RE Specialists Plan Tourism CCD

Hospitality Equity Partners is preparing a certificado de capital de desarrollo (CCD) transaction for Mexico’s domestic market, according to regulatory filings. The 10-year deal of a to be determined size will create a fund investing in tourism real estate assets, both operational and in development, throughout Mexico. The return structure is similar to other CCDs, with investors receiving their initial investment plus a 10% preferred return, with further profits divided 80% to the investors and 20% to the managers. Santander is managing the transaction. Hospitality Equity Partners is an entity formed by Mexican real estate investment shop Real Capital Investment Management and Mexican Tourism advisory specialist Leisure Partners. The timing of the transaction is unclear.