CBRE Selected to Exclusively Market the LaSalle One Portfolio

Los Angeles, March 5, 2014 CBRE has been exclusively retained to market the LaSalle ONE Portfolio, consisting of 34 industrial buildings and one office building located throughout central and northern Mexico in Chihuahua, Guadalajara, Juarez, Matamoros, Monterrey, Reynosa, Saltillo and Torreon.
 
The 2.8 million-square-foot Portfolio represents a critical mass of geographically diverse, institutional assets located in key logistics and manufacturing markets that boast strong economic and leasing fundamentals. The Portfolio consists of primarily single-tenant properties, which are ideally suited for Mexico’s industrial users and their respective markets with an average suite size of roughly 65,000 square feet. Additionally, 70% of the vacancies are concentrated in northern Mexico, which is tied to the Maquiladora program that continues to produce significant tenant demand from trade associated with NAFTA.
 
The Portfolio is currently 70% leased to 24 tenants with an average remaining lease term of 3.9 years. A balanced rollover schedule also mitigates leasing risk as no more than 13% of the Portfolio’s leases expire in a given year. Additionally, the Portfolio’s existing vacancy provides immediate upside potential in addition to organic rent growth via contractual rent bumps provided by the majority (67%) of in-place tenants. As such, the annual net operating income is projected to grow 48% over the course of an investor’s 10-year hold period.
 
Jack Fraker and Josh McArtor of CBRE’s Dallas, Texas, office are marketing the LaSalle ONE Portfolio in conjunction with Ernesto Rodriguez and Santiago Mijares of CBRE’s Mexico City, Mexico, office, in addition to a host of local market professionals and Val Achtemeier, of CBRE’s Debt & Structured Finance group.
 
About CBRE Group, Inc.
CBRE Group, Inc. (NYSE:CBG), a Fortune 500 and S&P 500 company headquartered in Los Angeles, is the world’s largest commercial real estate services and investment firm (in terms of 2013 revenue).  The Company has approximately 44,000 employees (excluding affiliates), and serves real estate owners, investors and occupiers through approximately 350 offices (excluding affiliates) worldwide. CBRE offers strategic advice and execution for property sales and leasing; corporate services; property, facilities and project management; mortgage banking; appraisal and valuation; development services; investment management; and research and consulting. Please visit our website at www.cbre.com.