FIBRA Monterrey Acquires Its 118th Property: A Logistics Giant Occupied by Mercado Libre

FIBRA Monterrey, in partnership with AC2 Fund (a joint investment venture between Artha Capital and Affinius Capital) and with Frontier Industrial & Logistics as the project developer, has acquired a Class A industrial facility in León, Guanajuato, for $105 million, plus taxes, costs, and acquisition expenses. The property, with a gross leasable area (GLA) of 82,250 square meters on a 183,940-square-meter lot, is designed for high-volume logistics operations.

The facility is occupied by Mercado Libre, amid sustained growth in Mexico's e-commerce sector, which has posted a compound annual growth rate of 33.8% over the past six years and expanded by 20% in 2024 alone, according to the Mexican Association of Online Sales, as cited by the trust. This momentum, which generated approximately $43.1 billion in sales last year, continues to drive demand for strategic logistics infrastructure, reinforcing these assets as a long-term profitable investment.

Notably, Mercado Libre's lease is denominated in U.S. dollars and has a remaining term of seven years under a triple-net (NNN) structure, meaning the tenant is responsible for rent as well as maintenance, insurance, property taxes, and administrative fees.

According to FIBRA Monterrey, this structure ensures stable revenue. The company estimates that this property's net operating income (NOI) will reach $7.6 million within the first 12 months post-acquisition, further supporting its industrial expansion strategy and increasing exposure to dollar-denominated assets to enhance financial stability and reinforce its presence in the logistics sector.

The data disclosed by the company suggest that the property's purchase price exceeds $1,270 per square meter and that the estimated rent reaches $7.70 per square meter per month. Both figures are well above the average prices in León, Guanajuato's industrial market, where rents hover around $5.30 per square meter and sale prices approach $800 per square meter.

This differential raises questions that are not easily explained through the traditional logic of the sector. For example, the building's footprint represents only 45% of the total lot area—a low ratio considering that Class A industrial facilities typically follow a 60-40 split or higher. In principle, this lower construction density should dilute the asset's value, not increase it.

Why, then, are these prices so high? Are they justified by zoning tailored for e-commerce use? By lease terms customized to the tenant? Or by a return tied to a strategic agreement with Mercado Libre?

According to recent lease transactions recorded by SiiLA's research team, large logistics platforms prioritize expansive maneuvering yards for loading, unloading, and cross-docking operations. From this perspective, what's being paid for is not just the built space, but the site's overall functionality.

SiiLA contacted FIBRA Monterrey to clarify the situation, but no response was received by publication time.

The company's latest transaction marks a significant step forward in its investment strategy. Alongside other recent moves, it has already surpassed 75% of its goal of up to $700 million announced in its latest capital issuance. In addition, with this acquisition, the REIT will strengthen its portfolio by extending the average lease term to over five years, lowering the average age of its properties to 13 years, increasing exposure to dollar-denominated revenue to 85%, and raising the share of logistics-related industrial income above 23%, in line with figures reported at the close of 2024.

FIBRA Monterrey now holds 118 properties in its portfolio. In the past year alone, it acquired 12 additional industrial assets and sold an office property, expanding its inventory by 13.2%, from over 1.6 million to more than 1.8 million square meters of industrial, office, and commercial space.

The deal has already been approved by FIBRA Monterrey's Technical Committee and Mexico's Federal Economic Competition Commission (COFECE). However, the transaction remains subject to the execution of final contracts.

For more information on the performance of FIBRAs in Mexico, visit SiiLA FIBRA Analytics or contact us at contacto@siila.com.mx.