Hines Sells Industrial, Retail Assets in Mexico to Fibra Uno REIT
- Feb 21, 2014
International real estate firm Hines has sold a portfolio of five industrial properties and one retail center in Mexico. Fibra Uno, a Mexico-based real estate investment trust, acquired the assets for an undisclosed amount.
Developed by Hines in 2009, the industrial portfolio offers a total net rentable area of 1.3 million square feet. The properties are completely occupied by an international mix of light manufacturing and logistics companies. Two of the assets are located in Guadalajara, one in Irapuato, one in Aguascalientes and one in San Luis Potosi.
The open-air CityCenter Merida located in Merida, on the Yucatán Peninsula, was also included in the transaction. Developed by Hines in 2010, the property features nearly 283,000 square feet of space and is currently 98 percent leased. With a tenant base of 60 shops and restaurants, including a Walmart Supercenter, a La Europea gourmet specialty store and a Cinemark XD cinema complex, CityCenter Merida is considered “the most vibrant retail and entertainment center in the city.”
“Hines is proud of the quality of the assets we have developed, and we view this sale as another example of the firm’s strength as both a developer, and a shrewd investor in institutional-grade real estate across Mexico,” Hines senior managing director Palmer Letzerich said in a news release. “We have confidence in Mexico’s growth potential, evidenced by the strong returns generated by this portfolio. We also view this transaction as a harbinger of the increasingly positive real estate investment market here as well as our team’s ability to successfully execute south of the border.”
According to Michael Krause, the company’s managing director – investment management, Hines has invested more than $850 million across the major markets of Mexico over the last 10 years. The company’s subsequent five year investment strategy consists of placing an additional $250 million in select office and industrial acquisitions and developments across the country.
Hines’ foray in the Mexican real estate market occurred in 1992. The firm currently owns and manages approximately 14 million square feet of office, industrial and retail space in this part of the world.
With offices in 111 cities in 18 countries, and controlled assets valued at approximately $25.2 billion, Hines is one of the largest international real estate organizations, as well as a world leader in sustainable real estate strategies.