v3.26.3
Debt
 9 Months Ended
Sep. 30, 2026
Debt Disclosure [Abstract]  
Debt

NOTE 5. DEBT

 

The following table summarizes the debt incurred by the OP or its consolidated subsidiaries (dollars in thousands):

 

 

September 30, 2026

 

 

December 31, 2025

 

 

Weighted Average

 

Amount

 

 

Weighted Average

 

Amount

 

 

Interest Rate (1)

 

Term (Years) (2)

 

Outstanding (3)

 

 

Interest Rate (1)

 

Term (Years) (2)

 

Outstanding (3)

 

Credit facilities and
     commercial paper

2.6%

 

 

0.0

 

 

 

$

785,686

 

 

0.9%

 

1.6

 

 

$

44,679

 

Senior notes

3.3%

 

 

8.2

 

 

 

 

34,002,443

 

 

3.2%

 

8.8

 

 

 

32,887,971

 

Term loans and
     unsecured other

2.1%

 

 

5.8

 

 

 

 

1,821,219

 

 

1.9%

 

3.9

 

 

 

1,908,723

 

Secured mortgage

4.1%

 

 

5.9

 

 

 

 

223,134

 

 

4.5%

 

3.7

 

 

 

195,700

 

Total

3.2%

 

 

7.9

 

 

 

$

36,832,482

 

 

3.2%

 

8.5

 

 

$

35,037,073

 

 

(1)
The weighted average interest rates presented represent the effective interest rates (including amortization of debt issuance costs and noncash premiums or discounts) at the end of the period for the debt outstanding and include the impact of designated interest rate contracts, which effectively fix the interest rate on certain variable rate debt.

 

(2)
The weighted average term represents the remaining maturity in years, based on debt agreements in place, at period end. A weighted average term of less than a month is 0.0.

 

(3)
We borrow in the functional currencies of the countries where we invest. Included in the outstanding balances were borrowings denominated in the following currencies:

 

 

 

 

September 30, 2026

 

 

December 31, 2025

 

 

 

 

Weighted Average Interest Rate

 

Amount Outstanding

 

 

% of Total

 

 

Weighted Average Interest Rate

 

Amount Outstanding

 

 

% of Total

 

 

British pound sterling

 

3.0%

 

$

1,820,000

 

 

 

4.9

%

 

3.0%

 

$

1,843,931

 

 

 

5.3

%

 

Canadian dollar

 

4.4%

 

 

2,443,735

 

 

 

6.6

%

 

4.4%

 

 

2,004,638

 

 

 

5.7

%

 

Euro

 

2.2%

 

 

12,017,125

 

 

 

32.6

%

 

2.2%

 

 

12,302,104

 

 

 

35.1

%

 

Japanese yen

 

1.5%

 

 

3,195,028

 

 

 

8.7

%

 

1.2%

 

 

2,930,594

 

 

 

8.4

%

 

U.S. dollar

 

4.1%

 

 

16,674,088

 

 

 

45.3

%

 

4.1%

 

 

15,385,826

 

 

 

43.9

%

 

Other

 

3.9%

 

 

682,506

 

 

 

1.9

%

 

3.8%

 

 

569,980

 

 

 

1.6

%

 

Total

 

3.2%

 

$

36,832,482

 

 

 

100.0

%

 

3.2%

 

$

35,037,073

 

 

 

100.0

%

 

Credit Facilities and Commercial Paper

 

The following table summarizes information about our available liquidity at September 30, 2026 (in millions):

 

Aggregate lender commitments

 

 

 

Credit facilities

 

$

6,371

 

Less:

 

 

 

Credit facility borrowings outstanding

 

 

-

 

Commercial paper borrowings outstanding (1)

 

 

786

 

Outstanding letters of credit

 

 

22

 

Current availability

 

 

5,563

 

Cash and cash equivalents

 

 

2,273

 

Short-term investments (2)

 

 

1,000

 

Total liquidity

 

$

8,836

 

 

(1)
We are required to maintain available commitments under our credit facilities in an amount at least equal to the commercial paper borrowings outstanding.

 

(2)
These investments have original maturities of four to six months and mature between December 2026 and February 2027. They are included within Other Assets on the Consolidated Balance Sheets.

 

Credit Facilities

 

We have two global senior credit facilities ("the 2025 Global Facility" and "the 2026 Global Facility") and a Japanese yen revolver ("the Yen Credit Facility"), which we refer to collectively as our “Credit Facilities.” Pricing for the Credit Facilities, including the spread over the applicable benchmark and the rates applicable to facility fees and letter of credit fees, varies based on the public debt ratings of the OP. Our Credit Facilities are utilized to support our cash needs for general corporate purposes on a short-term basis. The maturities of the borrowings under the Credit Facilities generally range from overnight to three months.

 

The following table summarizes our Credit Facilities at September 30, 2026 (principal in thousands):

 

 

 

Aggregate Capacity

 

 

 

 

 

Facility

 

Borrowing
Currency

 

 

USD (1)(2)

 

 

Maturity

 

Maximum
Capacity (3)

 

 

Extended
Maturity (3)

2025 Global Facility (4)

 

$

 

3,000,000

 

 

$

3,017,109

 

 

June 2029

 

$

 

4,000,000

 

 

June 2030

2026 Global Facility (4)(5)

 

$

 

3,000,000

 

 

$

2,981,333

 

 

June 2030

 

$

 

4,000,000

 

 

June 2031

Yen Credit Facility

 

¥

 

58,500,000

 

 

$

372,619

 

 

August 2027

 

¥

 

75,000,000

 

 

August 2028

Total

 

 

 

 

 

$

6,371,061

 

 

 

 

 

 

 

 

 

 

(1)
The exchange rate used to calculate into U.S. dollars was the spot rate at September 30, 2026.

 

(2)
The aggregate principal amount outstanding under each facility in U.S. dollars cannot exceed the designated facility's borrowing currency capacity, or, for our 2025 Global Facility and 2026 Global Facility, the equivalent amount in other currencies.

 

(3)
Subject to obtaining additional lender commitments and payment of applicable extension fees, we may increase the borrowing capacity and extend the maturity dates of the 2025 Global Facility and 2026 Global Facility by six months on two occasions, and of the Yen Credit Facility by one year.

 

(4)
We may draw on both the 2025 Global Facility and 2026 Global Facility on a revolving basis in British pounds sterling, Canadian dollars, euros, Japanese yen, Mexican pesos and U.S. dollars.

 

(5)
In March 2026, we amended and restated one of our existing global senior credit facilities as the 2026 Global Facility.

 

Commercial Paper

 

We have commercial paper programs under which we may issue, repay and re-issue short-term unsecured commercial paper notes. The borrowings under these programs are for general corporate purposes. The maturities generally range from overnight to three months. Under customary terms in the commercial paper market, the notes are issued either at a discount to par or at par with fixed or floating interest rates. At any point in time, we are required to maintain available commitments under our Credit Facilities in an amount at least equal to the amount of notes outstanding under these programs. The following table summarizes our commercial paper programs at September 30, 2026 (principal in thousands):

 

 

 

Aggregate Capacity

 

Program

 

Borrowing Currency

 

 

USD (1)(2)

 

Canadian dollar (3)

 

C$

 

1,000,000

 

 

$

705,061

 

Multicurrency (4)

 

€

 

1,000,000

 

 

$

1,135,500

 

U.S. dollar

 

$

 

1,000,000

 

 

$

1,000,000

 

Total

 

 

 

 

 

$

2,840,561

 

 

(1)
The exchange rate used to calculate into U.S. dollars was the spot rate at September 30, 2026.

 

(2)
The aggregate principal amount of notes outstanding under each program in U.S. dollars cannot exceed the designated program's borrowing currency capacity, or, for our multicurrency program, the equivalent amount in other currencies.

 

(3)
In May 2026, we established a new Canadian dollar-denominated program.

 

(4)
We may issue notes denominated in British pounds sterling, euros or U.S. dollars under our multicurrency program.

 

Senior Notes

 

The following table summarizes the issuances of senior notes during the nine months ended September 30, 2026 (principal in thousands):

 

 

 

Aggregate Principal

 

 

Issuance Date Weighted Average

 

 

Issuance Date

 

Borrowing Currency

 

 

USD (1)

 

 

Interest Rate

 

Years

 

Maturity Date

April

 

$

 

1,250,000

 

 

$

1,250,000

 

 

4.6%

 

 

8.2

 

 

 

June 2031 – 2036

April

 

C$

 

850,000

 

 

$

624,986

 

 

4.3%

 

 

8.1

 

 

 

May 2034

June

 

¥

 

45,000,000

 

 

$

280,311

 

 

2.9%

 

 

7.1

 

 

 

December 2030 – 2041

Total

 

 

 

 

 

$

2,155,297

 

 

4.3%

 

 

8.0

 

 

 

 

 

(1)
The exchange rate used to calculate into U.S. dollars was the spot rate at the settlement date.

 

Term Loans

 

In August 2026, we entered into an unsecured term loan agreement (the “2026 Term Loan”), with borrowing availability subject to the closing of the SEGRO acquisition and satisfaction of certain other conditions and aggregate commitments of £3.6 billion ($4.7 billion at September 30, 2026). Borrowings under the facility may be made in British pound sterling or euros and amounts prepaid or repaid may not be re-borrowed. Sterling-denominated borrowings bear interest at Daily Floating SONIA plus a margin based on the ratings grid, while euro-denominated borrowings bear interest at EURIBOR plus a margin based on the ratings grid. Based on our current credit ratings, the applicable margin is 0.7%. The 2026 Term Loan matures one year after the closing date of the SEGRO acquisition and may be extended for two additional one-year periods, subject to payment of extension fees and certain conditions.

 

Long-Term Debt Maturities

 

Scheduled principal payments due on our debt for the remainder of 2026 and for each year through the period ended December 31, 2030, and thereafter were as follows at September 30, 2026 (in thousands):

 

 

 

Unsecured

 

 

 

 

 

 

 

 

Credit Facilities
and

 

 

Senior

 

 

Term Loans

 

 

Secured

 

 

 

 

Maturity

 

Commercial Paper

 

 

Notes

 

 

and Other

 

 

Mortgage

 

 

Total

 

2026 (1)

 

$

785,686

 

 

$

399,879

 

 

$

3

 

 

$

4,951

 

 

$

1,190,519

 

2027 (1)

 

 

-

 

 

 

1,970,029

 

 

 

45,887

 

 

 

29,776

 

 

 

2,045,692

 

2028

 

 

-

 

 

 

2,571,753

 

 

 

139,793

 

 

 

16,458

 

 

 

2,728,004

 

2029

 

 

-

 

 

 

3,365,073

 

 

 

14,638

 

 

 

11,830

 

 

 

3,391,541

 

2030

 

 

-

 

 

 

3,031,771

 

 

 

31,848

 

 

 

5,659

 

 

 

3,069,278

 

Thereafter

 

 

-

 

 

 

23,180,803

 

 

 

1,595,151

 

 

 

149,503

 

 

 

24,925,457

 

Subtotal

 

 

785,686

 

 

 

34,519,308

 

 

 

1,827,320

 

 

 

218,177

 

 

 

37,350,491

 

Unamortized premiums (discounts), net

 

 

-

 

 

 

(385,117

)

 

 

-

 

 

 

5,770

 

 

 

(379,347

)

Unamortized debt issuance costs, net

 

 

-

 

 

 

(131,748

)

 

 

(6,101

)

 

 

(813

)

 

 

(138,662

)

Total

 

$

785,686

 

 

$

34,002,443

 

 

$

1,821,219

 

 

$

223,134

 

 

$

36,832,482

 

 

(1)
We expect to repay the amounts maturing in the next twelve months with cash generated from operations, proceeds from dispositions of real estate properties, or as necessary, with additional borrowings, including drawing on our available Credit Facilities.

 

Financial Debt Covenants

 

Our Credit Facilities, senior notes and term loans outstanding at September 30, 2026 were subject to certain financial covenants under their related documents. At September 30, 2026, we were in compliance with all of our financial debt covenants.

 

Guarantee of Finance Subsidiary Debt

We have finance subsidiaries as part of our operations in Europe (Prologis Euro Finance LLC), Japan (Prologis Yen Finance LLC) and the U.K. (Prologis Sterling Finance LLC) in order to mitigate our foreign currency risk by borrowing in the currencies in which we invest. These entities are 100% indirectly owned by the OP and all unsecured debt issued or to be issued by each entity is or will be fully and unconditionally guaranteed by the OP. There are no restrictions or limits on the OP’s ability to obtain funds from its subsidiaries by dividend or loan. In reliance on Rule 13-01 of Regulation S-X, the separate financial statements of Prologis Euro Finance LLC, Prologis Yen Finance LLC and Prologis Sterling Finance LLC are not provided.