CORPORATE PRESENTATION
Q4 2023
Safe Harbor
This presentation has been prepared by Corporación Inmobiliaria Vesta, S.A.B. de C.V. ("Vesta" or the "Company") solely for use at this presentation.
This presentation was prepared solely for informational purposes and does not constitute, and is not to be construed as, an offer or solicitation of an offer to subscribe for or purchase or sell any securities.
This presentation is confidential to the recipient. Accordingly, any attempt to copy, summarize or distribute this presentation or any portion hereof in any form to any other party without the Company's prior written consent is prohibited.
This presentation contains forward-looking statements. Examples of such forward-looking statements include but are not limited to: (i) statements regarding the Company's results of operations and financial condition, including related projections; (ii) statements of plans, objectives or goals, including those related to the Company's operations; and (iii) statements of assumptions underlying such statements. Words such as "aim," "anticipate," "believe," "could," "estimate," "expect," "forecast," "guidance," "intend," "may," "plan," "potential," "predict," "seek," "should," "will" and similar expressions are intended to identify projections and forward- looking statements but are not the exclusive means of identifying such projections and statements. By their very nature, forward-looking statements involve inherent risks and uncertainties, both general and specific, and risks exist that the predictions, forecasts, projections and other forward-looking statements will not be achieved. Caution should be taken with respect to such statements and undue reliance should not be placed on any such forward-looking statements. Any forward-looking statements speak only as of the date of this presentation and the Company undertakes no obligation to update or revise any forward-looking statement, whether as a result of new information or future events or developments.
No representations or warranties, express or implied, are made as to, and no reliance should be placed on, the accuracy, fairness or completeness of the information
presented or contained in this presentation. Neither the Company nor any of its affiliates, advisers or representatives or any of their respective affiliates, advisers or
representatives, accepts any responsibility whatsoever for any loss or damage arising from any information presented or contained in this presentation. The information presented or contained in this presentation is current as of the date hereof and is subject to change without notice and its accuracy is not guaranteed. Neither the Company nor any of its affiliates, advisers or representatives make any undertaking to update any such information subsequent to the date hereof. This presentation should not be construed as legal, tax, investment or other advice.
Certain data in this presentation was obtained from various external data sources, and the Company has not verified such data with independent sources. Certain data was also based on the Company's estimates. Accordingly, the Company makes no representations as to the accuracy or completeness of that data or the Company's
estimates, and such data and estimates involve risks and uncertainties and are subject to change based on various factors.
Table of
Contents
1 | Company overview | |
2 | Market Fundamentals |
3 | Differentiated Portfolio & Strong | |
Track Record | ||
4 ESG at the core of our business
5 Appendix
Company Overview
Fully-integrated industrial real estate owner, operator and developer
Optimally positioned to leverage opportunities in Mexico, one of the world´s most attractive
manufacturing and distribution hubs.
Internally managed, with strict focus on shareholder returns.
Industry benchmark offering innovative and customized solutions.
Disciplined development approach captures specific supply chain segments, resulting in consistently higher returns.
Multiple value drivers: continually balance portfolio investments, asset recycling, share buybacks and dividends.
Note: Figures as of December 31, 2023.
(1) In terms of occupied GLA. (2) Based on number of contracts.
214
Class A industrial properties located in Mexico's key trade corridors and manufacturing centers
37.3 Million sf total GLA
93.4% Total occupancy rate
96.7% Stabilized occupancy rate
97.0% Same store occupancy rate
30.8
Million sf of land reserves
with potential to develop over 13.9 million sf of incremental GLA
187
Tenants
-
yrs average contract life¹
92% USD² denominated contracts
87% USD denominated rental income
- yrs weighted average building age
Best-in-Class assets
Inventory buildings
Buildings conform to standard industry specifications designed to be adapted for two or more tenants.
Built-to-Suit ("BTS")
Buildings designed and built to meet the specific needs of clients.
Vesta Parks
- sustainable gated industrial park with state-of-the-art class A buildings designed for advanced light manufacturing and logistics operations of world-class multinational companies' advanced light manufacturing and logistics operations
Extensive Track Record of Consistent Growth
25 Year History Building a Foundation, Substantiated by Relevant Milestones
Initial Strategy | Pre IPO | Post IPO | 20/20 Vision(2) | |||
(1998 - 2006) | (2006 - 2012) | |||||
GLA (mm sf)(1)
Level 3 Strategy (3)
2023
Anchor Investments
2012
IPO ADS
$446 mm
Ned
Spieker
3.5
0.61.2
IPO | |
2015 | |
$286 mm | |
Follow-on II | |
$230 mm | |
2013
Follow-on I
$220 mm
20.1
14.4
12.0
11.3
9.9
2021
Follow-on III
$230mm +
inaugural
bond for
$350 mm
31.1
2023
Follow-on
$148.8 mm
38.0
~50.0
'98 | '99 | '00 | '01 | '02 | '03 | '04 | '05 | '06 | '07 | '08 | '09 | '10 | '11 | '12 | '14 | '13 | '14 | '15 | '16 | '17 | '18 | '19 | '20 | '21 | '22 | '23 | '24 | '25 |
All currency denominated in US$, unless otherwise indicated. (1) Excludes GLA under construction. (2) Vesta's strategic growth plan that took place from 2014-2019. (3) Vesta's 2020- 2024 expansion and growth strategy.
Level 3 Strategy: 5-year strategic plan drives shareholder returns
Strategy based on five key pillars, supported by a strengthened organizational structure
Becoming a World-Class Fully Integrated Industrial Real Estate Company
I
Manage, maintain and deepen current portfolio
II
Invest and/or divest for ongoing value creation
III
Strengthen balance sheet and expand funding sources
IV
Strengthen
organization to
successfully execute
strategy
V
Become a category leader in
ESG, embedding our
sustainable and resilient
practices throughout Vesta´s
business model
2024 Performance Targets
Pre-tax FFO per Share
+US$0.20
NAV per Share
+US$3.0
Vesta's Accelerated Growth Plan: ~48.5 mm sf by 2025
Vesta Accelerated Growth Plan (2023-2025)
(2023- 2025 mm sf of GLA)
Current | (+) Under | (+) Growth | ||||
Portfolio | Construction | Plan(1) | 2025 |
3.1 8.4
37.3 | 48.7 | |
Vesta's Growth Share by Region
Northwest
7.4%Northeast
Current | (+) Under | (+) Growth | |||||||||||||||||||||||||
Portfolio | Construction | Plan(1) | 2025 | ||||||||||||||||||||||||
+1.1 mm sf
32.1%
+3.6 mm sf
Bajio South |
0.6 | 1.6 | |
10.7 | 12.9 |
Bajio North | Central |
21.2% | |
19.4% | |
+2.2 mm sf | +2.2 mm sf |
Northeast | 0.7 | 2.9 | |
5.5 | 9.1 | ||
Bajio North | 0.6 | 1.6 |
7.3 | 9.5 |
Bajio South
19.9%
+2.2 mm sf
+11.3 mm sf GLA by 2025
Central |
1.21.0
7.3 | 9.5 |
0.0
1.1
6.6 | 7.7 |
Source: Vesta. Note: (1) Does not include US$102 mm of Capex from current projects. (2) 2023 Capex includes US$102 mm of Capex from current projects.
Solid pipeline of well-defined projects to invest ~US$829 mm
Pipeline
Region | Vesta Park | Number of | GLA | Capex | Yield on |
buildings | mm SF | US$ mm | Cost | ||
Estimated Value Creation
(US$ mm)
Value Creation
Apodaca (Monterrey) | 4 | 1.6 | 75 | 10.5% | |
Northeast | |||||
Juarez Oriente | 3 | 0.8 | 44 | 10.7% | |
316
Ratio
Guadalajara Phase 2 | 1 | 0.7 | 12 | 10.3% | |
Bajio North | San Luis Potosi | 4 | 0.8 | 35 | 9.9% |
Aguascalientes | 1 | 0.2 | 10 | 10.7% | |
Queretaro | 5 | 1.5 | 54 | 10.5% | |
Bajio South | San Miguel de Allende | 4 | 0.5 | 23 | 10.5% |
Puerto Interior (Silao) | 1 | 0.2 | 9 | 10.5% | |
Central | Mexico City Parks | 5 | 2.0 | 164 | 9.4% |
Other projects | 14 | 3.6 | 285 | 9.3% | |
Total Growth Program | 42 | 11.8 | 711(1) | 10.1% | |
1.4x |
(2)
886
Total Capex Value Creation
Incremental stabilized NOI: US$83 mm
Source: Vesta. Note: (1) Does not include US$102 mm of Capex from current projects. (2) Includes already deployed Capex.
Attachments
- Original Link
- Original Document
- Permalink
Disclaimer
Vesta Real Estate Corporation SAB de CV published this content on 20 March 2024 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 20 March 2024 16:49:08 UTC.