Prologis Approves Sponsorship of Japanese REIT

Prologis Approves Sponsorship of Japanese REIT

San Francisco-based Prologis’ board of directors has approved sponsorship of a Japanese real estate investment trust to serve as a long-term investment vehicle for modern logistics facilities developed by the industrial real estate company in Japan.

Prologis initially expects to contribute 12 of its distribution centers to the J-REIT, worth about $2.1 billion. The portfolio, with a weighted average age of 3.4 years, totals approximately 10 million square feet and is located in the company’s Tokyo and Osaka markets.

The J-REIT will be managed by a subsidiary of the Prologis, and Prologis will provide various pipeline and operational support to the J-REIT. As the sponsor, Prologis will act as the property and asset manager.