CBRE GIP, Prologis to invest £1b in U.K. logistics
Prologis and CBRE Global Investment Partners, a division of CBRE Global Investors, have formed a new logistics development venture in the United Kingdom.
The venture, called Prologis U.K. Logistics Venture, will pursue a develop-to-own strategy focusing on prime U.K. markets in the East and West Midlands, London and the Southeast. UKLV will acquire land, develop buildings, and operate and hold logistics real estate. The venture will be seeded with a 7.6 million-square-foot portfolio of stabilized properties, developments in progress and land, with an initial closing of approximately 3.9 million square feet. UKLV will be structured as a 15-85 joint venture, with 15 percent owned by Prologis and 85 percent owned by clients of CBRE Global Investment Partners, with total expected value of approximately £1 billion ($1.26 billion).
The transaction is expected to close at the end of February.