Daiwa House Asset Management Co., Ltd. is a J-REIT asset management company established in September 2004. Having been entrusted with the asset management of Daiwa House Residential Investment Corporation (TSE code: 8984), which was listed on the Tokyo Stock Exchange in March 2006. We conduct asset management by utilizing the comprehensive strengths of the Daiwa House Group that include planning and development, management and operation as well as tenant leasing for rental housing.

Daiwa House Residential Investment Corporation has grown to a size of over 210 billion yen (as of the end of January 2012) based on acquisition price, through its merger with New City Residence Investment Corporation and capital increase via public offering. We will continue to aim for an expansion of the asset size and strive to ensure improvements in the quality of our portfolio through replacement of owned assets and value-added investments, as well as securing higher occupancy rates and stable rent revenue through the reduction of management and operation costs. Furthermore, we will pursue a stable financial standing through the establishment of healthy relationships with financial institutions based on the trustworthiness of the Daiwa House Group, as well as provide stable distributions that effectively utilize internal reserves of more than 19 billion yen, along with the improvement of profitability. Daiwa House Asset Management positions the adherence to compliance as a basic principle of management and endeavors to establish a compliance framework that emphasizes efficacy and the disclosure of information in a timely and transparent manner.

With the advancement of the globalization of the economy, the current condition is such that the Japanese economy and stock market are being significantly affected not only by trends in the Japanese economy but also by developments in Europe and the U.S. In conducting business operations, our directors and employees are dedicated to be attentive to changes in the market environment, to secure stable earnings in the mid- to long-term and steady growth of assets under management in cooperation with the Daiwa House Group, as well as contribute to the overall development of J-REITs. We look forward to your continued support.