Letter s  Overview   Ahead of What’s Next  Sustainable Logistics   Our Inspired People  Resilient Communities   Appendix Building certifications Innovation in New Development We have committed that every eligible new construction or redevelopment project that has The Prologis team that manages new development projects is always on the lookout for ways to been approved by our investment committee from June 2021 will achieve a sustainable make Prologis buildings better. Ideas come from new development employees as well as from certification. At year-end 2023, this included 54 projects, 22 of which had achieved a regional teams. The team has piloted many innovative ideas, including: certification and 32 of which were in the process of achieving a certification. A building can − The Falkbuilt prefabricated wall system, where walls and cladding are fabricated offsite using achieve a sustainable certification once it is built and stabilized (substantially occupied). recycled aluminum and MDF. The walls can be easily reconfigured as tenant needs change, reducing waste and the need for demolition and rework. This product has been installed on 10 Some 23% of our 1.2 BSF owned and projects, with more in the pipeline. managed portfolio has received a Sustainable Building Certifications − OptiPave, a synthetic-fiber-reinforced exterior concrete paving system that allows for the sustainable certification. These include concrete thickness to be significantly reduced and can achieve a 20%-40% reduction in A development can achieve a sustainable embodied carbon compared to baseline pavement. This solution has been piloted on three EnergyStar, LEED, BREEAM, CASBEE, DGNB certification once it has been built and stabilized. projects to date. and WELL. They measure a range of factors, − Pozzotive, a company that uses recycled glass to produce a powder that replaces cement in including site selection; building materials; concrete. This innovation has been piloted on one project and can achieve a reduction of as much biodiversity; energy and water efficiency; MSF as 50% in embodied carbon. and indoor environmental quality. Nearly 400 25% The bottom line: Prologis is always looking for ways to improve our buildings. Our culture of one-third of the space leased by our 25 % of portfolio certified innovation and the hard work and creative thinking of our employees make this possible. largest customers is sustainably certified. 20% 300 Our focus on achieving sustainable 15% certifications does not constrain our 200 acquisition strategy. We operate a newly Certified area acquired building in an efficient manner (MSF) 10% and seek a sustainable certification if we 100 redevelop the property. 5% For additional building certification data, 0 0 please see our ESG data page . 2019 20 21 22 23 28