- China's Bright Dairy Pre-Leases Over 113,000 Square Feet in Phase II Expansion
ProLogis (NYSE: PLD), a leading global provider of distribution facilities and services, announced today that it is expanding ProLogis Park Northwest, an industrial park located in Shanghai that currently has over 520,000 square feet (48,300 square meters) of distribution space.

The park is now fully leased following recent transactions with Wurth Group, a global provider of fixing and assembly materials; UPS, a U.S.-based shipping company; and MOL, a third-party logistics provider based in Japan. The three leases, which combined total approximately 115,000 square feet (10,700 square meters), all were signed in the fourth quarter of 2005 or the first quarter of 2006.

The Phase II expansion of the park will include two facilities totaling over 345,000 square feet (32,000 square meters), with construction planned to be completed in the second half of 2006. Bright Dairy & Food Company Ltd., one of China's largest producers and distributors of milk, yogurt and other dairy products, has reserved over 113,000 square feet (10,500 square meters) of space in Phase II.

"We're exceptionally pleased by the robust demand we're seeing across all our markets in China for state-of-the-art industrial space," said Ming Mei, ProLogis managing director. "In general, newly developed inventory is leasing up shortly after completion, as evidenced by the more than 1 million square feet leased since the beginning of the fourth quarter by ProLogis to leading companies building their Chinese operations. We're excited that Phase II at ProLogis Park Northwest is already approximately one-third leased to Bright Dairy and look forward to working with them as their industrial facilities provider."

ProLogis Park Northwest is located in the Taopu area of Shanghai, offering excellent access to major expressways leading from Shanghai to other areas of China, as well as to Hongqiao International Airport, Pudong Airport and Wusong Seaport. Other recent transactions at the park include the following:

*  134,000 square feet (12,450 square meters) leased to Yum! Brands, owner
       of KFC, Taco Bell and other leading restaurant chains;

    *  65,000 square feet (6,000 square meters) leased to NYK, a leading
       Japanese logistics services provider;

    *  24,000 square feet (2,200 square meters) leased to Menlo Worldwide, a
       leading third-party logistics provider.

ProLogis entered the Chinese market in 2004 and has since established a leading position as a provider of industrial distribution facilities, with approximately 6.6 million square feet (613,000 square meters) completed, acquired or under development in strategic locations concentrated around Shanghai, Beijing and Guangzhou. Other major customers in China include adidas, L'Oreal, Nokia, Samsung and UPS.

About ProLogis

ProLogis is a leading provider of distribution facilities and services, with over 377 million square feet (35 million square meters) in more than 2,300 properties owned, managed and under development in 77 markets in North America, Europe and Asia, as of December 31, 2005. We continue to expand the industry's first and largest global network of distribution facilities with the objective of building shareholder value. We expect to achieve this through the ProLogis Operating System(R) and our commitment to provide exceptional facilities and services to meet our customers' expansion and reconfiguration needs.

SOURCE ProLogis