Other EIP company investments in Mexico include Credito Inmobiliario, a residential mortgage and construction finance company; Homex, a builder of affordable homes; and NH Mexico, an owner and operator of branded business class hotels.

"MRP represents the logical extension of EIP's investment portfolio in Mexico," says Gary Garrabrant, EIP's CEO.

"In EIP, we have a partner that will provide value far beyond its capital investment, both through their direct real estate expertise in Mexico and abundant capital market knowledge and experience," says John Blumberg, MRP's CEO.

Mexico's combination of rising disposable income, increasing availability of consumer credit and growing demand for a US-style shopping experience has positioned the sector for significant growth.

MRP and EIP will focus primarily on major cities such as Mexico City, Monterrey, Guadalajara, and other select cities with attractive retail prospects. The companies' first large-scale development project is underway in Juarez and is expected to be completed by the end of 2004.

"We are excited by the vast retail opportunity in Mexico and the potential of MRP to realize substantial growth," says Chris Fiegen, EIP's SVP.

Michael Foley, MRP's director of development, who is moving from Denver to Mexico, said Mexico's expanding middle class has created significant demand for improved levels of retail quality and selection "MRP is well-positioned to capitalize on this retail growth opportunity through its experience, resources and strong tenant relationships," Foley says.

Credit Suisse First Boston's Real Estate Private Fund Group acts as financial advisor to MRP.

BCG has been active in Mexico since 1996, predominantly through Corporate Properties of the Americas and its predecessor industrial property company. BCG has extensive industry relationships in both the US and Mexico, and through CPA is already among the largest providers of industrial property for multinational companies.