Commercial Developer Unveils Fibra

Mexican developer Grupo Danhos is preparing a Fibra real estate fund focused on commercial property, according to regulatory documents. The size and timing have yet to be determined, though an IPO filing now likely targets the September-October pricing window. The transaction plans both Mexican and international tranches. The fund begins with four shopping centers, four office buildings and three mixed-use properties, all in Mexico City, and is seeking funds to expand them and to add to the portfolio. BBVA and Goldman Sachs are global coordinators on the transaction, with Evercore as structurer and domestic bookrunner. It would be the market’s seventh Fibra, and follow the $437m-equivalent IPO of Tuesday of Fibra Shop, another shopping center-focused Fibra. Fibra Shop’s pricing at the bottom of the range has some observers asking if the buyside is in danger of tiring of the new asset class. “At some point, we still don’t know when, the market will say too much,” says an ECM banker, likening the Fibras to the wave of Brazilian homebuilders that held IPOs in 2006-2007.