Terrafina to purchase portfolio of industrial properties from Kimco Realty and American Industries for about $600 Million
Terrafina (BMV: TERRA13), a Mexican real estate investment trust advised
by Prudential Real Estate Investors, will purchase a portfolio of
Mexican industrial properties from Kimco Realty Corp. (NYSE:KIM) and its
joint venture partner, American Industries for about $600 million, the
company announced today. PREI® is the real estate investment management
and advisory business of Prudential Financial, Inc. (NYSE: PRU).
The portfolio consists of 87 properties totaling about 11 million square
feet that are occupied by a diverse range of multi-national tenants. The
facilities are predominantly for light manufacturing in the automotive,
aerospace and consumer goods sectors.
“The addition of these assets contributes to the diversification of
Terrafina’s portfolio in terms of industry location and tenants,” said
Alberto Chretin, CEO of Terrafina. “And it is perfectly aligned to
Terrafina’s strategy to grow the portfolio through accretive
acquisitions as a consolidator vehicle for quality industrial assets.”
With the addition of this portfolio, Terrafina grows to 233 properties
with more than 30 million square feet of industrial space, making it the
largest owner of industrial assets in Mexico, based on gross leasable
“This acquisition establishes Prudential Real Estate Investors’ ability
to source quality properties and integrate them into Terrafina’s
existing portfolio,” said Alfonso Munk, PREI’s head of Latin America.
“The quality of these properties and the strength of the industrial
sector in Mexico made this an extremely attractive transaction.”
Closing is subject to shareholder approval. Terrafina, which expects the
transaction to be completed by the third quarter of 2013, will pay for
the portfolio through existing credit facilities and the assumption of
the existing debt on the portfolio.
Terrafina will hold a conference call for its investors at 1 p.m. EDT on
Thursday, May 23 to discuss the transaction. The details are as follows:
Teleconference Dial-In Number(s):
USA Participant: (800)
International Participant: (480) 629-9025
Start Time: 12:00p.m. Central/1:00p.m. Eastern
Terrafina (BMV:TERRA13) is a Mexican real estate investment trust formed
primarily to acquire, own, develop and manage real estate properties in
Mexico. Terrafina’s portfolio consists of attractive,
strategically-located warehouses and other light manufacturing
properties throughout the central, Bajío and northern regions of Mexico.
Terrafina owns 146 real estate properties, including 132 developed
industrial facilities with a collective GLA of approximately 19.8
million square feet and 14 land reserve parcels.
The company has approximately 180 lease agreements with tenants that
include international, national, regional and local companies.
Additional information is available at http://www.terrafinafibra.com.
Kimco Realty Corp. (NYSE: KIM) is a real estate investment trust (REIT)
headquartered in New Hyde Park, N.Y., that owns and operates North
America’s largest portfolio of neighborhood and community shopping
centers. As of March 31, 2013, the company owned interests in 895
shopping centers comprising 131 million square feet of leasable space
across 44 states, Puerto Rico, Canada, Mexico and South America.
Publicly traded on the NYSE since 1991, and included in the S&P 500
Index, the company has specialized in shopping center acquisitions,
development and management for more than 50 years. For further
information, please visit www.kimcorealty.com,
the company’s blog at blog.kimcorealty.com,
or follow Kimco on Twitter at www.twitter.com/kimcorealty.
PREI is a leader in the global real estate investment management
business, offering a broad range of investment vehicles that invest in
private and public market opportunities in the United States, Europe,
the Middle East, Asia, Australia and Latin America. Headquartered in
Madison, New Jersey, PREI has other offices in Atlanta, Chicago, New
York, San Francisco, Miami, London, Lisbon Luxembourg, Frankfurt,
Munich, Paris, Istanbul, Abu Dhabi, Mexico City, Sao Paulo, Beijing,
Hong Kong, Seoul, Singapore and Tokyo. In addition, PREI has
representatives in Milan and is establishing a presence in Sydney
(pending regulatory approval). As of September 30, 2012, the company
managed approximately $51.2 billion in gross real estate assets ($34.6
billion net) on behalf of more than 490 clients worldwide. Its gross
assets in Latin America total $3.6 billion ($2.4 billion net). For more
information, visit http://www.prei.com.
Copyright Business Wire 2013