The First Real Estate Investment Trust Specialized in Business
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FibraHotel (“FibraHotel”), the first real estate investment trust specialized in business-class hotels in Mexico, announces its financial results and distribution corresponding to the third quarter of 2015. Mexico City, October 21st, 2015 --- FibraHotel (BMV: FIHO 12), the first real estate investment trust specialized in business-class hotels in Mexico, announces its results and distribution corresponding to the third quarter of 2015. Except where noted, all figures included herein were prepared in accordance with IFRS and are stated in nominal Mexican pesos. 3rd Quarter 2015 Highlights • FibraHotel ended the third quarter of 2015 with 72 hotels and 9,887 rooms, including 59 hotels in operation (8,077 rooms) and 13 hotels in different stages of development (1,810 rooms). Including the agreement with GICSA, FibraHotel should have approximately 78 hotels (10,767 rooms) including 19 hotels in different stages of development (2,690 rooms). • During the quarter, FibraHotel added 300 rooms in operation with the opening of two hotels, the One Perisur and Fiesta Inn Lofts Ciudad del Carmen hotels, and the expansion of the Fairfield Inn & Suites Saltillo hotel. FibraHotel also announced the development of a select-service hotel in Veracruz, adding 165 rooms in development. Finally, during the quarter FibraHotel announced an agreement with Grupo GICSA to develop six business- class hotels within its premium mixed-use projects with approximately 880 rooms over the next few years. • On a comparable property basis of 47 hotels1, the average daily rate (“ADR”) was Ps. $917, representing an increase of 3.6% versus the third quarter of 2014, the occupancy rate was 66.2%, representing an increase of 209bp versus the third quarter of 2014 and the revenue per available room (“RevPAR”) was Ps. $607, representing an increase of 7.0% versus the third quarter of 2014. • For the Total FibraHotel Portfolio of 59 properties, the average daily rate was Ps. $914, the occupancy rate was 64.3%, and the revenue per available room was Ps. $588. During the third quarter of 2014, RevPAR of the Total FibraHotel Portfolio of 49 properties was Ps. $548. • Total revenues for the quarter were Ps. $504 million. • Lodging contribution2 for the quarter was Ps. $169 million. • Adjusted funds from operations (“AFFO”)3 for the quarter were Ps. $106 million. 1 Includes 43 stabilized properties as of the December 31st, 2014 plus the Fiesta Inn Cuernavaca, One Guadalajara Tapatío, Real Inn Morelia and Fairfield Inn Los Cabos hotels. 2 Lodging contribution equals total revenues (room rental, food and beverage, leasing and other) minus costs and general expenses directly related to the hotel operation, excluding real estate expenses and FibraHotel’s administration expenses. Lodging contribution is not an IFRS figure. http://www.fibrahotel.com 1 @FibraHotel • FibraHotel will pay a distribution of Ps. $106 million, equivalent to 21.53 cents (Ps. $0.2153) per CBFI4. • As of September 30th 2015, FibraHotel had a net cash position of Ps. $675 million, or Ps. $849 million including the reimbursement of VAT and no debt. • As of September 30th 2015, total owner’s equity of Ps. $9,648 million. Additional portfolio information: • We are adding four rooms to the Live Aqua Monterrey hotel in the Trebol project thanks to architectural and construction improvements. The hotel will have 74 luxury rooms and there is no change in the budget. • The Fairfield Inn & Suites Saltillo hotel expansion finished, adding 36 limited-service rooms operated by Marriott International. • In line with our open architecture strategy, we are in the process of changing the operator and brand of the Cacao Playa del Carmen hotel. We will convert the hotel to the Lat 20 by Live Aqua brand to be operated by Grupo Posadas. The change was done in order maximize the potential cash flows of the property driven by the commercialization of the hotel under the Live Aqua brand together with the Live Aqua Cancun hotel nearby. • The Fiesta Inn Aguascalientes hotel renovation finished with an investment of Ps. 12 million. The public areas were converted to the Fiesta Inn 360 concept and the rooms had a change in flooring and finishes. “During the third quarter of 2015 we continued seeing a dynamic operating environment in our stabilized properties with a RevPAR increase of 7.0% (3.6% ADR and 209 bps in occupancy). We also saw an increase in the operating margin of the portfolio as we continue focusing on efficiencies and costs. The quarter was very active for our development portfolio, with over Ps. 750 million invested during the quarter as we made important progress by opening 600 rooms in three hotels (One Perisur, Fiesta Inn Lofts Ciudad del Carmen and the Fairfield Inn & Suites expansion), as well as substantially finishing the construction of an additional three hotels (Courtyard Ciudad del Carmen, Fairfield Inn & Suites Villahermosa and Fairfield Inn & Suites Juriquilla). Additionally, during the quarter we added over 1,000 rooms to the development portfolio with the GICSA and the Veracruz announcements. Finally, we announce a quarterly distribution of 21.53 cents per CBFI notwithstanding the fact that we continue to have an important part of the balance sheet in development properties and cash”, said Simón Galante, CEO FibraHotel. 3 Adjusted funds from operation is defined as net income plus depreciation plus non-operating adjustments less maintenance Capex reserve of the period. AFFO is not an IFRS figure. 4 Calculated based on the number of outstanding CBFIs as of September 30th, 2015, excluding the CBFIs issued that are not entitled to receive distributions until such properties are in operation. http://www.fibrahotel.com 2 @FibraHotel Invitation to FibraHotel´s third Investor Day at 9:00am in New York on December 3rd, 2015 Confirm your assistance to [email protected] or in http://www.mustik.com.mx/fibrahotel/investor/index.php FibraHotel´s portfolio as of October 21st, 2015 FibraHotel s portafolio Currently In operation Curr. (incl. GICSA) FibraHotel s portafolio (cont d) Hotel # cuartos 72 hotels 59 hotels 78 hotels Hotel # cuart. 1 Fiesta Inn Culiacán 142 9,887 rooms 8,077 rooms 10,767 rooms 34 Fiesta Inn Puebla Finsa 123 2 Fiesta Inn Durango 138 35 Fiesta Inn Oaxaca 145 36 One Puebla Finsa 126 3 One Monterrey 126 1 4 One Acapulco 126 In 26 states 37 Real Inn Guadalajara 197 5 One Toluca 126 38 Fiesta Inn Tlalnepantla 131 6 One Coatzacoalcos 126 27 40 39 Fiesta Inn Toluca Tollocan 144 7 Fiesta Inn Tepic 139 40 Real Inn Mexicali 158 59 41 Fiesta Inn Lofts Monclova 37 8 One Aguascalientes 126 9 Fiesta Inn Hermosillo 155 42 One Monclova 66 26 43 FA Grand Monterrey 180 10 One Culiacán 119 44 Aqua Monterrey 74 11 Fiesta Inn Ecatepec 143 18 3 22 43 44 45 Courtyard Vallejo 121 12 Fiesta Inn Perinorte 123 9 46 Fairfield Inn Vallejo 125 13 Fiesta Inn Nuevo Laredo 120 65 47 Fiesta Americana Ags 192 14 Fiesta Inn Naucalpan 119 51 56 48 Fiesta Inn Xalapa 119 15 Fiesta Inn Cuautitlán 128 41 42 29 13 49 One Xalapa 126 16 Fiesta Inn Perisur 212 67 60 50 Fairfield Inn Villahermosa 134 17 Camino Real Puebla 153 2 71 30 24 1 51 Fiesta Inn Cd. Obregon 141 18 Fiesta Inn Chihuahua 152 23 52 62 10 52 Fiesta Inn Lofts Querétaro 50 19 Fiesta Inn Guadalajara 158 57 20 38 70 53 Gamma León 163 20 One Querétaro 126 47 54 Courtyard Cd. Del Carmen 133 21 Fiesta Inn Aguascalientes 125 7 58 36 8 21 34 55 Fiesta Inn Lofts Cd. Del Carmen 120 22 Fiesta Inn Monterrey 161 17 2853 32 56 Gamma Valle Grande 135 23 Fiesta Inn Querétaro 175 15 66 57 Fairfield Inn Los Cabos 128 24 Fiesta Inn Saltillo 149 12 58 Fiesta Inn San Luis Potosi Oriente 140 25 One Patriotismo 132 31 48 49 54 55 64 33 68 72 50 59 Gamma Tijuana 140 26 Fiesta Inn Cd. Juárez 166 14 38 11 69 6 46 60 Fairfield Inn Saltillo 139 27 Fiesta Inn Mexicali 150 45 19 4 35 61 AC Torre Americas Guadalajara 188 28 Fiesta Inn León 160 25 37 62 AC Antea Querétaro 175 29 Fiesta Inn Monclova 121 61 63 One Perisur 144 30 Fiesta Inn Torreón 146 39 5 64 Courtyard Toreo 130 31 Real Inn Morelia 155 65 Sheraton Ambassador Monterrey 229 32 Camino Real Suites Puebla 121 16 63 66 Cacao Playa del Carmen 60 33 One Tapatío 126 67 Fiesta Inn Los Mochis 125 Sub-total 4,644 68 Fiesta Inn Cuernavaca 155 Mexico City 69 One Cuernavaca 125 70 Fairfield Inn & Suites Juriquilla 134 71 One Durango 126 72 Select service Veracruz 165 Note: Green highlight represents properties under development Sub-total 5,243 (1) Including Mexico D.F. http://www.fibrahotel.com 3 @FibraHotel Development portfolio: As of September 30th, 2015, FibraHotel had 13 hotels in different stages of development, plus other projects yet to be announced (including the GICSA transaction): Expected Number of Investment by FibraHotel (Ps. $ millions) termination rooms under Spent as of Sep Hotel State Total Remaining date construction 30 2015 1 Courtyard Ciudad del Carmen Campeche Oct 2015 133 140.0 132.6 7.4 2 Fairfield Inn & Suites Villahermosa Tabasco Oct 2015 134 110.0 98.6 11.4 3 Fairfield Inn & Suites Juriquilla Queretaro Oct 2015 134 110.0 108.5 1.5 4 One Durango Durango Dic 2015 126 72.5 30.6 41.9 5 Fiesta Americana Grand Monterrey Nuevo Leon 180 Dic 2015 710.0 535.2 174.8 6 Live Aqua Monterrey Nuevo Leon 74 7 AC Torre Americas 1500 Guadalajara Jalisco Dic 2015 188 246.0 211.9 34.1 8 AC Antea Queretaro Queretaro Dic 2015 175 212.0 145.9 66.1 9 Fiesta Inn Los Mochis Sinaloa S1 2016 125 112.5 24.2 88.3 10 Courtyard Vallejo Mexico 121 2016 230.0 98.7 131.3 11 Fairfield Inn & Suites Vallejo Mexico 125 12 Courtyard Toreo DF 2016 130 45.5 0.9 44.6 13 Veracruz select service Veracruz 2016 165 188.3 33.2 155.1 GICSA and other projects Various 2016-2017 TBD TBD 322.0 TBD Total 1,810 2,176.8 1,742.4 756.5 Note: For Toreo we only include the cash to be paid.