ProLogis Generates $840 Million of Gross Proceeds From Asset Sales and Property Fund...

ProLogis Generates $840 Million of Gross Proceeds From Asset Sales and
Property Fund Contributions in Second Quarter

- Closes North American Industrial Asset Sales of $561 Million -

- Contributes euro 110($151) Million of Assets to European Property Fund -

- Closed Previously Reported $128 Million Asset Sale in Japan -

DENVER, June 30 /PRNewswire-FirstCall/ -- ProLogis (NYSE: PLD), a leading
global provider of distribution facilities, announced today that it has
generated approximately $840 million of gross proceeds from the sale of
industrial assets as well as contributions to property funds in the second
quarter of 2009.

"We are pleased to announce the successful execution of this important element
of the action plan we outlined last fall," Walter C. Rakowich, chief executive
officer, said. "Our focus on reducing the level of debt and risk in our
business included generating proceeds from the sale of some of our industrial
assets and continued contributions of development assets into our property
funds.

"The quality of our portfolio and long-term attractiveness of industrial
assets enabled us to achieve our targets, despite challenging capital market
conditions. Through these and other recent initiatives, we have significantly
enhanced our liquidity."

North American Asset Sales Substantially Complete

As previously disclosed, ProLogis had identified a portfolio of North American
industrial assets that it began marketing for sale in late 2008. In
connection with this effort, the company closed on asset sales totaling $561
million in the second quarter with an additional $96 million of properties
expected to close in the second half of the year. This pool of $657 million of
assets comprises 136 properties, totaling 14.2 million square feet, and is
expected to be sold in 28 separate transactions. The $561 million of second
quarter sales are expected to generate approximately $200 million of net
earnings, which will be recognized in earnings per share but not in funds from
operations.

The blended, stabilized cap rate for the $657 million portfolio of assets is
expected to be 8.89 percent. The properties average 20 years in age and
105,000 square feet in size and are geographically diverse, located in markets
that include Chicago, Houston, Dallas, Atlanta, Memphis, Northern and Southern
California, Seattle, Portland, Phoenix, Washington, D.C. and Northern New
Jersey.

Included in these transactions is a single venture with a major state pension
fund. ProLogis sold a portfolio of 90 properties, comprising 9.6 million
square feet of space, to the venture for total proceeds of $426 million. The
company will retain a five percent interest in the venture and continue to
manage the assets.

Property Fund Contribution Pricing Stable in Second Quarter

ProLogis generated proceeds of euro 110($151) million from contributions of
stabilized properties to ProLogis European Properties Fund II (PEPF II) during
the second quarter. While the appraised cap rate for these contributions
averaged 7.78 percent, the properties were contributed to the fund at or near
book value with an average cap rate of 8.53 percent. The contribution pricing
reflects the company's agreement with PEPF II investors to add a 75 basis
point premium to appraised cap rates in the first and second quarters of 2009,
due to the belief that appraisals have lagged true market conditions. This
premium decreases to 50 basis points for any contributions made in the third
quarter and 25 basis points in the fourth quarter. The second quarter cap rate
compares with an average appraised cap rate of 7.63 percent and contribution
cap rate of 8.39 percent for assets contributed to PEPF II in the first
quarter of 2009.

Japan Property Sale Adds to Second Quarter Proceeds

Also, as previously announced, during the second quarter, ProLogis completed
the sale of one property in Japan to GIC Real Estate for $128 million as part
of the company's sale of certain Asian operations earlier in the year.

Company Exceeds De-leveraging Goal

"With the proceeds from these second quarter sales and contributions and the
$345 million on-balance sheet secured debt financing announced previously, we
have addressed all of our 2009 balance sheet debt maturities and will further
reduce the outstanding balance on our global lines of credit," said William E.
Sullivan, chief financial officer. "In total, we have slashed our corporate
debt by more than 25 percent, or $2.7 billion, since September 30, 2008,
exceeding our objective of de-leveraging by at least $2 billion by the end of
2009."

About ProLogis
ProLogis is a leading global provider of distribution facilities, with more
than 475 million square feet of industrial space (44 million square meters) in
markets across North America, Europe and Asia. The company leases its
industrial facilities to more than 4,500 customers, including manufacturers,
retailers, transportation companies, third-party logistics providers and other
enterprises with large-scale distribution needs. For additional information
about the company, go to www.prologis.com.

SOURCE ProLogis

Investor Relations, Melissa Marsden, +1-303-567-5622, mmarsden@prologis.com,
or Media, Krista Shepard, +1-303-567-5907, kshepard@prologis.com, both of
ProLogis; or Financial Media, Suzanne Dawson of Linden Alschuler & Kaplan,
Inc, +1-212-329-1420, sdawson@lakpr.com, for ProLogis