VESTA discusses proposed tax reforms for 2014
Mexico City, Mexico, September 17, 2013.—Corporacion Inmobiliaria Vesta, S.A. B. de C. V. (“VESTA”) (BMV: Vesta), one of the leading pure play industrial real estate developers in Mexico, announced today that last Sunday, September 8th, 2013, President Peña Nieto presented the Mexican Congress with a proposal for fiscal reform.
As agreed in the Pact for Mexico, an arrangement among the different political parties in Mexico, the recent proposal presented to Congress aims to boost tax revenues and simplify the tax code with the goal of improving the competitiveness of the Mexican economy and to benefit its inhabitants.
The proposal contains several items that eliminate the fiscal benefits for SIBRAS (Sociedades de Inversión en Bienes Raíces), which the Company currently uses.
The fundamental strategy of Vesta, whose goal is to grow through the development of Industrial Real Estate is not affected in any significant way by this change, and thus it has no real impact in the business potential of the company.
To date, Vesta has taken advantage of the fiscal benefits of SIBRAS, only through the annual payment of the income tax as opposed to provisional monthly payments as required under certain circumstances. The benefit that this regime offers for the acquisition of properties has not been a key part of our strategy.
The legislation process is only starting, and could entail several changes through the approval process. Thus, Vesta is fully committed to inform the financial community of any relevant information.
Vesta is a real estate owner, developer and asset administrator of industrial buildings and distribution centers in Mexico. As of June 30, 2013, Vesta owned 96 properties located in modern industrial parks in 11 states of Mexico totaling a GLA of 12 million square feet (1.12 million square meters). The Company has 84 multinational clients, which are focused in industries such as aerospace, automotive, food and beverage, logistics, medical devices, and plastics, among others. For additional information visit: www.vesta.com.mx.
Tel: 52-55 5950-0070 x 133
In New York:
Lucia Domville, Grayling
Tel: +1 646-284-9416
Released September 17, 2013