Luxembourg - 1 July 2009 - ProLogis European Properties (Euronext: PEPR), Europe's largest owner of modern distribution facilities, announced today that it has closed on the sale of five distribution facilities in the UK, generating net proceeds of £64.4 million.
The purchaser is an affiliate of Harbert European Real Estate Fund II, L.P. and Harbert European Real Estate Fund II (Parallel), L.P. (collectively, "Harbert"). The 79,692 square metre (857,800 square feet) portfolio comprises five distribution warehouses in various locations throughout the UK, with a remaining average lease length of approximately 10 years.
Following the sale of these five buildings, ProLogis European Properties continues to own 39 distribution warehouses in the UK, which are leased to a variety of global customers.
In addition, ProLogis European Properties has received €92.2 million in proceeds from the sale of the portfolio of distribution warehouses in The Netherlands and Germany to AEW Europe, as announced 12 May 2009. Proceeds from the remaining tranche of the AEW sale are expected early in the third quarter.


Simon Nelson, head of asset management, said: "This latest sale demonstrates the continued momentum of our current deleveraging strategy and our ability to execute transactions successfully in what remains a relatively slow market. The sale price is in line with current valuations and the disposal of these standalone assets is consistent with PEPR's long-term business plans for its UK portfolio. The proceeds from both sales will be used to reduce outstanding debt".