US - ProLogis, the North American industrial property developer, has gained further ground in its de-leveraging process after receiving a second round of proceeds from its Asian transactions.

ProLogis received $500m (€368m) in cash proceeds last month and a further $845m earlier this week for the sale of its Chinese business and property fund interests in Japan to GIC Real Estate, bringing the total to $1.345bn.

In addition, ProLogis expects the $140m sale of ProLogis Park Misato II to GIC Real Estate to be completed within the next 30 days.

Walter Rakowich, chief executive officer for ProLogis, said: "Including the sale of this additional asset in Japan, we will generate approximately $1.5bn in cash proceeds, allowing us to make substantial progress toward our goal of de-leveraging our balance sheet by $2bn by the end of 2009."

ProLogis announced in November 2008 its immediate plans to trim the size of the company, renegotiate financing and halt its development pipeline in order to pay off some of the company's $11bn indebt.

According to William Sullivan, chief financial officer, the firm has already addressed 50% of its 2009 fund-related maturities, including a three-year extension and $60m reduction on the $167m secured loan for the ProLogis North American Industrial Fund III.

"Further deleveraging initiatives, including the planned disposition of assets from our directly-owned portfolio, are underway and information will be provided as these initiatives come to fruition over the next 90 days," said Sullivan.

By using its €900m unsecured credit facility, around €43m from derivatives proceeds and cash proceeds from operations, the firm plans to repay its €335.9m Commercial mortgage-backed securities debt three months early on April 05 2009.

ProLogis has also closed a $120m secured financing contract for 10 years for its California Fund. The financing had a loan to value of approximately 50% and the proceeds were used to partially refinance a debt facility extended to March 2010.

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