SAN FRANCISCO, April 30 /PRNewswire-FirstCall/ -- AMB Property
Corporation® (NYSE: AMB), a leading owner, operator and developer
of global industrial real estate, today released the current
findings of its AMB IBI™ (Industrial Business Indicator), a
proprietary index that integrates customer insights with key
macroeconomic variables to measure and forecast business activity
and industrial real estate demand.
About the AMB IBI
AMB collects monthly data from a geographically diverse set of
customers, representing a range of business sectors, currently
moving inventory through the supply chain. Monthly changes are
useful for identifying business trends, turning points in customer
activity and the way companies are utilizing space, as well as
relative changes in markets and industries. The AMB IBI is a
leading indicator of macroeconomic conditions.
"Our current findings indicate that economic conditions have
improved materially since we released the index in November," said
David Twist, AMB's vice president,
Research. "We believe that the economy has entered a more
diversified stage of recovery and we expect that U.S. GDP will
surpass its previous peak from mid-2008 in the latter part of
2010."
Key Findings
- The April AMB IBI measures 64.8 for overall business activity
(over 50 signals expansion). March and April were the two strongest
consecutive months since inception of the index in 2007.
- We expect business activity to remain elevated throughout 2010
as the recovery advances.
- The April AMB IBI implies that the job base should continue to
expand in the coming months.
- The index forecasts that container volume and air cargo growth
are expected to post double-digit gains in the first half of the
year and net industrial space absorption should be relatively flat.
- The AMB IBI indicates that industrial space utilization is on
the cusp of expansion, driven by higher production levels,
improving imports into the U.S. and rebuilding of inventories.
AMB's research reports can be downloaded from the company's
website at www.amb.com/global_capabilities/research.html.
AMB Property Corporation.® Local partner to global
trade.™
AMB Property Corporation® is a leading owner, operator and
developer of global industrial real estate, focused on major hub
and gateway distribution markets in the Americas, Europe and Asia. As of March 31,
2010, AMB owned, or had investments in, on a consolidated
basis or through unconsolidated joint ventures, properties and
development projects expected to total approximately 155.7 million
square feet (14.5 million square meters) in 48 markets within 15
countries. AMB invests in properties located predominantly in the
infill submarkets of its targeted markets. The company's portfolio
comprises High Throughput Distribution® facilities--industrial
properties built for speed and located near airports, seaports and
ground transportation systems.
AMB's press releases are available on the company website at
www.amb.com or by contacting the Investor Relations department at
+1 415 394 9000.
Some of the information included in this press release contains
forward-looking statements, such as those related to our
expectations for trade and GDP growth in the U.S. and globally,
production activities, inventory levels, and future industrial
demand, which are made pursuant to the safe-harbor provisions of
Section 21E of the Securities Exchange Act of 1934, as amended, and
Section 27A of the Securities Act of 1933, as amended. Because
these forward-looking statements involve risks and uncertainties,
there are important factors that could cause our actual results to
differ materially from those in the forward-looking statements, and
you should not rely on the forward-looking statements as
predictions of future events. The events or circumstances reflected
in forward-looking statements might not occur. You can identify
forward-looking statements by the use of forward-looking
terminology such as "believes," "expects," "may," "will," "should,"
"seeks," "approximately," "intends," "plans," "pro forma,"
"estimates" or "anticipates" or the negative of these words and
phrases or similar words or phrases. You can also identify
forward-looking statements by discussions of strategy, plans or
intentions. Forward-looking statements are necessarily dependent on
assumptions, data or methods that may be incorrect or imprecise and
we may not be able to realize them. We caution you not to place
undue reliance on forward-looking statements, which reflect our
analysis only and speak only as of the date of this report or the
dates indicated in the statements. We assume no obligation to
update or supplement forward-looking statements. The following
factors, among others, could cause actual results and future events
to differ materially from those set forth or contemplated in the
forward-looking statements: changes in general economic conditions
in California, the U.S. or
globally (including financial market fluctuations), global trade or
in the real estate sector (including risks relating to decreasing
real estate valuations and impairment charges); risks associated
with using debt to fund the company's business activities,
including refinancing and interest rate risks (including inflation
risks); the company's failure to obtain, renew, or extend necessary
financing or access the debt or equity markets; the company's
failure to maintain its current credit agency ratings or comply
with its debt covenants; risks related to the company's obligations
in the event of certain defaults under co-investment venture and
other debt; risks associated with equity and debt securities
financings and issuances (including the risk of dilution); defaults
on or non-renewal of leases by customers or renewal at lower than
expected rent or failure to lease at all or on expected terms;
difficulties in identifying properties, portfolios of properties,
or interests in real-estate related entities or platforms to
acquire and in effecting acquisitions on advantageous terms and the
failure of acquisitions to perform as the company expects; unknown
liabilities acquired in connection with the acquired properties,
portfolios of properties, or interests in real-estate related
entities; the company's failure to successfully integrate acquired
properties and operations; risks and uncertainties affecting
property development, redevelopment and value-added conversion
(including construction delays, cost overruns, the company's
inability to obtain necessary permits and financing, the company's
inability to lease properties at all or at favorable rents and
terms, and public opposition to these activities); the company's
failure to set up additional funds, attract additional investment
in existing funds or to contribute properties to its co-investment
ventures due to such factors as its inability to acquire, develop,
or lease properties that meet the investment criteria of such
ventures, or the co-investment ventures' inability to access debt
and equity capital to pay for property contributions or their
allocation of available capital to cover other capital
requirements; risks and uncertainties relating to the disposition
of properties to third parties and the company's ability to effect
such transactions on advantageous terms and to timely reinvest
proceeds from any such dispositions; risks of doing business
internationally and global expansion, including unfamiliarity with
the new markets and currency and hedging risks; risks of changing
personnel and roles; risks related to suspending, reducing or
changing the company's dividends; losses in excess of the company's
insurance coverage; changes in local, state and federal regulatory
requirements, including changes in real estate and zoning laws;
increases in real property tax rates; risks associated with the
company's tax structuring; increases in interest rates and
operating costs or greater than expected capital expenditures;
environmental uncertainties; risks related to natural disasters;
and our failure to qualify and maintain our status as a real estate
investment trust. Our success also depends upon economic
trends generally, various market conditions and fluctuations and
those other risk factors discussed under the heading "Risk Factors"
and elsewhere in our most recent annual report on Form 10-K for the
year ended December 31, 2009.
SOURCE AMB Property Corporation