Deutsche Bank Mexico, S.A., Institucion de Banca Multiple, Division Fiduciaria, Fideicomiso F/1616 or Fibra Inn (bmv:FINN13) (?Fibra Inn? or ?the Company?), a Mexican real estate investment trust specializing in the hotel industry serving the business traveler, announced the acquisition of the Hotel M?xico Plaza Celaya, located in the state of Guanajuato. This hotel will be converted to the Wyndham Garden brand.
The acquisition price was Ps. 139 million, excluding Ps. 8.1 million in expenses for brand name change, as well as respective taxes and acquisition costs. Fibra Inn?s internal bodies approved the purchase of this property, at a stabilized cap rate of 10%. The acquisition was paid in cash using proceeds from the initial public offering that took place on March 13, 2013.
The conversion to the Wyndham Garden Brand is expected to conclude by April of 2014. This property has 150 rooms, will operate under the limited service segment; and will be operated by Fibra Inn’s Hotel Operator supported by the current Hotel Operator.
Fibra Inn opted to purchase this hotel for the following reasons:
This hotel is located at Eje N, Poniente 101, almost at the corner of Av. Tecnol?gico, Col. Ciudadela, Celaya, C.P. 38017, Guanajuato. Its location is strategic as it is near the M?xico ? Quer?taro freeway and along the Industrial Zone.
With this acquisition, Fibra Inn has 19 hotels in its portfolio, plus two under development, with a total of 3,850 rooms, of which 3,186 are currently in operation.