A joint venture between Norway’s sovereign wealth fund Norges Bank Investment Management which manages the world’s largest sovereign wealth fund with assets of some $1.1 trillion, and property investment group Prologis Inc. has signed an agreement to acquire a 19 million square feet U.S logistics real estate portfolio.
”The portfolio consists of 127 properties located across multiple U.S markets, including Southern California, San Francisco Bay Area, Seattle and Dallas,” Norges Bank Investment Management (NBIM) said in a statement.
Under the terms of the agreement, Norges Bank Investment Management will acquire its 45 percent interest for approximately $896 million, valuing the portfolio at $1.99 billion.
Prologis will acquire the remaining 55 percent interest and will manage the properties on behalf of the joint venture.
The agreement was signed on 21 November 2019, with completion expected in January 2020.
The acquisition is a subset of Prologis Inc’s definitive merger agreement to acquire Industrial Property Trust, Inc., said NBIM in the statement.