ProLogis sees the North American industrial property market remaining 'very soft,' with no marked improvement expected until late 2003, Chief Executive K. Dane Brooksher said Thursday.
But things are looking better abroad, Brooksher said in a conference call discussing third-quarter results. The Denver industrial real estate investment trust is seeing 'good activity' in Europe, which is meeting expectations, he said. He pointed to recent leasing successes in Spain, Belgium, Poland, Germany, France and the U.K.
'We would expect Europe to continue to perform well for the balance of 2002 and throughout 2003,' Brooksher said.
In Japan, the company´s development pipeline is growing rapidly, he said. 'We began an additional $200 million in starts in the third quarter, and expect to mount additional Japan development and acquisition activity in the near term.' Japan will be 'a major contributor to our growth in 2003 and beyond,' Brooksher said.
In an interview with Dow Jones Newswires following the conference call, Chief Financial Officer Walt Rakowich said the most important aspect of the third quarter was the company´s ability to offset weakness in the North American market with international growth, so that it expects an increase in funds from operations per share for 2002 and 2003.
(source: Dow Jones Newswires)