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Fibra Uno Enters into Historic $1.1 billion Sustainability Linked Revolving Credit Agreement

July 24, 2019
New York - Paul Hastings LLP, a leading global law firm, represented Santander, as Administrative Agent and a Lead Arranger, BBVA Bancomer, as Sustainability Agent and a Lead Arranger, and nine other international banks in connection with an approximately $1.1 billion Sustainability Linked Revolving Credit Agreement entered into by Fibra Uno. The loan is the first ever in Latin America to be arranged in accordance with the “Sustainability-Linked Loan Principles.” Fibra Uno is the largest real estate company in Latin America. The Sustainability-Linked Loan, a new credit structure internationally, and one that has never been used before in Latin America, generally incentivizes the borrower to meet specified environmental sustainability targets in order to qualify for reduced interest rates.

Paul Hastings attorneys were also involved in Fibra Uno’s 2015 $850 million revolving credit facility and have been involved in all of Fibra Uno’s international debt and equity offerings, including representing the initial purchasers in Fibra Uno’s historic IPO in 2011, its initial follow-on offering in 2012, subsequent follow-on offerings in 2013, 2014 and 2017 and international debt offerings in 2014, 2015, 2016 and 2019. After its IPO, Fibra Uno became the very first Real Estate Investment Trust (REIT) in Latin America and the first Mexican REIT to be utilized in the wake of a comprehensive legal overhaul in Mexico that created the “FIBRA,” a new Mexican investment vehicle, which bears many similarities to the U.S. REIT.

Paul Hastings attorneys, using their strong real estate and Latin American franchises, have worked on almost all of the international FIBRA transactions concluded to date.

Latin America practice partners Mike Fitzgerald and Arturo Carrillo led the Paul Hastings team, which included partner Steven Sandretto, associate Eduardo Gonzalez, and foreign associate Lucia Guardone.
 

At Paul Hastings, our purpose is clear — to help our clients and people navigate new paths to growth. With a strong presence throughout Asia, Europe, Latin America, and the U.S., Paul Hastings is recognized as one of the world’s most innovative global law firms.