Mexican REITs Navigate Sanctions Storm: Credit Risks and Liquidity Challenges Ahead

The U.S. Treasury's recent sanctions on CIBanco S.A., Mexico's seventh-largest bank, have sent shockwaves through the country's financial sector—and its real estate trusts. As Terrafina and Fibra Inn scramble to replace their sanctioned trustee, investors must assess whether these moves mask deeper vulnerabilities in Latin America's REIT sector. The stakes are high: the sanctions, targeting money laundering tied to fentanyl trafficking, could disrupt liquidity pipelines and expose credit weaknesses in an already fragile market.