Industrial Global Solutions (IGS), a real estate advisory and investment firm in Mexico, launched Mexico Real Estate Investments LP, its first private equity fund.
The Fund made a $72 million dollar first closing on October 28, at the high end of its initial objective of $50 to $75 million dollars. The Fund will primarily invest in single tenant industrial, manufacturing, distribution and office projects pre-leased to creditworthy tenants who require efficient and modern real estate facilities in Mexico.
The Fund will invest through sale-leaseback, build-to-suit and portfolio acquisition opportunities of manufacturing and distribution property located within Mexico. It will also invest in corporate office buildings in growing Mexican second-tier cities that lack adequate office product. The Fund has a non-speculative, client-driven investment strategy that requires pre-signed, long-term lease agreements with creditworthy tenants in order to consider a property investment. The Fund can allocate up to 20% of its capital to development projects and opportunistic investments.
Limited Partners are individual and institutional investors in Mexico and abroad, including the main Mexican development bank, Nacional Financiera.
The Fund will remain open to investors until Feb. 22, 2003, or until it reaches $100 million dollars in capital commitments.
SAI Consultores, an advisory firm in Mexico City, served as financial and legal advisor to IGS.
IGS was founded in 1997 by Antonio Ruiz Galindo, who has over 15 years of direct experience in Mexican real estate acquisitions, construction and development and Lachlan Elting, former Director of Industrial Real Estate with Colliers International Mexico. The company arranges, develops and invests in real estate projects in Mexico. It also advises clients in all aspects of the real estate investment and development process.