Prologis Property Mexico, S.a. De C.v. · BMV:FIBRAPL/14
Prologis Property Mexico, S.a. De C.v — FIBRA Prologis — Investor Presentation (January 2023)
35 slides from Prologis Property Mexico, S.a. De C.v's investor presentation, January 2023
Slide 1: FIBRA Prologis Investor Presentation
Prologis Park Los Altos, ParkTres Guadalajara Izcalli, Rios Grande, Mexico Mexico City FIBRA PROLOGIS Investor Presentation January 2023
Slide 2: Forward-Looking Statements / Non-Solicitation
Forward-Looking Statements / Non-Solicitation This presentation includes certain terms and non-IFRS financial measures that are not specifically defined herein. These terms and financial measures are defined and, in the case of the non-IFRS financial measures, reconciled to the most directly compara
Slide 3: Resilient Investment Strategy
Prologis Park Pacifico Tres Rios, Industrial, Prologis Apodaca,Park Mexico Tijuana Toluca Monterrey Resilient Investment Strategy
Slide 4: Why invest in FIBRA Prologis?
Why invest in FIBRA Prologis? US$4.1B US$239M US$0.13 Assets under 2022 Annual Net 2023E Distribution management Operating Income per CBFI BBB/BBB+ 43.6 M 225 242 Credit Ratings Square Feet Buildings(1) Customers World class Sponsor: PLD Note: Information as of December 31, 2022 4 1. Includes two va
Slide 5: FIBRA Prologis at a Glance
FIBRA Prologis at a Glance FIBRA Prologis is a leading Mexican real estate investment trust KEY FINANCIAL AND OPERATIONAL METRICS (2) formed to acquire, own and manage Class-A industrial real estate in 2015 Today Mexico Stock Price 26.0 55.8 Irreplaceable industrial real estate in Mexico in the six
Slide 6: Unmatched Portfolio Focused on the Top Consumption and Manufacturing Markets
Unmatched Portfolio Focused on the Top Consumption and Manufacturing Markets 6 > 10MSF Markets Tijuana Ciudad Juarez 5MSF to 10MSF 98.9% GLA 6.3 MSF 100.0% Occupancy GLA 3.5 MSF 100% Occupancy 3MSF to 5MSF Period End Occupancy(1) 98.4% Reynosa GLA 4.6 MSF Average Occupancy(1) 99.8% Occupancy 43.6 Mo
Slide 7: Logistic Real Estate Fundamentals
Logistic Real Estate Fundamentals1 DEMAND (T12M) VS SUPPLY PIPELINE DEMAND VS SUPPLY VACANCY • Market vacancy of 1.0%, historical (MSF) (MSF) (%) lows • Increasing demand due to supply Mkt Vacancy 36 10 chain reconfigurations and limited supply caused by enhanced supply 0.7% barriers are expected to
Slide 8: Nearshoring is the Main Structural Shift
Nearshoring is the Main Structural Shift Mexican logistics real estate gain momentum due to manufacturing activity NEARSHORING DEMAND BY COUNTRY OF ORIGIN1 NEARSHORING GROSS ABSORPTION1 , TIER 1 • Nearshoring is the main driver of TIER 1 (MSF) demand, accelerating since the (MSF) Tier 1 represented
Slide 9: E-commerce is a Resilient Driver of Expansion
E-commerce is a Resilient Driver of Expansion By 2026, E-commerce penetration1 in Mexico is expected to have doubled vs 2021 E-COMMERCE SALES AND PENETRATION RATE E-COMMERCE GLOBAL PENETRATION RATE1 IN MEXICO1 % USD$ B Penetration Rate • E-commerce is tailwind for 100 China logistics real estate dem
Slide 10: Low Risk Business Model
Prologis Santa Park Toluca, Alamar, Apodaca, Maria Park, Mexico Tijuana Monterrey Mexico City Low Risk Business Model
Slide 11: Potential Market Rental Growth
Potential Market Rental Growth LEASE EXPIRY PROFILE BY ANNUALIZED NER & AVERAGE IN-PLACE RENT $9.00 $7.86 $8.20 $8.39 $8.58 $8.77 $8.96 25% $7.45 $6.70 $8.00 $7.00 $5.87 $5.88 $6.06 $6.13 20% $5.48 $6.00 $5.43 15% $5.00 $4.00 10% $3.00 $2.00 5% $1.00 13% 9% 24% 14% 10% 8% 23% $0.00 0% 2023 2024 2025
Slide 12: Diversified Customer Base
Diversified Customer Base 242 CUSTOMER TYPE CUSTOMER INDUSTRY %, NER basis %, NRA basis customers in Mexico have 15% 1% 7% 20.3% 352 leases with FIBRA 16.4% Prologis B2B 23% 14.1% 40% 85.5% of FIBRA Prologis’ 9.4% 8.6% 8.4% customers are multinational 7.9% 7.9% 13% companies(1) Retail 4.6% 2.3% Our
Slide 13: External Growth: Identified Future Growth Acquisitions
External Growth: Identified Future Growth Acquisitions EXTERNAL GROWTH VIA PROLOGIS DEVELOPMENT PIPELINE (MSF) Prologis & FIBRAPL UNIQUE COMPETITIVE ADVANTAGE Development Land Bank & Pipeline Expansion Land(1) • Proprietary access to Prologis FIBRAPL Portfolio development pipeline at market values •
Slide 14: Strong Financial Position
Strong Financial Position BBB/BBB+ rated by Fitch/HR Ratings1 DEBT METRICS 4Q2022 DEBT MATURITY SCHEDULE Total debt $921M (USD$ in millions) Wtd avg rate 4.0% Unsecured Debt Secured Debt USD denominated 100% $1 Wtd avg term 7.5 yrs $176 Available liquidity USD2 $640 M $150 $125 $125 $125 Fixed debt
Slide 15: Best Practices Oriented to Create Value
Prologis Centro Industrial Los Del Park Norte, Toluca, altos, Alamos Reynosa Toluca 2,Guadalajara Mexico City Best Practices Oriented to Create Value
Slide 16: Strong Sustainability Focus
Strong Sustainability Focus GOALS PROGRESS Net zero and GHG Emissions. Achieve net zero by In June 2022, net zero goal established. 2040 for Scope 1, 2 and 3 emissions. Building Certifications. Achieve sustainable certification for ~54% of the portfolio certified (2021 100% of operating portfolio (b
Slide 17: World Class Corporate Governance
World Class Corporate Governance Alignment with Certificate Holders DIVERSE AND EXPERIENCED TECHNICAL COMMITTEE1 COMPOSITION Luis Gutiérrez Alberto Saavedra President for Latin America Partner INDEPENDENCY TENURE GENDER Prologis Inc Santa Marina y Steta Prologis Eugene F. Reilly Gimena Peña Malcampo
Slide 18: Strong Sponsor
Alamar,Mexico City Strong Sponsor
Slide 19: Strong Sponsor
Strong Sponsor US$196B US$5.0B A/A3 Assets under Annual Net Operating Credit Ratings management Income 19 1.2B 5,495 6,600 Countries Square Feet Buildings Customers Prologis Cranbury NJ 19
Slide 20: Appendix
Apodaca, Monterrey Appendix
Slide 21: 2023 Guidance
2023 Guidance US Dollars in thousands except per CBFI amounts Financial Peformance Low High Full year FFO, as modified by FIBRA Prologis, per CBFI (excludes incentive fees) (A) $ 0.1750 $ 0.1850 Operations Year-end occupancy 97.0% 98.0% Same store cash NOI change 3.0% 5.0% Annual capex as a percenta
Slide 22: Creating Value for Certificate Holders
Creating Value for Certificate Holders TOTAL RETURN OF CBFIS IN MEXICAN PESOS June 4, 2014 – December 31, 2022 235% 216% 185% 143% 31% 69% FIBRAPL Peer A Peer B Peer C Peer D FIBRA Index Stock Return Dividend Return FIBRAPL DISTRIBUTIONS PER CBFI (USD$) & AFFO PAYOUT RATIO (%) (1) $0.14 0.1240 0.124
Slide 23: Historical Operating Performance
Historical Operating Performance ELEVATED PERIOD-END OCCUPANCY 99.5 (%) 98.9 99 97.9 98.5 97.6 97.4 98 97.3 97.5 97.1 96.8 97 96.5 96.5 96.3 96 95.5 95 Q414 Q415 Q416 Q417 Q418 Q419 Q420 Q421 Q422 STRONG POSITIVE RENT CHANGE ON ROLLOVER (%) 26.7 30.0 24.6 25.0 19.6 16.0 16.3 15.2 20.0 13.4 14.7 13.2
Slide 24: Historical Growth
Historical Growth NOI GROWTH ADJUSTED EBITDA GROWTH Millions of USD Millions of USD 280 240 240 200 200 160 160 120 120 80 80 40 40 0 0 2015 2016 2017 2018 2019 2020 2021 2022 2015 2016 2017 2018 2019 2020 2020 2022 FFO GROWTH AFFO GROWTH Millions of USD Millions of USD 200 120 100 150 80 100 60 40
Slide 25: Historical Credit Metrics
Historical Credit Metrics DEBT % OF INVESTMENT PROPERTIES FIXED CHARGE COVERAGE RATIO 40% 5X 4X 30% 3X 20% 2X 10% 1X 0% 0 Q416 Q417 Q418 Q419 Q420 Q421 Q422 Q416 Q417 Q418 Q419 Q420 Q421 Q422 DEBT TO ADJUSTED EBITDA LIQUIDITY1 Millions of USD 6X 750 5X 600 4X 450 3X 2X 300 1X 150 0 0 Q416 Q417 Q418
Slide 26: Portfolio Growth Since IPO
Portfolio Growth Since IPO GROSS LEASABLE AREA Thousands of SF, June 4, 2014 through December 31, 2022 41,000 37,000 33,000 29,000 25,000 IPO IPO 4Q 2014 4Q 2015 4Q 2016 4Q 2017 4Q 2018 4Q 2019 4Q 2020 4Q 2021 4Q 2022 4Q 2022 REAL ESTATE PORTFOLIO(1)(2)(3) Thousands of USD$ +146% Total +70% growth $
Slide 27: Fee Structure
Fee Structure Transparent and Aligned Fee Type Calculation Payment Frequency Property Management 3% x collected revenues Monthly Operating Fees New leases: 5% x lease value for <6 yrs; Leasing Commission 2.5% x lease value for 6-10 yrs; ½ at closing 1.25% x lease value for > 10 yrs Only when no brok
Slide 28: Strategic Acquisition of Prologis Park Grande Completed April 2020
Strategic Acquisition of Prologis Completed April 2020 Prologis Park Grande • Location: Mexico City • Land Size: 212.3 acres, 9.3 MSF • GLA: 3.9 MSF B-6 B-7 B-5 • 100% leased B-8 B-4 B-3 Unique Competitive Advantage: • State of the art logistics park focused on e- commerce customers and consolidatio
Slide 29: Mexico City
Mexico City FIBRA €; PROLOGIS’ 29
Slide 30: Guadalajara
Guadalajara woatco © Guadalajara © San Pedro Tlaquepaque Tonala © San Martin De Las Flores eo San © Los Gavilanes © LaCalerilia Santa Cruz © Del Valle Concepcion La Union ‘San Sebastian Del Valle’ Del Cuatro El Grande © Tlajomulco Tlajomulco De Zuniga Industrial Corridors (@) Development Properties
Slide 31: Monterrey
Monterrey Teredo, Tx © Cienega de Flores a5 200 km © General Escobedo Monterrey Uy Guadalupe Sprite zm km Industrial Corridors. @) Development Properties & Land (Q) Prologis Stablized Assets (~) FIBRAPL Assots FIBRA 31 €> PROLOGIS’
Slide 32: Tijuana
Tijuana line Assets (_) FIBRAPL Assets ~ FIBRA 32 €> PROLOGIS’
Slide 33: Ciudad Juarez
Ciudad Juarez 33 €>; PROLOGIS"
Slide 34: Reynosa
Reynosa FIBRA € PROLOGIS
Slide 35: FIBRA Prologis
FIBRA €*; PROLOGIS’
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