Real Estate (Tables)

9 Months Ended

Sep. 30, 2021

Investments in real estate properties consisted of the following (dollars and square feet in thousands):

	Square Feet				Number of Buildings
	Sep 30,		Dec 31,		Sep 30,		Dec 31,		Sep 30,		Dec 31,
	2021		2020		2021		2020		2021		2020
Operating properties:
Buildings and improvements		444,812		441,336		2,286		2,261	$	32,064,117	$	31,489,943
Improved land										12,145,397		12,017,676
Development portfolio, including land costs:
Prestabilized		3,761		6,076		12		24		433,391		553,266
Properties under development		31,967		22,004		84		61		2,377,098		1,329,345
Land ⁽¹⁾										2,039,754		1,606,358
Other real estate investments ⁽²⁾										3,398,937		3,387,740
Total investments in real estate properties										52,458,694		50,384,328
Less accumulated depreciation										7,404,304		6,539,156
Net investments in real estate properties									$	45,054,390	$	43,845,172

(1)	At September 30, 2021 and December 31, 2020, our land was comprised of 5,186 and 5,304 acres, respectively.

(2)

Included in other real estate investments were: (i) non-strategic real estate assets acquired in the Liberty Transaction that we do not intend to operate long-term; (ii) real estate assets that we intend to redevelop into industrial properties; (iii) land parcels we own and lease to third parties; and (iv) costs associated with potential acquisitions and future development projects, including purchase options on land.

Schedule of Acquisitions of Properties

The following table summarizes our real estate acquisition activity, excluding the Liberty Transaction as discussed in Note 2 (dollars and square feet in thousands):

	Three Months Ended September 30,				Nine Months Ended September 30,
	2021		2020		2021 ⁽¹⁾		2020 ⁽²⁾
Number of operating properties		15		2		26		140
Square feet		3,910		194		6,023		20,470
Acres of land		685		156		1,391		611
Acquisition cost of net investments in real estate ⁽³⁾	$	757,711	$	188,717	$	1,796,383	$	2,730,377

(1)	During the nine months ended September 30, 2021, we acquired additional ownership interest in unconsolidated other ventures from our partners and began consolidating the real estate assets.

(2)

On January 8, 2020, our two U.S. co-investment ventures, Prologis Targeted U.S. Logistics Fund, L.P. (“USLF”) and Prologis U.S. Logistics Venture, LLC (“USLV”), acquired the wholly-owned real estate assets of Industrial Property Trust Inc. (“IPT”) for $2.0 billion each in a cash transaction, including transaction costs and the assumption and repayment of debt (the “IPT Transaction”). As we consolidate USLV, the number of operating properties, square feet and acquisition cost for the properties acquired by USLV are included in the consolidated acquisition activity.

(3)

The acquisition cost of net investments in real estate includes other real estate investments of $50.5 million and $224.3 million during the three and nine months ended September 30, 2021, respectively. Acquisitions of other real estate investments were not material during 2020. This category of real estate is not included within the other metrics in this table.

Number Of Properties Disposed Including Minor Adjustments

The following table summarizes our dispositions of net investments in real estate which include contributions to unconsolidated co-investment ventures and dispositions to third parties (dollars and square feet in thousands):

	Three Months Ended September 30,				Nine Months Ended September 30,
	2021 ⁽¹⁾		2020		2021 ⁽¹⁾		2020
Dispositions of development properties and land, net ⁽²⁾
Number of properties		12		12		31		32
Square feet		2,876		3,150		12,337		11,776
Net proceeds	$	368,131	$	410,398	$	1,814,331	$	1,384,227
Gains on dispositions of development properties and land, net	$	139,406	$	134,207	$	500,410	$	383,373

Other dispositions of investments in real estate, net
Number of properties		31		15		74		38
Square feet		5,806		2,558		12,060		6,635
Net proceeds	$	738,396	$	409,303	$	1,334,168	$	763,615
Gains on other dispositions of investments in real estate, net	$	214,390	$	108,927	$	358,180	$	184,357

(1)	During the three and nine months ended September 30, 2021, we sold our ownership interest in an unconsolidated other venture.

(2)	The gains we recognize in Gains on Dispositions of Development Properties and Land, Net are primarily driven by the contribution of newly developed properties to our unconsolidated co-investment ventures and occasionally sales to a third party.