Fibra Inn, a Mexican trust formed primarily to acquire, develop and lease a diverse range of hotel properties in Mexico, has completed the acquisition of the Holiday Inn Express Toluca Tollocan less than two months after FibraHotel acquired the Fiesta Inn Toluca Tolloacan, as confirmed by FibraHotel CFO to Funds Society.
According to a statement sent to the Mexican Stock Exchange, Fibra Inn paid 76 million pesos (US$5.9 million) in cash for the hotel, excluding taxes and acquisition costs. This is the third hotel property acquired with the proceeds of the initial public offering which took place on March 13, 2013 and is part of the initial acquisition portfolio which includes the Holiday Inn & Suites Guadalajara Centro Historico, Holiday Inn Express Guadalajara UAG, Holiday Inn Express Playa del Carmen, Holiday Inn Puebla -La Noria and Wyndham Casa Grande Monterrey Valle.
The Holiday Inn Express Toluca Tollocan began operating in April 1996 and has 127 rooms. Through its hotel manager, Fibra Inn will operate this hotel which in 2012 registered an occupancy rate of 31% at an average tariff of 785 pesos.
The trust also announced that it will carry out a capital expenditure plan of 5 million pesos in this hotel to:
- Comply with the current standards of the brand
- Refurbish some areas to improve its image and
- Complement the furniture in public areas and rooms
Joel Zorrilla, Fibra Inn’s director of Operations said that the purchase "will strengthen our presence in this area to meet the demand of Toluca’s industrial zone. Under our sales structure, we expect to improve its operational performance indicators and generate significant synergies between the two hotels we have in this city. "
Fibra Inn has 11 hotels and will have a high quality and geographically diverse portfolio comprised of 14 hotels and more than 2,400 rooms located in nine states.