In accordance with the Article 10 of the Disclosure Regulation, Prologis Management II S.à r.l. ("Prologis") makes the following disclosures with respect to Prologis European Logistics Fund, a fonds commun de placement fonds d’investissement spécialisé, (the “Fund”) together with its feeder (FDR PELF SCA, SICAV – RAIF, a Société en commandite par actions - Société d’investissement à capital variable - Fonds d’investissement alternatif reserve) promoting environmental and social characteristics in the sense of Article 8 of the Disclosure Regulation.

Article 10 Disclosure Regulation

For the purposes of article 10 of the Disclosure Regulation, Prologis considers that the Fund is a financial product which promotes, among other characteristics, environmental and social characteristics (as per Article 8 of the Disclosure Regulation). The Fund is therefore required to publish information on the methodologies used to assess, measure and monitor such environmental or social characteristics of the funds, including data sources, screening criteria for the underlying assets and the relevant sustainability indicators used to measure the environmental or social characteristics of the funds.

Environmental and Social Characteristics promoted by the Fund

The relevant characteristics promoted by the Fund consist of investing in, and scaling, solutions with positive societal impact and promoting sustainable practices in the portfolio companies of the Fund.

How the Environmental and Social Characteristics Are Met

Prologis intends to meet these characteristics of the Fund by integrating environmental and social aspects throughout the investment cycle, from deal sourcing to exit. Through its sourcing and investment approach, Prologis shall in principle avoid investing in assets that may cause environmental and social harm where there is no path to mitigate certain negative impacts and transform the assets into more environmentally friendly assets contributing positively to society.

To ensure environmental aspects are integrated throughout the investment cycle, when Prologis constructs new facilities, it ensures that they meet leading industry standards of energy efficiency and sustainability. All assets developed by Prologis are designed to sustainable design certification standards and they typically obtain a certification that is relevant to the building's respective geography. For existing buildings, Prologis and the Fund invest to update and retrofit existing properties so they function more effectively and efficiently. Prologis and the Fund invest in improvements that modernise the portfolio to maintain quality and value consistent with Class-A standards while aligning with customers’ sustainability initiatives and supporting clean energy targets that reduce environmental impacts. For example, Prologis and the Fund have systematically upgraded the lighting in its facilities, installing LEDs, which consume significantly less electricity than other types of bulbs. Prologis and the Fund have also installed reflective roofing, which can reduce roof surface temperatures and thus reduce the need for air-conditioning inside the buildings. Prologis and the Fund install efficient heating, ventilation and air-conditioning systems and upgrades plumbing and irrigation systems to reduce water use, and Prologis engages in extensive construction waste recycling from projects in its portfolio. Investments in solar projects on rooftops have provided additional rental income (roof rent).

Prologis and the Fund put significant effort in their sustainable practices, ESG performance and disclosure practices and are committed to further improve the latter, not only in consideration of future market standards or regulatory requirements, but also in an effort to provide transparency to investors.

Good Governance

Prologis ensures that good governance practices are followed by setting clear expectations with respect to transparency and accountability around sustainability aspects of the Fund’s portfolio towards the Fund’s Investors.

Methodologies Used to Assess, Measure and Monitor the Environmental and Social Characteristics

To assess, measure and monitor the environmental and social characteristics promoted by the Fund, Prologis will monitor at least the following core sustainability indicators, including, but not limiting to, LED lightning, solar capacity, sustainable building certifications. The indicators will be measured and evaluated at least on an annual basis. Specific Fund-level goals and results are discussed in the Fund’s business plan and quarterly report. Additionally, please refer to the annual sustainability report for further information on Prologis’ goals and reporting metrics.

All data sources used to measure the environmental and social characteristics of the Fund are internally sourced and rely on direct due diligence and monitoring of the underlying real estate assets as Prologis also acts as property manager for the logistics properties held in its portfolio.