DENVER - Sensing a huge buying opportunity in European industrial real estate, Denver-based ProLogis has formed the ProLogis European Properties Fund. The intent is to tap into third-party equity capital to expand the ProLogis Operating System.
So far it's working. ProLogis has lined up $1.07 billion of third-party equity commitments from 16 institutional investors through a private placement. Combined with ProLogis' equity investment and debt financings, the fund's total committed capitalization will reach $2.7 billion by year-end 2002.
ProLogis is contributing 6.6 million sq. ft. of stabilized
European industrial properties, valued at $352 million. "ProLogis' equity requirement for our planned expansion in Europe is now complete," says K. Dane Brooksher, ProLogis chairman and CEO.
Jeffrey Schwartz, vice chairman for international operations, says, "We are the only company operating on a pan-European basis, we control over 2,000 acres of land for development and we have the capital to capture this extraordinary growth opportunity."