Mexican housing developer bags $75 million credit line from development bank

MEXICO CITY (Reuters) – Mexican housing developer Inmobiliaria Ruba has snagged 1.5 billion Mexican pesos ($75.3 million) in credit score from the Inter-American Growth Financial institution (IDB) to fund inexpensive and middle-class housing, the corporate stated Thursday.

The funding, from the IDB’s personal funding arm, consists of 500 million pesos for Ruba to pay suppliers, and a seven-year, 1 billion peso revolving credit score line, Ruba stated in a submitting to Mexico’s most important inventory change.

The revolving credit score line will probably be break up into 500 million pesos in secured credit score and 500 million pesos in unsecured credit score, Ruba stated. The settlement was reached on Aug. 2, the corporate stated.

Ruba, certainly one of Mexico’s largest builders, has constructed greater than 225,000 houses in its 40-plus years in operation, based on the corporate.

A current examine by a professor at Massachusetts Institute of Expertise argued that Mexico should construct 800,000 housing models a yr within the coming 20 years to maintain up with demand.

($1 = 19.9234 Mexican pesos)

(Reporting by Kylie Madry; Enhancing by David Holmes)