AMB Property Corporation(R) Acquires 324,000 SF in Guadalajara, Mexico in Sale-Leaseback

AMB Property Corporation(R) , a leading global developer and owner of industrial real estate, today announced it has expanded its presence in Guadalajara, Mexico with an acquisition of 324,000 square feet. The three-building campus, named AMB Arbolada Distribution Center, was acquired in a sale-leaseback transaction and is fully leased to a leading German automotive parts supplier, developer and manufacturer of lighting technology and electronics for a 15-year term.

"This sale-leaseback transaction provides AMB the opportunity to further strengthen our relationship with an existing customer in Mexico, who also leases with us in the Mexico City market. Additionally, the transaction, completed with local partner G. Accion, enhances our position and increases our visibility in the Guadalajara market where our portfolio of operating and development property now totals more than 3.0 million square feet," said Gene Reilly, AMB's president, North America.

AMB Arbolada Distribution Center is located in the well-established El Salto industrial submarket in Guadalajara, with rapid access to the highway that connects the property to downtown Guadalajara and Guadalajara Miguel Hidalgo y Costilla International Airport.

AMB acquired AMB Arbolada Distribution Center on behalf of its Mexico fund, a co-investment joint venture that invests in distribution facilities in targeted markets in Mexico.

"The El Salto Corridor submarket of Guadalajara is home to a diverse set of leading companies serving the automotive, consumer goods and electronics industries," said Kim Snyder, AMB's managing director, Southwest Region. "We are pleased to have worked with this customer in this structured sale, and look forward to continuing to provide them with strategically-located, efficient facilities in Mexico."

AMB's Mexico portfolio is comprised of operating and development real estate in Guadalajara, Mexico City, Queretaro and Tijuana -- a portfolio totaling approximately 6.7 million square feet.

AMB Property Corporation.(R) Local partner to global trade.(TM)

AMB Property Corporation(R) is a leading global developer and owner of industrial real estate, focused on major hub and gateway distribution markets throughout North America, Europe and Asia. As of June 30, 2007, AMB owned, or had investments in, on a consolidated basis or through unconsolidated joint ventures, properties and development projects expected to total approximately 136.7 million square feet (12.7 million square meters) in 44 markets within 13 countries. AMB invests in properties located predominantly in the infill submarkets of its targeted markets. The company's portfolio is comprised of High Throughput Distribution(R) 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 http://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 the continued expansion of AMB's relationship with the customer in Mexico, continued growth of the El Salto Corridor in Guadalajara, and the company's ability to meet customer demand in Mexico, 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: defaults on or non-renewal of leases by tenants, increased interest rates and operating costs, our failure to obtain necessary outside financing, re-financing risks, risks related to our obligations in the event of certain defaults under joint venture and other debt, risks related to debt and equity security financings (including dilution risk), difficulties in identifying properties to acquire and in effecting acquisitions, our failure to successfully integrate acquired properties and operations, our failure to divest properties we have contracted to sell or to timely reinvest proceeds from any divestitures, risks and uncertainties affecting property development and construction (including construction delays, cost overruns, our inability to obtain necessary permits and public opposition to these activities), our failure to qualify and maintain our status as a real estate investment trust, risks related to our tax structuring, failure to maintain our current credit agency ratings, environmental uncertainties, risks related to natural disasters, financial market fluctuations, changes in general economic conditions or in the real estate sector, changes in real estate and zoning laws, a downturn in the U.S., California or global economy, risks related to doing business internationally and global expansion, losses in excess of our insurance coverage, unknown liabilities acquired in connection with acquired properties or otherwise and increases in real property tax rates. Our success also depends upon economic trends generally, including interest rates, income tax laws, governmental regulation, legislation, population changes and certain other matters discussed under the heading "Risk Factors" and elsewhere in our annual report on Form 10-K for the year ended December 31, 2006.

First Call Analyst:
FCMN Contact: [email protected]

SOURCE: AMB Property Corporation