Fibra Inn Announces the Status of its Developments

MONTERREY, Mexico--()--Deutsche Bank Mexico, S.A., Banking institution, Trust Division 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 today the general status of each of its hotel development projects.

1. Courtyard by Marriott in Saltillo, Coahuila - On January 14, 2014, the Company announced a budgeted investment for the construction of this hotel of Ps. 176.5 million, plus Ps. 10.7 million for the land property. This property will have 180 rooms, and will operate under the select service segment. This hotel obtained a construction permit since December 2, 2014. Construction work is currently underway and is at 34% completion, in accordance with the current development plan. To date, Ps. 59.3 million has been invested in the executive project, the model showroom, construction work, installations and the franchise payment to Marriott International. The estimated opening date is November 1, 2015.

2. Holiday Inn Tampico Altamira - On March 31, 2014, the Company announced the acquisition of Holiday Inn Tampico Altamira hotel, located in Tamaulipas at a price of Ps. 102.5 million as well as the expansion of 105 rooms for which Ps. 82.6 million has been allocated. To date, Ps. 41.8 million has been invested, and the additional rooms are expected to generate revenues beginning June 1, 2015. Furthermore, an adjacent 3,823 m2 land lot was acquired for Ps. 10.5 million, which will be utilized in a future project.

3. Fairfield Inn & Suites by Marriott in Ciudad del Carmen, Campeche - On April 3, 2014, the Company announced an investment of Ps. 179.2 million for the development of this property. Specifically, Ps. 20.9 million will go towards land and Ps. 158.3 million will be destined for the construction. The property will operate 180 rooms under the limited service segment. To date, Ps. 22 million has been invested for the land acquisition and the franchise payment. Fibra Inn has decided to temporarily suspend this project, as this location has been affected by government budgetary cuts driven by the current oil industry environment. Market conditions evolved during the period when work permits were being processed and the executive project was planned. Fibra Inn may re-initiate the project if conditions change. For the time being, Fibra Inn will not sell the land and the economic conditions of the location will be reviewed within a reasonable time-frame.

4. Fairfield Inn & Suites by Marriott in Coatzacoalcos, Veracruz - On April 4, 2014, the Company announced a Ps. 162.8 million investment for the development of this property. That is, Ps. 25.4 million will go towards land and Ps. 137.4 million will be destined for construction. The hotel will have 180 rooms, operating under the limited service segment. Fibra Inn obtained construction permits on October 8, 2014 and obtained the environmental impact report on February 4, 2015. Fibra Inn invested Ps. 51.4 million for the land purchase, preliminary design, executive project, prepayments for works related to land excavations, civil works, installations, interior design, development of the model room and franchise payment to Marriott International. This location is driven by the petrochemical and oil derivatives processing industries. The expected date to conclude construction and begin operations of the hotel is December 2015.

Fibra Inn continues to move forward in the negotiation of acquisitions and developments in various regions of Mexico, mainly in the central and northern regions.

Including the temporary project suspension corresponding to the Fairfield Inn & Suites by Marriott in Ciudad del Carmen, Fibra Inn has a portfolio of 31 hotels under operation plus two developments, for a total of 5,538 rooms; of which 465 are currently under construction.

About the Company

Fibra Inn is a Mexican trust formed primarily to acquire, develop, operate and rent a broad range of hotel properties in Mexico. Headquartered in Monterrey, Fibra Inn has a portfolio of high-quality real estate properties aimed at the business traveler and that are geographically diversified throughout Mexican territory. The Company has signed Franchise Agreements with IHG to operate its global brands, including: Holiday Inn, Holiday Inn Express, Holiday Inn & Suites, Holiday Inn Express & Suites and Crowne Plaza; with Wyndham Hotel Group to operate its global brands Wyndham Garden and Microtel Inn & Suites by Wyndham. Additionally, it has licensing agreements and brand usage agreements with Hilton to operate its brand Hampton Inn by Hilton and with Starwood Hotels & Resorts Worldwide to operate the Aloft brand. The Company has properties that operate with domestic brands like Camino Real and Casa Grande. Additionally, Fibra Inn has agreements with IHG, Marriott International, Wyndham Hotel Group and Hoteles City Express for development of properties. These hotels enjoy some of the industry’s top loyalty programs. Fibra Inn recently listed its Real Estate Certificates (Certificados Bursátiles Fiduciarios Inmobiliarios or “CBFIs”) on the Mexican Stock Exchange and trades under the ticker symbol “FINN13”.

For more information, please visit our new website: www.fibrainn.mx

Note on Forward-Looking Statements

This press release may contain forward-looking statements. These statements are statements that are not historical facts, and are based on management’s current view and estimates of future economic circumstances, industry conditions, Company performance and financial results. Also, certain reclassifications have been made to make figures comparable for the periods. The words “anticipates”, “believes”, “estimates”, “expects”, “plans” and similar expressions, as they relate to the Company, are intended to identify forward-looking statements. Statements regarding the declaration or payment of dividends, the implementation of principal operating and financing strategies and capital expenditure plans, the direction of future operations and the factors or trends affecting financial condition, liquidity or results of operations are examples of forward-looking statements. Such statements reflect the current views of management and are subject to a number of risks and uncertainties. There is no guarantee that the expected events, trends or results will actually occur. The statements are based on many assumptions and factors, including general economic and market conditions, industry conditions, and operating factors. Any changes in such assumptions or factors could cause actual results to differ materially from current expectations.

Contacts

In Monterrey, Mexico:
Fibra Inn
Lizette Chang, IRO, 52 1 (81)1778-5926
lchang@fibrainn.mx
or
In New York:
i-advize Corporate Communications, Inc.
Maria Barona / Melanie Carpenter, 212-406-3691/92
mbarona@i-advize.com / mcarpenter@i-advize.com

Contacts

In Monterrey, Mexico:
Fibra Inn
Lizette Chang, IRO, 52 1 (81)1778-5926
lchang@fibrainn.mx
or
In New York:
i-advize Corporate Communications, Inc.
Maria Barona / Melanie Carpenter, 212-406-3691/92
mbarona@i-advize.com / mcarpenter@i-advize.com