ProLogis European Concludes UK Asset Sale
Published:30-June-2009
By Staff Reporter
Closes on sale of five distribution warehouses, generating net proceeds of £64.4 million
ProLogis European Properties (PEPR) has sold five distribution facilities in the UK, generating net proceeds of £64.4 million.
The purchaser is an affiliate of Harbert European Real Estate Fund. The 79,692 square metre (857,800 square feet) portfolio comprises five distribution warehouses in various locations throughout the UK, with a remaining average lease length of 10 years, said PEPR.
Following the sale of these five buildings, PEPR continues to own 39 distribution warehouses in the UK, which are leased to different global customers.
Simon Nelson, Head of Asset Management, PEPR, said: "This latest sale demonstrates the continued momentum of our current deleveraging strategy and our ability to execute transactions successfully in what remains a relatively slow market."
"The sale price is in line with current valuations and the disposal of these standalone assets is consistent with PEPR’s long-term business plans for its UK portfolio. The proceeds from both sales will be used to reduce outstanding debt," he added.
PEPR also received €92.2 million in proceeds from the sale of distribution warehouses portfolio in The Netherlands and Germany, to AEW Europe.
