Former ProLogis chief executive Jeff Schwartz should feel right at home with his latest business venture.
Schwartz, who stepped down from his role at ProLogis in November, is helping to oversee properties previously owned by ProLogis, and he’s working alongside other former executives from the Denver developer of industrial properties.
Schwartz’s new company, Global Logistic Properties, has formed a joint venture with the Government of Singapore Investment Corp., known as GIC. In December, GIC agreed to acquire ProLogis’ Chinese operations and the remaining stake in its Japanese property funds for $1.3 billion in cash.
While at ProLogis, Schwartz led an aggressive international expansion that included a focus in Asia. Once under new leadership, ProLogis jettisoned its Chinese properties and the remaining stake in its Japanese portfolio in an effort to improve its balance sheet.
A ProLogis spokeswoman declined to comment on the deal.
“GIC was the largest investor with me and ProLogis over the last 12 years,” Schwartz said. “GIC already owned 80 percent in Japan. It bought the remaining 20 percent, and we took over the asset management and leasing.”
Joining Schwartz at Global Logistic Properties are Ming Mei, former president of ProLogis’ China operations, and Masato Miki, former co-CEO of the real-estate investment trust’s Japanese operations.
“We have 10 offices in China and 190 people — all the ProLogis people joined us,” Schwartz said. “It created liquidity for ProLogis and, at the same time, gave us a great platform.”
Schwartz said the Asian market has been tremendous, with the partnership’s Japanese portfolio 99.2 percent leased.
“China is the fastest-growing market,” Schwartz said. “The IMF and World Bank are forecasting 6.5 percent growth. The Chinese government is saying 8 percent.”
Margaret Jackson: 303-954-1473 or mjackson@denverpost.com
