Prologis, Norges Bank Investment Management To Establish $1 Bln JV In U.S.

(RTTNews) - Prologis, Inc.(PLD), Monday said it signed a definitive agreement to form Prologis U.S. Logistics Venture, with Norges Bank Investment Management or NBIM, which is the manager of the Norwegian Government Pension Fund Global. The joint venture will be 55 percent owned by Prologis and 45 percent by NBIM. The venture is expected to close in January 2014. This is Prologis' second venture with NBIM, after the first one being a joint venture in Europe.

Pursuant to the closure, the venture will acquire a $1 billion portfolio of 66 logistics facilities of nearly 12.8 million square feet across the U.S. The portfolio will include a portion of assets from Prologis' former North American Industrial Fund III and Prologis Institutional Alliance Fund II.

"The formation of this venture is consistent with our joint long-term focus of investing in high-quality assets in key global markets," said Eugene Reilly, chief executive officer, Prologis Americas.