Global Logistic Properties Ltd And Canada Pension Plan Investment Board To Expand GLP Japan Development Venture To USD 2.2 Billion

Global Logistic Properties Ltd (GLP) announced the expansion of GLP Japan Development Venture (Venture), its 50:50 joint venture with Canada Pension Plan Investment Board (CPPIB) to develop modern logistics properties in Japan. CPPIB and GLP have agreed to expand the investment capacity of the Venture and will each contribute an additional JPY 29 billion (USD 316 million) of equity. The new equity commitment announced on February 4, 2013, increases the total equity allocated to GLP Japan Development Venture to JPY 100 billion (USD 1.1 billion). With leverage, the Venture’s investment target is USD 2.2 billion and the investment identification period has been reset for another three years from the signing date. GLP Japan Development Venture was formed in August 2011 with an equity commitment of USD 500 million and a target loan-to-value of 50%. The Venture has invested in four development projects totaling JPY 43 billion (USD 469 million. Three out of four projects have commenced construction, with the first project due for completion in February 2013.