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FIBRA PROLOGIS SECURES MAJORITY OWNER POSITION OF TERRAFINA; MAKES SIGNIFICANT COMMITMENT TO MEXICAN INDUSTRIAL MARKET

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FIBRA Prologis has successfully acquired a 77.14% majority stake in FIBRA Terrafina, significantly expanding its presence in the Mexican industrial real estate market. This acquisition adds approximately 42.2 million square feet of industrial real estate across key markets to FIBRA Prologis' existing portfolio of 46.9 million square feet. The move demonstrates Prologis' long-term commitment to Mexico, capitalizing on favorable market conditions with nearly 100% occupancy rates and continuous rental growth.

The acquisition is expected to benefit shareholders, customers, and the Mexican economy. FIBRA Prologis aims to leverage its scale, operational expertise, and investments to drive business growth for both entities. The company sees significant potential in nearshoring trends, with Latin America projected to experience rent growth at double the global average.

FIBRA Prologis ha acquisito con successo una partecipazione di maggioranza del 77,14% in FIBRA Terrafina, ampliando significativamente la sua presenza nel mercato immobiliare industriale messicano. Questa acquisizione aggiunge circa 42,2 milioni di piedi quadrati di immobili industriali nei mercati chiave al portafoglio esistente di FIBRA Prologis, che ammonta a 46,9 milioni di piedi quadrati. Questa mossa dimostra l'impegno a lungo termine di Prologis verso il Messico, capitalizzando le condizioni di mercato favorevoli con quasi il 100% di tassi di occupazione e una crescita continua degli affitti.

L'acquisizione dovrebbe portare vantaggi agli azionisti, ai clienti e all'economia messicana. FIBRA Prologis punta a sfruttare la sua scala, l'expertise operativa e gli investimenti per stimolare la crescita aziendale per entrambe le entità. L'azienda vede un potenziale significativo nelle tendenze di nearshoring, con l'America Latina prevista per un aumento degli affitti del doppio della media globale.

FIBRA Prologis ha adquirido con éxito una participación mayoritaria del 77,14% en FIBRA Terrafina, ampliando significativamente su presencia en el mercado inmobiliario industrial mexicano. Esta adquisición añade aproximadamente 42,2 millones de pies cuadrados de bienes raíces industriales en mercados clave al portafolio existente de FIBRA Prologis de 46,9 millones de pies cuadrados. Este movimiento demuestra el compromiso a largo plazo de Prologis con México, capitalizando las condiciones de mercado favorables con casi tasas de ocupación del 100% y un crecimiento continuo de los alquileres.

Se espera que la adquisición beneficie a los accionistas, clientes y la economía mexicana. FIBRA Prologis tiene como objetivo aprovechar su escala, experiencia operativa e inversiones para impulsar el crecimiento empresarial de ambas entidades. La empresa ve un potencial significativo en las tendencias de nearshoring, con Latinoamérica proyectada a experimentar un crecimiento de alquileres el doble de la media global.

FIBRA Prologis는 FIBRA Terrafina의 77.14% 지분을 성공적으로 인수하여 멕시코 산업 부동산 시장에서의 입지를 크게 확장했습니다. 이 인수로 FIBRA Prologis의 기존 포트폴리오인 46.9 백만 평방 피트에 약 42.2 백만 평방 피트의 주요 산업 부동산이 추가됩니다. 이 조치는 거의 100%의 점유율와 지속적인 임대 성장으로 유리한 시장 조건을 활용하여 Prologis의 멕시코에 대한 장기적인 약속을 보여줍니다.

이번 인수는 주주, 고객, 그리고 멕시코 경제에 긍정적인 영향을 미칠 것으로 기대됩니다. FIBRA Prologis는 규모, 운영 전문성 및 투자를 활용하여 두 개체의 비즈니스 성장 촉진을 목표로 하고 있습니다. 이 회사는 근거리 아웃소싱 트렌드에서 상당한 잠재력을 보고 있으며, 라틴 아메리카는 세계 평균의 두 배에 달하는 임대 성장을 경험할 것으로 예상됩니다.

FIBRA Prologis a acquis une participation majoritaire de 77,14% dans FIBRA Terrafina, élargissant ainsi considérablement sa présence sur le marché immobilier industriel mexicain. Cette acquisition ajoute environ 42,2 millions de pieds carrés d'immobilier industriel dans des marchés clés au portefeuille existant de FIBRA Prologis, qui compte 46,9 millions de pieds carrés. Ce mouvement démontre l'engagement à long terme de Prologis envers le Mexique, en capitalisant sur des conditions de marché favorables avec près de 100 % de taux d'occupation et une croissance continue des loyers.

On s'attend à ce que l'acquisition bénéficie aux actionnaires, aux clients et à l'économie mexicaine. FIBRA Prologis vise à tirer parti de son échelle, de son expertise opérationnelle et de ses investissements pour stimuler la croissance des affaires pour les deux entités. L'entreprise voit un potentiel significatif dans les tendances de délocalisation, l'Amérique Latine devant connaître une augmentation des loyers deux fois supérieure à la moyenne mondiale.

FIBRA Prologis hat erfolgreich eine Mehrheitsbeteiligung von 77,14% an FIBRA Terrafina erworben und damit seine Präsenz auf dem mexikanischen Industrieimmobilienmarkt erheblich ausgeweitet. Durch diese Akquisition fügt FIBRA Prologis seinem bestehenden Portfolio von 46,9 Millionen Quadratfuß etwa 42,2 Millionen Quadratfuß an Industrieimmobilien in wichtigen Märkten hinzu. Dieser Schritt zeigt das langfristige Engagement von Prologis für Mexiko, indem es die günstigen Marktbedingungen mit nahezu 100% Belegungsraten und anhaltendem Mietwachstum nutzt.

Es wird erwartet, dass die Akquisition den Aktionären, Kunden und der mexikanischen Wirtschaft zugutekommt. FIBRA Prologis beabsichtigt, seine Größe, Betriebsexpertise und Investitionen zu nutzen, um das Wachstum beider Unternehmen voranzutreiben. Das Unternehmen sieht ein erhebliches Potenzial in den Nearshoring-Trends, wobei Lateinamerika voraussichtlich doppelt so schnelles Mietwachstum erleben wird wie der globale Durchschnitt.

Positive
  • Acquisition of 77.14% majority stake in FIBRA Terrafina, significantly expanding market presence
  • Addition of 42.2 million square feet of industrial real estate to existing portfolio
  • Nearly 100% occupancy rate and continuous rental growth in 2024
  • Strong potential for growth driven by nearshoring trends in Latin America
Negative
  • None.

This acquisition marks a significant expansion for FIBRA Prologis in the Mexican industrial real estate market. The deal increases their portfolio by approximately 90%, from 46.9 million to 89.1 million square feet. This substantial growth positions FIBRA Prologis as a dominant player in Mexico's logistics sector.

The timing is strategic, capitalizing on the nearshoring trend. With Latin American rents growing at twice the global average, this expansion could lead to substantial revenue growth. The nearly 100% occupancy rate suggests strong demand and potential for rent increases.

However, investors should consider the integration challenges and potential short-term costs associated with such a large acquisition. The long-term outlook appears positive, but careful execution will be important to realizing the full value of this investment.

This acquisition is a strategic move aligning with the growing nearshoring trend in Mexico. The expanded portfolio gives FIBRA Prologis increased exposure to both consumption-driven (70%) and manufacturing-driven (30%) markets, providing a balanced risk profile.

The mention of $1 billion investment in auto factories generating 5-10 MSF of logistics demand highlights the potential for significant growth. This could lead to increased demand for FIBRA Prologis' properties and potentially higher rental rates.

However, it's important to monitor geopolitical factors and trade relations between the U.S. and Mexico, as these could impact the nearshoring trend. Additionally, the success of this acquisition will depend on FIBRA Prologis' ability to efficiently manage and optimize the newly acquired properties.

This acquisition solidifies FIBRA Prologis' position as a market leader in Mexican industrial real estate. The combined portfolio of 89.1 million square feet provides significant economies of scale, potentially leading to cost efficiencies and increased bargaining power with tenants and suppliers.

The focus on Class-A facilities in prime locations is crucial, as it aligns with the demands of modern logistics and manufacturing operations. This high-quality portfolio should be well-positioned to capture demand from nearshoring activities and e-commerce growth.

However, investors should be aware of potential integration challenges, including harmonizing management practices and corporate cultures. Additionally, the concentration in Mexico increases country-specific risks. It will be important to monitor how FIBRA Prologis manages these risks and capitalizes on the opportunities presented by this significant expansion.

SAN FRANCISCO, Aug. 6, 2024 /PRNewswire/ -- FIBRA Prologis today closed on its tender offer to acquire shares of FIBRA Terrafina with 77.14% of all shares under FIBRA Prologis control. Prologis, Inc. (NYSE:PLD), the global leader of logistics real estate, sponsors FIBRA Prologis, which acquires, owns and manages Class-A industrial real estate in Mexico's most desirable economic markets.

FIBRA Terrafina manages approximately 42.2 million square feet of industrial real estate across several key markets, which includes 288 industrial warehouses and 4 land bank properties. As of June 30, 2024, FIBRA Prologis was comprised of 236 logistics and manufacturing facilities in six industrial markets in Mexico, totaling 46.9 million square feet (4.4 million square meters) of gross leasable area.

"This investment comes at a unique moment for Mexico, and it demonstrates our long-standing commitment to one of our most important markets," said Dan Letter, president, Prologis. "We appreciate the vote of confidence by Terrafina's stakeholders in the quality, sustainability and global connectivity of FIBRA Prologis' logistics portfolio and in our shared future success."

FIBRA Prologis: Large Player in Mexico's Industrial Real Estate Market
Mexico was Prologis' first international expansion 25 years ago and the company continues to grow its business in the market. FIBRA Prologis owns Class-A logistics and manufacturing facilities throughout Mexico, of which about 70% are located in consumption-driven markets and about 30% are located in manufacturing-driven markets.

"FIBRA Prologis successfully acquiring a majority shareholder position in FIBRA Terrafina is good for both shareholders and customers but also for the Mexico economy," said Héctor Ibarzabal, FIBRA Prologis' chief executive officer. "Our company's scale, operational expertise and investments provide an excellent platform to drive FIBRA Prologis and Terrafina's business growth and shared success while strengthening Mexico's economic prospects and position as an international trade partner."

In 2024, FIBRA Prologis continues to see favorable market conditions, with an almost 100% occupancy rate and continuous rental growth.

Nearshoring drives growth in Mexico
Nearshoring is a significant driver of demand in Mexico. According to Prologis Research, Latin America will continue to see rent growth at roughly double the global average, driven in part by nearshoring. For example, every US$1 billion invested in Mexican auto factories can generate 5-10 MSF of local logistics demand. 

ABOUT PROLOGIS
Prologis, Inc. is the global leader in logistics real estate with a focus on high-barrier, high-growth markets. At June 30, 2024, the company owned or had investments in, on a wholly owned basis or through co-investment ventures, properties and development projects expected to total approximately 1.2 billion square feet (115 million square meters) in 19 countries. Prologis leases modern logistics facilities to a diverse base of approximately 6,700 customers principally across two major categories: business-to-business and retail/online fulfillment.

Prologis. (PRNewsFoto/Prologis, Inc.) (PRNewsFoto/Prologis, Inc.)

 

Cision View original content to download multimedia:https://www.prnewswire.com/news-releases/fibra-prologis-secures-majority-owner-position-of-terrafina-makes-significant-commitment-to-mexican-industrial-market-302216006.html

SOURCE Prologis, Inc.

FAQ

What percentage of FIBRA Terrafina did FIBRA Prologis acquire in 2024?

FIBRA Prologis acquired a 77.14% majority stake in FIBRA Terrafina through a tender offer in 2024.

How much industrial real estate does FIBRA Prologis now control in Mexico after the Terrafina acquisition?

After the acquisition, FIBRA Prologis controls approximately 89.1 million square feet of industrial real estate in Mexico, combining its existing 46.9 million square feet with Terrafina's 42.2 million square feet.

What is the occupancy rate for FIBRA Prologis properties in Mexico in 2024?

FIBRA Prologis reports an almost 100% occupancy rate for its properties in Mexico in 2024.

How is nearshoring expected to impact FIBRA Prologis (PLD) in Mexico?

Nearshoring is expected to drive significant demand for FIBRA Prologis (PLD) in Mexico, with Latin America projected to see rent growth at roughly double the global average.

PROLOGIS, INC.

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