FIBRAPL announced the acquisition of 95,852 square feet of logistics space in Mexico City for MXN 237 million, including closing costs, capital improvements and equity carry. The property is located in Vallejo, one of the city's top consumption centers, and is in line with the REIT Last Touch's urban strategy (focused on expanding its presence in markets with growing demand for e-commerce).
Neutral implication: This transaction would marginally increase the gross profitable area of the portfolio by 0.2% to 40.0 million square feet, therefore, in our opinion, the news would not have a major effect on the CBFI price. FIBRAPL does not provide details regarding the cap-rate of the acquisition, but we believe it could be ~7.4% (average of L12m). On the other hand, we consider it as positive that the REIT continues to grow inorganically in a sector where the outlook is favorable supported by higher expected economic growth. Thus far this year, the REIT has purchased properties for ~US$30.6 million, and it should be recalled that this year it plans to disburse between US$100-US$200 million for GLA expansion. In the meantime, we look forward to FIBRAPL's results to be released on Wednesday, April 21, after the market closes.