Prologis and Skybox Datacenters Sell
High-Capacity Data Center
SAN
FRANCISCO, Dec. 11, 2024 /PRNewswire/ -- Prologis,
Inc. (NYSE: PLD), the global leader in logistics real estate, today
announced it has sold a data center development in its Chicago market to HMC Capital (ASX: HMC).
Prologis, in partnership with Skybox Datacenters, is converting one
of its warehouses into a high-capacity, turnkey data center with a
marketed capacity of 32 megawatts (MW).
Warehouse conversions and ground-up development are the keys to
the company's data center strategy. This warehouse is held in
the U.S. Logistics Fund (USLF), a Prologis co-investment vehicle
focused on premier logistics real estate, including higher and
better use conversions.
"We see great potential for warehouse conversions in key markets
and properties in our portfolio," said Dan Letter, president of
Prologis. "The end-to-end capabilities of our unique data center
platform enables Prologis to capitalize on this compelling growth
opportunity, while delivering outsized returns to our investors and
meeting customer demand for digital infrastructure."
Prologis has been rapidly scaling its power procurement to
support demand for new data center development. Today, the company
has secured 1.6 gigawatts (GW) of power globally and has another
1.4 GW in advanced stages of procurement. Prologis has also been
strategically expanding its in-house data center team, with
industry veterans Chris Curtis and
Laramie Dorris joining the company this year. With 490 MW under
construction, Prologis is one of the leading data center developers
in the industry.
"We are working with the largest hyperscalers and generative AI
thought leaders to facilitate their growing data center needs,"
said Chris Curtis, global head of
data centers for Prologis. "Because we have the world's largest
portfolio of warehouses, our in-house expert team is identifying
higher-value conversion opportunities across our approximately
5,600 buildings and 12,400 acres of land. We have delivered 29
projects dating back to 1999."
HMC Capital CEO and Managing Director, David Di Pilla, said: "We are proud to be
acquiring this world-class turnkey data center, which is located in
a tier one market and underpinned by long-term contracted cash
flows. This will be a marquee asset for our newly established
DigiCo Infrastructure REIT, which will own a AUD$4.3 billion
portfolio of data centers in Australia and the
United States. The asset is well suited to DigiCo's
investment mandate which will target high quality data center
assets across the risk return spectrum."
Prologis' Partnership with Skybox
"The data center
industry is at a pivotal moment, experiencing unprecedented growth
fueled by the demands of today's evolving digital economy," said
Rob Morris, CEO of Skybox
Datacenters. "By leveraging proven development expertise,
innovative design partnerships and deep utility relationships,
Skybox and Prologis have delivered a world-class facility in
Illinois. Skybox is dedicated to
exceeding our customers' expectations as we continue to build our
next generation of PowerCampus solutions for the world's largest
companies."
Over the next four years, Prologis expects to develop
approximately 20 data center opportunities and $7-8 billion in additional investment.
ABOUT PROLOGIS
Prologis, Inc. is the global leader in logistics real estate with a
focus on high-barrier, high-growth markets. At September 30, 2024, the company owned or had
investments in, on a wholly owned basis or through co-investment
ventures, properties and development projects expected to total
approximately 1.2 billion square feet (116 million square meters)
in 20 countries. Prologis leases modern logistics facilities to a
diverse base of approximately 6,700 customers principally across
two major categories: business-to-business and retail/online
fulfillment.
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SOURCE Prologis, Inc.