Prologis Expands Industrial Portfolio in Virginia
Prologis, the largest real estate investment trust (REIT) in the United States, has recently acquired an industrial property in Chantilly, Virginia, for $76.5 million. This acquisition continues Prologis’s strategy of expanding its logistics real estate holdings in key markets.
Details of the Acquisition
Located at 43035 Little River Turnpike, the newly acquired property spans 232,500 square feet and has been renamed the Prologis West Dulles Distribution Center. The asset was sold by Miami’s Elion Partners, after the completion of its construction earlier this year. Elion had purchased the vacant site in 2021 for $13.1 million.
Leasing and Market Demand
According to leasing documents, the firm CBRE, represented by agents Tony Russo, Bob Gibbs, and Daniela Patino, is managing leasing activities at the property. Notably, Danielle Schline, a senior vice president at Prologis, stated, “Northern Virginia continues to see growing demand for high-quality, well-located logistics space … this building was delivered in January and was fully leased by the time of closing.”
Schline further highlighted that Prologis’s portfolio in Loudoun County has now exceeded 4.2 million square feet, indicating the company’s strong presence in the region.
Prologis’s Recent Performance and Future Strategy
Despite the challenges faced by the industrial sector nationally, Prologis has reported positive results for its portfolio. The company’s earnings report for the fourth quarter of 2024 showed a 19 percent increase in its core funds from operations compared to the previous year, with quarterly revenue rising to $2.2 billion.
The company is also pursuing a significant new direction in the data center market, having appointed Chris Curtis, founder of Compass Datacenters, to lead its new $25 billion data center investment initiative. Prologis has also requested rezoning on a nearby 94-acre parcel, which could potentially host a substantial 4 million square-foot data center complex if approved.
Leadership Changes
In addition to its growth in industrial properties, Prologis is preparing for a leadership transition, as longtime CEO Hamid Moghadam announced plans to retire at the beginning of next year.