Fitch Ratings upgraded Prologis Inc.'s issuer default rating to BBB+ from BBB and its preferred stock rating to BBB- from BB+.

The rating agency also upgraded Prologis LP's issuer default, global senior credit facility, senior unsecured note and multicurrency senior unsecured term loan ratings to BBB+ from BBB; and Prologis Tokyo Finance Investment LP's senior unsecured guaranteed note, senior unsecured revolving credit facility and senior unsecured term loan ratings to BBB+ from BBB.

The company's rating outlook is stable.

Prologis is likely to maintain its pro rata leverage at about 6.0x over the next 12 to 24 months, which aligns with the BBB+ rating, Fitch said in a note. Fitch also believes Prologis has adequate cushion to embark on larger debt-funded acquisitions, or deals relative to the 6.5x negative rating sensitivity.

The rating agency also posited that continued positive growth in same-store net operating income and development cash flows should allow Prologis to lower its leverage.