Mexican Home Builder Geo, Prudential In New Real Estate JV
08 Julio 2009 - 5:05PM
Noticias Dow Jones
Mexican home builder Corporacion Geo SAB (GEO.MX) and a unit of
Prudential Financial Inc. (PRU) said Wednesday they will invest in
large housing projects under a 10-year joint venture.
In a filing with the Mexican Stock Exchange, the two firms said
the first project involves an initial investment of $110 million to
build 18,000 homes on 360 hectares in the northern city of
Tijuana.
Geo said it will build 80% of the homes, while land will be sold
to other builders for the construction of the remaining houses.
Under a separate joint venture agreement, Prudential Real Estate
Investors has invested 5.8 billion pesos ($426 million) over the
last six years to purchase land for 84 Geo projects.
Geo's B shares fell 0.6% Wednesday to close at MXN24.43.
-By Ken Parks, Dow Jones Newswires, 52-55-5001-5723,
ken.parks@dowjones.com