For real estate investment trusts (REITs), the covid-19 pandemic has been a tale of two cities, of boom and bust, with the seismic changes in the world leading to strength in some sectors of commercial real estate and huge market dislocations and disruptions in others.
In general, companies with assets that service the digital economy – cell towers, logistics and industrial properties, and data centres – benefited from the pandemic’s acceleration of the digital economy. However, several traditional sectors continued to confront difficult issues involving liquidity, rent collection, dividend payouts, disclosure and guidance, as well as navigating the uncertain and sometimes shifting guidance from regulatory authorities regarding the timeline of reopening.
This global picture holds true in Mexico as well, where real estate M&A and real estate private equity (PE) investment operations have been uncertain for many of the parties involved.
In this sixth edition of the Law Review’s Real Estate M&A and Private Equity Review, Carlos Ibarra, Rodrigo De los Ríos and Alejandra Gutiérrez provide an updated overview of the market and recent transactions, offer a detailed picture of the legal frameworks and deal structures for such transactions, and also look forward to what the future might bring in the years to come.