Prologis Acquires 295,000 SQM Portfolio of Prime Logistics Space in Sweden
Gothenburg (2 April 2019) – Prologis, Inc., the global leader in logistics real estate, today announced the acquisition of 295,000 square meters (3.2 million square feet) of prime properties in four of Sweden’s strongest logistics markets. The acquisition substantially strengthens Prologis’ presence in Sweden.
The highly complementary portfolio comprises 11 modern and flexible logistics properties designed for today’s advanced customer requirements. It also brings a diversified tenant roster of both new and existing Prologis customers.
The portfolio was acquired by Prologis European Logistics Fund (PELF).
In Line with Prologis’ Nordic Strategy
The properties are near Prologis’ existing portfolio ‒ and more than 70 percent of the acquired portfolio is in the Stockholm and Gothenburg area.
The acquisition creates and expands two existing Prologis logistic parks in Sweden to more than 120,000 square meters each: Hisingen, Gothenburg, and Arlanda Stad, which is close to Stockholm Arlanda Airport and 30 minutes from the Stockholm city center.
“The quality of these assets in this strong market, the solid and diverse customer base and the fact that the buildings are very complementary to our existing portfolio represents a solid strategy for building long-term value,” says Bram Verhoeven, senior vice president, regional head, Prologis Northern Europe.
The seller is Logistikfastigheter Sverige AB, founded in 2016 by Alecta, the occupational pension fund manager, and Bockasjö AB, a logistics developer.
In this transaction Prologis was advised by JLL and DLA Piper.
Prologis, Inc. is the global leader in logistics real estate with a focus on high-barrier, high-growth markets. As of December 31, 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 72 million square meters in 19 countries. Prologis leases modern distribution facilities to a diverse base of approximately 5,100 customers across two major categories: business-to-business and retail/online fulfilment.
The statements in this release 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 Prologis operates, management's beliefs and assumptions made by management. Such statements involve uncertainties that could significantly impact Prologis' financial results. Words such as "expects," "anticipates," "intends," "plans," "believes," "seeks," "estimates," and 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 and changes in sales or contribution volume of properties, disposition activity, general conditions in the geographic areas where we operate, our debt 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 a guarantee 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 climates, (ii) changes in 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 ("REIT") status and tax structuring, (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 and funds, including our ability to establish new co-investment ventures and funds, (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 Prologis under the heading "Risk Factors." Prologis undertakes no duty to update any forward-looking statements appearing in this release.