FIBRA Macquarie México, owner of one of the largest portfolios of industrial and retail property in Mexico, announced that it has closed on the previously disclosed sale of 35 non-strategic industrial assets for US$ 80.2 million of cash proceeds. Two additional industrial assets with an aggregate value of US$ 7.2 million remain under contract for sale and are expected to close at a later date.
The sale proceeds of US$ 80.2 million for the 35 assets are to be received in three tranches. FIBRA Macquarie received US$ 61.0 million at closing and will receive US$ 11.2 million and US$ 8.0 million 18 months and 24 months following closing, respectively.
Initial proceeds will be used to fully repay the US$ 40.0 million outstanding balance on FIBRA Macquarie’s revolver, with the remaining US$ 21.0 million held as unrestricted cash.
The transaction includes properties located in Mexico’s northern markets of Matamoros and Reynosa, in the state of Tamaulipas; Ciudad Juarez, Chihuahua; Mexicali and Tijuana, Baja California, that complements the US$ 30.1 million of asset sales completed previously.
In total, FIBRA Macquarie has sold 44 non-strategic properties at an aggregate 2.2% premium to their book value and generated a total of US$ 117.5 million in proceeds.
The sale enhances FIBRA Macquarie’s overall portfolio composition and key financial metrics as well as increasing total capital available to approximately US$ 300 million, including cash and undrawn credit facilities.
The available capital is expected to be re-deployed in accretive investments, including property expansion and development, and certificate repurchases for cancellation. The sale substantially completes FIBRA Macquarie’s near-term asset recycling program objectives.
FIBRA Macquarie México is a real estate investment trust, or FIBRA, listed on the Mexican Stock Exchange targeting industrial, retail and office real estate opportunities in Mexico, with a primary focus on stabilized income-producing properties.
FIBRA Macquarie’s portfolio consists of 271 industrial properties and 17 retail/office properties, located in 20 cities across 16 Mexican states as of March 31, 2018. Nine of the retail/office properties are held through a 50/50 joint venture.
FIBRA Macquarie is managed by Macquarie México Real Estate Management, S.A. de C.V. which operates within the Macquarie Infrastructure and Real Assets division of Macquarie Group.