other relevant Election Law, protection information Personal Consumer protection conservationEnvironmental property rights intellectual for of and respect Protection of insider trading Prohibition Other Eliminating Interactions with Organized Crime with Organized Eliminating Interactions and Competition Transactions Fair Ensuring Preventing Corruption Preventing Improper Conduct Improper Preventing In Interactions Between the Company and the Company Between In Interactions Economy Society and the to kind of connection any strictly forbids Mitsui Fudosan takes a firm stance in crime and as a company, organized also division of the Company groups. Each dealing with such that a transaction partner and confirms investigates involved in organized crime before the transaction begins. the transaction begins. crime before in organized involved the Company occur that forces situation Should the unlikely from such demands or violent behavior unwarranted to face police department organizations, it will contact the relevant including legal other action necessary, and take any measures. as the such laws, with all relevant will comply Mitsui Fudosan that could result conduct any and will avoid Act, Antimonopoly will engage We transactions or unjust competition. in unfair equal partner and with business connections sincerely as an handle the procurement of goods and services based on fair standards. (1) (2) (3) (4) (5) (1) (2) Content and contract dispatch month for (April) * Implemented every employees crime, organized bribery, on preventing sessions held Study insider trading, etc. (March) preventing security, information (September) including cases Explanation of compliance violation case studies as sharing of the importance companies, as well overseas involving etc. (December) bribery, of preventing protecting personal information, bribery, on preventing held Training February) etc. (October, systems, whistle-blowing November) (June, shared through internal Group Compliance Policy Mitsui Fudosan bulletins and handbooks be on topics and subjects that should provided Information such of operations, considered in regard to the execution regarding “a warning and crime,” organized “eliminating as February) October, (April. July, ransomware.” Internal Consultation Service Internal Compliance Training Group companies are also required to formulate and also required to formulate Group companies are promotion plans, and this is reported implement compliance year. at the end of the fiscal by the Company to and confirmed has established two points of contact Mitsui Fudosan an of the Company, employees consultation for providing These contacts can firm. law internal contact an external and consultationon issues regarding compliance provide pertaining to the as matters and regulations, as well with laws environment. work compliance training to new provides Mitsui Fudosan and management-level directors and various employees appointed Group including newly of the Company, employees compliance aim of improving with the managers and officers, all It also implements e-learning-based training for awareness. employees. directors and management-level New employees New All directors and employees Target appointed officers Newly Directors, executive full-time managing officers, corporate auditors, etc. International Division, assigned to employees subsidiaries overseas at overseas staff Local subsidiaries including corporate All staff, officers All employees Internal bulletins Initiative training officer New compliance training Officer compliance training Overseas at overseas local staff for Training subsidiaries compliance Companywide training (e-learning) Compliance news Compliance Said officer is also responsible for formulating a for is also responsible Said officer Continuously Improve Compliance and Governance Compliance Improve Continuously Integrated Report 2020 Main Training and Awareness-Raising Initiatives Fudosan) (Mitsui Awareness-Raising and Training Main Compliance Structure charge of general in has made the officer Mitsui Fudosan compliance. for administration the person responsible overall reports from the Compliance receives In this role, the officer particularly Management Department and others, and discussion for submitted are reported to or important matters Management of Directors or the Executive the Board by Committee. including year, fiscal compliance-related action plan each the rules, or abolition of company the enactment, revision, regulations, implementation of training regarding laws, and reporting of the and the surveying rules, or company regulations, regarding compliance with laws, situation for is also responsible Said officer rules. or company on this plan. implementing compliance activities based Based on the Mitsui Fudosan Group Compliance Policies, the Policies, Group Compliance on the Mitsui Fudosan Based as a key Group has positioned compliance Mitsui Fudosan with laws, to comply and works issue in Group management norms, and implement fair regulations, and social corporate activities in accordance with and highly transparent corporate ethics. Basic Policy ESG Management ESG Internal training training employee New Awareness-raising activities 53 ESG Management 56 Integrated Report 2020 Joined CO., LTD. Member of the Board of Directors, Corporate Executive Officer, ALL NIPPON AIRWAYS CO., LTD. Executive Vice President (jomu torishimariyaku), Corporate Executive Officer, ALL NIPPON AIRWAYS CO., LTD. Executive Vice President (senmu torishimariyaku),Corporate Executive Officer, ALL NIPPON AIRWAYS CO., LTD. Senior Executive Vice President, Representative Director, ALL NIPPON AIRWAYS CO., LTD. President & Chief Executive Officer, Representative Director, ALL NIPPON AIRWAYS CO., LTD. President & Chief Executive Officer, Representative Director, ANA HOLDINGS INC., and Chairman of the Board, ALL NIPPON AIRWAYS CO., LTD. Chairman of the Board, Representative Director, ANA HOLDINGS INC. Chairman of the Board, ANA HOLDINGS INC. (current position) Managing Director (current position) Joined Citibank, N.A. Tokyo Branch Joined Salomon Brothers Inc. New York Head Office Joined Salomon Brothers Asia Limited Tokyo Branch Joined S.G. Warburg & Co. Ltd. Tokyo Branch Executive Director, Harvard Business School Japan Research Center Executive Vice President, The University of Tokyo Managing Director, Mitsui Fudosan Co., Ltd. (current position) Professor, Graduate School of Commerce and Management, Hitotsubashi University Professor, Hitotsubashi University Business School Specially Appointed Professor, Hitotsubashi University Business School (current position) Apr. 1974 Jun. 2003 Apr. 2004 Apr. 2006 Apr. 2007 Apr. 2009 Apr. 2013 Apr. 2015 Apr. 2017 Jun. 2019 Apr. 1980 Sep. 1986 Jun. 1988 Dec. 1993 Nov. 2001 Apr. 2009 Jun. 2015 Sep. 2015 Aug. 2018 Apr. 2020 Significant positions currently held, etc. Chairman of the Board, ANA HOLDINGS INC. Significant positions currently held, etc. Outside Director, Holdings, Inc. Shinichiro Ito Managing Director (Independent Outside Director) Shares in Company 0 shares Masako Egawa Managing Director (Independent Outside Director) Shares in Company 2 thousand shares Joined the Industrial Bank of Japan, Ltd. Representative Director, Vice President of Mizuho Corporate Bank, Ltd. Advisor, Merrill Lynch Japan Securities Co., Ltd. Representative Director, Chairman, Merrill Lynch Japan Securities Co., Ltd. Representative Director, Chairman, and President, Merrill Lynch Japan Securities Co., Ltd. Representative Director, Chairman, and President, Merrill Lynch Japan Securities Co., Ltd., and Representative in Japan, Bank of America Group Representative Director, Chairman, Merrill Lynch Japan Securities Co., Ltd. Director, Merrill Lynch Japan Securities Co., Ltd. Special Advisor, Merrill Lynch Japan Securities Co., Ltd. Managing Director (current position) Joined Company Managing Director, Executive Managing Officer Managing Director, Executive Managing Officer, Chief Operating Officer of DX Division (current position) . 2007 Jun. 2019 Apr. 1971 Apr. 2004 Apr. 2007 May Nov. 2008 Mar. 2009 Jul. 2010 Jun. 2017 Jul. 2017 Significant positions currently held, etc. Outside Director, Tokai Tokyo Financial Holdings, Inc. Apr. 1984 Jun. 2019 Apr. 2020 Tsunehiro Nakayama Managing Director (Independent Outside Director) Shares in Company 0 shares Wataru Hamamoto Managing Director Shares in Company 15 thousand shares Joined Fujisawa Pharmaceutical Co., Ltd. Director, Fujisawa Pharmaceutical Co., Ltd. Corporate Executive, Fujisawa Pharmaceutical Co., Ltd. Managing Corporate Executive, Fujisawa Pharmaceutical Co., Ltd. Director and Managing Corporate Executive, Fujisawa Pharmaceutical Co., Ltd. Representative Director and Executive Vice President, Inc. Representative Director, President and Chief Executive Officer, Astellas Pharma Inc. Representative Director and Chairman, Astellas Pharma Inc. Managing Director (current position) Joined Company General Manager of Office Building Project Planning Department, Office Building Division Managing Officer, Deputy Operating Officer of Office Building Division, General Manager of Office Building Project Planning Department Office Building Division Managing Officer, Deputy Operating Officer of Office Building Division Executive Managing Officer, Deputy Operating Officer of Office Building Division, Manager of Strategy Planning and Administration Department Office Building Division Executive Managing Officer, Chief Operating Officer of Office Building Division Managing Director, Executive Managing Officers, Chief Operating Officer of Office Building Division (current position) Apr. 1970 Jun. 1997 Jun. 2000 Jun. 2001 Jun. 2003 Apr. 2005 Jun. 2006 Jun. 2011 Jun. 2017 Significant positions currently held, etc. Outside Director, Daicel Corporation External Director, Linical Co., Ltd. Apr. 1983 Apr. 2009 Apr. 2011 Apr. 2013 Apr. 2015 Apr. 2016 Jun. 2020 Takashi Ueda Managing Director Shares in Company 8 thousand shares Masafumi Nogimori Managing Director (Independent Outside Director) Shares in Company 1 thousand shares Joined Company Managing Director, Executive Managing Officer, Chief Operating Officer of International Division Managing Director, Senior Executive Managing Officer, Chief Operating Officer of International Division (current position) Joined Company Executive Managing Director, Executive Managing Officer, Chief Operating Officer of Office Building Division Managing Director, Senior Executive Managing Officer, Chief Operating Officer of Office Building Division Managing Director, Senior Executive Managing Officer Managing Director, Executive Vice President Managing Director (Representative), Executive Vice President (current position) Mar. 1990 Jun. 2017 Apr. 2019 Takashi Yamamoto Managing Director Shares in Company 9 thousand shares Apr. 1980 Jun. 2011 Apr. 2013 Apr. 2016 Apr. 2017 Jun. 2017 Yoshikazu Kitahara Managing Director (Representative) Shares in Company 4 thousand shares Joined Company Managing Director, Executive Managing Officer Managing Director, Senior Executive Managing Officer Managing Director, Executive Vice President (current position) Joined Company Executive Managing Director, Executive Managing Officer, General Manager of Investment Dept. Senior Executive Managing Director, Senior Executive Managing Officer, General Manager of Investment Dept. Senior Executive Managing Director, Senior Executive Managing Officer President and Chief Executive Officer (Representative) (current position) Apr. 1981 Jun. 2016 Apr. 2017 Apr. 2020 Significant positions currently held, etc. Outside Director, Imperial Hotel, Ltd. Yasuo Onozawa Managing Director Shares in Company 16 thousand shares Apr. 1978 Jun. 2009 Jul. 2010 Apr. 2011 Jun. 2011 Masanobu Komoda Officer President and Chief Executive (Representative) Shares in Company 32 thousand shares (As of June 26, 2020) (As of June Joined Company President and Representative Director, Mitsui Fudosan Residential Co., Ltd. (current position) Managing Director, Executive Managing Officer Managing Director, Senior Executive Managing Officer, Chief Operating Officer of Homes and Lifestyle Promotion Division Managing Director, Executive Vice President Chief Operating Officer of Homes and Lifestyle Promotion Division (current position) Joined Company Managing Director, General Manager of Project Planning Division, Project 1st Planning Dept., General Manager of Project Planning Division, Construction Dept. Executive Managing Director, Chief Operating Officer of Project Planning Division Senior Executive Managing Director (Representative), Chief Operating Officer of Project Planning Division Senior Executive Managing Director (Representative), Chief Operating Officer of Asset Management Division President (Representative) President and Chief Executive Officer (Representative) Chairman of the Board and Chief Executive Officer (Representative) Chairman of the Board (Representative) (current position) Shares in Company 5 thousand shares Kiyotaka Fujibayashi Managing Director * Figures for shares held by directors and corporate auditors are as of March 31, 2020. Apr. 2020 Jun. 2013 Apr. 2017 Apr. 1981 Apr. 2012

Jun. 1998 Apr. 2001 Jun. 2011 Apr. 2019 Significant positions currently held, etc. Outside Director, TV TOKYO Holdings Corporation Apr. 1998 Jun. 1997 Apr. 1996 Apr. 1967 Jun. 1995 Hiromichi Iwasa Chief Executive Chairman of the Board and Officer (Representative) Shares in Company 65 thousand shares Integrated Report 2020 ESG Management ESG Team Management Members of the Board 55 ESG Management 58 Integrated Report 2020 Managng e Managng e Managng e Managng e Managng e Managng e Managng e Managng e Managng e Managng e Managng e Managng e Managng e Managng e Managng e Managng e

Hiroki Saito Shingo Ikuo Mori Yutaka Kawamura Makoto Tokuda Motoyasu Kato Retsu Togashi Kazunori Yamashita Takashi Furuta Yugo Ono Tatekazu Nakamura Chiharu Fujioka Atsumi Kanaya Yutaka Saito Nobuhiko Mochimaru Mizuho Wakabayashi Mt an eenta t Mt an eenta t Mt an eenta ee t Mt me t Mt an eta Management t Mt an eenta t Mt an eenta t Mt an netment n Mt an eat t (As of April 1, 2020) (As of April ete Managng e ete Managng e e e en e Mt an em t en e Mt an eenta t e e e e e e e en ete Managng e ete e eent ete Managng e eent an e ete e Managng e en ete eent ete e ete Managng e (As of July 3, 2020) ete Managng e ete Managng e ete e eent

Corporate Officers Officers Corporate Group Officers Toru Inoue* Hideki Moriya Shuji Tomikawa Yosuke Seko Akira Ikeda Osamu Obayashi Takao Yamada Yasushi Endo Toru Kamura Hisashi Osawa Mitsuhiro Kodama Masanobu Komoda Yoshikazu Kitahara Kiyotaka Fujibayashi Yasuo Onozawa Shoichiro Kawamoto Takashi Yamamoto Akihiko Funaoka Takashi Ueda Takayuki Miki Wataru Hamamoto Yoshihiro Hirokawa Satoshi Hironaka T e mege nt MT egnte t eete te ne Tet ta egtee a ete ntant ete et nt ng nn nt ng nn ate t ent tn e n g n Significant positions currently held, etc. te t mtm ema t te t MTM T taa at ate t neenent te t ae n man ae ） tme ete agaa net at nm eea a net Mgan a ate e maaa net at a e ee net a ent tn tng a net ana eee a ate t Mt an t ent tn ne man Managng et ete Managng e e eatng e eta ete n Managng et en ete Managng e e eatng e eta ete n Managng et en ate t ent tn n n gam en ate t ae n man tan ae m e ate t neenent te t ae n man ae g e n Significant positions currently held, etc. te et n atn As of June 26, 2020 As of June （ ne Mnt nane et e Mnte Mnt nane etenea te get ea Mnt nane mntate e Mnte Mnt nane egtee a ae a T atn ne ma a ent tn ate t Mt an t ent tn ne man Managng et ete Managng e Managng et en ate t ent tn Corporate AuditorsCorporate g e e n Significant positions currently held, etc. te et n Teen ng n Maat Sat en ate t ae n man tan ae n n ae n man ae a Manag ate t neenent te t ge ae e et an ate at ae a Ma Management Team Management Integrated Report 2020 ESG Management ESG 57 Business Report Leasing Property Sales Management Other The Mitsui Fudosan Group’s main business activities are implemented through its Leasing business, Property Revenue from Operation 33% 28% 22% 17% Sales business, and Management business. In line with this structure, we have adopted the four accounting (consolidated) ¥636.0 bn ¥524.0 bn ¥421.4 bn ¥324.0 bn segments of Leasing, Property Sales, Management, and Other. Eliminations or ¥1,905.6 bn Leasing Property Sales Management Corporate Furthermore, revenues and profits generated by individual projects are classified into these segments and may Operating Income (consolidated) 52% 44% 20% -17% be allocated to a single segment or multiple segments. ¥145.8 bn ¥123.7 bn ¥55.6 bn -¥46.9 bn ¥280.6 bn Other 1% ¥2.2 bn

(As of March 31, 2020)

Leasing Property Sales Management Other

Segment Includes revenue gained from the leasing of real Includes revenue gained from real estate property Includes revenue from fees gained through the Includes revenue gained from new construction of estate. sales to individuals and investors. management and operation of real estate, brokering wooden housing under consignment and the Explanation deals, and other sources. operation of facilities such as hotels.

Property Sales to Investors Property Sales to Brokerage, Asset New Construction Office Buildings Retail Facilities Other and Individuals (Overseas), Property Management Facility Operations Other Sub-Segment Individuals (Domestic) Management, etc. under Consignment etc. Office Buildings Retail Facilities Other Property Sales to Property Sales to Investors and Property Management Brokerage, Asset Management, etc. New Construction under Facility Operations Other Individuals (Domestic) Individuals (Overseas), etc. Consignment (Billions of yen) (Billions of yen) (Billions of yen) (Billions of yen) 603.2 636.0 322.7 324.0 650 35.3 600 530.7 524.0 500 350 558.1 27.2 499.6 404.3 421.4 20.9 300 90.7 520 240.4 480 400 353.8 105.2 90.6 Revenue from 238.3 245.3 102.1 250 229.3 223.6 255.4 90.3 Operations 390 360 300 200 63.9 67.4

by Segment 260 240 200 150 360.2 302.1 316.2 307.8 337.7 275.9 285.4 268.6 263.4 100 168.1 165.8 130 120 100 50

0 2017 2018 2019 (FY) 0 2017 2018 2019 (FY) 0 2017*1 2018 2019 (FY) 0 2018*2 2019 (FY)

Sub-Segment Total Property Sales to Property Sales to Investors and Property Management Brokerage, Asset Management, etc. Sub-Segment Total Individuals (Domestic) Individuals (Overseas), etc. (Billions of yen) 145.8 (Billions of yen) (Billions of yen) (Billions of yen) 150 138.3 141.9 150 60 55.1 55.6 15 123.7 48.7 120 120 48 23.2 22.8 12 Operating 98.0 9.1 83.0 19.8 Income 90 90 94.1 36 9 71.4 by Segment 60 60 51.8 24 6 28.9 31.9 32.7 30 30 12 3 2.2 31.1 26.6 29.6

0 2017 2018 2019 (FY) 0 2017 2018 2019 (FY) 0 2017*1 2018 2019 (FY) 0 2018*2 2019 (FY) ne Report

*1 Figures for fiscal 2017 do not include figures for the Lease *2 Figures are only shown from fiscal 2018 onward due to the Management sub-segment, which was recorded under the former reorganization of segments Main Segment for Recording Revenue for Each Asset Class Mitsui Home segment *Note: The categories shown here are to give an idea of the segments for recording revenues and profits and details may differ.

:Category which is a main segment Office Retail To Individuals Property Brokerage Asset New Construction for recording Buildings Facilities Other To Investors Management Management under Consignment Facility Operation revenue Domestic Overseas To Corporations To Individuals

Office p Buildings

Retail

Main Asset Classes p Facilities

Logistic p Facilities

ondon p Housing etaed ong p

Hotels p Resorts

59 Integrated Report 2020 Integrated Report 2020 60 Business Report Office Buildings

Competitive Advantages (Strengths) Portfolio

Advancing Large-Scale Mixed-Use Redevelopment in the Area Around Tokyo Station • Mixed-use Redevelopment that mobilizes an extensive value chain engaged in every asset class Revenue by Area Shin-Nihombashi Sta. (FY ended March 2020; non-consolidated) • Development expertise and market-building capabilities cultivated through large-scale redevelopment Otemachi One projects in the Tokyo Metropolitan area (Nihonbashi, Yaesu, Hibiya, Roppongi, Otemachi, Tamachi, Osaki, OVOL Nihonbashi Regions Building Other Toyosu, Iidabashi, etc.) Nihonbashi Muromachi metropolitan Mitsui Tower Nihonbashi Muromachi Tok yo • Network capabilities and long-term relationships achieved through approximately 3,000 office tenant 1st District Project

companies Mitsukoshimae 7% 5 Wards of Sta. 11 % central • Capabilities for realizing real estate as a service, providing not only physical buildings and spaces, but also Tok yo business and daily lifestyles Nihonbashi 1st District 1-2 Project Nihonbashi Nihonbashi 1st • Capabilities that realize new working styles and office lifestyles for a new age, such as WORK STYLING District Central 82% Project multi-site shared offices and various soft services Nihombashi Sta. • High-quality town management capabilities that encourage new innovation through the creation of Tokyo Sta. Revenue from operations focused on communities closely tied to localities, based on the concept of “neighborhoods that get better with age.” Nihonbashi strong demand for office space in five Mitsui Building • Management and planning capabilities and a welcoming approach to creating safe, secure, disaster wards of central Tokyo resilient neighborhoods and to supporting tenants in business continuity planning Yaesu 2nd District North Project Yaesu 2nd District Central Project

New projects since fiscal 2018 Smooth Rise in Revenue From Operations and Rentable Floor Space Through Yurakucho Sta. Pick up! Tokyo Midtown (involving Mitsui Fudosan) the Completion of Successive Mixed-Use Redevelopment Projects Hibiya Other Group-owned properties Revenue from Operations (consolidated) Rentable Floor Space (consolidated) (Billions of yen) 360.2 (Thousand m2) Otemachi One 400 3,500 0 3,258 An Abundant Development Pipeline

300 Drivers for Future Growth Spread Across Japan and Overseas

200 3,000 20 FY Completed Project Name Location Total Floor Space 2 2019 Otemachi One Chiyoda-ku, Tokyo ≈ 357,700m ne Report 2020 BUNKYO GARDEN GATETOWER Bunkyo-ku, Tokyo ≈ 94,700m2 100 TOYOSU BAYSIDE CROSS* Koto-ku, Tokyo ≈ 259,000m2 msb Tamachi (Tamachi Station Tower North) Minato-ku, Tokyo ≈ 152,300m2 Nagoya Mitsui Building (North) Project Nagoya, Aichi ≈ 29,400m2 0 2017 2018 2019 (FY) 0 2017 2018 2019 (FY) 2021 Innovation Square Phase ll Boston ≈ 28,400m2 2022 50 Hudson Yards Project New York ≈ 264,000m2 Yaesu 2nd District North Project Chuo-ku, Tokyo ≈ 289,700m2 2022~ RMZ Ecoworld 30 India, Bangalore ≈ 462,400m2 Pick up! Vacancy Rates Are Relatively Stable Compared to Market Fluctuations 2023 or Brannan Square San Francisco ≈ 112,000m2 later Yaesu 2nd District Central Project Chuo-ku, Tokyo ≈ 418,000m2 Office Vacancy Rate (vacancy rates as of March 31 of the relevant fiscal year) Nihonbashi Muromachi 1st District Project Chuo-ku, Tokyo - Mitsui Fudosan (Tokyo Metro; non-consolidated) Central Tokyo 5 Wards (Source: Miki Shoji) Tokyo Nihonbashi 1st District 1-2 Project Chuo-ku, Tokyo - (%) 10.0 2 Tokyo Nihonbashi 1st District Central Project Chuo-ku, Tokyo - * TOYOSU BAYSIDE CROSS TOWER: 2019/Tower B: 2020 Each FY completed, total floor space may change in the future. Some project names are tentative. 8.0

6.0

4.0 2 1.9 2.0 1.5 0 0 2002 200420032005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 20192018 (FY) msb Tamachi BUNKYO GARDEN GATETOWER Yaesu 2nd District North Project Nihonbashi 1st District Central TOYOSU BAYSIDE CROSS Tamachi Station Tower Project

61 Integrated Report 2020 Integrated Report 2020 62 Business Report

Office Buildings

TOPICS TOPICS WORK STYLING Multi-Site Shared Offices Enhancing the Value of Nihonbashi for Corporate Clients Through Life Science Innovation Promotion Business Creating Spaces for Realizing New Working Styles Building a New Industry Creation Ecosystem in the Life Science Area

We are building a framework for Nihonbashi Life Science Building Bases Multi-Site Shared Offices for Corporate Clients Flexible Service Offices for Corporate Clients generating new industries by gathering Tosho Building Kodenmacho Station Approx. life Shin-Nihombashi Station Life Science Floor 120 various companies and organizations in Nihonbashi-Honcho 3-chome Building Showa science-related companies MFPR Nihonbashi Building the Nihonbashi area and fostering Honcho Building and organizations are gathered WORK STYLING SHARE provides multi-site shared offices adaptable WORK STYLING FLEX provides flexible service offices targeting exchange, education, and collaboration. Nihonbashi Life Science Nihonbashi Muromachi Building 2 to workers’ working styles and life stages as an addition to the corporate clients that match diversifying corporate management Through this, we aim to “enhance value Mitsui Tower in Nihonbashi Nihonbashi Life Science Building traditional working style of “a head office in one location.” These environments and business situations and respond flexibly to goals, by establishing a Nihonbashi brand,” Nihonbashi Life Science Hub Ueno Building shared working spaces are available to member companies as staff numbers and time periods, enabling companies to realize new “use industry as an entry point for Shared wet lab established in offices that can be used freely anytime, anywhere. working styles. Fukushima Building neighborhood creation,” and “boost Nihonbashi Enhanced to demand for office space.” Mitsukoshimae Station LAUNCH Building Ningyocho Station Nihonbashi 10 facilities Life science facilities already established Life science facilities to be newly established * As of July 31, 2020 日本橋本町 Overview of the Life Science Innovation Promotion Business

*1 Community Building Members: 433 *2 ● Interaction/cooperation ● Fostering/support Events: Locations 518 Location Establishment Capital Investment *1 As of July 31, 2020 *2 Events held in 2019

Central Tokyo and ● Innovation assets ● LP investment in life science Omiya Kashiwa Regional Cities Services are Tokyo metropolitan ● Nihonbashi Life Science Building series venture companies area available at ● Entrusted operation of the University of Tokyo Sapporo Entrepreneur Lab Ueno ● Preparation of shared lab in Nihonbashi Ikebukuro Ikebukuro different Station East Ochanomizu Akiharaba Showa-dori 56 New ● Rental Lab & Office (Mitsui Lab & Office) Nishi-Shinjuku Akihabara Chuo business Iidabashi Yodoyabashi locations across Shinjuku Shinjuku Kanda Tachikawa Mitsukoshi-mae Station West Station East Jimbocho Tok yo Kayabacho Umeda Sendai Japan Omote- Tameike- Kasumigaseki Nihonbashi sando sanno Machida Hibiya Shibuya Toranomon WORK STYLING SHARE Ginza Hiroshima Roppongi Shimbashi Nagoya Promoting Open Innovation in the Life Science Domain Through a Rental Lab Ebisu Hamamatsucho WORK STYLING FLEX joint facility Shinagawa Shiodome Musashi Kosugi Toyosu and Office Business Shin-Yokohama Tamachi Kaihin-Makuhari Coming soon Osaki Osaka-Honmachi ne Report West Hakata * As of July 31, 2020 In May 2019, the Group launched a rental lab and office Furthermore, the business also contributes to boosting open KawasakiKawasaki KamataKamata Yokohama Station East business that provides integrated facilities featuring a innovation by leveraging the vast network the Group has built full-fledged wet lab* and office area in locations in the vicinity with LINK-J in the life science domain to support joint research of central Tokyo. In addition to advanced facilities that can cater with universities, medical institutions, and various types of for a wide range of research activities, units also include companies that are concentrated in central Tokyo. Services that Generate Open Innovation spaces that encourage communication between tenants, such *Lab facilities that are used to conduct experiments using liquids, gases, and as meeting rooms and lounges, providing a service that brings the like by researchers in fields such as drug development and regenerative In order to make WORK STYLING a venue for creating connections between people and companies, in addition to providing member medicine. business matching and support for collaboration between companies, initiatives supporting open innovation are also being expanded, together both the hard and soft aspects of business.

including the start of an intermediary service introducing members to leaders in specialist fields. Nippon Medical School

The University of Tokyo

Waseda University Juntendo Tokyo Medical and University Dental University

JST Nihonbashi Mitsui Fudosan/LINK-J

Keio University School of Pharmaceutical Medicine companies Tokyo Station AMED Finance Government (Tentative name) agencies PMDA Venture capital Mitsui Link Lab Patent and law Personalized Member Gain New Knowledge and Matching Service for firms KASAI St. Luke’s The Jikei National International Stylist Matching Through a Business Event Connections Through Matching Connecting with a Network of University Aoyama Gakuin Cancer Hospital University School of Stylist Collaboration Events Experts in Cutting-Edge Areas Medicine Center Japan

WORK STYLING supports the matching of Occasional events are held with the Theme Expert is WORK STYLING’s very members and member companies through business stylist at the center, including own expert network. It is a collection of the daily communication. It provides casual events aimed at enabling users to foremost experts in the latest business (Tentative name) Mitsui Link Lab businesspeople with a variety of network and collaborative events between trends and a variety of industries and SHINKIBA connections through methods such as specialist companies and experts aimed at business fields. Theme Expert, which matches members enhancing skills. This provides members with experts in cutting edge areas, and with a space to meet and learn. event coordination.

63 Integrated Report 2020 Integrated Report 2020 64 Business Report Retail Facilities

Competitive Advantages (Strengths) Portfolio

• Shopping center planning, development, sales, and operational expertise cultivated over approximately A Portfolio Covering Not Only Japan, but Also Other Asian Countries 40 years ● LaLaport Facilities in Operation ● MITSUI OUTLET PARK (MOP) • Network capabilities and long-term relationships achieved through approximately 2,400 tenant companies ● MOP SAPPORO and 8,300 tenant stores KITAHIROSHIMA

• A strong customer base comprising approximately 12 million Mitsui Shopping Park point card members ● MOP HOKURIKU OYABE LaLaport NUMAZU ● MOP JAZZ DREAM NAGASHIMA ● • Brand power and customer appeal through leading domestic brands including LaLaport and MITSUI OUTLET ● MOP ● LaLaport TOKYO-BAY ● LaLaport EXPOCITY SENDAI PORT ● Urban Dock Lapaport TOYOSU PARK ● LaLaport KASHIWANOHA Japan: ● LaLaport KOSHIEN 17 ● LaLaport YOKOHAMA ● LaLaport SHIN MISATO • Product planning capabilities that anticipate new customer needs and changes in consumption trends (e.g. ● MOP MARINE PIA KOBE ● LaLaport FUJIMI the shift from “consumption of things” to “experiences”) ● MOP KURASHIKI ● LaLaport EBINA ● LaLaport TACHIKAWA TACHIHI OverseasOverseas • A broad portfolio including diverse facilities over a wide area that extends to Asia (city center retail facilities, ● LaLaport SHONAN HIRATSUKA ● MOP KLIA SEPANG ● MOP IRUMA regional malls, outlet malls, lifestyle parks) ● MOP LINKOU ● MOP MAKUHARI ● Shanjing Outlet Plaza Ningbo ● MOP KISARAZU • An omni-channel platform built through the development of &mall, an “E-commerce mall linked to real ● MOP TAICHUNG PORT ● MOP TAMA MINAMI OSAWA ● MOP YOKOHAMA BAYSIDE ● LaLaport IZUMI ● LAZONA Kawasaki Plaza stores” (sales growth through synergies between &mall and real stores) LaLaport IWATA ● MOP OSAKA ● ● DiverCity Tokyo Plaza Japan: TSURUMI 13 ● MOP SHIGA RYUO ● LaLaport NAGOYA minato AQULS Overseas: 3 We Have Developed Diverse Facilities, Primarily Under the LaLaport*1 (As of March 31, 2020) Pick up! 2 and MITSUI OUTLET PARK* Brands Large-Scale Renewal Projects Retail Facility Revenue by Category Retail Facility Revenue (FY ended March 2020; non-consolidated) *Includes master-leased facilities Implementing Renewals Every Few Years in Line with the Needs of Customers and the Times No. of Stores Renewed/ ¥1.3 trillion (FY2019) Execution Period Facility name Location Total No. of Stores Other March-April 2019 LaLaport YOKOHAMA Yokohama, Kanagawa ≈ 53/270 Mitsui Shopping Park Point Card Members March 2019- LaLaport TOKYO-BAY Funabashi, Chiba ≈ 51/440 (10,000 members) March 2019- LaLaport KASHIWANOHA Kashiwa, Chiba ≈ 29/180 1,500 January-March 2020 Urban Dock LaLaport TOYOSU 1・2 Koto-ku, Tokyo ≈ 66/180 1,221 January-March 2020 LaLaport IZUMI Izumi, Osaka ≈ 39/210 ％ 0％ 0 ％ RAYARD MIYASHITA PARK 1,000 An Abundant Development Pipeline ne Report ％ 2％ Future Development in Japan and Other Parts of Asia 500 FY Store Floor Space Opened Project Name Location (Total Floor Space) 2019 Yomiuri Namiki-dori St. Building Chuo-ku, Tokyo (≈ 14,200 m2) LaLaport NUMAZU Numazu, Shizuoka ≈ 64,000 m2 0 2017 2018 2019 (FY) Shanjing Outlet Plaza・Ningbo (Phase3) Ningbo, China ≈ 10,300 m2 2 *1 Regional shopping centers promoted by Mitsui Fudosan that are centered around food supermarkets, bringing together apparel and lifestyle goods stores, entertainment venues, 2020 MITSUI OUTLET PARK YOKOHAMA BAYSIDE Reconstruction Plan Yokohama, Kanagawa (≈ 53,000 m ) restaurants, and other businesses. LaLaport TOYOSU 2 *2 Retail facilities that attract customers from over a wide area through a collection of restaurants and outlet stores for luxury, sports, fashion, and other brands Urban Dock LaLaport TOYOSU 3 (in TOYOSU Koto-ku, Tokyo ≈ 7,000 m BAYSIDE CROSS TOWER) RAYARD MIYASHITA PARK Shibuya-ku, Tokyo (≈ 23,900 m2) Pick up! Portfolio Expansion Has Increased Revenues and Rentable Floor Space LaLaport AICHI TOGO Aichi-gun, Aichi ≈ 63,900 m2 RAYARD Hisaya-odori Park Nagoya, Aichi (≈ 8,100 m2) Retail Facilities Revenue (consolidated) Retail Facilities Rentable Floor Space (consolidated) 2021 Fukuoka Seikaichiba Project Fukuoka, Fukuoka TBD (Billions of yen) (Thousand m2) 2 2 240.4 LaLaport SHANGHAI JINQIAO Shanghai, China ≈ 60,000 m 250 22 2,500 Lianhua Road Station Building Retail Facilities Shanghai, China ≈ 16,500 m2 2 2 2,204 MITSUI OUTLET PARK KLIA SEPANG (Phase 3) ≈ 10,200 m2 Selangor, Malaysia MITSUI OUTLET PARK YOKOHAMA BAYSIDE 200 2,000 LaLaport Kuala Lumpur Kuala Lumpur, Malaysia ≈ 82,600 m2 2022 Osaka Sakai Project Sakai, Osaka TBD 150 1,500 Osaka Kadoma Project Kadoma, Osaka TBD LaLaport TAICHUNG Taichung City, Taiwan ≈ 68,000 m2 100 1,000 LaLaport NANGANG Taipei City, Taiwan ≈ 70,000 m2 MITSUI OUTLET PARK TAINAN (Phase 1) Tainan City, Taiwan ≈ 33,000 m2 50 500 2023 HARUMI FLAG District 7 Project Chuo-ku,Tokyo TBD 2024 MITSUI OUTLET PARK LINKOU (Phase 2) New Taipei City, Taiwan ≈ 27,400 m2 2 0 2017 2018 2019 (FY) 0 2017 2018 2019 (FY) 2025 MITSUI OUTLET PARK TAINAN (Phase 2) Tainan City, Taiwan ≈ 12,000 m MITSUI OUTLET PARK TAICHUNG PORT Each FY opened and store floor space may change in the future. Some project names are tentative.

65 Integrated Report 2020 Integrated Report 2020 66 Business Report

Retail Facilities

TOPICS TOPICS Mitsui Shopping Park &mall Evolution Providing Spaces and Experiences of an “E-Commerce Mall Linked to Real Stores” Where Customers Can Spend an Enriching Time Keeping pace with the rapid changes in consumer shopping trends, in November 2017, Mitsui Fudosan Group established a fashion COREDO Muromachi Terrace—Providing a New Nihonbashi Experience E-commerce mall based on a new concept that enables enjoyment of the best parts of real store and online shopping at the same time. Under the Concept of “A Place to Spend Valuable Time” Through the synergistic effects of our omni-channel platform that integrates real stores with the advantages of an E-commerce mall, we are creating new shopping value together with customers and tenants. Visitors to COREDO Muromachi Terrace will feel a Mitsui Shopping Park &mall improves sales at stores by enabling sales of not only warehouse inventory, but also stock in real connection to the background stories of products and stores. Also store staff can use the E-commerce mall website to sell warehouse inventory when an item is out of stock at the store and experiences. By taking in the essence of the facility, avoid lost sales or to provide timely information about strong-selling items or fashion coordination proposals, empowering real stores they can enjoy new experiences in Nihonbashi through with the synergistic effects of omni-channeling. formal gatherings, hangouts, and relaxation. Product Eslite spectrum has been chosen as one of the 14 Local Available Stockout “coolest department stores in the world” and “the best bookstore in Asia,” and eslite spectrum Nihonbashi will be the chain’s first store in Japan, providing a platform for communicating creative, highly diverse cultural Check Network Inventory information. Direct Shipping Home

Warehouse COREDO Muromachi Terrace (Chuo-ku, Tokyo) MIYASHITA PARK—A New Mixed-Use Project Integrating a Park, Retail Facility and Hotel

&mall DESK—the New Service Connecting Our Online Presence (E-Commerce Site The development concept behind MIYASHITA PARK &mall) and Our Offline Retail Facilities was to seamlessly combine two different elements— “new inspirations and stories,” and “comfortable and &mall DESK adds a new dimension of convenience to the &mall platform. welcoming”—to realize a place where you can find Customers can drop by the &mall DESK and pick up products purchased at the new people, objects, experiences, and culture every &mall website, try on purchased apparel in the attached fitting room, and, if the time you visit. As a new mixed-use facility integrating size does not fit, exchange or return the item at the counter. Unlike conventional a park, retail facility, and hotel, it will generate E-commerce sites, &mall aims to be the online shopping choice of customers by excitement in Tokyo’s Shibuya neighborhood as a providing the opportunity to try on the actual item. hub for exchange and the transmission of culture. ne Report *Service available at 17 facilities including all LaLaport shopping centers, LAZONA Kawasaki Plaza and DiverCity Tokyo Plaza (as of March 2020).

Major Renewal of the Mitsui Shopping Park App RAYARD MIYASHITA PARK (Shibuya-ku, Tokyo) and Realization of Seamless Shopping Through ICT Hisaya-odori Park—Japan’s Largest Park-PFI Project Integrating a Park and Retail Stores

This project involves the establishment of 24 retail facilities in a park stretching one kilometer from north to south. It is the largest project in Japan to use the Park-PFI system* in which the facilities are operated and maintained together with the park. *A system in which business operators are appointed through a public offering to establish and manage facilities such as restaurants and stores in public parks while at the same time maintaining and renovating specified park facilities, such as surrounding paths and open spaces.

RAYARD Hisaya-odori Park (Nagoya, Aichi Prefecture)

67 Integrated Report 2020 Integrated Report 2020 68 Business Report Logistics

Competitive Advantages (Strengths) An Abundant Development Pipeline

• Development expertise as an integrated developer with a track record of advanced logistics facility Continuing to Expand, Primarily in Strategic Locations for Transport development cultivated through 40 projects in Japan, as the flagship brand of Mitsui Fudosan Logistics Park FY Project Name Location Total Floor (MFLP) Completed Space 20 MFIP Haneda Ota-ku, Tokyo ≈81,000m2 • Ability to make direct sales to cargo owners and relationships with tenants through a robust customer MFLP Hiroshima I Hiroshima, Hiroshima ≈71,900m2 base developed over long years of office, retail, and corporate real estate sales MFLP Kawasaki I* Kawasaki, Kanagawa ≈47,600m2

2 • MFLP quality which realizes industry top class customer satisfaction, including facilities that consider the MFLP Funabashi II Funabashi, Chiba ≈224,800m MFLP Kawaguchi I Kawaguchi, Saitama ≈54,800m2 needs of workers and operation capabilities cultivated through inhouse operational systems（recognized as the MFLP Hiratsuka II Hiratsuka, Kanagawa ≈50,000m2 No.1 brand by a Logi-Biz main 3PL satisfaction survey） MFLP Yokohama Kohoku Yokohama, Kanagawa ≈50,600m2

2 • Ability to propose logistics solutions that leverage ICT and other technology within the logistics industry, 2020 MFLP Tachikawa Tachihi Tachikawa, Tokyo ≈67,000m MFLP Osaka I Osaka, Osaka ≈48,300m2 MFIP Haneda MFLP Osaka Katano which is experiencing severe labor shortages (using MFLP ICT LABO 2.0, a logistics ICT experience showroom MFLP Yachiyo Katsutadai Yachiyo, Chiba ≈75,800m2 displaying the “Full Automation Logistics Model,” etc.) MFLP Tosu Tosu, Saga ≈35,300m2 202 MFLP Tokorozawa Iruma-gun, Saitama ≈21,300m2 MFLP Funabashi III Funabashi, Chiba ≈268,400m2 MFLP Osaka Katano Hirakata, Osaka ≈72,000m2 Ichikawa Shiohama Logistics Facility Development Project Ichikawa, Chiba ≈183,800m2 2022 MFLP Ebina Ebina, Kanagawa ≈124,400m2 Tokyo Rail Gate EAST Shinagawa-ku, Tokyo ≈175,000m2 Pick up! MFLP Quality Which Realizes Industry Top Class Customer Satisfaction Thai Bangpakong Project Bangpakong, Chachoengsao ≈160,000m2 202～ Thai Wangnoi Project Wangnoi, Ayutthaya ≈90,000m2 & Worker & Tenant & Community & Earth *B: 2019 /9 A: 2020/1 MFLP Ebina MFLP Yachiyo Katsutadai FY completed and total floor space may change in the future. Some project names are tentative.

TOPICS

Cafeteria and Retail Outlets Sophisticated Facility Space Creation of Interaction Space Solar Panel Installation Setting up where employees Taking into consideration A park opened to local Panels on the rooftops of Developing a Neighborhood Creation-Type Logistics Park can spend their time in employees’ work environment residents to promote facilities to supply power Customer satisfaction comfort formation of a new community easy on the environment survey covering the That is Contributing to the Revitalization of the Funabashi Area main 3PL Brand power Large-Scale Development in the Funabashi Area Including MFLP Funabashi I, II and III No.1 MFLP Funabashi &GATE *Based on a fiscal 2019 Enhanced shared spaces survey by Logi-Biz, a monthly Green space ne Report industry magazine Established Wi-Fi Environment BCP Measures Childcare Facility Use of LED Lighting Offering smooth Internet We support tenants’ BCP Supporting workers who are LED lighting that is connections within the from “soft” aspects, raising children considerate of high energy facility including implementing efficiency and saves running MFLP Funabashi III periodical disaster readiness costs drills Cafeteria Childcare facility (image) Exterior view of MFLP Funabashi II MFLP Portfolio Funabashi I MFLP Funabashi II

2 Actively Advancing Facility Development, Particularly in Metropolitan Tokyo Sky Deck Fitness gym Green space: Approx. 20,000 m Site Map of MFLP Funabashi I, II and III

Saitama Aichi MFLP Yashio MFLP Prologis Park Kawagoe Total facilities under development or Opened MFLP ICT LABO 2.0, a Logistics ICT Experience Showroom MFLP Komaki MFLP Kuki MFLP Kawaguchi Ⅰ MFLP Inazawa MFLP Tokorozawa (In development) operation in Japan and overseas at MFLP Funabashi &GATE Tokyo • A logistics ICT experience showroom displaying the Osaka MFLP Hino MFLP Tachikawa Tachihi MFLP Sakai ’ MFLP Haneda Tokyo Rail Gate EAST（In development） “Industry s first” no human hands required “Full MFLP Ibaraki 40 Automation Logistics Model” MFLP Osaka I Ibaraki MFLP Osaka Katano (In development) MFLP Tsukuba Total floor space • The permanent exhibition in Japan is the first time to Chiba exhibit about 30 types of latest logistics ICT-related Hiroshima GLP/MFLP Ichikawa Shiohama MFLP Yachiyo Katsutadai (In development) MFLP Hiroshima I ● ● MFLP Funabashi Nishiura MFLP Funabashi III (In development) 2 equipment, including transport robots ●● MFLP Kashiwa Ichikawa Shiohama Logistics Facility Development ● Approx. million m ● MFLP Funabashi I Project (In development) (tentative name) 3.6 Fukuoka ● MFLP Funabashi II • Strengthen solution proposals that utilize ICT to address MFLP Fukuoka I ● issues including labor shortages ● ● Cumulative total investment Saga Kanagawa MFLP Tosu（In development） MFLP Yokohama Daikoku MFLP Atsugi II MFLP Yokohama Kohoku MFLP Atsugi MFLP Kawasaki I MFLP Ebina (In development) MFLP Hiratsuka MFLP Hiratsuka II Approx. ¥570.0 billion MFLP ICT LABO 2.0 at MFLP Funabashi &GATE (As of June 30, 2020)

69 Integrated Report 2020 Integrated Report 2020 70 Business Report Housing (Homes and Living)

Competitive Advantages (Strengths) Property Sales (Property Sales Segment)

Representative Products and Brands • Group collective capabilities meeting diverse needs related to homes and living Planning and development capabilities for realizing a product lineup of city center, large-scale, and Condominiums Condominiums Detached • Housing redevelopment (to individuals) (to investors) • Rich product lineup and brand power catering for a wide range of needs in the condominium, detached housing, and rental housing businesses, such as high-grade, large-scale and rental condominiums • Property management and operating capabilities providing high quality services to meet the diverse needs of property owners, and tenants Condominiums (to individuals) • Planning and proposal capabilities that meet the diverse needs of customers of brokerage business (Mitsui Fudosan Realty) that has been No. 1 in Japan for the number of sales for 34 consecutive years Maintaining high profit margins and contract rates through a product lineup centered on city center, large-scale, and redevelopment • Track record and technological capabilities of a new construction under consignment business (Mitsui Home) that has delivered approximately 240,000 new buildings over 46 years, with a focus on Sales by Brand (condominiums) (FY ended March 2020) Sales by Region (condominiums) (FY ended March 2020) made-to-order properties Middle-grade High-grade Other regions Metropolitan Tokyo • Proposal and design capabilities that provide high added value in the space design, reform, and renewal fields condominiums condominiums • Network and customer base through Mitsui Housing Loop, which has around 240,000 members Kansai & Chubu 10% 2% 21% 28% Large-scale developments % 51% 88

Pick up! The Group’s Collective Capabilities Can Respond to Diverse Needs Related to Homes and Living Property Sales Condominiums In order to meet customer’s diverse needs, the Group leverages a foundation of value creation and customer care Revenue from Operations and OP Margin Units Booked, Year-End Inventories, and Average Sales Price capabilities cultivated by each Group company while further strengthening collaboration across the Group so that we can Revenue from operations (left axis) Operating margin (right axis) Units booked (left axis) Year-end inventories (left axis) Average sales price (right axis) provide high added value solutions. (Billions of yen) (%) (Units) (Millions of yen) 11.3 50 11.0 12.0 7,000 6,557 100 9.7 9.3 Condominium Unit Sales Condominium Units Rental Housing Units for Brokered Sales 9.0 6,000 5,455 77 74 40 8.1 4,956 5,200 80 Under Management Lease Under Management 9.0 4,512 4,858 67 6.6 30.6 31.1 29.6 5,000 4,391 30 26.7 26.6 3,707 60 Approx. Approx. Approx. Approx. 5.4 23.9 4,000 58 3,283 3,194 4.0 6.0 51 53 22.7 ne Report 20 3.1 15.3 3,000 49 47 48 45 40 230,000 280,000 140,000 43,000 3.0 2,000 10 9.7 10.2 638 20 *Figure from 1984 onward and excludes 1,000 380 223 170 83 88 321 108 141 128 share of sales in joint projects 0 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 (FY) 0 0 201120102012 2013 20152014 2016 2017 2018 2019 (FY) 0

Major Large-Scale Projects/Higher-end Projects Land Bank (Condominiums) FY to be Total No. Reported Project Name Location of Units Sold* (incl. redevelopment projects in the planning phase) Property Sales Management Other 2019 Park Court NOGIZAKA The Tower Minato-ku, Tokyo ≈40 Park Tower Harumi Chuo-ku, Tokyo ≈1,100 Property sales To Investors Brokerage (Domestic) New Construction Approx. Park Court Hamarikyu The Tower Minato-ku, Tokyo ≈360 Property Management Under 2020 Park City Musashi-Koyama The Tower Shinagawa-ku, Tokyo ≈500 To Corporations To Corporations To Individuals Consignment To Individuals 28,000 units The Tower Yokohama Kitanaka Yokohama, Kanagawa ≈1,100 MID TOWER GRAND Chuo-ku, Tokyo ≈390 Condominiums As of March 31, 2020 THE COURT Jingu-Gaien Shibuya-ku, Tokyo ≈180 Housing Kosugi 3rd Avenue The Residence Kawasaki, Kanagawa ≈460 Detached Park Court SHIBUYA The Tower Shibuya-ku, Tokyo ≈350 Housing 2021 Park Court BUNKYO KOISHIKAWA The Tower Bunkyo-ku, Tokyo ≈400 Park Court Toranomon Minato-ku, Tokyo ≈120 Management and operation New construction under Business Residential Brokering service for real 2022～ SHIROKANE THE SKY Minato-ku, Tokyo ≈770 of condominiums and consignment, including Description property sales rental housing estate such as homes made-to-order homes Chiyoda-ku Yonbancho Project Chiyoda-ku, Tokyo ≈150 Shibuya-ku Sendagaya 4-chome Project Shibuya-ku, Tokyo ≈400 Mitsui Fudosan Residential HARUMI FLAG Chuo-ku, Tokyo ≈4,150 Service Co., Ltd. Park Tower KACHIDOKI Chuo-ku, Tokyo ≈2,250 Main Relevant Mitsui Fudosan Mitsui Fudosan Mitsui Home Mitsui Fudosan Residential Compay Residential Co., Ltd. Realty Co., Ltd. Co., Ltd. Minato-ku Mita 1-chome Project Minato-ku, Tokyo TBD Lease Co., Ltd. 5-chome Nishishinjuku Central South District Project Shinjuku-ku, Tokyo ≈450 MITSUI HOME ESTATE Co., Ltd. Omiya Nishiguchi 3-B District Project Saitama, Saitama ≈400 Kitaguchi District Project Edogawa-ku, Tokyo ≈510 Park Tower Harumi The Tower FY to be reported and total number of units sold may change in the future. Yokohama Kitanaka Some project names are tentative. * The total number of units is before taking into account the Company’s share.

71 Integrated Report 2020 Integrated Report 2020 72 Business Report New Construction Under Consignment (Other Segment) Housing (Homes and Living) Buildings Delivered Mitsui Home, which is responsible for new construction under consignment, has delivered over 240,000 new buildings, Over particularly made-to-order homes, over 45 years. It is a leading Property Management (Management Segment) company using the 2x4 (timber frame) construction method 240,000 which offers exceptional performance in key areas such as *Cumulative total over the past 46 years Condominium Units Under Management Number of Rental Housing Units for earthquake resistance and thermal insulation. Lease Under Management In addition to homes, it is also actively taking on construction Large-Scale consignments for large-scale facilities and overseas projects. Approx. 280,000 Approx. 140,000 units Facilities Delivered In regard to large-scale wooden facility construction (nursing care and welfare facilities, educational and childcare facilities, We leverage the Group’s collective capabilities, as well as We provide rental condominium operation and brokerage-related Over healthcare facilities, etc.), it has delivered a cumulative total of expertise cultivated through a track record spanning many years, services that benefit both property owners and tenants. over 5,000 buildings that leverage the characteristics of wood to to provide condominium management services. 5,000 deliver resistance to fire and earthquakes combined with high quality design.

Mitsui Fudosan Residential Service Group Rental Housing Units for Lease Under Management Number of Condominium Units Under Management

(Units) (Units) 00000 22 0000 129,580 132,533 2 2 202 2 2 121,247 125,758 22 202 112,387 117,558 20000 108,050 200000 TOPICS 000 000 00000 New MITSUI Designtec Co., Ltd. to Launch on October 1, 2020 000

0 202 2020 20 20 20 20 20 (FY) 0 202 2020 20 20 20 20 20 (FY) Mitsui Designtec Co., Ltd. and Mitsui Fudosan Reform Co., Ltd., two companies that provide services centered on reform, renewal, and space design for business and daily lifestyles, will be merged on October 1, 2020, to launch a new company, MITSUI Designtec Co., Ltd. The new company will be able to draw on and combine the design capabilities that Brokerage (Management Segment) make up both companies’ strengths in fields such as homes, offices, and hotels to create ideas and proposals that transcend previous boundaries. It will provide high levels of customer satisfaction through services that can broadly cater No.1 for Number of Real Estate Sales Brokerage Market （FY ended March 2020） Fee/ Transactions Transaction Number of to all customers, whether individuals or corporations and regardless of area, and enhance Revenue (Units) Volume stores (Billions (Billions added value through integrated proposals that include reform and interiors. Brokered Nationwide for 34* of yen) of yen) Consecutive years 1 Mitsui Fudosan Realty Co., Ltd. 84.9 42,818 1,783.2 282 ne Report Mitsui Fudosan Realty is realizing safe and 2 Company A 0 2 2 reliable deals that meet the needs of diverse customers in areas such as real estate sales, Company B 22 2 0 purchases, rental, and usage. *From FY1986 to FY2019 Company C 2 2

Company D 202 2 2 TOPICS Source: Real Estate Economic Institute（ As of May 29, 2020） t Reoe Mitsui Housing Loop –Providing One-stop Solutions for Homes and Living

Members Providing comfortable and economical services Customer base for people living in Mitsui homes. Arrangement of Car Park and Car Sharing Businesses That Support Enriching Lifestyles lifestyle-related of approximately services Vehicles Under Management Members 240,000 people Special offers on consumer SPECIAL Approx. 260,000 Approx. 110,000 Mitsui Housing Loop Members electronics and Home reform and food products cleaning 220 Since it was launched in 1994, Mitsui Car Park Leasing has We are expanding the car sharing 20000 HOUSE 2 SHOPPING developed a business operating car parks all over Japan. business, centered on Mitsui 200000 020 It has contributed to dynamic neighborhood creation by Repark locations in the Tokyo Housework Special offers at providing car park management support services that enable land metropolitan and Kansai areas. 0000 services Mitsui Fudosan properties to be used effectively. Careco features a full line-up of vehicles, including minivans and 00000 ROOM TOWN Mercedes Benzes. 0000 Special offers on Special offers at accommodation t ar ar eang kitchen-related 0 April 2018 April 2019 April 2020 goods facilities KITCHEN TRAVEL

73 Integrated Report 2020 Integrated Report 2020 74 Business Report Hotels and Resorts

Competitive Advantages (Strengths) Portfolio

Operating Hotels and Resorts in Japan and Abroad Offering Approximately • Nine hotel and resort brands that meet the diverse needs of customers, from luxury hotels which contribute to the attractiveness of the neighborhood to high 10,000 Guest Rooms Aichi Hokkaido quality hotels for customers just looking for a place to stay Mitsui Garden Hotel Nagoya Premier Mitsui Garden Hotel Sapporo • An inhouse operational base comprising approximately 10,000 guest rooms at Mie Mitsui Garden Hotel Sapporo West 39 facilities and a network of over 400,000 members AMANEMU Miyagi Toba Kokusai Hotel Mitsui Garden Hotel Sendai • Ability to leverage the Group’s retail facility network to attract appealing NEMU RESORT Chiba restaurant tenants to each facility Kyoto Mitsui Garden Hotel Kashiwa-no-ha • Provision of unique concept, design, and services for each facility that leverage HOTEL THE CELESTINE KYOTO GION Mitsui Garden Hotel PRANA Tokyo Bay Mitsui Garden Hotel Kyoto Shinmachi Bettei Ishikawa Mitsui Garden Hotel Chiba local culture and history Mitsui Garden Hotel Kyoto Station Front Mitsui Garden Hotel Refined hospitality realized through diverse human resources and training Mitsui Garden Hotel Kyoto Sanjo Kanazawa Tokyo Mitsui Garden Hotel Nihonbashi Premier • Mitsui Garden Hotel Kyoto Shijo HOTEL THE CELESTINE GINZA programs HOTEL THE CELESTINE TOKYO SHIBA Osaka Mitsui Garden Hotel Ginza Premier Unique “a breakfast to look forward to” that features local specialties Mitsui Garden Hotel Osaka Premier • Millennium Mitsui Garden Hotel Tokyo Mitsui Garden Hotel Osaka Yodoyabashi • Highly trustworthy sanitation management in partnership with ECOLAB Mitsui Garden Hotel Nihonbashi Premier Okayama Mitsui Garden Hotel Roppongi Premier Mitsui Garden Hotel Mitsui Garden Hotel Jingugaien Tokyo Premier Okayama Mitsui Garden Hotel Otemachi Hiroshima Mitsui Garden Hotel Kyobashi Mitsui Garden Hotel Hiroshima Mitsui Garden Hotel Ginza-gochome Pick up! Kumamoto Launching More New Brands Mitsui Garden Hotel Shiodome Italia-gai Mitsui Garden Hotel Kumamoto Mitsui Garden Hotel Ueno HOTEL THE MITSUI KYOTO sequence Fukuoka Mitsui Garden Hotel Gotanda Mitsui Garden Hotel Jingugaien Mitsui Garden Hotel Fukuoka Gion Tokyo Premier

Hotels and Guest Rooms (including overseas) Hawaii (Oahu) Halekurani Hawai 39 hotels Okinawa Helepuna WAIKIKI Halekurani Okinawa 9,730 rooms HAIMURUBUSHI (Kohama Island) HOTEL THE CELESTINE KYOTO GION (As of June 31, 2020) One of Japan’s finest luxury hotels that pursues true A new-style hotel that will provide open and receptive Japanese beauty and hospitality guests with opportunities for diverse experiences An Abundant Development Pipeline Business Report Pick up! Sanitation Management and Avoiding the Three C’s Developing a Variety of Brands to Meet the Needs of a Wide Range of Customers We have formulated new operational guidelines for hotel brands operated by Mitsui Fudosan Hotel Management, including THE CELESTINE HOTELS, Mitsui Garden Hotels, FY No. of Mitsui Fudosan Hotel Management Opened Project Name Location Rooms and sequence. These guidelines provide instructions on cleaning procedures and sanitation Group Sanitation Management 2019 Mitsui Garden Hotel Fukuoka Gion Fukuoka, Fukuoka ≈ 300 management that incorporate a scientific approach and highly trustworthy expertise from and Avoiding the Three C’s Halekulani Okinawa Kunigami-gun, Okinawa ≈ 360 ECOLAB*, a global leader in sanitation and infection prevention solutions. Mitsui Garden Hotel Kyoto Station Front Kyoto, Kyoto ≈ 140 *ECOLAB is a leading global company providing solutions related to sanitation management, water, food safety, and other areas to For providing guests with a safe and comfortable stay Mitsui Garden Hotel Ginza-gochome Chuo-ku, Tokyo ≈ 340 over 40 industries in 170 countries around the world. Mitsui Garden Hotel Jingugaien Tokyo Premier Shinjuku-ku, Tokyo ≈ 360 Mitsui Garden Hotel Roppongi Premier Minato-ku, Tokyo ≈ 260 Mitsui Garden Hotel Sapporo West Sapporo, Hokkaido ≈ 170 Pick up! “A Breakfast to Look Forward To” at Mitsui Garden Hotels 2020 Mitsui Garden Hotel Fukuoka Nakasu Fukuoka, Fukuoka ≈ 260 Mitsui Garden Hotel Kyoto Shijo* Kyoto, Kyoto ≈ 350 sequence MIYASHITA PARK Shibuya-ku, Tokyo ≈ 240 and THE CELESTINE HOTELS sequence KYOTO GOJO We provide “a breakfast to look forward to” that incorporates carefully selected ingredients and local specialties to sequence KYOTO GOJO Kyoto, Kyoto ≈ 210 realize meals overflowing with originality. Mitsui Garden Hotel Toyosu BAYSIDE CROSS Koto-Ku, Tokyo ≈ 230 Four Seasons Hotel Tokyo at Otemachi (Otemachi One) Chiyoda-ku, Tokyo ≈ 190 MGH Mitsui Garden Hotel Taipei Zhongxiao Taipei City, Taiwan ≈ 300 Mitsui Garden Hotel Kyoto Kawaramachi Jokyoji Kyoto, Kyoto ≈ 170 HOTEL THE MITSUI KYOTO Kyoto, Kyoto ≈ 160 sequence SUIDOBASHI Chiyoda-ku, Tokyo ≈ 120 2021~ Zhongshan Zhongxiao Hotel Project Taipei City, Taiwan ≈ 350 The Bvlgari Hotel Tokyo (Yaesu 2nd District North Project) Chuo-ku, Tokyo ≈ 100 Dunhua North Road Bridge Project Taipei City, Taiwan ≈ 180 Hakone Project Ashigarashimo-gun Kanagawa TBD Nihonbashi Premier Gion Fukuoka Breakfast competitions judged by ， Traditional Kaga-style cuisine for elegant mornings A traditional Japanese breakfast that weaves together guests * The extension building has approximately 70 rooms of 350, will open in July 2020. Mitsui Garden Hotel Toyosu BAYSIDE CROSS on your trip the flavors of Kyushu and Fukuoka FY to be opened and number of rooms may change in the future. Some project names are tentative. Kashiwa-no-ha (grand prize winner of the third competition)

75 Integrated Report 2020 Integrated Report 2020 76 CLOSE- UP Dramatically Growing the Overseas Business

Overseas Strategy Overseas Partnership Strategy Basic Overseas Business Policies Advancing business in each region with approximately 50 partner companies Ananda UDA Holdings Related, Oxford Properties Urban Visions Advance neighborhood Leverage Group strengths Promote further localization creation-style development to expand overseas

The Mitsui Fudosan Group’s Strengths ● Engaged in every asset class Overseas Partnership Strategy (Offices, retail facilities, housing, hotels, logistics, etc.) ● Strengthen relationships with Ideo Mobi Asoke LaLaport Kuala Lumpur ● Extensive value chain existing partners (Investment, development, ● Accelerate the cultivation of new Stanhope operations, leasing, and sales) partnerships 55 Hudson Yards 50 Hudson Yards Project West Edge Tower ● Development capabilities necessary for creating neighborhoods Greentown Group

Television Centre Redevelopment Project (London) Ming Yue Lan Ting ne Report The Mitsui Fudosan Group’s Strengths Promote Further Localization Products in every segment, an extensive value chain, and A history of over 30 years in each region neighborhood creation-style development capabilities Mitsui Fudosan America, Inc. Mitsui Fudosan (U.K.) Ltd. Mitsui Fudosan (Asia) Pte. Ltd. Mitsui Fudosan (USA) established Established in 1990 TID Pte. Ltd. established through joint venture Investment Office in 1973 in 1972 Buildings Over 40 years 30 years Over 40 years

Hotels & Retail Sales Development Resorts Engaged in Facilities Extensive Recruitment that is conscious of the local business community every value chain asset class John Westerfield 1985 Graduated from Harvard Business School CEO of Mitsui Fudosan 1985-2008 Worked at Morgan Stanley, most notably as Leasing Operations America, Inc. Managing Director in charge of real estate Logistic Housing finance Facilities Value creation through 2012 Senior Advisor to MFA’s BOD at Mitsui neighborhood creation-style Fudosan America, Inc. development 2015 CEO of Mitsui Fudosan America, Inc.

77 Integrated Report 2020 Integrated Report 2020 78 CLOSE- UP Dramatically Growing the Overseas Business

Area Strategy An Abundant Development Pipeline Europe and North America Asia Major New Projects in North America and Europe Develop with a focus on Develop with a focus on Office/Rental Housing office and rental housing condominium sales and retail Expected Total Floor Space business in a mature, highly facility business that takes Completion Location Type Project Name or Units transparent and liquid real into account growth in the 2019 San Francisco Rental Housing The Landing (former 22 Texas) ≈ 260 estate market. Chinese and Asian markets 2020 Arlington Rental Housing J-SOL (former 4000 North Fairfax Drive) ≈ 320 2021 ≈ 160 driven by rising consumer Los Angeles Rental Housing 5750 Hollywood Boulevard Washington, D.C. The Silva (former 1630 Colombia Road) ≈ 170 spending and advancing Denver Denargo Market III ≈ 330 8th Figueroa urbanization. San Francisco 830 Eddy Street ≈ 130 Maryland Maizon Bethesda ≈ 220 Boston Office Innovation Square Phase II ≈ 28,400m2 2021~ Seattle Rental Housing Yesler Terrace ≈ 550 50 Hudson Yards Project 2022 New York Office 50 Hudson Yards Project ≈ 264,000m2 Development Areas Boston Rental Housing 290 Revolution Drive ≈ 320 Washington, D.C. Museum Place ≈ 480 2022~ Walnut Creek Rental Housing Walnut Creek Transit Village ≈ 590 2023 Los Angeles Rental Housing 8th Figueroa ≈ 430 NORTH AMERICA 2023~ San Francisco Office Brannan Square ≈ 112,000m2 EUROPE New York ● London Condominiums Innovation Square Phase II 2020 Alexandria Robinson Landing ≈ 90 ASIA ● ● Beijing Guangzhou San Francisco ● 2021 New York 200 Amsterdam Avenue Project ≈ 110 ● TBD London Television Centre Redevelopment Project (Phase 2) ≈ 500 Bangkok ● Shanghai Los Angeles ●● ● Taipei Each expected completion, rentable floor space and total number of units may change in the future. Some project names are tentative. ● Honolulu ● The total number of units is before taking into account the Company’s share. ● Kuala Lumpur ● Hong Kong Singapore Major New Projects in Asia Office/Retail/Hotel/Logistics/Rental Housing/SA Brannan Square Expected Floor or Store opening Location Type Project Name Space/Rooms/Units 2019 China Ningbo Retail SHANJING OUTLET PLAZA・NINGBO(Phase3) ≈ 10,300m2 ●Business locations 2020 Taiwan Taipei City Hotel MGH Mitsui Garden Hotel Taipei Zhongxiao ≈ 300 ●Business areas 2020~ Thailand Bangkok SA Lyf Sukhumvit 8 etc. ≈ 1,400 2021 China Shanghai City Retail LaLaport Shanghai Jinqiao ≈ 60,000m2 China Shanghai City Lianhua Road Station Building Retail Facilities ≈ 16,500m2 Malaysia Selangor MITSUI OUTLET PARK KLIA SEPANG (Phase 3) ≈ 10,200m2 Malaysia Kuala Lumpur LaLaport Kuala Lumpur ≈ 82,600m2 Thailand Pattaya SA Somerset Blue Coast ≈ 320 ne Report Overseas Business Status 2021~ Thailand Chachoengsao Logistics Bangpakong Project ≈ 160,000m2 Thailand Ayutthaya Wangnoi Project ≈ 90,000m2 Lianhua Road Station Building 2022 Taiwan Taipei City Hotel Zhongshan Zhongxiao Hotel Project ≈ 350 Retail Facilities Operating Income Target for Around FY2025: 30% of Total Group Taiwan Taichung City Retail LaLaport TAICHUNG ≈ 68,000m2 Taiwan Taipei City LaLaport Nangang ≈ 70,000m2 Operating Income Taiwan Tainan City MITSUI OUTLET PARK TAINAN (Phase 1) ≈ 33,000m2 2022~ India Bangalore Office RMZ Ecoworld 30 ≈ 426,400m2 Breakdown of Overseas Assets Overseas Income as Part of Total Group Income 2023 Malaysia Kuala Lumpur Rental Housing BBCC Project ≈ 260 2024 Taiwan Taipei City Hotel Dunhua North Road Hotel Project ≈ 180 Ratio of overseas income* (left axis) Total overseas income (right axis) Taiwan New Taipei City Retail MITSUI OUTLET PARK LINKOU(Phase2) ≈ 27,400m2 2 China and Asia 17% (%) 55.4 (Billions of yen) 2025 Taiwan Tainan city Retail MITSUI OUTLET PARK TAINAN (Phase2) ≈ 12,000m 20.0 19.8 60 Condominiums FY ended March Overseas 50 LaLaport Nangang 2020 Europe 11% 15.0 2019 Thailand Bangkok Elio Del Moss etc. ≈ 3,300 Total Assets 40 % USA 72% 27.5 2020 China Suzhou City Ming Yue Lan Ting ≈ 940 ¥7,395.3 bn 18.4 10.0 30 19.8 18.2 Singapore Forest Woods ≈ 510 9.6 20 Thailand Bangkok Elio Del Nest etc. ≈ 5,500 5.0 2021 Taiwan New Taipei City Sanchong Zhongxing Bridge Project ≈ 130 8.3 7.2 10 Domestic 81.6% Thailand Bangkok Ideo Rama 9 ≈ 1,200 0 2016 2017 2018 2019 (FY) 0 Singapore The Jovell ≈ 420 2021~ Philippines Quezon City The Arton * Total overseas income ÷ (consolidated operating income + pro forma ≈ 1,600 2022 China Nantong City Nantong Hong Jiang Lu Project operating income of overseas affiliates) x 100 ≈ 1,300 RMZ Ecoworld 30 Singapore Piamont Grand This is calculated by multiplying the operating income or the amount ≈ 820 Thailand Bangkok Ideo Charan70 etc. equivalent to operating income of each overseas equity method ≈ 3,900 2023 Malaysia Kuala Lumpur Conlay Place affiliated company by the Company’s equity interest. The amount ≈ 490 equivalent to operating income is the amount of profit calculated on a Singapore One North Gateway ≈ 160 simplified basis after taking into consideration the tax burden. China Jiaxing City Poyuewan ≈ 1,200 * Indonesia Tangerang Citra Raya ≈ 2,300 *Development in some stages Each expected completion or opening, store floor space, and total number of units may change in the future. Some project names are tentative. The total number of units is before taking into account the Company’s share.

79 Integrated Report 2020 Integrated Report 2020 80 CLOSE- Joint Value Creation Model with UP Investors and Sources of Revenue

Joint Value Creation Model with Investors

Realizing Sustainable Growth Through an Optimum Combination of Leasing, Assets Under Management (As of March 31, 2020) (Trillions of yen) 3.92 3.98 Property Sales, and Management 3.73 4.0 3.42 3.47 3.61 3.19 3.32 2.80 2.93 3.0 A diverse range of potential buyers 2.0 Mitsui Fudosan Group’s Asset sales AUM: high quality real estate n properte asset stock AUM: 1.0 Property Sales Cash flow from sales AUM: (Structures and manages private funds) n 0.0 2019201820172016201520142013201220112010 (FY) 2 n 2 properte AUM: AUM: Private Funds Management n 2 % % 0 n properte 0 properte 28 28 Leasing Management Fee AUM: Originators 8% 202 n properte * Total asset scale (on an acquisition price basis) and the number of properties held as of 23% Rents Leases % March 31, 2020 8 5%

Extensive customer base (Office tenants: 3,000 companies, Advancing asset sales through balance sheet controls and Retail tenants: 2,400 companies) Property Sales manifesting unrealized gains

Change in gains on sales Change in gains on sales A. Rental Properties B. Real Property for Sale (tangible and intangible Mitsui Fudosan Group’s high quality real estate asset stock (for property sales to investors) (Billions of yen) fixed assets) (Billions of yen) 94.8 100 100 ¥3,171.1 billion Unrealized gain Unrealized gain 75 63.3 633 2 tron tron 54.1 Growth of Income Gains 50 34.6 Tangible and intangible A. Rental Properties 18.7 20.5 Other tangible (For holding and leasing: 25 6.4 10.6 8.3 fixed assets ● Enjoy stable rent from operating assets (Leasing) Under Under 5.4 and intangible tangible and intangible Developing ● Realize stable growth in management income by Developing 0 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 (FY) fixed assets 8% fixed assets) Total assets expanding assets under management (Management) % % 14 Periodic 29 ¥7,395.3 billion Overseas Book value at portfolio Book value at Examples of assets sold in the past Real property Creation of Capital gain 9% the end of review the end of Others March 2020 March 2020 Timing Use Project Name Yield* for sale B. Real Property for Sale Realization of ● Promotion of asset sales and realization of unrealized FY2015 Office Yokohama Creation Square – (For sale: for property unrealized FY2016 Logistics Nine logistics facility buildings 4.5%~5.4% 23% ¥1,189.6 ¥3,171.1 billion* ¥1,189.6 billion* sales to investors) gains in consideration of the appropriate BS size gain through Office Ueno East Tower 4.0% billion Retail LaLaport SHIN MISATO 4.9% ne Report 10% through BS control sales Overseas FY2017 Logistics MFLP Hino 4.2% Real property for sale DomesticDomestic DomesticDomestic Office Osaki Bright Core 3.2% (for property sales to individuals) 17% Office Celestine Shiba Mitsui Building 3.7% 77% 54% Office Roppongi T-CUBE 3.3% Office – Operating Asset Operating Asset FY2018 70 Mark Lane (UK) Logistics Six logistics facility buildings 4.2%~4.9% Expected NOI yield Expected NOI yield Office G-BASE Tamachi 3.2% Domestic Domestic Retail IKEBUKURO GLOBE 3.8% 3.6% Overseas 2 Overseas Retail SAKAE GLOBE Retail Shinsaibashi MG Building 3.3% FY2019 Office Osaki Bright Core・ 3.2% Bright Plaza Leasing Enjoying stable rent from operating assets *1 Asset breakdown *2 Asset breakdown Logistics Three logistics facility buildings 4.3%~4.9% Retail TENJIN216 3.6% Domestic Over- Under Domestic Over- Under Devel- Total Devel- *3 Describes the direct reduction yield based on the appraisal seas Rental seas Total Office Retail Other oping Office Retail Logistic Housing Other oping value of the property, disclosed at the seller. A. Rental Properties B. Real Property for Sale Trends of Operating Income in Rental Segment (A+B) 61% 12% 4% 9% 14% 100% 24% 9% 13% 7% 1% 17% 29% 100% (tangible and intangible fixed assets) (for property sales to investors) (Billions of yen) 150 145.8 Under 141.9 Developing 138.3 140 135.7 Overseas Under Realizing stable growth in management income by expanding 14% Developing % 9% 29 Management Book value at Book value at 130 124.1 assets under management the end of the end of Management Segment Operating Income March 2020 March 2020 120 Properties Under Management (Billions of yen) Property Management Brokerage, Asset Management, etc. ¥3,171.1 billion ¥1,189.6 billion 109.2 107.8 60 110 104.3 Office buildings 0 Overseas 50 21.2 23.2 22.8 Domestic Domestic Retail facilities 2 22.1 20.8 22.4 19.8 17% 100 95.6 ndng a 40 15.1 77% 54% 10.5 *Figures for FY2018 and earlier 88.9 Condominiums 22 30 10.2 exclude operating income from Operating Asset Operating Asset 90 leasing management of the old Rental housing 20 26.4 27.8 28.5 29.9 32.5 28.9 31.9 32.7 Expected NOI yield Expected NOI yield 21.9 23.7 segment “Mitsui Home” 10 Domestic Domestic 80 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 (FY) *As of February 29, 2020 In the FY2019, calculating based Overseas 2 Overseas 0 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 (FY) on the value after recombination

81 Integrated Report 2020 Integrated Report 2020 82 Data Section 84 90 275 4.18 7.74 1.45 32.6 36.9 20 44.00 272.8 519.5 5,412 20,864 91,434 87,094 188.35 979,250 280,617 258,510 183,972 379,279 467,751 179,472 2,480.36 (532,806) 1,905,642 7,395,359 1,907,839 3,753,141 3,481,117 2,408,679 Integrated Report 2020 (Millions of yen) (Millions of 78 255 4.44 7.42 1.24 34.4 35.1 20 171.3 44.00 268.7 508.6 5,942 79,034 19,081 2,384.8 262,147 254,106 168,661 390,514 216,709 231,238 157,682 991,424 (388,895) 6,802,731 1,630,558 3,500,482 2,906,610 2,342,512 ¥1,861,195 71 242 4.58 7.44 1.18 35.1 35.0 20 157.7 40.00 257.2 501.6 4,659 18,625 70,167 30,143 2,231.1 245,902 240,341 155,874 440,752 289,150 100,708 991,424 (365,464) 6,284,723 1,524,863 3,318,928 2,604,656 2,204,882 ¥1,751,114 67 216 4.59 6.75 1.15 35.7 25.5 20 133.4 34.00 252.4 502.3 5,074 71,357 15,071 17,713 2,008.4 232,698 219,607 131,815 173,745 227,432 148,546 991,424 (201,583) 5,551,751 1,334,167 2,967,788 2,287,489 1,984,635 ¥1,704,416 64 211 4.14 6.20 1.16 35.8 25.2 20 119.1 30.00 241.4 486.5 5,044 67,460 32,154 17,205 1,945.4 202,482 182,521 117,722 207,172 201,110 109,966 991,424 (239,719) 5,363,477 1,167,745 2,968,975 2,226,236 1,922,305 ¥1,567,969 56 201 4.10 6.37 1.06 36.9 24.1 20 103.8 25.00 226.6 469.2 4,719 16,799 61,242 30,343 1,894.3 186,074 163,373 100,185 273,487 221,508 118,960 991,424 (261,640) 5,067,187 1,031,080 2,788,633 1,976,150 1,871,922 ¥1,529,036 52 181 87.5 4.07 6.26 1.60 28.0 25.1 20 22.00 217.7 448.4 5,176 16,585 76,843 56,030 1,451.1 172,567 144,587 961,449 148,255 189,903 127,337 881,424 (44,056) (123,713) 4,548,822 2,526,139 2,040,071 1,274,355 ¥1,515,252 47 174 3.66 5.27 1.80 26.9 32.5 67.6 202 22.00 210.1 393.5 4,683 16,377 59,451 72,355 59,022 99,684 (7,944) 1,344.9 881,424 915,222 148,184 123,066 101,588 (71,132) 4,390,074 2,503,977 2,120,225 1,181,174 ¥1,445,644 45 140 3.55 4.78 1.62 27.9 38.5 57.0 20 209.3 340.1 4,931 22.00 16,666 61,726 53,231 50,129 1,227.5 881,424 148,161 642,809 111,755 126,038 102,509 (18,649) (124,353) 1,743,411 1,078,182 3,868,411 2,304,809 ¥1,338,102 44 135 3.39 4.92 1.71 27.0 38.7 56.8 200 240.7 392.6 5,332 22.00 16,288 56,675 52,954 96,204 49,909 1,161.2 881,424 185,055 634,479 229,394 120,092 (20,400) (170,552) 1,740,048 1,019,941 3,780,699 2,252,287 ¥1,405,269 ) 3 accumulated other comprehensive income emissions (Thousands of tons) 2 Number of outstanding shares (Thousands of shares) Number of outstanding shares (Thousands ROA (%) ROE (%) Debt/Equity (D/E) ratio (Times) Equity ratio (%) Total shareholder return ratio (%) Consolidated companies Companies accounted for by the equity method No. of employees (Consolidated) Energy usage (Crude oil equivalent 1,000 kl/year) CO Shareholders’ equity and Cash flows from operating activities Cash flows from investing activities Cash flows from financing activities Cash and cash equivalents at year-end share) (¥) Earnings per share (EPS) (Net income per share) (¥) Book-value per share (BPS) (Net assets per Dividends (¥) Revenue from operations Operating income Ordinary income owners of parent Profit attributable to Total assets Real property for sale assets Tangible and intangible Capital expenditures Depreciation and amortization Interest-bearing debt Water usage (Thousand m eligible for consolidation. redeemable within one year + corporate bonds + non-recourse bonds + long-term debt + non-recourse long-term debt redeemable within one year + corporate bonds + non-recourse bonds + long-term debt + non-recourse long-term *Group and environmental data is subject to change due to changes in aggregation method, etc. For details, please refer to the latest ESG Report. *Group and environmental data is subject to change due to changes in aggregation method, etc. For details, * ROA = (Operating income + non-operating income)/average total assets over the period * ROE = Profit attributable to owners of parent/average shareholders’ equity over the period * Debt/Equity ratio = Interest-bearing debt/shareholders’ equity conversion factor (9.97 GJ/thousand kWh). * Energy usage values up to and including fiscal 2008 have all been uniformly calculated with the current SPCs in which Mitsui Fudosan invests to be newly * Early application of accounting standards for special purpose companies from fiscal 2012 onward enabled * Real property for sale = Real property for sale + real property for sale in progress + land for development + advances paid for purchases * Real property for sale = Real property for sale + real property for sale in progress + land for development within one year + non-recourse bonds * Interest-bearing debt = Short-term debt + non-recourse short-term debt + commercial paper + bonds redeemable Non-Financial Data Financial Indicators Indicators per Share Cash Flows Financial Position (FY) Management Results Integrated Report 2020 Data Section Data Highlights Performance 83 Data Section 86 (FY) 15 466 741 481 679 3,675 3,194 2,515 29,624 94,120 31,896 32,638 27,878 255,433 524,094 123,745 268,661 236,023 2019 1.9 ¥208,144 (As of March 31) of March (As 145.8 (Millions of yen) Integrated Report 2020 - - 1.7 2018 2019 475 475 554 2018 2019 141.9 3,758 3,283 2,729 2.2 26,604 71,433 98,037 33,202 33,202 28,817 2017201620152014201320122011 2018 245,333 530,766 285,432 252,230 ¥223,412 0 90 60 30 3.4 150 120 eatin ncoe eatin (Billions of yen) 2.6 Operating Income Revenue Revenue Revenue Units Operating Income Revenue Units Revenue Units Units Revenue Units Revenue Units Revenue Units (FY) 3.2 3.3 2019 636.0 Tokyo Metropolitan Area Other Detached Housing Tokyo Metropolitan Area Other Condominiums Subtotal Subtotal 3.8 2018 603.2 4.4 0 0 Total Property Sales to Investors & Individuals (Overseas) Property Sales to Individuals (Domestic) Operating Income (FY) 700 600 500 400 300 200 100 eene o eation o eene 5.0 4.0 3.0 2.0 1.0 (Billions of yen) (%) acanc ate o oo etooitan ea ea etooitan oo o ate acanc iin ononoiate ice (FY) 58 529 128 186 (Units) 5,462 2,051 1,207 1,675 2019 35,388 240,407 636,056 145,893 2019 ¥360,260 123.7 (Millions of yen) 30 141 171 2018 600 98.0 2018 2019 5,341 1,969 1,179 1,593 27,205 2018 238,345 603,284 141,945 40 ¥337,733 108 148 0 90 60 30 ) 2 150 120 eatin ncoe eatin (Billions of yen) 69 321 390 Retail Facilities Of ce Buildings Owned Managed Owned Managed (FY) 88 127 215 2015 2016 2017 524.0 Total Leased Floor Space (1,000 m Of ce Buildings Revenue Retail Facilities

2018 2019 530.7 eain oet Sae 0 (FY) Of ce Buildings and Retail Facilities OtherRevenue Revenue Operating Income 600 500 400 300 200 100 eene o eation o eene operating income was ¥145.8 In the Leasing segment, ¥1.8 billion compared to the full billion, an increase of billion, mainly due to greater than year forecast of ¥144.0 in the building leasing business. expected rent increases Segment Information Segment of units sold in In the Property Sales segment, the number category was the Property Sales to Individuals (Domestic) did not meet lower than expected, resulting in sales that forecasts due to forecasts, but operating income exceeded Also, in the factors including improved profit margins. (Overseas) Property Sales to Investors and Individuals category, favorable market conditions led to improved profit margins on each property sold to investors, meaning that although sales were lower than predicted, operating income was roughly in line with forecasts. Overall operating income from the segment was ¥123.7 billion, a decrease of ¥0.2 billion compared to the full year forecast of ¥124.0 billion. ica ean nentoie ica ean niia Doetic Sae to oet Detached Housing Total Condominiums (Billions of yen) (FY) 2019 183.9 2018 168.6 201720162015 155.8 131.8 117.7 0 50 200 150 100 oit ttitae to ne o aent to ttitae oit (Billions of yen) (FY) 2019 280.6 Regarding the COVID-19 pandemic, the Group is Regarding the COVID-19 pandemic, the Group As for the Mitsui Fudosan Group’s consolidated 2018 262.1 of the “Nihonbashi Revitalization Plan” which seeks to of the “Nihonbashi Revitalization and the local community to unite government, business new attraction to Nihonbashi, the energize and bring about neighborhood creation that Group has been advancing centered on the three leads to global problem-solving of rich waterfront,” priority initiatives of “Revitalization and “International events “Creation of new industries,” based on an “understand, collaborate, linked to the world,” Following the launch of the communicate” approach. Project in the previous fiscal year, Nihonbashi Smart Energy Energy Center was completed construction of the Toyosu Energy Project in March 2020. As part of the Toyosu Smart electricity and which aims to provide a stable supply of a compact and heat, the center has been working to realize decentralized energy supply in order to advance that is environmentally friendly neighborhood creation has joined the resilient to disasters. Furthermore, the Group of procuring international initiative RE100 with the goal activities 100% of electricity used in the Group’s business announced its from renewable energy by 2050. It has also Financial agreement with the Task Force on Climate-related disclosure of risks Disclosures (TCFD), which promotes the to climate and opportunities for companies in relation change. the spread of actively cooperating with efforts to prevent worked to fulfill its infection in order to save lives, and it has such as social responsibilities through measures and providing temporarily closing hotels and retail facilities, at temporary rent reductions for tenant stores impact of the Company-owned facilities. Although the difficult business Covid-19 pandemic created an extremely records for environment at the end of fiscal 2019, new to owners of operating income, and profit attributable year. parent were recorded for the sixth consecutive business results for the period, revenue from operations was ¥1,905.6 billion, a decrease of ¥107.3 billion, or 5.3%, compared to the full year forecast of ¥2,013.0 billion. Operating income was ¥280.6 billion, an increase of ¥0.6 billion, or 0.2%, compared to the full year forecast of ¥280.0 billion. Ordinary income was ¥258.5 billion, a decrease of ¥0.4 billion, or 0.2%, compared to the full year forecast of ¥259.0 billion. Profit attributable to owners of parent was ¥183.9 billion, a decrease of ¥8.0 billion, or 4.2%, compared to the full year forecast of ¥192.0 billion. 201720162015 245.9 232.6 202.4 0 50 250 200 150 100 300 eatin ncoe eatin (Billions of yen) (FY) 2019 1,905.6 2018 1,861.1 201720162015 1,751.1 1,704.4

1,567.9

In addition to initiatives such as Kashiwa-no-ha Smart Also, based on the philosophy symbolized by the “&” In this operating environment, the Mitsui Fudosan In this operating environment, the Mitsui In the real estate sector, the office building leasing In the real estate sector, the office building 0 500 1,000 1,500 2,000

Operating Conditions and an Overview of Results of and an Overview Conditions Operating Financial Analysis Financial Integrated Report 2020 Data Section Data eene o eation o eene City, which aims to realize environmental harmony, the creation of new industries, and health and longevity, and TOKYO MIDTOWN HIBIYA, which engages in new business creation and delivering art and culture, in Stage 3 logo, the Group has engaged in solving ESG issues and achieving SDGs by creating neighborhoods that are in harmony with the environment and get better with age, thereby contributing to the building of sustainable societies. Group has formulated its long-term vision VISION 2025 Group has formulated its long-term vision through which the Company aims to (1) successfully creation of establish a sustainable society through the innovate the real neighborhoods, (2) harness technology to company. estate business, and (3) evolve into a global working to create Based on this vision, the Group has been of (1) value by carrying out the three basic strategies customer-centered management, (2) business innovation, and (3) evolution of Group management. market saw low levels of vacancy rates and asking rents market saw low levels of vacancy rates and such as the continued to increase, but recent factors and uncertainty around corporate business performance to facilitate changes in the workstyles of office workers the impact on remote working has created concern about and hotel demand for offices. The retail facility leasing fall in operation markets have experienced a significant on the sales due to factors such as tight restrictions market movement of people. The real estate investment a variety of real continued to expand as the acquisition of of Japan’s estate assets progressed under the Bank of global monetary easing policy. However, the standstill the financial economic activity seems to have shaken become markets, and the business environment has prices. difficult as shown by the fall in J-REIT stock In fiscal 2019, the Japanese economy continued to recover In fiscal 2019, the Japanese the impact of the global spread gradually overall. However, toward the end of the fiscal of the COVID-19 pandemic dramatically, leading to a sudden year changed the situation economy. In Japan, actions such as downturn in the global of events and people refraining the voluntary cancellation in a rapid decrease in consumer from going out resulted a wide range of industries, spending. This has affected tourism, and transport industries, including the restaurant, corporate earnings, creating a very and has greatly reduced difficult situation. (Billions of yen) 85 Data Section 88 0 40 20 10 30 (FY) (FY) (%) (FY) 7.7 32.6 2019 2019 -445.7 2,486.5 7.4 34.4 Integrated Report 2020 2018 2019 2018 2018 -172.1 2,420.8 Equity ratio (right axis) 7.4 35.1 201720162015 201720162015 201720162015 -335.3 2,287.7 6.8 35.7 25.8 2,056.9 Net assets (left axis) Net assets (left 6.2 35.8 -207.5 activities + cash ow from investing activities 1,989.0 * Free cash ow = Cash ow from operating 0 0 0 200 100 4,000 3,000 2,000 1,000 -100 -200 -300 -400 -500 8.0 7.0 6.0 nteet on ontoin et te tan et an it atio ee a o ee (Billions of yen) (%) (Billions of yen) (FY) (FY) (FY) 4.2 1.45 2019 2019 2019 -532.8 4.4 1.24 a o o netin ctiitie a o o inancin ctiitie 2018 2018 2018 -388.8 billion. The Investing activities used net cash of ¥532.8 and main use of cash was purchases of property equipment of ¥473.8 billion. ¥467.7 billion. Financing activities provided net cash of from debt. Cash was mainly provided by proceeds 4.64.6 1.18 201720162015 201720162015 201720162015 -365.4 1.15 -201.5 4.1 1.16 -239.7 0 0 0 100 2.0 1.5 1.0 0.5 -100 -200 -300 -400 -500 -600 5.0 4.5 4.0 Detit atio a o o netin ctiitie netin o a o (%) (Times) (Billions of yen) (FY) (FY) (FY) 87.0 2019 2019 2019 7,395.3 3,481.1 2018 2018 2018 216.7 2,906.6 6,802.7 30.1 201720162015 201720162015 201720162015 2,604.6 6,284.7 227.4 2,287.4 5,551.7 32.1 2,226.2 5,363.4 0 0 onoiate a o a o o eatin ctiitie 0 50 8,000 6,000 4,000 2,000 3,500 2,500 1,500 250 200 150 100 ota et ota Det nteeteain a o o eatin ctiitie eatin o a o Consolidated Cash Flows were As of March 31, 2020, cash and cash equivalents from the end of ¥179.4 billion, an increase of ¥21.7 billion the previous fiscal year. ¥87.0 billion. Operating activities provided net cash of income taxes of Cash provided included income before of ¥91.4 ¥261.2 billion and depreciation and amortization including an billion. This more than offset cash used, paid for increase in real property for sale and advances billion. purchases, which used net cash of ¥255.8 (Billions of yen) (Billions of yen) (Billions of yen) 2,291 67,448 90,735 32,776 22,894 55,670 324,001 105,261 421,490 2019 2019 ¥165,818 ¥316,228 (Millions of yen) (Millions of yen) 9,157 63,949 90,674 31,978 23,202 55,180 2018 2018 322,797 102,152 404,346 ¥168,173 ¥302,194 Operating Income Operating Income Operating Income Operating Income Revenue Revenue Revenue Revenue Revenue Revenue Revenue

The equity ratio as of March 31, 2020 fell to 32.6% Mitsui Fudosan has established committed lines of Mitsui Fudosan has established committed The current ratio (current assets/current liabilities) as et et Property Management Brokerage, Asset Management, etc. New Construction Facility Operations Other Total Total (FY) Total Total (FY) Total net assets as of March 31, 2020 were ¥2,486.5 billion, an increase of ¥65.7 billion compared with the end of the previous fiscal year. This increase was mainly attributable to increases of ¥108.0 billion in retained earnings and despite a decrease of ¥31.1 billion in capital surplus and ¥14.6 billion in net unrealized holding gains on securities. from 34.4% at the end of the previous fiscal year, while the debt/equity ratio increased to 1.45 times from 1.24 times. Net assets per share had increased to ¥2,480.36 from ¥2,384.87 as of the previous fiscal year-end. credit totaling ¥400.0 billion with several financial institutions to ensure access to funds and adequate liquidity. The Company had not accessed these lines of credit as of the balance sheet date. of March 31, 2020, was 230%, an increase compared to 191% on March 31, 2019. (FY) (FY) 2.2 55.6 2019 2019 55.1 9.1 2018 2018 0 8 6 4 2 0 60 50 40 30 20 10 10 eatin ncoe eatin eatin ncoe eatin (Billions of yen) (Billions of yen) (FY) (FY) 2019 2019 324.0 421.4

2018 2018 322.7 404.3

This was mainly due to an increase of ¥277.2 billion Capital expenditures were ¥379.2 billion and te 0 iaiitie et anaeent 0 50 300 250 200 150 100 350 200 100 500 400 300 eene o eation o eene eene o eation o eene

of was ¥2.2 billion, a decrease of ¥1.7 billion compared to the full year forecast In the Other segment, operating income in demand for accommodation in the domestic hotel business caused by the ¥4.0 billion due to factors including a fall than initially expected in the new construction business. COVID-19 pandemic and fewer orders

Interest-bearing debt (the total of short-term debt, non-recourse short-term debt, commercial paper, bonds redeemable within one year, non-recourse bonds redeemable within one year, corporate bonds, non-recourse bonds, long-term debt, and non-recourse long-term debt) stood at ¥3,481.1 billion on an overall consolidated basis as of March 31, 2020, an increase of ¥574.5 billion from the end of the previous fiscal year.

As of March 31, 2020, total assets were ¥7,395.3 billion, an increase of ¥592.6 billion from the end of the previous fiscal year. in real property for sale (including real property for sale in progress, land for development and advances paid for purchases). There was an increase of ¥252.6 billion in tangible and intangible assets mainly due to new investments. depreciation and amortization was ¥91.4 billion.

Consolidated Financial Position

full year compared to the increase of ¥3.6 billion was ¥55.6 billion, an operating income segment, In the Management improvements in property management fees accompanying due to factors including an increase forecast of ¥52.0 billion than expected property management company and greater properties under management at each in the profitability of investment management companies. management fees at Financial Analysis Financial Integrated Report 2020 Data Section Data (Billions of yen) (Billions of yen) 87 Data Section 90 Integrated Report 2020 y als all n ains is y als all anan n cnsiain iac acs sc n cnsiain iac Seent oecat Diien iac acs sc as asin n cnsiain ail aciliis as n ay cls an lcal nns ianc nn sc as ay n an slin ass aciliis cass cins a anyn ains an illin illin in n a cas in ain inc y illin an ain cas incas cas y illin is is inc is cas incas in n cas al an is nis y sals iniials sic in a c ais n an inc inc a y sals inss n an ill a c all ac a sals cs cnsi il cally sciniin anic n a anic n acs sc as cs a an ca a lasin sinsss ains an cass illin in n illin in ain inc a cas n ianc as ay cls ls as an nn an lcal nns in an accain cass illin in illin in n ains an ain inc a cas an ain in cnsiain a cnsi an acs inclin l iscal lans anin iin licy any ay a cas iin sa iscal ya nin ac inclin an ini iin sa isi Fsan is acily cain i s isi Fsan is acily ical ain cass iscal as is ciically i as n ass a in is as n is in iscal isi Fsan l Fiscal a nin ac ac nin a Fiscal l is ain a ianin iac anic an sas n cny in aan incin as n ianc n sa lcal nns y aily nn an aciliis an iin a an clsin ls an ail n cins nans s sc as ay n siain ain in a nin anic an icin inin n an lcal nns sns y nn iac n anys ay a siniican sinss sls cncnin s a nal a cla icins nnn is i inin n sa is cnic is issil cas n ic i is aciiy ill sic ll ya i a i y iicl calcla cas is a accacy s llin cass sl calclains a sin inain assins cnly an an as n cain ill cnin a iscal cnic aciiy nainal sly sic ss y ill aally an lcal nns a ins n n nal scn a iscal ya c n ains ain inc illin n illin ya n ya illin an is sia all illin illin inay inc is sia cas an is illin i aial ns illin cas cas illin ill i F i is ssil a acal sls acs sc as iin inin n anic an i isins s cass c ncssay y ill annnc sily 147,104 2019 3,171,133 6,089,553 2,918,419 ¥3,024,028 illins yn 63,319 2018 3,024,028 5,773,672 2,749,643 ¥2,960,708 as calcla y cin accla ciain an calcla y as iain lsss acisiin aiain an accla css as in incil n a an as aaisal n anys Aaisal anas sa al aans an incas in al sa acisiin illin an illin sal al y cass anss illin an al innal s an ss anss sa sals illin illin an an incas in al sa acisiin illin sal al y a cas anss iicl ly al sa inclin ns i as al i s calcla iac i a i accacy a as s inain ca isi Fsan ns sans a i cain is inancial a aailal ns as ncssay ain cin iains n accnin sias ain anil asss an a sal an i as ass a al yalain n a cain n an iac anic ill a i as n ass a in is a iscal ciically sic cnic aciiy ill cnin sly a ins ill nainal an lcal nns ss y nal scn a n aally n al n s assins iac n a as iscal ya s ns as n calcla iin sc ssil a i al al ca an sl is a iac n a nliil as sa inclin ns a n iscal a n al i as n n incl in a an iscal a al a n iscal ya is calcla y is calcla y ya a n iscal al a incass an cass in alanc s in iscal ain incass an cass in alanc s in iscal ain anic n a n a iac alanc as innin i alanc as innin i ncas cas in F An c nal is ayin s n nslia alanc i alanc as n i a al a n inc s cayin n cnslia alanc ss an c s is ninn any ana aci incass in n an inc in is inancial sls i is ain n isss scin inancin ainainin a sn inancial sanin an scly ainain lyn sas is lys As a sl cnsiain s an acs any ill i sal ns as lls illin illin illin ly ly cayin an c n cnslia cayin an c n cnslia al sal n ai i aial ns an n sas in cas Annal iin sa iscal As a sl ccnc anic in a iscal isi Fsan is acily cain i s n sa incin as n ianc nn ass sc as aily clsin ls an ail aciliis an iin ay n cins nan ss a anyn aciliis n si

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alanc ss can in iscal ya an alanc ss can in as sn n a al s is a i isi Fsan an s is cnslia ssiiais isi Fsan an inclin ic ilins an ail a nal is lian aa an aas aciliis in y an illin i n sc is n is in n in iscal nal nss a in cs ains an nal an as an iain n ains an a lss n issal y lss illin illin lss n issal an in an iain lss a y an in n iscal i n as nss illin an sc is an an a lss n as an iain lss illin illin issal y an in al ns nal is nal Financial Analysis Financial Integrated Report 2020 Data Section Data 89 Corporate Data/Shareholders’ Information (Parent company; as of March 31, 2020) External Assessments

Corporate Data

Status of Inclusion in ESG Indexes (As of June 30, 2020) Trade Name: Mitsui Fudosan Co., Ltd. Listing: (Ticker: 8801) Head Office: 1-1, Nihonbashi-Muromachi 2-chome, Number of Shares: Authorized: 3,290,000,000 Chuo-ku, Tokyo 103-0022, Japan Issued and outstanding: 979,250,227 Date of Number of Establishment: July 15, 1941 Shareholders: 34,297 Capital: ¥339,766 million Transfer Agent: Sumitomo Mitsui Trust Bank, Limited Number of Employees: 1,678 (Consolidated 20,864) Website: https://www.mitsuifudosan.co.jp/english/

Shareholder Composition (Shareholding Ratio)

Securities Companies 1.79%

Individuals, other 4.16% Treasury Stock 0.83%

Other Japanese Companies 7.71%

Non-Japanese 46.97% Financial Institutions 38.53% THE INCLUSION OF MITSUI FUDOSAN CO., LTD. IN ANY MSCI INDEX, AND THE USE OF MSCI LOGOS, TRADEMARKS, SERVICE MARKS OR INDEXNAMES HEREIN, DO NOT CONSTITUTE A SPONSORSHIP, ENDORSEMENT OR PROMOTION OF MITSUI FUDOSAN CO., LTD. BY MSCI OR ANY OFITS AFFILIATES. THE MSCI INDEXES ARE THE EXCLUSIVE PROPERTY OF MSCI. MSCI AND THE MSCI INDEX NAMES AND LOGOS ARE TRADEMARKS ORSERVICE MARKS OF MSCI OR ITS AFFILIATES.

Major Shareholders

Number of Shares Held Percentage of Total Shareholder (Thousands) Shares Issued (%) The Master Trust Bank of Japan, Ltd. (Trust account) 99,899 10.29 Japan Trustee Services Bank, Ltd. (Trust account) 73,078 7.53 SSBTC CLIENT OMNIBUS ACCOUNT 28,958 2.98 Japan Trustee Services Bank, Ltd. (Trust account 9) 21,344 2.20 Japan Trustee Services Bank, Ltd. (Trust account 7) 21,098 2.17 Data Section JP MORGAN CHASE BANK 385632 20,912 2.15 Japan Trustee Services Bank, Ltd. (Trust account 5) 19,815 2.04 JP MORGAN CHASE BANK 385151 16,410 1.69 J.P. Morgan Bank Luxembourg S.A. 384500 14,583 1.50 State Street Bank West Client - TREATY 505223 14,395 1.48 Total 330,497 34.03

91 Integrated Report 2020 Integrated Report 2020 92