What is the expected timing for receiving the $65 million net proceeds from the Lima Sur sale?

Esteban stated that the first payment is expected in Q3 (September, potentially October) after regulatory approvals, with the bulk of the capital becoming available then. Deferred components are expected to be brought forward via financial measures. “We expect to get the first payment in, let's say, the third quarter. I would expect that to be in September before the end of the third quarter. And from that, we will have that capital available to then redeploy towards Mexico.”

Does the consolidation among real estate companies in Mexico create opportunities for LPA to acquire smaller properties as larger entities prune their portfolios?

Esteban confirmed this, citing recent consolidations and expecting these larger FIBRAs to trim their portfolios, making LPA an interested and capable buyer for those assets. “And we do expect those FIBRAs to trim their portfolio. That is welcome. It's a healthy part of the dynamic as they reassess their fully integrated holdings. And we expect some of those assets to come into play. And we do expect LPA to be an interested willing and able buyer in those situations.”

Will improved business-friendly administrations in Peru and Colombia shift LPA's capital deployment focus away from Mexico?

Esteban reiterated that Mexico remains the primary focus due to its market depth and scale. However, he acknowledged improved sentiment in foundational markets and the intent to raise local equity capital for those regions, while keeping the majority of the balance sheet tilted towards Mexico. “It's still primarily focused in Mexico just because of the depth, the scale of the market, the opportunities we're seeing, the possibilities in currency denomination... But having business-friendly administration does improve sentiment, does improve business activity.”

LPA

Logistic Properties of the Americas (LPA) Q2 FY26 earnings call: guidance and Q&A

Earnings call· Jun 2026 (Q2 FY26)· Real Estate· Aug 13, 2026

Source: earnings call transcript

Executive summary

Logistic Properties of the Americas Q2 FY26 — Strategic Divestment Fuels Mexico Expansion

Logistic Properties of the Americas delivered strong Q2 FY26 results, marked by significant revenue and NOI growth, driven by high occupancy and rising market rents. The strategic divestment of Lima Sur Park at a premium provides substantial capital for accelerated expansion into the larger Mexican market, while the company maintains commitment to its foundational markets. This capital recycling strategy aims to enhance value creation and diversify the portfolio.

Highlights

Revenue accelerated 26.1% year-over-year, with Peru up 50.4% and Colombia up 29.3%.
Net Operating Income (NOI) grew 27% year-over-year, and same-property NOI increased 14.5%.
Divestment of Lima Sur Park for $145 million, 18% above appraised value, with net proceeds of $65 million for Mexico expansion.
Operating GLA increased 9.7% year-over-year to 5.8 million sq ft, maintaining 100% occupancy across the regional logistics platform.
New developments at Parque Logistico Callao (440,000 sq ft GLA) are 92% pre-leased with 13% development yields.

Concerns

Colombian peso appreciation resulted in a positive accounting translation effect, with underlying revenue growth for Colombia at 11% versus 29.3% reported.
Operating expenses increased 27% to $2.6 million due to new facility operations, maintenance, and higher real estate taxes.
High interest rates in Colombia are currently hindering new development starts despite tenant demand.

Guidance & targets

Category	Target	Timeline	Confidence
Mexico portfolio composition	More than 50% of LPA's property portfolio high materiality	Within 2 to 3 years	High
Capital deployment cap rates (Mexico)	8% to 9% medium materiality	Ongoing	High
Annual NOI contribution (Parque Logistico Callao Building 200)	$1.3 million medium materiality	Q3 FY26	High
Annual NOI contribution (Parque Logistico Callao Building 400)	$1.6 million medium materiality	Q4 FY26	High
Organic momentum	Hold through the second half of the year medium materiality	H2 FY26	High
G&A expenses	Remain relatively flat low materiality	Going forward	Medium

Segment performance

Segment	Revenue	YoY	QoQ	Margin
Peru Primarily driven by PepsiCo's occupancy of new LEED Gold facility, rapid leasing of vacated space, and addition of a new tenant, all at significantly higher market rates. Rental revenue growth: 50.4% YoY	—	50.4%	—	—
Colombia Primarily due to higher rent for Coyol-Alajuela space re-leased to PriceSmart and contractual inflation adjustments. Appreciation of the Colombian peso resulted in a positive accounting translation effect. Rental revenue growth: 29.3% YoY (11% excluding Colombian peso appreciation)	—	29.3%	—	—
Costa Rica Driven by higher mark-to-market rental rates associated with re-leasing, tenant expansion, and lease renewal. Reflects a fully stabilized operation. Rental revenue growth: 5.6% YoY	—	5.6%	—	—

Orderbook & backlog

Development pipeline (Parque Logistico Callao) 440,000 sq ft GLA Q2 FY26

92% pre-leased

Expected to be completed and operational in Q3 and Q4 FY26, contributing $1.3M and $1.6M annual NOI respectively.

Investment volume under contract (Central Park 57) $200 million Q2 FY26

Programmatic purchase agreement over the next 12 to 18 months for stabilized Class A facilities in Greater Mexico City.

Deals & partnerships

FIBRA Prime Sale of Lima Sur Park $145 million

LPA retains an option to repurchase the Park 4 years after closing. Transaction is undergoing regulatory approvals.

FIBRA Prime Strategic alliance for Peruvian logistics market

Aims to further exploit Lima's underpenetrated logistics property market.

Portland Capital Programmatic purchase agreement for Central Park 57 facilities $200 million 12 to 18 months

Facilities located in a key logistics corridor of Greater Mexico City. Financing to come from local debt and equity partners.

Capital programs

Parque Logistico Callao Development (Buildings 200 & 400) nearing completion

Benefit:440,000 sq ft GLA; $1.3 million annual NOI (Building 200), $1.6 million annual NOI (Building 400)

Two facilities on budget and on schedule, 92% pre-leased, with development yields of approximately 13%.

Risks & headwinds

USMCA trade agreement uncertainty Ongoing

Affects northern industrial markets like Tijuana and Monterrey

Mitigation:Prioritizing off-market and proprietary acquisitions in domestically oriented markets, avoiding areas vulnerable to trade policy volatility.

High interest rates in Colombia Near-term

Hindering new development starts

Mitigation:Waiting for an easing of interest rates; balancing tenant demand with new market rents.

FX exposure in Colombia Ongoing

20% of portfolio in Colombian pesos, unhedged, leading to translation effects (e.g., 11% underlying revenue growth vs 29.3% reported)

Mitigation:Acknowledged; no specific hedging strategy mentioned, rather managed by portfolio design.

Valuation gap between share price and intrinsic asset value Ongoing

Intrinsic value net of capital gains tax stood at $8.62 per share at Q2 end

Mitigation:Increased investor outreach, participation at industry and investor conferences, enhanced digital presence, and new equity coverage.

What to watch in Q3 FY26

Lima Sur proceeds receipt

Q3 FY26

Current Under regulatory approval

Target First payment received

Why it matters

The receipt of these funds is critical for funding the planned expansion into Mexico.

We expect to get the first payment in, let's say, the third quarter. I would expect that to be in September before the end of the third quarter.

Find out whether LPA delivers this. Inve re-checks your case every morning.

Q&A highlights

Will the 10% average rent per square foot increase seen in Q2 continue into the second half of the year?

Esteban clarified that the rental rate, excluding FX, would likely stay at similar levels for the second half of the year, as fewer leases or re-leases are scheduled.

“For the second half of the year, we don't expect that as much trying to eliminate the FX component, because we don't have that many leases or re-leases going on in the back half of the year. So we should expect that to pretty much stay on similar levels.”

asked by Eric Goldstein · answered by Esteban Gaviria

2 min read 7 chapters

Detailed narrative

Strategic Capital Recycling and Mexico Expansion

LPA executed a major strategic divestment of its Lima Sur Park in Peru for $145 million, realizing an 18% premium over its appraised value. The net proceeds of approximately $65 million, after debt repayment and taxes, are earmarked for expansion in Mexico.

This move is part of a broader strategy to shift the portfolio's center of mass towards Mexico, with a goal for Mexico to represent over 50% of LPA's property portfolio within 2-3 years, leveraging the country's larger and more dynamic industrial real estate market.

Operational Performance and Market Dynamics

The company reported robust operational performance, maintaining 100% occupancy across its regional logistics platform. Revenue growth was strong at 26.1% YoY, with Peru and Colombia leading at 50.4% and 29.3% respectively. Same-property NOI grew 14.5%. Average rent per square foot increased 10% to $8.88, reflecting strong demand for Class A facilities and LPA's pricing power.

Development Pipeline and Yields

LPA is on schedule with two new facilities at Parque Logistico Callao in Peru, totaling 440,000 square feet of GLA, which are 92% pre-leased. Building 200 is expected to contribute $1.3 million in annual NOI starting Q3, and Building 400, $1.6 million starting Q4, both at attractive development yields of approximately 13%.

A fifth building is planned for the same park, with pre-leasing targeted for this year.

Mexico Growth Strategy and Nearshoring

The expansion in Mexico includes a programmatic purchase agreement for Central Park 57 Class A facilities, valued at $200 million over 12-18 months, focusing on stabilized assets. LPA aims to deploy capital at cap rates of 8-9%. The company emphasizes Mexico's role as a nearshoring destination, benefiting from supply chain reconfigurations and strong e-commerce trends, as well as the emerging demand from AI and data center infrastructure logistics.

Foundational Markets and Strategic Alliances

Despite the Mexico focus, LPA remains committed to its foundational markets of Peru, Colombia, and Costa Rica, where it is a market leader. The strategic alliance with FIBRA Prime in Peru, stemming from the Lima Sur divestment, allows LPA to manage and operate the park, generating fee income and exploring similar transactions.

The company also notes improved business sentiment in Peru and Colombia following recent elections.

Financial Management and G&A

General and administrative expenses decreased 8.7% to $4.2 million, and management expects G&A to remain relatively flat, leading to significant operating leverage as the platform scales, particularly in Mexico. The bulk of LPA's debt is property-level and does not mature significantly until 2031, providing financial stability. A $600,000 FX loss related to USD-denominated debt in Peru and Costa Rica was noted.

Investor Relations and Valuation

LPA is increasing investor outreach and participation in conferences, and has secured new equity coverage from BTG Pactual, Water Tower, and Sidoti, aiming to close the valuation gap between its share price and intrinsic asset value ($8.62 per share at Q2 end). Management views the Lima Sur sale premium as evidence of the underlying value of its assets and operating platform.

Summary of the company's earnings call; see how call summaries are prepared. Not investment advice.