(PLD) ProLogis Increases Stake in ProLogis European Properties

March 1st, 2010

ProLogis (PLD), a leading global provider of distribution facilities, recently increased its stake in ProLogis European Properties (PEPR), the largest owner of modern distribution facilities in Europe. Operating as a real estate closed-ended investment fund, PEPR is externally managed by a subsidiary of ProLogis.

Management firmly believed that current PEPR unit prices were relatively low and did not reflect its true potential, thereby making it an attractive investment opportunity. Consequently, the company purchased additional Ordinary Units carrying voting rights of PEPR to increase its ownership to 30.2% or 57.6 million of PEPR’s Ordinary Units.

ProLogis owns and manages interests in over 2,500 distribution facilities spanning 475 million square feet (including properties under development) of space. The company expects to start 700-800 million worth of new developments in 2010, primarily in Europe and Asia. The company also expects to monetize approximately $350 million to $400 million of land in 2010.

With improving property values and growing institutional demand for quality properties, ProLogis expects to generate $1.3 billion to $1.5 billion of proceeds in 2010 from sales of existing assets and contributions to funds primarily in the U.S. The company intends to utilize the proceeds to fund its existing development portfolio as well as development starts in 2010.

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(PLD) ProLogis Increases Stake in ProLogis European Properties

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(PLD) ProLogis Increases Stake in ProLogis European Properties

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