Prologis establishes Reit in Japan
Prologis will be the sole sponsor of Nippon Prologis Reit (NPR), a Japanese real estate investment trust.
Prologis will retain at least a 15 per cent ownership interest in NPR and contribute 12 of its Class-A properties in Japan which will comprise the initial portfolio.
The appraised value of the assets is approximately JPY173bn (USD2bn). The portfolio, with a weighted average age of 3.4 years, totals 9.6 million square feet (890,000 square meters), and is principally located in its global markets of Tokyo and Osaka.
NPR has received approval for listing on the Tokyo Stock Exchange and will serve as a long-term investment vehicle for modern logistics facilities.
NPR has exclusive negotiation rights for eight additional properties owned by Prologis, and will receive pipeline, operational and personnel assistance under a sponsor support agreement. In addition, wholly owned subsidiaries of Prologis will serve as NPR's property and asset managers.