Weekly Roundup | 8.22.2023
Top headlines and news impacting Latin America and Africa commercial real estate.
📰 American Bain Capital Acquires Brazilian Steakhouse Chain
Fogo de Chao is a restaurant brand, originated in Brazil, which is presently owned by another private equity firm, Rhone Capital. Rhone paid $560 million to take the chain private in 2018. Bain’s purchase values the company at $1.1 billion today. Founded in 1979, the “churrasco” has 76 locations worldwide and is in its third year of 15% annual growth. It has restaurants in Brazil (8), Ecuador (1), Puerto Rico (1), Mexico (6), America (58), UAE (1) and Saudi Arabia (1).
📰 Emerging Market Investing Sentiment Turns Negative
Emerging market bonds and equities are set for the worst month in years and currency swings have wiped out most 2022 gains. High US Treasury yields on “risk-free” options have been a factor.
📰 Argentinean Libertarian “Savior” Makes His International Debut
📰 First Interoceanic Railway Car in Veracruz Unveiled
The corridor will have the capacity to transport 1.4 million containers annually from port to port in less than 6 hours. AMLO said it will be operational before his administration ends on Sept. 30, 2024, although he did not set a date. A supervised test run will be carried out on Sept. 1.
📰 Africa Data Center “Boom” Continues
The Africa data center market was valued at $2 billion in 2020, and is anticipated to reach $5 billion by 2026. This is one of the few real estate sectors receiving significant capital inflows on the Continent.
📰 Nigeria’s Zylus Homes Lists $13 Million Commercial Paper
The proceeds will be used to build affordable homes.
📰 Mi Vida in Kenya Presells 200 Apartments in $7 Million (Est.) Deal
The unnamed institutional investor purchased the affordable housing units for an estimated Sh1 billion. The development is at the groundbreaking stage and has an additional 400 units for sale or already presold.
📰 Emira Property Fund Launces (Another) Takeover Bid for Transcend
The South African property fund, Emira, is already a majority owner and the move is aimed at removing Transcend from the JSE. South Africa’s regulatory environment is onerous and the benefits of being public don’t outweigh the burdens according to Emira. The delisting was last attempted in 2022.
This week we interviewed Andrea Rodriquez Valdez, founder of one of the top Proptech conferences in Latin America. The next conference is in Bogota, Colombia on October 3-4.
During these ~10-minute interviews, we always ask the same three questions:
What is one thing people don't understand correctly about your industry that they should? Why does it matter? [Industry question]
Describe a skill or trait that has aided you throughout your career. How did you discover and foster it, and how has it helped you? [Career question]
How do you stay consistently motivated and hungry to improve yourself and your business? [Philosophy question]
