AMB Property Corp. (AMB), a real estate investment trust, recently leased approximately 361,200 square feet of its development portfolio in Asia. The deal includes three leases spanning 151,100 square feet of space for development projects in Shanghai and Dalian.
AMB also leased 210,100 square feet with four leases in Japan serving the distribution needs of customers in Tokyo. AMB also confirmed that there has been no structural damage to its properties in Japan after the earthquake and tsunami.
The supply of modern logistics has not kept pace with the rapidly growing Chinese economy. The demand-supply dynamics in China, therefore, augur well for AMB. In Japan, after the recent natural disasters, AMB’s property management team and service firms enabled its customers to restart operations fast.
This has further generated interest in AMB’s Class A facilities in Japan. With improving property values and growing demand for quality properties, AMB has witnessed a growing customer interest in development projects across the globe. With these leases, AMB further strengthens its position in the vital markets ofChina and Japan markets.
AMB is a leading industrial real estate company with a strong portfolio of warehouses and distribution facilities in some of the busiest distribution markets of the globe. The company’s properties are located in close proximity to airports, seaports and ground transportation facilities, which enable swift distribution of customers’ products.As of December 31, 2010, AMB’s Asia portfolio totaled approximately 17 million square feet of operating and development properties.
AMB currently retains a Zacks #3 Rank, which translates into a short-term Hold rating. We are also maintaining our long-term Neutral recommendation on the stock. One of its competitors, Duke Realty Corp. (DRE), currently retains a Zacks #3 Rank, which translates into a short-term Hold rating.
AMB PROPERTY CP (AMB): Free Stock Analysis Report
DUKE REALTY CP (DRE): Free Stock Analysis Report
Zacks Investment Research
