MRV makes a second IPO in 2018, now with the distribution company – Economy

São Paulo – One day after the confirmation of the election of Jair Bolsonaro (PSL), Log Commercial Properties confirmed by a relevant fact his intention to place the company on the capital market. Today we publish the B3 IPO, the São Paulo Stock Exchange. This will be the second capital opening of a business of the Menin family during the year. LOG Commercial Properties, a company of the MRV Engenharia group founded by Rubens Menin 10 years ago, is active in the field of construction, construction and leasing of commercial areas.

Its activities are spread over 28 cities in nine states. Menin plans to expand the operation to four other states by 2023.

For the businessman, the election of Bolsonaro and the guidelines set by its economic team, led by Paulo Guedes, guarantee security. that the timing of the IPO is correct. Menin believes that the indicators for 2018 are already very positive for this market, both in terms of demand and vacancy rates.

Specialized in logistics hangars in the segment called "triple A" (high standard), the company now holds half of its leases in electronic commerce. Sérgio Fischer, CEO of the company, explains that in this sector of retail, which shows high growth rates, it is increasingly important that companies have their distribution centers close to major consumer markets. For this reason, this business should continue to post good growth rates, said the executive.

The company will complete 2018 with 150,000 square meters of new leases. The demand for these spaces, explains the executives, is so strong that the warehouses of Fortaleza and Goiania, for example, delivered five years ago, have presented a maximum occupation to date.

"São Paulo and Rio de Janeiro are well-stocked, but the reality in Brazil is very different today, with the growth of the economy, it will take between 1 and 2 million square meters per year, "said Menin.

According to Fischer, Brazil currently has about 13 million square meters of hangars – 80% of this area is concentrated in Rio de Janeiro and São Paulo. "To get an idea of ​​the supply shortage, Mexico now has about 60 million square meters.

One of the distinguishing features of LOG Commercial Properties is its performance right from the stadium greenfields, taking advantage of the group's know-how in the field of civil construction

As it only offers high-level hangars, it is distinguished only by projects already developed in characteristics of this type of construction, such as footings, ventilation, lighting and floor coverings suitable for this type of use.Another characteristic of the company's warehouses is that they all belong to LOG – there is no partnership with outside investors.

"Less than 10% of the warehouses in Brazil are of quality. Pay less rent for these spaces, but as the features of the projects are insufficient, it is necessary to rent a larger area. According to Menin, the Brazilian market has this particularity because for a long time, with the cost of money very high in the country, these projects were not very attractive because by resources is great. "Since it is a capital-intensive enterprise and the cost of capital was prohibitive, it was unattractive," he says.