Fibra Inn Acquires the 219-room Crowne Plaza Monterrey Airport Hotel in Mexico

Fibra Inn Acquires the 219-room Crowne Plaza Monterrey Airport Hotel in Mexico

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. September 09, 2014

Monterrey, Mexico - September 9, 2014 - Deutsche Bank Mexico, S.A., Institución de Banca Múltiple, División Fiduciaria F/1616 o Fibra Inn (BMV:FINN13) ("Fibra Inn" or "the Company"), a Mexican real estate investment trust specializing in the hotel industry serving the business traveler, today announced the signature of an agreement for the acquisition of Crowne Plaza Monterrey Airport Hotel located in the state of Nuevo Leon.

The amount of the acquisition was Ps. 351 million, plus Ps. 33.8 million, which will be used for taxes and acquisition-related expenses as well as the improvement of 28 rooms. Fibra Inn's internal bodies approved the acquisition of the property with a projected cap rate of 10.0%. The acquisition will be paid with funds from the bank credit.

The hotel has 219 rooms and operates in the Full Service segment. Fibra Inn will be in charge of the operation, which is expected to generate operating synergies with Holiday Inn Express & Suites Monterrey Airport Hotel. Annual operating indicators for 2013 show an occupancy rate of 64%, an average daily rate of Ps. 1,194 and RevPAR of Ps. 766.

With this acquisition, Fibra Inn fulfills the commitment made during its Initial Public Offering, as it currently owns a portfolio of 30 hotels under operation and three hotels under development, for a total of 33 properties.

The business rationale for the acquisition of the hotel by Fibra Inn is the following:

• Location: The property is strategically located, at just a three minute drive from the airport. It is surrounded by the city's main industrial parks, which generate an important demand.
• Leadership: The hotel has been the leader in terms of occupancy and rates among the hotels located in the airport area, a market with high segment and price competition.
• Synergies: Due to its location next to Holiday Inn Express & Suites Monterrey Airport Hotel, a property of Fibra Inn, synergies are expected that should reduce operating costs and improve revenue margins.
• Growth in Future Demand: The announcement of the KIA plant in the municipality of Pesqueria, will create important demand for rooms in the area.
• Property in excellent conditions: The hotel is less than five years old and is in perfect condition. Low cost improvement of 28 rooms is expected, given that the installations are ready for the project.

Note on Forward-Looking Statements

This press release may contain forward-looking statements. These 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.

About Fibra Inn

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 in 14 states throughout Mexico, with 30 hotels under operation and 3 more under development. The Company has signed Franchise Agreements with IHG to operate its global brands, including: Holiday Inn, Holiday Inn Express and Holiday Inn Express & Suites; 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. Additionally, Fibra Inn has agreements with IHG, Marriott International and Wyndham Hotel Group for development of properties. These hotels enjoy some of the industry's top loyalty programs and, offer attractive hotel options for business travelers. 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: www.fibrainn.mx