FUNO offered support and discounts for $973 million pesos

FIBRA Uno (FUNO) reported a 16.8% decrease in Total Revenues for the second quarter of 2020, reaching 4,298.3 million pesos.
The revenue decline was primarily due to the support provided to tenants during the Covid-19 crisis, totaling 973.2 million pesos, including rent discounts and provisions for future discounts.

FUNO manages towering skyscrapers and landmark buildings such as these in Mexico City. Photo: Marc Chesneau.

07/28/2020

FIBRA Uno (FUNO), the first and largest Real Estate Investment Trust (REIT) in Mexico, has released its second-quarter 2020 results. According to the company's statement, there was a 16.8% decrease in Total Revenues, reaching 4,298.3 million pesos (mdp), primarily due to the 973.2 million pesos provided as support to tenants during the Covid-19 crisis.

This marks the first significant revenue decline for the company. Jorge Pigeon, VP of Capital Markets and Investor Relations at FUNO, explained in a press conference that the revenue decrease resulted from rent discounts given to tenants during the three-month closure period, which are unlikely to be fully recovered.

The company has also negotiated rent deferrals with some tenants, allowing them to pay within a 6 to 12-month period, without exceeding the specified limit. The total cost of these measures amounts to 973.2 million pesos, which includes rent discounts and provisions for future discounts.

Read the full article (in Spanish).

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