By Joshua Burd
Prologis Inc. has added more than 8 million square feet of industrial space in New Jersey with its newly completed acquisition of Duke Realty Corp., with nearly 3 million square feet still to come via development in progress and buildable land sites.
The real estate investment trust announced this week that it had closed the $23 billion all-stock deal, including the assumption of debt, in a move that expands its presence in 19 major U.S. markets. That includes the addition of roughly 480 fully operational logistics buildings spanning 142 million square feet, along with 7 million square feet of buildings under development and some 17 million square feet of developable land across the country.
In New Jersey, the Duke Realty deal included 22 new buildings totaling roughly 8.3 million square feet, along with two buildings under development that will add a combined 484,000 square feet, Prologis said. The REIT has also added 2.4 million square feet of buildable land.
“Prologis is bringing a highly complementary New Jersey-based set of assets into its portfolio,” said Jesse Harty, a senior vice president and the company’s market officer in New Jersey and New York. “We’re excited about the opportunities this acquisition brings to our market. Our team this week is visiting our new customers and introducing them to the wide array of services and solutions we deliver, like our Essentials platform.”
It was unclear this week if any former Duke Realty employees have joined Prologis in New Jersey, although the REIT said in June that it would “hire a number of Duke Realty personnel.”
Prologis also announced Monday that Duke Realty Chairman and CEO James Connor has been appointed to its board, effective immediately upon the closing of the acquisition.
Aside from New Jersey, where the logistics real estate giant has grown significantly in recent years, the San Francisco-based company touted the expansion of its footprint in locales such as Southern California, South Florida, Chicago, Dallas and Atlanta.
“In addition to the day-one accretion and avenues for further earnings growth, this acquisition gives us an even stronger ability to support our customers and their growth,” Prologis Co-founder, CEO and Chairman Hamid R. Moghadam said. “We’re gaining high-quality properties and more than 500 new customers in key markets. These new customers will be able to tap into our Essentials platform, which delivers end-to-end solutions to address critical supply chain challenges and contributes to their broader sustainability efforts.”
Prologis eyes continued push in New Jersey, New York with a team that has doubled since 2019
