Prologis and Ivanhoé Cambridge form $890m joint venture in Brazil

Prologis and Ivanhoé Cambridge have formed a 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.

“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,” said Gene Reilly, Prologis’ CEO of the Americas.

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.”

The transaction is subject to customary closing conditions, including applicable regulatory and third-party approvals.