• ITVI.USA
    15,556.710
    2.060
    0%
  • OTLT.USA
    2.884
    0.003
    0.1%
  • OTRI.USA
    20.530
    -0.020
    -0.1%
  • OTVI.USA
    15,546.980
    -0.050
    0%
  • TSTOPVRPM.ATLPHL
    2.820
    -0.100
    -3.4%
  • TSTOPVRPM.CHIATL
    3.580
    -0.100
    -2.7%
  • TSTOPVRPM.DALLAX
    1.260
    -0.030
    -2.3%
  • TSTOPVRPM.LAXDAL
    3.650
    0.030
    0.8%
  • TSTOPVRPM.PHLCHI
    2.330
    -0.090
    -3.7%
  • TSTOPVRPM.LAXSEA
    4.020
    -0.150
    -3.6%
  • WAIT.USA
    127.000
    -1.000
    -0.8%
  • ITVI.USA
    15,556.710
    2.060
    0%
  • OTLT.USA
    2.884
    0.003
    0.1%
  • OTRI.USA
    20.530
    -0.020
    -0.1%
  • OTVI.USA
    15,546.980
    -0.050
    0%
  • TSTOPVRPM.ATLPHL
    2.820
    -0.100
    -3.4%
  • TSTOPVRPM.CHIATL
    3.580
    -0.100
    -2.7%
  • TSTOPVRPM.DALLAX
    1.260
    -0.030
    -2.3%
  • TSTOPVRPM.LAXDAL
    3.650
    0.030
    0.8%
  • TSTOPVRPM.PHLCHI
    2.330
    -0.090
    -3.7%
  • TSTOPVRPM.LAXSEA
    4.020
    -0.150
    -3.6%
  • WAIT.USA
    127.000
    -1.000
    -0.8%
EuropeLogisticsNewsWarehouse

Prologis and Norwegian investment arm in $2 billion US logistics warehouse venture

Logistics real estate giant Prologis Inc. (NYSE:PLD) and Norges Bank Investment Management, the investment arm of Norway’s oil fund, have struck a deal to acquire a 19 million-square-foot U.S. portfolio in a $1.99 billion deal, the Norges Bank arm said.

Under the terms of a joint venture agreement, the Norges Bank unit will acquire a 45% stake for approximately $896 million. Prologis will control the remaining 55% and manage the properties. The transaction will not require any financing to be consummated, the unit said.

The joint venture is buying 127 properties in multiple U.S. markets, notably Southern California, the San Francisco Bay Area, Seattle and Dallas.

The deal is an outgrowth of Prologis’ $3.99 billion acquisition in July of Industrial Property Trust Inc., whose 375 million-square-foot portfolio comprised 236 properties, 96% of which were in existing Prologis markets.

Launched in 1996, the Norwegian oil fund today holds small stakes in more than 9,000 companies worldwide, according to the investment arm. On any given trading day, it holds 1.4% of all of the world’s publicly traded companies.

Prologis, the world’s largest developer, owner and operator of logistics warehouses, controls 797 million square feet worldwide. Of that, 460 million square feet is in the U.S.

Mark Solomon

Formerly the Executive Editor at DC Velocity, Mark Solomon joined FreightWaves as Managing Editor of Freight Markets. Solomon began his journalistic career in 1982 at Traffic World magazine, ran his own public relations firm (Media Based Solutions) from 1994 to 2008, and has been at DC Velocity since then. Over the course of his career, Solomon has covered nearly the whole gamut of the transportation and logistics industry, including trucking, railroads, maritime, 3PLs, and regulatory issues. Solomon witnessed and narrated the rise of Amazon and XPO Logistics and the shift of the U.S. Postal Service from a mail-focused service to parcel, as well as the exponential, e-commerce-driven growth of warehouse square footage and omnichannel fulfillment.

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