Walton Street Capital to issue a new CKD in BIVA

The company stated that the CKD will be invested in real estate projects and assets in Mexico, with a target gross internal rate of return (IRR) between 16% and 20% at the project level, and net returns at the fund level between 13% and 15%. Walton Street Capital has been investing in Mexico for over 20 years through six funds, totaling more than MXN 29,489 million. 

Currently, their portfolio comprises approximately MXN 42,327 million in gross assets under management.Among their notable investments, Walton Street Capital acquired the Meliá Reforma hotel, allocating MXN 216.7 million for room renovations, common areas, conference spaces, and commercial zones, and adding 11 new keys to the existing 489. They also acquired a Class A office building with 24,284 square meters of leasable space in the Insurgentes submarket of Mexico City.

Walton Street Capital sees solid fundamentals in the Mexican real estate market, including its proximity to the United States, the world's largest consumer. They highlight that Mexico is the 11th most populous country, with approximately 126 million inhabitants, and has 12 free trade agreements with over 46 countries. Additionally, Mexico ranks as the seventh-largest tourist destination globally, with over 45 million tourists in 2019.

Read the full article (in Spanish).