A FIBRA is an investment vehicle designed to finance the acquisition or construction of real estate in Mexico through a trust, which will be destined for leasing or acquiring the right to receive income from such assets. Similar to REITs in the United States, FIBRAS combine the features of both fixed and variable income instruments, offering the investor periodic payments (rental income) and, in turn, the possibility of obtaining capital gains (added-value).
Fibra Plus is a trust entered into with Banco Azteca, S.A., Banca Multiple, Division Fiduciaria, which develops, acquires, owns, operates and leases real estate assets destined for rental in Mexico. Fibra Plus is the first Mexican REIT focused on the development of real estate assets for leasing, therefore, it is designed to generate attractive long-term risk-adjusted returns for the CBFI Holders, through the appreciation of its Assets and Cash Distributions.
Fibra Plus draws on the experience of a select group of real estate developers and operators, as well as on a business model that vertically integrates the whole real estate value chain, including: the identification of concepts and locations for real estate developments, the commercialization and leasing process, the operation of the mentioned developments, and even the completion of their stabilization cycle and eventual monetization when the right market conditions for the divestment in the projects are met.
1. The Nominating Committee: Responsible for the nomination of Independent Members of the Technical Committee, and if necessary, other committees.
2. The Corporate Practices Committee: Focused on resolving conflicts of interest that may arise, as well as the adoption of management policies.
3. The Compensation Committee: Responsible for making recommendations on compensations, development of human resources and retention of key executive officers.
4. The Audit Committee: Its primary function is the analysis and approval of operational and financial information.
CBFIs are certificates of participation in the assets that comprise FIBRA’s property portfolio, whose returns are linked to the operating income of these properties or, as the case may be, its sale proceeds. These securities combine features of fixed income instruments and stocks since they offer quarterly cash distributions of at least 95% of the profits derived from the rent of properties, as a dividend payment, as well as to receive an additional yield from property valuation. These securities can be traded as easily as stocks.
The CBFIs of Fibra Plus are traded on the Mexican Stock Exchange, since 2016, under ticker symbol “FPLUS 16”.