Fibra Macquarie Mexico · BIVA:FIBRAMQ/12
Fibra Macquarie Mexico — Investor Presentation (February 2024)
29 slides from Fibra Macquarie Mexico's investor presentation, February 2024
Slide 1: FIBRA Macquarie México Investor Presentation Fourth Quarter 2023
FIBRA Macquarie México Investor Presentation Fourth Quarter 2023 1
Slide 2: Important information
Important information This document has been prepared by Macquarie Asset Management No risk control mitigant is failsafe. Notwithstanding the mitigants The growth opportunities described herein are not necessarily México, S.A. de C.V. (“MAM Mexico”), as manager, acting in the name described herein,
Slide 3: Leveraging a well-positioned platform to create value
Leveraging a well-positioned platform to create value Strong Portfolio High quality industrial focused portfolio Pro pe r ty M 1 a na ge Vertically integrated Property Administration Platform m 2 en t elopment Program 3 Propietary Development Program with attractive pipeline Dev Robust financial and
Slide 4: Overview
Overview High quality industrial-focused portfolio in prime markets1 Tijuana Mexicali 25/6.3% 13/3.1% Nogales 2/2.8% Cd. Juárez 35.6m sqft US$3.2bn 35/13.0% Hermosillo Gross leasable Total assets 11 / 5.4% area2 Chihuahua 12/3.5% Nuevo Laredo Reynosa 9/3.2% 19/7.8% Los Mochis Matamoros 1 / 0.7% Mont
Slide 5: MPA - FIBRAMQ's vertically-integrated property administration platform
MPA - FIBRAMQ’s vertically-integrated property administration platform ▪ MPA is as an integral service’s platform through a high-quality team shaped by ~90 professionals – MPA is an employer of choice recognized as Great Place to Work® ▪ Scalable platform with capacity to integrate additional proper
Slide 6: Favorable market dynamics
01 Favorable market dynamics 6
Slide 7: Dynamic market fundamentals driving growth
Dynamic market fundamentals driving growth Nearshoring, EV transition and Ecommerce growth are driving Mexico’s favorable position in the global supply chain and providing strong tailwinds to the industrial real estate sector Real estate Supply chain Nearshoring market dynamics Demographics evolutio
Slide 8: Mexico plays an important and growing role in the global supply chain
Mexico plays an important and growing role in the global supply chain FIBRA Macquarie benefits directly from nearshoring due to its strong presence in northern markets Avg. manufacturing wages (US$/hr)1 U.S. imports – US$bn2 Strategic position in global trade Mexico China Mexico China ● China labor
Slide 9: Industries supporting Mexico's real estate sector
Industries supporting Mexico’s real estate sector Ecommerce sales growth (US$bn)1 Auto parts sector at record levels (US$bn)2 Domestic Market Exports % Change YoY CAGR 57% 20.1% 13.2% 13.4% 1.5% 6.8% 0.7% 2.7% Ecommerce sales growth (2019 -19.4% 101 125 – 2022): MXN: 28% | USD: 27% 122 107 97 98 95
Slide 10: Growth pipeline
FIBRA Macquarie MACQUARIE México 02 Growth pipeline
Slide 11: Proven Development platform
Proven Development platform Prudently expanding portfolio through high quality industrial developments in core industrial markets Expanding portfolio Completed/In progress developments 45 US$253.3m ● Target markets: Tijuana, Ciudad Juarez, Monterrey, Reynosa, MCMA, and Guadalajara ● Over next five y
Slide 12: Growth capex projects
Growth capex projects ► 1.5m sqft of growth GLA under development or stabilization Monterrey ► LTD US$253m of expansions and development completed or committed at ~11.0% yield, totaling 3.8m sqft of GLA Targeting stabilized NOI yield of 9% to 11% Buildings under development/ stabilization: 6 GLA: 1,
Slide 13: Quality portfolio
FIBRA Macquarie MACQUARIE México O03 Quality portfolio
Slide 14: Ideally positioned to support Mexico's manufacturing and logistics industries
Ideally positioned to support Mexico’s manufacturing and logistics industries Industrial highlights ● Strongest presence in 76.1% 3.5 24.4% Northern states of Mexico, a ABR1 from the Northern Weighted average lease ABR1 contribution of high industrial demand region, and Border states term remaining
Slide 15: Defensive, high quality retail portfolio
Defensive, high quality retail portfolio Retail highlights ● Defensive portfolio primarily 82.4% 3.4 43.6% in Mexico City Metropolitan located in top three retail Weighted average lease ABR2 contribution of Area (MCMA), Mexico’s top markets of Mexico1 term remaining in years Top 10 customers retail
Slide 16: Prudent capital management
04 Prudent capital management 16
Slide 17: Well-positioned balance sheet
Well-positioned balance sheet1 5.7% 96.4% US$332m of debt denominated in Undrawn committed Average cost of debt US$ revolver 94.2% 31.4%2 4.3 years Average debt tenor Fixed rate debt Real Estate Net LTV remaining 4.9x 58.7% 71.1% Green financing and Net debt/EBITDA ratio3 Assets unencumbered4 sustai
Slide 18: Reliable financial performance
05 Reliable financial performance 18
Slide 19: Solid performance and prudent distribution payout ratio
Solid performance and prudent distribution payout ratio Net operating income (NOI)1 (US$m) (US$ per CBFI) 0.21 0.22 0.23 0.23 0.23 0.24 0.28 211 170 172 177 172 175 186 200 100 0 2017 2018 2019 2020 2021 2022 2023 NOI Margin (%) 87.0% 87.5% 87.8% 87.4% 87.7% 87.4% 86.2% Adjusted funds from Operation
Slide 20: Solid performance and prudent distribution payout ratio
Solid performance and prudent distribution payout ratio Net operating income (NOI)1 (Ps. m) (Ps. per CBFI) 6,000 3.98 4.22 4.43 4.84 4.65 4.93 4.91 3,403 3,693 3,542 3,753 3,739 4,000 3,222 3,307 2,000 0 2017 2018 2019 2020 2021 2022 2023 NOI Margin (%) 87.0% 87.5% 87.8% 87.4% 87.7% 87.4% 86.2% Adju
Slide 21: Sustainability focus
FIBRA Macquarie MACQUARIE México O06 Sustainability focus
Slide 22: Sustainability at the core of our business
Sustainability at the core of our business 2040 Net Zero Plan KPIs, Goals and Certifications Green Building Certification program ● FIBRA Macquarie commits to support a goal of net zero greenhouse gas emissions by 2040, in line with global efforts to limit warming to Green building certification 1.5
Slide 23: Alignment with investors and value creation
Alignment with investors and value creation Corporate governance and fee construct are aligned with investors interest and value creation 1 Fees 2 Governing bodies ● Base management fee of 1% per annum of market capitalization Technical Committee paid every six months ● FIBRAMQ has 6 out of 7 Indepe
Slide 24: Appendix
FIBRA Macquarie MACQUARIE México Appendix
Slide 25: 4Q23 and FY23 highlights
4Q23 and FY23 highlights Financial / balance sheet Operational Strategic initiatives AFFO Rental Rates Growth capex 4Q23 Ps. 0.6363/CBFI1 (+4.0% QoQ / -5.9% YoY) Industrial 5.88 US$/sqm/m (+1.4% QoQ / +6.9% YoY) • ~1.5 million sqft of industrial GLA in development FY23 Ps. 2.5801/CBFI1 (+22.9% vs gu
Slide 26: Executive Summary
Executive Summary 4Q23 Key Metrics FY23 Key Metrics US$5.88 Industrial average rental rates Constructed GLA – lease ups Ps. NOI (exc. SLR) 0.2m sqft sqm/m (+1.4% QoQ; +6.9% YoY) in stabilization 3,759.0m (US$: +12.2% YoY) Industrial occupancy EOP Constructed GLA – deliveries NOI per CBFI (exc. SLR)
Slide 27: Industrial development and expansions
Industrial development and expansions NOI Project # of Incremental GLA Investment Completion / Expected Initial Lease Project City NOI Yield1 Contribution Type Projects ('000 sqft) (USDe$ '000s) Completion term (years) Date Delivered (inception to 2016) Total 13 498.7 25.2 11.9% Actual 8.8 Delivered
Slide 28: Development case studies
Development case studies Mexico City - Cuautitlan Monterrey - Apodaca Ciudad Juarez – Sur/Sureste ● 15ha site in Mexico City ● 21ha site in Monterrey’s most prominent industrial ● 55ha site in Ciudad Juarez submarket, Apodaca ● Completed first Class A building with capacity for up ● Developed two Cl
Slide 29: Development case studies (cont'd)
Development case studies (cont’d) Tijuana – Libramiento Reynosa - Poniente ● 25ha site in Tijuana ● 8ha site in Reynosa ● Developing 3 Class A industrial buildings ● Completed 1 class A industrial building ● 144k sqft of GLA under construction: ● +870k sqft of GLA: – Advantaging of favorable market
FIBRA Macquarie México — Investor Presentation (February 2024) on 6ix