Search
 

AMB, GIC Form JV to Buy Mexico Distribution Facilities

SAN FRANCISCO-In its first venture outside the US, locally based industrial REIT AMB Property Corp. is investing in distribution facilities in select markets in Mexico in partnership with an affiliate of the Government of Singapore Investment Corp.

By Brian K. Miller | Updated on February 01, 2005

SAN FRANCISCO-AMB Property Corp. and an affiliate of the Government of Singapore Investment Corp. are teaming up to invest in distribution facilities in select markets in Mexico. Their joint venture, AMB-SGP Mexico LLC, will purchase stabilized assets, mainly those developed by AMB and its local market partner G. Accion and also from third parties.AMB is a locally headquartered industrial REIT that operates approximately $2.6 billion in assets owned through private capital joint ventures. Its joint venture partner is GIC Real Estate Inc., an affiliate of GIC Real Estate Pte Ltd., the real estate investment arm of the Government of Singapore Investment Corp., which manages the foreign reserves of Singapore. The joint venture is AMB’s first foray outside the US. GIC Real Estate has committed $200 million of equity to the joint venture, and AMB has committed an additional $50 million. At closing, AMB-SGP Mexico owned three properties comprising eight buildings totaling 1.3 million sf in Mexico City and Guadalajara. AMB developed or acquired the assets during the past two years. AMB, as manager, will receive fees on future third-party acquisitions and for asset and portfolio management services, as well as incentive distributions at the end of each seven-year term. In the US, AMB and GIC jointly own 8.6 million sf of US distribution facilities. GIC Real Estate President Seek Ngee Huat says his company’s allocation to Mexico’s emerging industrial market is driven by Mexico’s growing trade with the US, its large consumer population and the strong demand for new distribution facilities from multinational companies.

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM digital member, you’ll receive:

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 1 free article* every 30 days across the ALM subscription network
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?

NOT FOR REPRINT

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.

GlobeSt

Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2024 ALM Global, LLC. All Rights Reserved.