Plaza Logística of Argentina to expand operations with IDB financing

The Inter-American Development Bank (IDB) approved a $20 million loan to Plaza Logística SRL of Argentina to finance the construction of two logistics parks: one in Escobar and another one in Pilar, in the metropolitan area of Buenos Aires. This is the first non-sovereign guaranteed loan ever approved by the IDB to finance a logistics project in Latin America and the Caribbean.

The logistics parks of Tortugas and Pilar, located in the most populated region of the country and on an important Mercosur transportation route, will become collection centers for distribution of goods such as processed foods, beverages, cleaning products and other consumer goods. The IDB loan will pave the way for Plaza Logística to finance its investment plan with long-term financing that is currently offered on a very limited basis by the commercial banking market for this type of project.

The construction of the two new logistics parks will add 85,000 square meters of Class A warehouse facility for Plaza Logística. The loan will also help finance the expansion and revamping of the company’s Pacheco logistics park in Tigre. The project, approved by the IDB’s Structured and Corporate Finance Department, is expected to contribute to the creation of approximately 500 full-time jobs and 380 temporary jobs.

The companies that will contract Plaza Logística’s services, as well as their suppliers, will benefit from growing international trade, greater efficiency and reduced costs stemming from a better logistics service. Moreover, the project is expected to generate positive environmental outcomes, since the new parks will improve transportation efficiency, reducing carbon emissions.

About the IDB’s Structured and Corporate Finance Department

The Structured and Corporate Finance Department (SCF) leads all IDB non-sovereign guaranteed operations for large scale projects, companies and financial institutions in Latin America and the Caribbean. Through its loan syndication program, SCF plays a catalytic role, helping mobilize resources from third parties by partnering with commercial banks, institutional investors, co-guarantors, and other co-lenders for projects with high developmental impact.