Prologis Announces 2018 Build-to-Suit Activity
Company Completes 35 Build-to-Suit Projects and Starts 29 Build-to-Suit Projects
SAN FRANCISCO (January 15, 2019) – Prologis, Inc. (NYSE: PLD), the global leader in logistics real estate, today announced the completion of 17 build-to-suit projects in the second half of 2018 totaling more than 4.4 million square feet, with a total expected investment (TEI) of approximately $400 million on a Prologis share basis. This brings Prologis’ total to 35 build-to-suit completions for the full year, totaling 12.4 million square feet, with a TEI of approximately $1.0 billion on a Prologis share basis.
During the second half of the year Prologis started 15 build-to-suit projects comprising 6.9 million square feet with a TEI of approximately $525 million on a Prologis share basis. This brings the company’s total to 29 build-to-suit starts for the full year, totaling 11.6 million square feet, with a TEI of approximately $975 million on a Prologis share basis. As expected, 80 percent of those starts were signed with the company’s multi-site customers, and more than 95 percent are located in global markets.
“In 2018, build-to-suit activity remained strong across Prologis’ global platform. Our development-ready land bank is located near large population centers and continues to be a major contributor to our build-to-suit success. These global market locations also provide exceptional optionality for our customers’ Last Touch® requirements," said Michael S. Curless, chief investment officer, Prologis.
Prologis’ Second Half 2018 Build-to-Suit Completions
|1||Solaris Paper||Manufacturing (Regional)||Moreno Valley, CA||779,000|
|2||ZOZO, Inc.||Apparel (International)||Tokyo, Japan||682,000|
|3||XPO Logistics, Inc.||Logistics (International)||Rotterdam, Netherlands||435,000|
|4||Yamato Transport Co., Ltd.||Logistics (International)||Sendai, Japan||393,000|
|5||BMW||Automotive (International)||Easton, PA||348,000|
|6||Senko Co., Ltd.||Logistics (International)||Tokyo, Japan||314,000|
|7||Goncalves||Manufacturing (Regional)||Mexico City, Mexico||283,000|
|8||SDA Express Courier SpA||Logistics (Domestic)||Bologna, Italy||254,000|
|9||Amazon Web Services||E-commerce (International)||Dulles, VA||182,000|
|10||Kering Italia Spa||Retail (International)||Bologna, Italy||178,000|
|11||Kasei, Inc.||Manufacturing (International)||Osaka, Japan||172,000|
|12||Agata||Retail (Domestic)||Piotrków II, Poland||112,000|
|13||Conewago||Manufacturing (Regional)||Elizabethtown, PA||100,000|
|14||Hermes Parcelnet Limited||Retail (International)||Hemel Hempstead, UK||80,000|
|15||SDA Express Courier SpA||Logistics (Domestic)||Bologna, Italy||43,000|
|16||Stericycle||Healthcare (International)||Dallas, TX||40,000|
|17||Rhenus Chemical Logistics||Logistics (International)||Szczecin, Poland||29,000|
Prologis’ Second Half 2018 Build-to-Suit Starts*
|Customer Profile||Market||Size (SF)|
|1||Retail (Domestic)||Moreno Valley, CA||1,332,000|
|2||Logistics (International)||Toronto, Canada||847,000|
|3||Retail (Regional)||Cincinnati, OH||755,000|
|4||Retail (Domestic)||Chicago, IL||750,000|
|5||Manufacturing (International)||Chicago, IL||706,000|
|6||Retail (International)||Apodaca, MX||588,000|
|7||Manufacturing (International)||Riverside, CA||492,000|
|8||Logistics (Domestic)||Livermore, CA||374,000|
|9||Logistics (International)||Tilburg, The Netherlands||325,000|
|10||Logistics (Domestic)||Pozzuolo, Italy||235,000|
|11||Logistics (International)||Douvrin, France||210,000|
|12||Wholesaler (International)||Prague, Czech Republic||106,000|
|13||Logistics (International)||Paris, France||89,000|
|14||Automotive (International)||Hesse, Germany||75,000|
|15||Logistics (Domestic)||Bergamo, Italy||55,000|
*Due to confidentiality, Prologis does not disclose customer names at this stage of development.
Prologis, Inc. is the global leader in logistics real estate with a focus on high-barrier, high-growth markets. As of September 30, 2018, the company owned or had investments in, on a wholly owned basis or through co-investment ventures, properties and development projects expected to total approximately 771 million square feet (72 million square meters) in 19 countries. Prologis leases modern distribution facilities to a diverse base of approximately 5,500 customers across two major categories: business-to-business and retail/online fulfillment.
The statements in this document that are not historical facts are forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These forward-looking statements are based on current expectations, estimates and projections about the industry and markets in which we operate as well as management's beliefs and assumptions. Such statements involve uncertainties that could significantly impact our financial results. Words such as "expects," "anticipates," "intends," "plans," "believes," "seeks," and "estimates," including variations of such words and similar expressions, are intended to identify such forward-looking statements, which generally are not historical in nature. All statements that address operating performance, events or developments that we expect or anticipate will occur in the future — including statements relating to rent and occupancy growth, development activity, contribution and disposition activity, general conditions in the geographic areas where we operate, our debt, capital structure and financial position, our ability to form new co-investment ventures and the availability of capital in existing or new co-investment ventures — are forward-looking statements. These statements are not guarantees of future performance and involve certain risks, uncertainties and assumptions that are difficult to predict. Although we believe the expectations reflected in any forward-looking statements are based on reasonable assumptions, we can give no assurance that our expectations will be attained and, therefore, actual outcomes and results may differ materially from what is expressed or forecasted in such forward-looking statements. Some of the factors that may affect outcomes and results include, but are not limited to: (i) national, international, regional and local economic and political climates; (ii) changes in global financial markets, interest rates and foreign currency exchange rates; (iii) increased or unanticipated competition for our properties; (iv) risks associated with acquisitions, dispositions and development of properties; (v) maintenance of real estate investment trust status, tax structuring and changes in income tax laws and rates; (vi) availability of financing and capital, the levels of debt that we maintain and our credit ratings; (vii) risks related to our investments in our co-investment ventures, including our ability to establish new co-investment ventures; (viii) risks of doing business internationally, including currency risks; (ix) environmental uncertainties, including risks of natural disasters; and (x) those additional factors discussed in reports filed with the Securities and Exchange Commission by us under the heading "Risk Factors." We undertake no duty to update any forward-looking statements appearing in this document except as may be required by law.