Prologis, Inc., the global leader in logistics real estate, and global real estate investor Ivanhoé Cambridge today announced an agreement to form a 20/80 joint venture in Brazil.
Prologis Brazil Logistics Venture will develop and operate logistics real estate in Brazil, specifically in São Paulo and Rio de Janeiro. At closing, the venture will acquire an initial portfolio of assets of approximately 6.9 million square feet of operating properties and 371 acres of land from Prologis’ balance sheet with a commitment to build out the existing land bank.
“We are very excited to continue building our highly successful Brazil business with Ivanhoé Cambridge, a new strategic partner that brings extensive experience in Brazil specifically and in global real estate generally,” said Gene Reilly, Prologis’ CEO of the Americas. “With this venture, we are increasingly well-positioned to meet the growing demand for modern logistics space – as more than 40 percent of the country’s GDP is located in São Paulo and Rio de Janeiro.”
Rita-Rose Gagné, President, Growth Markets for Ivanhoé Cambridge added: “We have been investing in Brazil since 2006 and continue to do so with a long-term view. The quality of our partners and assets are key. We are delighted to partner with Prologis, the leading global logistics company, to invest in the growing logistics sector of Brazil. This venture aligns with our global approach to significantly increase our investments in the industrial and logistics space in key markets around the world.”
The transaction is subject to customary closing conditions, including applicable regulatory and third-party approvals.
Source : Company