trending Market Intelligence /marketintelligence/en/news-insights/trending/WohlmUK-UIcWW53K9ZcIpw2 content
Log in to other products

Login to Market Intelligence Platform


Looking for more?

Contact Us

Request a Demo

You're one step closer to unlocking our suite of comprehensive and robust tools.

Fill out the form so we can connect you to the right person.

  • First Name*
  • Last Name*
  • Business Email *
  • Phone *
  • Company Name *
  • City *

* Required

In This List

No discernible impact on business from trade war, Prologis CFO says

Credit Analytics Case Study Poundworld Retail Ltd


IFRS 9 Impairment How It Impacts Your Corporation And How We Can Help

The Market Intelligence Platform

Real Estate

Real Estate Solutions Overview

No discernible impact on business from trade war, Prologis CFO says

Industrial landlord Prologis Inc.'s shares climbed nearly 3% in midday trading Oct. 15 after the company increased its 2019 earnings guidance and executives described still-robust market conditions.

Speaking on the company's third-quarter earnings call, CFO Tom Olinger said the ongoing trade war between the U.S. and China so far has not had a material impact on overall leasing volume. Demand remains healthy, and deal gestation and conversion rates remain "positive," he said. Vacancy is still at historic lows, in the mid-4% range.

"Customer sentiment remains positive, and we see no meaningful impact on our business from uncertainties surrounding trade," he said.

The company said with its third-quarter earnings that it expects U.S. rents to increase 7% in 2019, instead of the previously expected 6%. Rent growth this year in Europe, meanwhile, is expected to be the highest in more than a decade, and in Japan, fundamentals are improving, Olinger said on the call.

Turmoil in global trade and forecasts for a global economic slowdown in 2020 have not dampened the company's appetite for portfolio deals. During the Q&A segment, management hinted that they, too, had looked at the 100-building portfolio that Blackstone Group Inc. just sold to Nuveen Real Estate, the real estate investment arm of Teachers Insurance & Annuity Association of America.

"You can assume that we look at everything," Chairman and CEO Hamid Moghadam said.

The company plans to provide 2020 guidance at its investor meeting Nov. 5.