Investor Relations Prologis Essentials & Prologis Ventures slide image

Investor Relations Prologis Essentials & Prologis Ventures

INVESTOR RELATIONS PROLOGIS Significant lease mark-to-market drives long-term organic earnings growth... QUARTERLY LEASE MARK-TO-MARKET (LMTM), NET EFFECTIVE, PROLOGIS SHARE ILLUSTRATIVE NOI* GROWTH AS LEASES ROLL¹,2 In billions 100% 80% 60% 40% 20% 0% Ⅲ 2020 2021 2022 2023 $2.7B (68% LMTM) • If all leases were to reset to market today, rents would be 68% higher • As leases continue to roll to market, our portfolio would be expected to see +8-10%³ net effective same-store NOI* for several years¹, assuming no further market rent growth • Visibility into strong earnings growth potential LMTM* represents nearly $3 per share of incremental earnings and FFO* $5.2B $5.2B In-Place NOI* In-Place NOI* Plus Incremental NOI from LMTM * This is a non-GAAP financial measure. Please see Notes and Definitions included in this presentation and in our Q1 2023 Supplemental for further explanation. 1. PLD weighted average lease term remaining of ~4 years. 2. Annualized Q1 2023 Prologis Share of NOI of the Operating Portfolio. 3. Illustrative. Occupancy, expense and fair-value lease adjustment changes not considered. Calculated by taking the average churn of PLD's Operating Portfolio by actual and projected Lease Mark-to-Market assuming no further market rent growth. 25
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