Fukuoka REIT Corporation Introduction of Our REIT （8968）

http://www.fukuoka-reit.jp Investment Highlights

Growing Fukuoka area Opportunity to invest backed by strong in a select retail/office inflow of portfolio in the region. younger population.

Sophisticated AM/PM team Right timing to with strong invest in Fukuoka. local business support.

2 Profile

Company Profile • Company Fukuoka REIT Corporation • Asset Management Company Fukuoka Realty • Sponsors Fukuoka Jisho, Kyushu Electric Power, Royal Holdings, The Bank of Fukuoka, The Nishi-Nippon City Bank, Nishi-Nippon Railroad, Saibu Gas, Kyudenko, Kyushu Railway Company • Listed date 6/21/2005 ( Stock Exchange, Fukuoka Stock Exchange)

Financial Highlights • Equity Market Cap JPY 94,593 million (as of 2/28/2006) • Total Debt JPY 33,700 million (as of 2/28/2006) • Debt Ratings A- (S&P)

Dividend Information • Previous Fiscal Period End 2/28/2006 (semi-annually, every February and August) • Cash Dividend (actual) JPY 18,438 per share • Yield (actual) 4.19% (as of 4/17/2006) • Yield Gap (actual) 2.24% (Comparison with 10-year JGB as of 4/17/2006)

Current Pricing • Stock Price JPY 887,000 (as of 4/17/2006) • Outstanding Units 92,050 • 52 Week High JPY 910,000 (6/21/2005) • 52 Week Low JPY 763,000 (9/15/2005)

Portfolio Summary • Asset Types Retail 64.6%, Office 35.4% (as of 2/28/2006) • Asset Areas Kyushu, (mainly Fukuoka metropolitan area) • Properties 7 (as of 2/28/2006) Two more properties newly acquired on march 2006 • Total Leasable Area 260,470.9 m2 (as of 2/28/2006) • Occupancy 99.0% (as of 2/28/2006) 3 Summary

“Act Local, o Japan’s first region-specific REIT Think Global”

oThe Fukuoka metropolitan area boasts the top population “A Leader in Population growth rate of the four largest metropolitan areas in Japan Growth”

o Vibrant, new and large properties represented by “Vibrant, New and Large”

o Pipeline support by the Fukuoka Jisho Group, Kyushu’s largest

integrated developer “Proactive Sponsorship by Kyushu’s o Proactive participation by leaders of Kyushu’s business world Business Leaders” including Kyushu Electric Power

4 Concept

::: A c t L o c a l , T h i n k G l o b a l ::: Concept Hometown Portfolio Strategy Appendix Concept: Characteristics of Fukuoka REIT

1 Act Local, Think Global

2 Differentiated Risks and Standout Returns Fukuoka REIT is primarily focused on retail properties in Fukuoka and Kyushu, giving it differentiated risk and standout return characteristics that differ from REITs investing in the Tokyo metropolitan office market

6 Hometown

::: A L e a d e r in P o p u l a t i o n G r o w t h ::: Concept Hometown Portfolio Strategy Appendix Hometown: Where is Fukuoka/Kyushu

Tokyo

Osaka

Kyushu Region Fukuoka Pref.

■ 7 prefectures ■ 1.5h flight from Tokyo, Seoul, ■ “#16” GDP in the world Shanghai ■ 14mm Population ■ Population: 2.47mm ■ Industry (Metropolitan Area), 5mm －Semiconductor (Pref.) －Automotive ■ Strong history of commerce with －Processed food Korea and China of more than products 1,000 years

8 Kyushu, Westernmost Island of the 4 Main Japanese Islands, is the Closest to Asia Concept Hometown Portfolio Strategy Appendix Hometown: Size of the Fukuoka Metropolitan Area

Populations of Major Japanese Metropolitan Areas

Fukuoka Metropolitan Area

Fukuoka City and municipalities from which 10% or more of the population commutes to school or work in Fukuoka City Fukuoka City population: 1.34 million Fukuoka metropolitan area population: 2.37 million Tokyo Metropolitan Area 30.28 million people Metropolitan Area 12.20 million people Fukuoka Metropolitan Area 2.47 million peopl