November 8th, 2024

Press Release

Agility Asset Advises Inc.

Concerning establishment of “Hotel Development Investment Fund”

in the Kingdom of Thailand

Agility Asset Advisers Inc. (hereinafter referred to as “the Company”) has established an investment fund (hereinafter referred to as “the Fund”) to develop and operate a hotel on a development site along Witthayu (Wireless) Road* in Phloen Chit, the center of Bangkok, in the Kingdom of Thailand.

The fund is the second fund following “The Ember Hotel” (completed and opened in December, 2022) developed in the Khaosan district of Bangkok’s old town, and is structured to invest from a fund established in Japan through Singapore-registered Variable Capital Company (VCC) in a local Thai subsidiary (Company Limited), which is a real estate holding vehicle.

The Fund will be managed in collaboration with group companies AP Fund Management Pte Ltd (Singapore) and AP Capital Co., Ltd. (Kingdom of Thailand). The Company plan to continue to expand our overseas real estate investments, focusing on the rapidly growing Southeast Asian region, by making the most of the PhillipCapital Group’s network.

* Witthayu Road: Witthayu (Wireless) Road was once the site of Sala Daeng Radio Station, one of Thailand’s oldest radio stations, so the name comes from witthayu (radio). It intersects with the Bangkok SkyTrain from north to south, and Phloen Chit Station is located near the intersection.
Embassies of Japan, the United States, Switzerland, and other countries, luxury hotels, and commercial facilities are concentrated here (the photo was taken from the proposed development site in the direction of the former British Embassy site, as of June 2024).

[Investment Structure]

→：Investment　←：Dividends and Return of investment

[Project summary]

[Image of the completed building]

Press Release (PDF)

■ Plan:
Ishikari Renewable Energy Data Center No. 1 (IREDC1) will be constructed in April 2026, following the decision to receive a subsidy from the Communications and Information Network Industry Association (CIAJ) based on the Ministry of Internal Affairs and Communications’ “FY2021 Supplementary Digital Infrastructure Development Fund Subsidy Project.” We have been preparing for the opening of our business in Ishikari, Hokkaido. TOKYU LAND CORPORATION, Flower Communications Inc., and Agility Asset Advisers Inc. will play a leading role and supervise the local production of renewable energy and ASAI KEN ARCHITECTURAL RESEARCH INC. design and supervise a local consumption project, which will actively introduce on-site PPA in Ishikari, Hokkaido.

■ Details of Funding:
This funding was raised from domestic investors at IREDC1, utilizing the Real Estate Specified Joint Venture Act. The main purpose of financing is to provide domestic investors with new opportunities to enter the data center (DC) business and to promote efforts toward the construction of the second and third buildings (a total of 300MW including the first building). We raised funds for this project with the goal of contributing to the local community, so that Ishikari, Hokkaido, can play a role as a renewable energy DC park representing Asia. Through the promotion of this project, we aim to realize the “Hokkaido Data Center Park,” advocated by Hokkaido.

■ Key Business Areas:
With this funding, we will build Hokkaido’s first 100% local renewable energy DC, encourage major both domestic and international DC operators to enter into Hokkaido and promote Hokkaido’s digital transformation (DX). Additionally, in response to the increasing demand for DCs led by the rapid spread of AI, we will provide Hokkaido’s renewable energy to AI businesses through on-site and off-site PPAs.

■ Image upon completion：

■ Business Structure：

■ Ishikari Renewable Energy Data Center No. 1 Overview
Gross floor area： 11,093㎡ (planned)
Power receiving capacity：15MW
No. of racks：1140 racks

■ Comments from Ishikari City
I am very pleased to hear that the DC construction plan by IREDC1, is progressing. This DC project is in line with the national policy of relocating DCs to regional areas for the purpose of risk diversification, etc., and is of extreme social significance as it is consistent with the concept of local production of renewable energy that city is aiming for, and we realize that this is a super meaningful business. The advance of DC is expected to significantly develop the local economy, including the promotion of DX that solves regional issues and the creation of GX industries by expanding the use of renewable energy. We also believe that this project will bring about many ripple effects, such as accumulating more DCs and promoting the development of related infrastructure. The city will continue to support the success of this project in cooperation with related businesses.

■ Comments from the Head of the Hokkaido Economic Department, Industrial Promotion Bureau
As the IREDC1 launches, many business operators and investors, including TOKYU LAND CORPORATION and Flower Communications Inc., are participating as a new investment model for DC. We sincerely welcome your announcement of future plans for 300MW capacity. The development of DC that utilizes 100% renewable energy in the Ishikari region is truly an advanced initiative that is rooted in the area, and the Hokkaido Government is currently working to accelerate the development of a core base for digital infrastructure. Of course, it will greatly contribute to the promotion of DX and AI utilization, decarbonization, and the development of the digital industry in Japan as a whole. The Hokkaido Government prays for the steady progress of the project and will do our best to support it.

■ Inquiries regarding this Press Release
Agility Asset Advisers Inc.
Takahara/Ishii
Business Planning Group, Corporate Planning Department
TEL　03-3552-8878　FAX03-3552-8868

Agility Asset Advisers Inc. (the “Company”) is pleased to announce that it has created an investment fund (the “Fund”) to develop and operate a hotel on a development lot adjacent to Khaosan Road*, which is located in Bangkok Old Town in the Kingdom of Thailand.

The Fund is a structure through which the Company will use a fund created in Japan to invest in a Thai subsidiary (Company Limited), which is a vehicle for ownership of real estate, via a Singapore Variable Capital Company (VCC), and the Company will operate the Fund in collaboration with AP Fund Management Pte Ltd (Singapore) and AP Capital Co., Ltd. (the Kingdom of Thailand), which are Agility Asset Advisers (AAA) Group companies.

The Company plans to use the creation of this Fund as an opportunity to make full use of the PhilipCapital Group’s network and to expand overseas real estate investment, prioritizing the fast growing Southeast Asia region for investment.

＊Khaosan Road：Known as the mecca of backpackers. ‘Khao san’ means milled rice in the local language and the road was thus named because it was a center for trading rice until the 1970s. Only 300 meters long, Khao san road is a bustling street crammed with backpacker hotels, guesthouses, restaurants, cafés and Thai massage parlors. (The photograph was taken in March 2020.)

(Investment structure)

→:Investment  ←: Dividend/Repayment of capital contributions

（Project Overview）

(Image of completed building)

Agility Asset Advisers Inc. (Representative: Kinji Kaiho; hereinafter “the Company”) announces that, the Company has been entrusted with the asset management operations of the assets under management shown below on behalf of SP Setia Berhad, developer in Malaysia.

Outline of assets under management

Types of assets under management	Land
Concept	Complex　facility　including　hotel, convention center, retail, office and service apartment
Location	6-39, Rinku Ourai Minami, Izumisano-Shi, Osaka
Site area	19,854.73m²
Completion year	2024
Acquisition date	April 25, 2019

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