San Francisco-based Prologis Inc. (NYSE: PLD) announced that it has completed the largest-ever portfolio sale of logistics warehouses in the U.K.
In a Wednesday evening press release, the world’s leading logistics real estate investment trust reported the sale of 22 stand-alone buildings totaling 4.3 million square feet to real estate funds managed by New York-based The Blackstone Group (NYSE: BX).
The price tag was 473 million pounds (U.S. $618 million).
The properties were acquired by Prologis as part of the company’s $13 billion acquisition of Liberty Property Trust and are outside of the company’s core investment strategy, which focuses on operating assets within logistics parks.
“This transaction completes the realignment of our UK portfolio with our long-term investment strategy in key distribution locations in the Midlands and the South East, along with our focus on urban Last Touch properties in London,” said regional head of Prologis U.K. Paul Weston. “The outcome demonstrates the strength of the logistics sector as an investment asset class.”
This disposition was included in Prologis’ previously updated guidance for 2020.
Prologis’ industrial real estate portfolio stands at $145 billion in total assets under management. The company’s nearly 1 billion square feet of owned and managed properties spans 19 countries, serving 5,500 customers. Many of its warehouses in the U.S. service ports on both coasts, regional distribution hubs, and rail and intermodal facilities.
