Miguel Aliaga, CFO of Fibra Inn (BMX: FINN13), joined REIT.com for a video interview during REITWeek 2015: NAREIT’s Investor Forum, held in New York.
Fibras (Fideicomiso de Inversion en Bienes Raices), the Mexican version of a REIT, were first approved by Mexican legislation in 2003, although the first Mexican REIT did not start trading on the Mexican Stock Exchange until 2011. The average market capitalization of Fibras is about $1.8 billion, ranging from the larger ones that are about $8 billion to smaller ones of about $250 million, according to Aliaga. He noted that the Mexican REIT industry is working to increase its market visibility, not just for Mexican investors, but for international ones as well.
Fibra Inn has a portfolio of hotel properties that is geographically diversified throughout Mexico and aimed at business travelers. Aliaga pointed out that Fibra Inn is currently focusing more on acquiring assets than developing them. Acquisitions, he stressed, bring immediate benefits to the company.
Meanwhile, Aliaga said Fibra Inn’s strong operating results across the board reflect both internal initiatives and external economic factors.
Fibra Inn has spent a lot of time installing a highly qualified management team in order to build upon current growth, he said. In addition to looking for top-quality assets, Fibra Inn is also upgrading its existing assets, Aliaga said. At the same time, Fibra Inn has benefitted from the peso-dollar exchange rate, he pointed out.