Blog

Learn about the attractive operation of FIBRAS through our posts

Mexican REITs | Invest in large-scale property portfolios

By César Rubalcava

September 25, 2019

FIBRAs-en-Mexico-Invierte-en-propiedades-de-gran-escala
Blog

Mexican REITs are a new investment vehicle in the real estate sector that allows investors to access large-scale properties and diversify their portfolios.

Mexican REITs

The history of Mexican Real Estate Investment Trusts (known as FIBRAs) can be traced back to their counterparts in the United States during the 1960s. These were created to open an investment opportunity in large-scale retail and industrial real estate portfolios.

REITs attracted the interest of many investors in the United States and around the world, which triggered a great success in the real estate market. However, in Mexico the fiscal and commercial frameworks to develop this class of financial instruments were not in place until March 2011.

After Mexico’s 2004 Tax Reform, Mexican REITs gained the push they needed to be formally launched. However, it was not until 2011 that they debuted on the Mexican Stock Exchange as an innovative and revolutionary investment vehicle in the real estate market.

A vibrant real estate market

Unlike specialized trusts that only focus on a single sector, Mexican REITs invest in multiple economic sectors, making them defensive portfolios.

This means that by investing in a Mexican REIT you are putting money into a variety of large-scale properties with different locations and asset classes. Resulting in a diversified and lower risk investment.

In order to invest in these instruments, it is necessary to acquire Real Estate Trust Certificates (Certificados Bursátiles Fiduciarios Inmobiliarios, “CBFIs”), which are similar to corporate stocks and entitle the holder to corporate and economic rights.

These certificates offer liquidity in real estate investments as they periodically pay dividends and offer the possibility of obtaining capital gains.

Invest in large-scale properties with the safety and reliability offered by Fibra Mty. We are a Mexican REIT engaged in the acquisition and management of high-quality corporate real estate portfolios. Click here to learn more!