Brookfield to Acquire Leading Industrial and Logistics Property Company
Brookfield to Acquire Leading Industrial and Logistics Property Company
HAMILTON, BERMUDA -- (Marketwired) -- 08/07/13 -- Brookfield Property Partners L.P. (NYSE: BPY) (TSX: BPY.UN)
-- Brookfield to purchase Industrial Developments International from Kajima of Japan for $1.1 billion -- High quality industrial portfolio comprised of over 27 million square feet of operating assets and 49 million square feet of future development potential -- Brookfield's industrial portfolio to comprise 62 million square feet with 79 million square feet of future development potential
Brookfield Property Partners L.P. (NYSE: BPY) (TSX: BPY.UN) has reached an agreement to acquire Industrial Developments International Inc. (IDI) from the U.S. subsidiary of Kajima Corporation in a $1.1 billion transaction that will create one of North America's largest industrial property companies. Brookfield Property Partners will own an approximate 25% interest in IDI with the balance owned by Brookfield's institutional partners.
Founded in 1989 and based in Atlanta, IDI owns and operates 75 high quality industrial distribution facilities totalling 27 million square feet in 12 states, and serves major North American consumer product, retail and industrial companies. In addition, IDI has 49 million square feet of future development projects and a significant third party property management business.
The transaction is expected to close in the fourth quarter of 2013.
With the acquisition of IDI, Brookfield's industrial portfolio will comprise over 62 million square feet of operating assets and more than 79 million square feet of future development potential with operations in North America, Europe, the Middle East and China, making it one of the largest global owners of industrial and logistics facilities.
"The addition of IDI to Brookfield's existing industrial operations will create a leading global industrial real estate company able to deliver high quality distribution facilities to clients around the world," said Ric Clark, Chief Executive Officer of Brookfield Property Group. "The combined business will own irreplaceable assets and development sites near major markets and transport routes, with a 25 year track record of delivering superior service, and is now positioned for significant long term growth."
"Brookfield will be an exceptional parent organization and we are enthusiastic about starting a positive new chapter for IDI as we approach our 25th year in business," said Timothy J. Gunter, President and Chief Executive Officer of IDI. "With Brookfield's backing, we have an exciting opportunity ahead of us to strengthen IDI's presence in the current markets we serve and potentially in uncharted territory."
About Brookfield Property Partners
Brookfield Property Partners is a commercial real estate owner, operator and investor operating globally. Our diversified portfolio includes interests in over 300 office and retail properties encompassing approximately 250 million square feet. In addition, we have interests in approximately 20,000 multi-family units, 35 million square feet of industrial space and a 19 million square foot office development pipeline. Our goal is to be the leading global investor in best in class commercial property assets. For more information, please visit www.brookfieldpropertypartners.com
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Contact: Melissa Coley VP, Investor Relations and Communications Brookfield Property Partners (212) 417-7215 email@example.com