Prologis, Inc. (NYSE: PLD), has inked a new build-to-suit agreement with Hitachi Transport System, the leading 3PL company in Japan, for a 233,400-square-foot (21,680-square-meter) distribution facility in the southern part of Japan.
Prologis is a global owner, operator and developer of industrial real estate, which announced last month the corporate credit rating upgrade to Baa3 from Ba1 given by Moody’s Investors Service. The new three-story facility, Prologis Park Tosu 2, will be built at an industrial park in Japan’s Saga Prefecture, a key logistics and manufacturing hub for the southeast region.
Construction is planned to commence in November 2011, and the customer will occupy the facility upon its expected completion in July 2012.
“This agreement with Hitachi Transport System Group extends our relationship with a target customer to 12 leases in 5 countries and we are very pleased to strengthen our relationship with such an important 3PL company in Japan,” said Mike Yamada, President of Prologis in Japan.
“We continue to see strong demand for new large-scale modern logistics facilities; developments such as this one enable us to provide solutions for our customers while monetizing our land bank.”
Prologis Park Tosu 2 is located in the city of Tosu, Japan, near the junction of several major transportation routes, including the Kyushu Expressway, the Nagasaki Expressway and the Tosu Interchange.
The park offers easy access to these motorways, as well as the Japan Railway Tosu Station, the Saga Airport and the Fukuoka Airport. The region nests nearly 1,000 companies, including automobile manufacturers Nissan, Toyota and Daihatsu.
Prologis provides distribution space in Japan, with approximately 24 million square feet (2.2 million square meters) completed and under development, as well as 76 acres (30 hectares) of land available for future development. Other Prologis customers in Japan include Panasonic Logistics, Kirin Logistics, Sagawa Global Logistics, Caterpillar Logistics Services, Inc., Yamato Logistics and Costco.