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News release

Mexico City

Exclusive Inside Look: Alfredo Giorgana, National Director of Valuations at JLL Mexico

JLL´s Alfredo Giorgana forms part of the important panel ”Cross Border Deals” along with other industry experts at RICS Summit of the Americas 2015


This past April, Alfredo Giorgana participated in expert panel "Cross Border Deals" during the RICS Summit of the Americas 2015 in Los Angeles, California.  Topics presented by Giorgana included the highly anticipated Mexican Energy Reform and its impact in the real estate business in Mexico, as well as, the rise of FIBRAS (also known as Mexican REITs).

 

"Mexico is undergoing significant changes seeking better democratic conditions, a more just system and a more competitive country", commented Giorgana when asked about the massive changes in Mexico in terms for CRE capital markets. "No question that new financing vehicles have come to revolutionize the real estate market in Mexico, making it more dynamic."

 

The other major topic involved the nascent Real Estate Investment segment called FIBRAS. Initiated in 2011, FIBRAS are vehicles whose main purpose is the acquisition and development of leased properties. FIBRAS have been the most successful in raising funds from the market in the past two years, and in 2015 will continue to effervesce with million-dollar purchases and new instruments.

 

"The impact however has been that this situation is pushing the price of the properties", discussed Giorgana regarding the trending impact FIBRAS have brought to the marketplace. "JLL´s calculations suggest that the price of a square meter of luxury offices in Mexico City, that concentrates 85 percent of the national market, rose between 25 and 30 percent in the past five years. For JLL 80% of the increase meets the voracious appetite of FIBRAS."

 

The RICS Summit of the Americas is the conference which brings together leaders and best practices from across the full range of property and construction professions, from capital markets to tax assessment, quantity surveying to facilities management, institutional investment to development, and real estate, business and personal property valuation. For more information, please visit www.rics.org.

About JLL Valuations

The JLL Valuation and Advisory Group are specialized consultants that provide sophisticated, impartial valuation and market analysis services in 40 countries.  When it comes to gives opinions of value in rapidly changing markets, time literally is money. We use our global experience and deep knowledge of local real estate markets to provide an accurate, reliable valuation of properties. We perform analysis and appraisals for single assets, global portfolios and a range of property types: office, residential, industrial, retail, hotels, healthcare, logistics, education. Our expert teams are a valuable source of insight, and their point of view is complemented by our property research experts. Our analyses are suitable for a range of needs: purchase or disposal, financial reporting, performance measurement, raising debt or equity, loan reviews, strategic planning, reducing costs or maximizing value. For more information, visit www.jll.com.mx.

About JLL

JLL (NYSE: JLL) is a professional services and investment management firm offering specialized real estate services to clients seeking increased value by owning, occupying and investing in real estate. With annual fee revenue of $4.7 billion and gross revenue of $5.4 billion, JLL has more than 230 corporate offices, operates in 80 countries and has a global workforce of approximately 58,000.  On behalf of its clients, the firm provides management and real estate outsourcing services for a property portfolio of 3.4 billion square feet, or 316 million square meters, and completed $118 billion in sales, acquisitions and finance transactions in 2014. Its investment management business, LaSalle Investment Management, has $55.3 billion of real estate assets under management. JLL is the brand name, and a registered trademark, of Jones Lang LaSalle Incorporated. For further information, visit www.jll.com.