Fibra Terrafina, an industrial real estate investment trust, will invest 43.5 million dollars to develop two projects dedicated to serving activities related to electronic commerce, in the city of Tijuana, Baja California.

One of the projects is the signing of a lease with a participating client in the e-commerce segment to develop a 354,000 square foot build-to-suit building.

The second project announced is the signing of a letter of intent with a packaging company to develop an additional 200,000 square feet of floor space.

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Terrafina said in a statement that the projects will be completed in the third quarter of this year and estimates that they will generate about $ 4.1 million in net operating income (ION) per year.

 "We are very happy with the fact of closing this strategic development in Tijuana, starting a new phase of growth through new developments in strategic markets," said Alberto Chretin, CEO of Terrafina through the statement.

Fibra Terrafina informed the market that in order to finance the two projects, it will execute a series of changes in its growth plan for the next three years.

One of them is the decrease in their distributions to 70% from the current 85%, which will begin to take effect from the second quarter of this year.

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With this adjustment, it will be able to "ensure funding for new developments and maintain a stable debt profile, also considering some asset sales in line with the strategy of increasing its presence in the main markets," the trust stated.

He added that for the next three years he plans to invest between 150 and 200 million dollars to develop up to 3.2 million square feet in projects for e-commerce, logistics and nearshoring.

According to Solili, Tijuana registered at the end of May 2021 a gross demand of 44 thousand square meters. The automotive, manufacturing and retail sectors are the most active in industrial demand.

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