MEXICO CITY—FIBRA Macquarie México says it has reached an agreement to acquire a ten-property industrial portfolio with a gross leasable area of 2.2 million square feet (201,060 sm) located in the cities of Monterrey, Reynosa, Tijuana, Ciudad Juarez and Saltillo in Northern Mexico.
The portfolio will be acquired from an institutional-quality industrial property owner and developer in Mexico for $105 million (approximately Ps. 1,575.0 million), excluding transaction costs and taxes.
The portfolio has 93.9% occupancy comprising high-quality tenants. Among the tenants are well known Mexican companies as well as multi-nationals, including a Fortune 500 company that accounts for 51.4% of annualized base rent. All leases are USD denominated under triple net leases which require the tenant to cover all operating costs such as property taxes, insurance and maintenance. FIBRA Macquarie estimates that the portfolio will generate an incremental $8.7 million (approximately Ps.131.1 million) of net operating income (NOI) on an annualized basis.
“We are pleased to announce an acquisition that highlights our disciplined approach to the deployment of capital raised in September 2014,” said Jaime Lara, chief executive officer of FIBRA Macquarie. “This portfolio, which includes a landmark industrial asset in Monterrey leased to a Fortune 500 company, will allow FIBRA Macquarie to expand its footprint across key export hubs for trade to the U.S.”
FIBRA Macquarie will fund the acquisition with available cash. The acquisition is expected to close in the third quarter of 2015, subject to satisfaction of conditions that are customary for transactions of this size and type. Transaction costs and taxes are expected to total approximately $3.2 million. Upon closing, FIBRA Macquarie's industrial portfolio will comprise 270 properties with a combined GLA of 2.9 million square meters (31.4 million square feet). FIBRA Macquarie says it will administer the properties through its scalable internal property administration platform, leveraging its ability to integrate new properties without incurring material additional operating expenses.
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David Phillips
David Phillips is a Chicago-based freelance writer and consultant with more than 20 years experience in business and community news. He also has extensive reporting experience in the food manufacturing industry for national trade publications.
