[Condensed Consolidated Interim Statements of Profit or Loss and Other Comprehensive Income (Loss)](index=3&type=section&id=CONDENSED%20CONSOLIDATED%20INTERIM%20STATEMENTS%20OF%20PROFIT%20OR%20LOSS%20AND%20OTHER%20COMPREHENSIVE%20INCOME%20%28LOSS%29) The company reported a significant turnaround from a net loss to a net profit, driven by increased revenues and reduced listing expenses, leading to improved comprehensive income [Profit or Loss and Other Comprehensive Income (Loss) Summary](index=3&type=section&id=Profit%20or%20Loss%20and%20Other%20Comprehensive%20Income%20%28Loss%29%20Summary) For the three months ended March 31, 2025, Logistic Properties of the Americas reported a significant turnaround, moving from a net loss of $46.46 million in 2024 to a net profit of $1.06 million, driven by increased rental revenue and reduced listing expenses despite higher operating and administrative costs Profit or Loss and Other Comprehensive Income (Loss) Summary (USD) | Metric | 3 Months Ended March 31, 2025 | 3 Months Ended March 31, 2024 | | :----------------------------------- | :----------------------------- | :----------------------------- | | Total Revenues | $11,839,791 | $10,483,462 | | Investment Property Operating Expense | $(2,337,702) | $(1,531,794) | | General and Administrative | $(3,592,341) | $(1,694,097) | | Listing Expense | — | $(44,469,613) | | Investment Property Valuation Gain | $1,915,481 | $5,199,274 | | Profit (Loss) Before Taxes | $3,045,184 | $(43,152,428) | | Income Tax Expense | $(1,984,478) | $(3,307,358) | | Profit (Loss) for the Period | $1,060,706 | $(46,459,786) | | Total Comprehensive Income (Loss) | $6,005,295 | $(47,029,069) | | Earnings (Loss) per Share (Basic & Diluted) | $(0.02) | $(1.67) | - Total revenues increased by **12.9%** year-over-year, from **$10.48 million** in Q1 2024 to **$11.84 million** in Q1 2025, primarily due to higher rental revenue[4](index=4&type=chunk) - The company reported a significant reduction in listing expense from **$44.47 million** in Q1 2024 to **zero** in Q1 2025, contributing substantially to the improved profit[4](index=4&type=chunk) [Condensed Consolidated Interim Statements of Financial Position](index=4&type=section&id=CONDENSED%20CONSOLIDATED%20INTERIM%20STATEMENTS%20OF%20FINANCIAL%20POSITION) The company's financial position strengthened with an increase in total assets, primarily investment properties, and a corresponding growth in total equity, reflecting improved financial health [Financial Position Summary](index=4&type=section&id=Financial%20Position%20Summary) As of March 31, 2025, the Company's total assets increased to $616.05 million from $607.02 million at December 31, 2024, primarily driven by an increase in investment properties, with total liabilities also seeing a slight increase while total equity grew, reflecting improved financial health Financial Position Summary (USD) | Metric | As of March 31, 2025 | As of December 31, 2024 | | :----------------------------------- | :-------------------- | :----------------------- | | **Assets:** | | | | Total Current Assets | $36,828,379 | $40,001,754 | | Total Non-Current Assets | $579,218,931 | $567,017,824 | | **TOTAL ASSETS** | **$616,047,310** | **$607,019,578** | | **Liabilities:** | | | | Total Current Liabilities | $24,844,907 | $26,524,836 | | Total Non-Current Liabilities | $313,432,603 | $309,693,324 | | **TOTAL LIABILITIES** | **$338,277,510** | **$336,218,160** | | **Equity:** | | | | Equity Attributable to Owners of the Company | $232,700,105 | $228,964,876 | | Non-Controlling Interests | $45,069,695 | $41,836,542 | | **TOTAL EQUITY** | **$277,769,800** | **$270,801,418** | - Investment properties, a key non-current asset, increased from **$554.52 million** to **$567.01 million**, reflecting ongoing development and valuation gains[5](index=5&type=chunk) - Cash and cash equivalents decreased from **$28.83 million** to **$26.96 million**[5](index=5&type=chunk) [Condensed Consolidated Interim Statements of Changes in Equity](index=6&type=section&id=CONDENSED%20CONSOLIDATED%20INTERIM%20STATEMENTS%20OF%20CHANGES%20IN%20EQUITY) Total equity increased due to comprehensive income, share-based payments, and non-controlling interest contributions, partially offset by treasury share repurchases [Changes in Equity Summary](index=6&type=section&id=Changes%20in%20Equity%20Summary) Total equity increased from $270.80 million at December 31, 2024, to $277.77 million at March 31, 2025, primarily driven by total comprehensive income for the period, share-based payments, and capital contributions from non-controlling interests, partially offset by the repurchase of treasury shares Changes in Equity Summary (USD) | Equity Component | As of Dec 31, 2024 | Profit (Loss) for Period | Other Comprehensive Income | Share-based Payments | Issuance of Shares | Repurchase of Treasury Shares | Capital Contributions from NCI | As of Mar 31, 2025 | | :----------------------------------- | :----------------- | :----------------------- | :------------------------- | :------------------- | :----------------- | :---------------------------- | :----------------------------- | :----------------- | | Ordinary Share Capital | $3,180 | — | — | — | $6 | — | — | $3,186 | | Treasury Shares | $(1,242,773) | — | — | — | — | $(834,099) | — | $(2,076,872) | | Additional Paid-in Capital | $218,291,347 | — | — | $357,186 | $(6) | — | — | $218,648,527 | | Retained Earnings | $38,593,217 | $(732,447) | — | — | — | — | — | $37,860,770 | | Foreign Currency Translation Reserve | $(26,680,095) | — | $4,944,589 | — | — | — | — | $(21,735,506) | | Equity Attributable to Owners | $228,964,876 | $(732,447) | $4,944,589 | $357,186 | — | $(834,099) | — | $232,700,105 | | Non-controlling Interests | $41,836,542 | $1,793,153 | — | — | — | — | $1,440,000 | $45,069,695 | | **Total Equity** | **$270,801,418** | **$1,060,706** | **$4,944,589** | **$357,186** | **$0** | **$(834,099)** | **$1,440,000** | **$277,769,800** | - The company repurchased **$834,099** worth of treasury shares during the period[8](index=8&type=chunk) - Non-controlling interests increased by **$3.23 million**, including **$1.44 million** from capital contributions[8](index=8&type=chunk) [Condensed Consolidated Interim Statements of Cash Flows](index=8&type=section&id=CONDENSED%20CONSOLIDATED%20INTERIM%20STATEMENTS%20OF%20CASH%20FLOWS) Operating cash flow increased, investing activities shifted to a net inflow, while financing activities resulted in a net outflow due to debt repayments and share repurchases [Cash Flows Summary](index=8&type=section&id=Cash%20Flows%20Summary) For the three months ended March 31, 2025, net cash generated by operating activities increased to $4.84 million from $4.37 million in the prior year, investing activities shifted from a net outflow to a net inflow, while financing activities resulted in a significant net cash outflow, primarily due to debt repayments and treasury share repurchases Cash Flow Activity (USD) | Cash Flow Activity | 3 Months Ended March 31, 2025 | 3 Months Ended March 31, 2024 | | :----------------------------------- | :----------------------------- | :----------------------------- | | Net Cash Generated by Operating Activities | $4,837,250 | $4,373,158 | | Net Cash Provided by (Used in) Investing Activities | $508,760 | $(5,016,470) | | Net Cash (Used in) Provided by Financing Activities | $(7,371,786) | $6,094,935 | | Effects of Exchange Rate Fluctuations | $154,907 | $(11,368) | | Net (Decrease) Increase in Cash and Cash Equivalents | $(1,870,869) | $5,440,255 | | Cash and Cash Equivalents at Beginning of Period | $28,827,347 | $35,242,363 | | Cash and Cash Equivalents at End of Period | $26,956,478 | $40,682,618 | - Investing activities saw a positive shift, with proceeds from the sale of investment properties totaling **$3.90 million** in Q1 2025, compared to **$1.17 million** in Q1 2024[13](index=13&type=chunk) - Financing activities included **$4.00 million** in long-term debt borrowing and **$5.93 million** in long-term debt repayment in Q1 2025, alongside **$834,099** for treasury share repurchases[13](index=13&type=chunk) [Notes to the Unaudited Condensed Consolidated Interim Financial Statements](index=11&type=section&id=NOTES%20TO%20THE%20UNAUDITED%20CONDENSED%20CONSOLIDATED%20INTERIM%20FINANCIAL%20STATEMENTS) These notes provide detailed information on the company's business, accounting policies, significant transactions, and financial performance across various segments and accounts [1. Nature of Business](index=11&type=section&id=1.%20NATURE%20OF%20BUSINESS) Logistic Properties of the Americas (LPA) is a real estate company that develops, owns, and manages warehouse logistics assets in Central and South America, having completed a business combination on March 27, 2024, accounted for as a reverse capitalization under IFRS with LLP as the accounting acquirer - LPA is a fully integrated, internally managed real estate company focused on warehouse logistics assets in Central and South America[15](index=15&type=chunk) - The Business Combination with TWOA and LLP was consummated on **March 27, 2024**, resulting in LPA ordinary shares being listed on the NYSE under the symbol "LPA"[16](index=16&type=chunk)[17](index=17&type=chunk) - The Business Combination was accounted for as a reverse capitalization in accordance with IFRS, with LLP treated as the accounting acquirer and TWOA as the acquired company[18](index=18&type=chunk) [2. Material Accounting Policy Information](index=12&type=section&id=2.%20MATERIAL%20ACCOUNTING%20POLICY%20INFORMATION) The condensed consolidated interim financial statements are prepared in accordance with IAS 34 and IFRS, primarily on a historical cost basis with certain investment properties measured at fair value, with USD as the functional currency for most entities, and the company has adopted recent amendments to IAS 21 while evaluating upcoming IFRS standards - Financial statements are prepared in accordance with IAS 34 - Interim Financial Reporting and follow significant accounting policies from LPA's most recent audited consolidated financial statements[22](index=22&type=chunk)[24](index=24&type=chunk) - The functional currency is U.S. dollars (USD) for most entities, except for Colombian subsidiaries (Latam Logistic COL OpCo, S.A. and Latam Logistic COL PropCo Cota I, S.A.S) where it is the Colombian Peso (COP)[25](index=25&type=chunk) Exchange Rates (USD 1.00) | Currency | As of March 31, 2025 | As of December 31, 2024 | Average for 3 Months Ended March 31, 2025 | Average for 3 Months Ended March 31, 2024 | | :------- | :------------------- | :---------------------- | :---------------------------------------- | :---------------------------------------- | | CRC | CRC 504 | CRC 513 | CRC 508 | CRC 517 | | COP | COP 4,193 | COP 4,409 | COP 4,192 | COP 3,915 | | PEN | PEN 3.654 | PEN 3.770 | PEN 3.706 | PEN 3.762 | - The Company adopted amendments to IAS 21 (Effects of Changes in Foreign Exchange Rates) as of **January 1, 2025**[38](index=38&type=chunk) - The Company is currently evaluating the impact of IFRS 18 (Presentation and Disclosure in Financial Statements) and amendments to IFRS 9 and IFRS 7, which are effective for annual reporting periods beginning on or after **January 1, 2027**, and **January 1, 2026**, respectively[39](index=39&type=chunk)[41](index=41&type=chunk) [3. Reverse Capitalization](index=17&type=section&id=3.%20REVERSE%20CAPITALIZATION) The Business Combination, consummated on March 27, 2024, involved LPA acquiring TWOA and LLP, with LPA Ordinary Shares subsequently listed on the NYSE, accounted for as a reverse capitalization treating LLP as the accounting acquirer, resulting in significant share listing expenses and the settlement of a loan receivable from LLI through foreclosure of collateralized shares - The Business Combination was consummated on **March 27, 2024**, with LPA Ordinary Shares commencing trading on the NYSE on **March 28, 2024**[46](index=46&type=chunk) LPA Ownership Structure Post-Business Combination | Shareholder Group | Number of Ordinary Shares | % of Ownership | | :----------------------------------- | :------------------------ | :------------- | | LPA Ordinary Shares issued to TWOA shareholders | 3,897,747 | 12.3 % | | LPA Ordinary Shares converted from legacy LLP equity holders | 26,312,000 | 83.0 % | | LPA Ordinary Shares issued to PIPE Investor | 1,500,000 | 4.7 % | | **Total** | **31,709,747** | **100.0 %** | - A share listing expense of **$44,469,613** was recognized in Q1 2024 due to the excess fair value of equity interests issued to TWOA over its identifiable net assets[51](index=51&type=chunk)[52](index=52&type=chunk) - Transaction-related costs of **$6,172,375** were incurred in Q1 2024, primarily for professional services[53](index=53&type=chunk) - A loan receivable from Latam Logistics Investments, LLC (LLI) of **$9,765,972** was settled upon closing of the Business Combination through foreclosure of collateralized LLP Shares[58](index=58&type=chunk) [4. Revenue](index=19&type=section&id=4.%20REVENUE) The Company's total revenues increased to $11.84 million for the three months ended March 31, 2025, up from $10.48 million in the prior year, primarily driven by rental income from operating lease agreements for investment properties, with a weighted average lease term remaining of 5.0 years Revenue Breakdown (USD) | Revenue Component | 3 Months Ended March 31, 2025 | 3 Months Ended March 31, 2024 | | :----------------------------------- | :----------------------------- | :----------------------------- | | Rental income (IFRS 16) | $10,379,044 | $9,312,895 | | Non-lease components of rental arrangements | $1,385,731 | $1,113,354 | | Other | $75,016 | $57,213 | | **Total Revenues** | **$11,839,791** | **$10,483,462** | - The weighted average lease term remaining on current leases was **5.0 years** as of March 31, 2025, slightly down from **5.1 years** as of March 31, 2024[60](index=60&type=chunk) [5. Investment Property Operating Expenses](index=20&type=section&id=5.%20INVESTMENT%20PROPERTY%20OPERATING%20EXPENSES) Investment property operating expenses increased to $2.34 million for the three months ended March 31, 2025, from $1.53 million in the prior year, primarily due to higher repair and maintenance costs and real estate taxes Investment Property Operating Expenses (USD) | Expense Category | 3 Months Ended March 31, 2025 | 3 Months Ended March 31, 2024 | | :----------------------------------- | :----------------------------- | :----------------------------- | | Repair and maintenance | $924,906 | $686,908 | | Utilities | $177,455 | $182,853 | | Insurance | $120,956 | $104,210 | | Property management | $122,028 | $62,186 | | Real estate taxes | $466,268 | $153,334 | | Expected credit loss adjustments | $61,594 | $10,969 | | Tenant-billable operating expenses | $301,423 | $252,090 | | Interest expenses on property related lease liabilities | $70,973 | $61,696 | | Other property related expenses | $92,099 | $17,548 | | **Total** | **$2,337,702** | **$1,531,794** | [6. Other Income and Other Expenses](index=20&type=section&id=6.%20OTHER%20INCOME%20AND%20OTHER%20EXPENSES) Other income decreased slightly to $271,802 in Q1 2025, while other expenses significantly decreased to $2,749 from $6.17 million in Q1 2024, primarily due to the absence of transaction-related costs from the Business Combination Other Income and Expenses (USD) | Category | 3 Months Ended March 31, 2025 | 3 Months Ended March 31, 2024 | | :----------------------------------- | :----------------------------- | :----------------------------- | | **Other Income:** | | | | Interest income | $271,802 | $310,490 | | Other | — | $40 | | **Total Other Income** | **$271,802** | **$310,530** | | **Other Expenses:** | | | | Transaction-related costs (Business Combination) | — | $6,172,375 | | Other | $2,749 | — | | **Total Other Expenses** | **$2,749** | **$6,172,375** | [7. Segment Reporting](index=21&type=section&id=7.%20SEGMENT%20REPORTING) The Company operates in three geographic segments: Costa Rica, Colombia, and Peru, deriving revenue primarily from warehouse rentals, with Costa Rica generating the highest revenue and net operating income in Q1 2025, while Peru showed significant growth in both, and segment assets and liabilities are monitored by the CODM - The Company has three reportable operating segments based on geography: Costa Rica, Colombia, and Peru, with performance evaluated based on net operating income[64](index=64&type=chunk)[67](index=67&type=chunk) Segment Revenue and Net Operating Income (USD) | Segment | Revenue (Q1 2025) | Revenue (Q1 2024) | Net Operating Income (Q1 2025) | Net Operating Income (Q1 2024) | | :-------- | :---------------- | :---------------- | :----------------------------- | :----------------------------- | | Costa Rica | $6,000,839 | $5,655,817 | $5,152,052 | $4,819,704 | | Colombia | $2,400,284 | $2,339,372 | $1,941,758 | $2,096,847 | | Peru | $3,363,652 | $2,431,060 | $2,333,263 | $1,977,904 | | Unallocated | $75,016 | $57,213 | — | — | | **Total** | **$11,839,791** | **$10,483,462** | **$9,427,073** | **$8,894,455** | Segment Investment Properties and Debt (USD) | Segment | Investment Properties (Mar 31, 2025) | Investment Properties (Dec 31, 2024) | Segment Debt (Mar 31, 2025) | Segment Debt (Dec 31, 2024) | | :-------- | :----------------------------------- | :----------------------------------- | :-------------------------- | :-------------------------- | | Costa Rica | $260,739,865 | $260,094,960 | $169,948,497 | $171,041,464 | | Colombia | $141,144,601 | $132,917,203 | $36,540,529 | $38,430,114 | | Peru | $165,129,587 | $161,506,701 | $59,238,130 | $56,414,221 | | **Total** | **$567,014,053** | **$554,518,864** | **$265,727,156** | **$265,885,799** | [8. Lease and Other Receivables, Net](index=25&type=section&id=8.%20LEASE%20AND%20OTHER%20RECEIVABLES%2C%20NET) Total lease and other receivables, net, increased to $4.66 million as of March 31, 2025, from $4.39 million at December 31, 2024, primarily driven by higher lease receivables and other receivables, while tenant notes receivable saw a slight decrease Lease and Other Receivables, Net (USD) | Receivable Type | March 31, 2025 | December 31, 2024 | | :----------------------------------- | :------------- | :---------------- | | Lease receivables, net | $2,224,737 | $1,990,246 | | Tenant notes receivable - short term, net | $467,676 | $509,543 | | Others | $310,324 | $141,983 | | Sub-total (Current) | $3,002,737 | $2,641,772 | | Tenant notes receivable - long term, net | $1,653,447 | $1,748,616 | | **Total Lease and Other Receivables, Net** | **$4,656,184** | **$4,390,388** | Expected Credit Loss Allowance (USD) | Category | Beginning Balance (Dec 31, 2024) | Adjustments in ECL Allowance (Q1 2025) | Ending Balance (Mar 31, 2025) | | :----------------------------------- | :------------------------------- | :------------------------------------- | :---------------------------- | | Lease Receivables | $833,430 | $63,892 | $897,322 | | Tenant Notes Receivable | $37,884 | $(2,298) | $35,586 | | **Total** | **$871,314** | **$61,594** | **$932,908** | [9. Other Current Assets and Liabilities](index=25&type=section&id=9.%20OTHER%20CURRENT%20ASSETS%20AND%20LIABILITIES) Other current assets increased to $4.36 million as of March 31, 2025, from $2.77 million at December 31, 2024, mainly due to higher value-added tax receivable and prepaid insurance, while other current liabilities decreased to $189,261 from $640,933, primarily due to the payment of distributions payable to non-controlling interests Other Current Assets (USD) | Asset Type | March 31, 2025 | December 31, 2024 | | :----------------------------------- | :------------- | :---------------- | | Value added tax receivable | $2,418,457 | $1,722,404 | | Prepaid insurance | $935,296 | $533,915 | | Other | $1,009,579 | $512,790 | | **Total** | **$4,363,332** | **$2,769,109** | Other Current Liabilities (USD) | Liability Type | March 31, 2025 | December 31, 2024 | | :----------------------------------- | :------------- | :---------------- | | Distributions payable to non-controlling interests | — | $380,950 | | Deferred revenue | $189,261 | $259,983 | | **Total** | **$189,261** | **$640,933** | [10. Investment Properties](index=26&type=section&id=10.%20INVESTMENT%20PROPERTIES) The fair value of investment properties increased to $567.01 million as of March 31, 2025, from $554.52 million at December 31, 2024, driven by additions and valuation gains, with the Company using Level 3 fair value measurements and a significant disposition occurring in February 2025 Investment Properties Fair Market Value (FMV) (USD) | Category | FMV as of March 31, 2025 | FMV as of December 31, 2024 | | :----------------------------------- | :----------------------- | :-------------------------- | | Land bank | $37,033,229 | $40,542,349 | | Properties under development | $17,715,505 | $21,798,170 | | Operating Properties | $512,265,319 | $492,178,345 | | **Total Investment Properties** | **$567,014,053** | **$554,518,864** | - Investment properties are valued using Level 3 fair value hierarchy, employing discounted cash flows, direct capitalization, and cost approaches, with key unobservable inputs including risk-adjusted discount rates, capitalization rates, and occupancy rates[85](index=85&type=chunk)[86](index=86&type=chunk)[87](index=87&type=chunk) Reconciliation of Investment Properties (USD) | Item | 3 Months Ended March 31, 2025 | 3 Months Ended March 31, 2024 | | :----------------------------------- | :----------------------------- | :----------------------------- | | Beginning balance | $554,518,864 | $514,172,281 | | Additions | $3,735,609 | $9,880,885 | | Gain on valuation of investment properties | $1,915,481 | $5,199,274 | | Foreign currency translation effect | $6,844,099 | $(675,115) | | **Ending balance** | **$567,014,053** | **$528,577,325** | - The final installment payment of **$3,901,985** for the sale of Latam Parque Logistico Calle 80 Building 500A was received in **February 2025**, settling all receivables from this sale[91](index=91&type=chunk)[92](index=92&type=chunk) [11. Leases](index=30&type=section&id=11.%20LEASES) The Company acts as both a lessor, generating rental income from operating properties, and a lessee, holding investment property Right-of-Use (ROU) assets and office ROU assets, with investment property ROU assets measured at fair value and office ROU assets amortized, resulting in a total lease liability of $13.62 million and future undiscounted rental payments of $36.75 million as of March 31, 2025 - The Company generates rental income as a lessor of operating properties[93](index=93&type=chunk) - As a lessee, the Company holds Investment Property Right-of-Use (ROU) assets, which are recognized as part of investment properties and measured at fair value under IAS 40[96](index=96&type=chunk)[97](index=97&type=chunk) - Office ROU assets are amortized using the straight-line method over the lease term, with a net book value of **$88,850** as of March 31, 2025[102](index=102&type=chunk)[103](index=103&type=chunk) Lease Liabilities and Future Rental Payments (USD) | Item | As of March 31, 2025 | | :----------------------------------- | :------------------- | | Total Lease Liability | $13,617,612 | | Total Undiscounted Rental Payments | $36,749,125 | | Weighted Average Discount Rate (Land Lease) | 8.6% | | Weighted Average Discount Rate (Office Lease) | 7.1% | [12. Debt](index=34&type=section&id=12.%20DEBT) The Company's total debt remained stable at $265.73 million as of March 31, 2025, with a mix of mortgage loans and a secured bridge loan across Costa Rica, Peru, and Colombia, including a new $25 million mortgage loan with BBVA Peru and restructured BTG loans, and the Company was compliant with all debt covenants as of March 31, 2025 Debt Outstanding by Region (USD) | Region | Amount Outstanding at March 31, 2025 | Amount Outstanding at December 31, 2024 | | :----------------------------------- | :----------------------------------- | :----------------------------------- | | Costa Rica Loans | $169,948,494 | $171,041,461 | | Peru Loans | $60,250,861 | $57,047,644 | | Colombia Loans | $37,166,167 | $39,127,587 | | Accrued financing costs and debt issuance costs, net | $(1,638,366) | $(1,330,893) | | **Total Debt** | **$265,727,156** | **$265,885,799** | | Less: Current portion of long-term debt | $(9,557,758) | $(12,636,821) | | **Total Long-term debt** | **$256,169,398** | **$253,248,978** | - On **March 6, 2025**, the Company entered into a new **$25 million** mortgage loan with BBVA Peru for construction, with **$4 million** outstanding as of March 31, 2025[109](index=109&type=chunk) - The Company restructured two loans with BTG into a single loan of **COP 25,000,000,000** (approximately **$6.45 million**) in **May 2024**, maturing in **November 2025**[118](index=118&type=chunk) Financing Costs (USD) | Component | 3 Months Ended March 31, 2025 | 3 Months Ended March 31, 2024 | | :----------------------------------- | :----------------------------- | :----------------------------- | | Gross interest expense | $5,143,442 | $5,843,082 | | Amortization of debt issuance cost | $131,976 | $33,542 | | Other financing cost | — | $15,878 | | Total financing cost before capitalization | $5,275,418 | $5,892,502 | | Capitalized amounts into investment properties | $(26,333) | $(330,123) | | **Net financing cost** | **$5,249,085** | **$5,562,379** | - As of **March 31, 2025**, the Company was compliant with, or had waivers for, all debt covenants with its lenders, including a waiver for Bancolombia through **December 31, 2024**[123](index=123&type=chunk)[124](index=124&type=chunk) [13. Equity](index=38&type=section&id=13.%20EQUITY) As of March 31, 2025, the Company had 31,859,747 Ordinary Shares issued following the Business Combination, with the board approving a share repurchase program in November 2024, under which 85,378 shares were repurchased for $834,099 during Q1 2025, and retained earnings include legal reserves mandated by local legislation - As of **March 31, 2025**, **31,859,747** Ordinary Shares were issued, with a par value of **$0.0001** per share[125](index=125&type=chunk) - The Company's board approved a share repurchase program in **November 2024**, authorizing up to **$10.0 million** in Ordinary Share repurchases over **12 months**[126](index=126&type=chunk) Share Repurchase Activities (Q1 2025) | Metric | Value | | :----------------------------------- | :---- | | Shares repurchased | 85,378 | | Average purchase price per share | $9.77 | | Aggregate purchase price | $834,099 | - Retained earnings include legal reserves, which are a portion of net earnings appropriated according to local legislation in the countries of operation[128](index=128&type=chunk) [14. Earnings Per Share](index=39&type=section&id=14.%20EARNINGS%20PER%20SHARE) Basic and diluted earnings per share for the three months ended March 31, 2025, was $(0.02), a significant improvement from $(1.67) in the prior year, with the calculation reflecting the impact of the Business Combination and the exclusion of antidilutive Restricted Stock Units (RSUs) Earnings (Loss) Per Share (USD) | Metric | 3 Months Ended March 31, 2025 | 3 Months Ended March 31, 2024 | | :----------------------------------- | :----------------------------- | :----------------------------- | | Earnings (loss) per share – basic and diluted | $(0.02) | $(1.67) | | Earnings (loss) attributed to owner(s) of the Company | $(732,447) | $(48,031,609) | | Weighted average number of Ordinary Shares – basic and diluted | 31,627,722 | 28,736,692 | - **371,500** RSUs were excluded from the diluted EPS calculation for Q1 2025 as their inclusion would be antidilutive[129](index=129&type=chunk) - The weighted average number of Ordinary Shares for Q1 2025 was adjusted to exclude treasury shares[131](index=131&type=chunk) [15. Income Tax](index=39&type=section&id=15.%20INCOME%20TAX) LPA is a Cayman Islands exempted company not subject to U.S. income tax, operating through local entities in Costa Rica (30.0%), Colombia (35.0%), and Peru (29.5%), with an effective tax rate for Q1 2025 of 65.2%, significantly higher than (7.7)% in Q1 2024, primarily due to deferred tax assets/liabilities related to currency translation, unrecognized deferred tax assets, and foreign tax rate differentials - LPA is a Cayman Islands exempted company and is not subject to income tax in the United States[132](index=132&type=chunk) - Applicable income tax rates in its operating countries are Costa Rica (**30.0%**), Colombia (**35.0%**), and Peru (**29.5%**)[132](index=132&type=chunk) Effective Tax Rates (%) | Period | Effective Tax Rate | | :----------------------------------- | :----------------- | | 3 Months Ended March 31, 2025 | 65.2% | | 3 Months Ended March 31, 2024 | (7.7)% | - The difference in effective tax rates is primarily due to changes in deferred tax assets/liabilities from currency translation, movement in unrecognized deferred tax assets, foreign tax rate differentials, and current income tax on intercompany dividends[133](index=133&type=chunk) [16. Employee Benefits](index=40&type=section&id=16.%20EMPLOYEE%20BENEFITS) Total employee benefits recognized as general and administrative expense increased to $1.59 million for the three months ended March 31, 2025, from $1.09 million in the prior year, primarily due to the inclusion of share-based payment expense Employee Benefits Expense (USD) | Benefit Type | 3 Months Ended March 31, 2025 | 3 Months Ended March 31, 2024 | | :----------------------------------- | :----------------------------- | :----------------------------- | | Short-term employee benefits | $1,229,077 | $1,091,764 | | Share-based payment expense | $357,186 | — | | **Total** | **$1,586,263** | **$1,091,764** | [17. Share-Based Payments](index=40&type=section&id=17.%20SHARE-BASED%20PAYMENTS) The Company established the 2024 Equity Incentive Plan to grant various equity-based awards, issuing 90,000 ordinary shares to a non-employee service provider in August 2024 to settle a liability, and granting Restricted Stock Units (RSUs) to senior executives and board directors in May and August 2024, resulting in a share-based payment expense of $357,186 for Q1 2025 - The Logistic Properties of the Americas 2024 Equity Incentive Plan was established in **March 2024** to grant equity-based awards to key personnel[136](index=136&type=chunk) - On **August 14, 2024**, **90,000** ordinary shares with a fair value of **$1,141,200** were issued to a non-employee service provider to settle an accrued liability[137](index=137&type=chunk) - RSUs were granted to senior executives and board directors in **May** and **August 2024**, with varying vesting schedules (equal annual increments over three years or cliff vesting after three years)[140](index=140&type=chunk) - Share-based payment expense related to RSUs was **$357,186** for the three months ended **March 31, 2025**[141](index=141&type=chunk) RSUs Outstanding | Item | Number of RSUs | Weighted Average Grant Date Fair Value per RSU ($) | | :----------------------------------- | :------------- | :--------------------------------------------- | | Non-vested at December 31, 2024 | 319,000 | $9.70 | | Non-vested at March 31, 2025 | 319,000 | $9.70 | [18. Related Party Transactions](index=41&type=section&id=18.%20RELATED%20PARTY%20TRANSACTIONS) Related party transactions include compensation for key management personnel, which increased to $1.14 million in Q1 2025 largely due to share-based payment expense, and a loan receivable from Latam Logistics Investments, LLC (LLI) of $9.77 million was settled in Q1 2024 through the foreclosure of collateralized shares Key Management Personnel Compensation (USD) | Compensation Type | 3 Months Ended March 31, 2025 | 3 Months Ended March 31, 2024 | | :----------------------------------- | :----------------------------- | :----------------------------- | | Salaries | $393,156 | $199,321 | | Cash performance bonus | $227,746 | $126,369 | | Statutory bonus | $14,491 | $13,092 | | One-time cash bonus (Business Combination) | — | $226,000 | | Non-executive directors' fees | $146,250 | $52,806 | | Non-cash benefits | $4,288 | $8,484 | | Share-based payment expense | $357,186 | — | | **Total** | **$1,143,117** | **$626,072** | - A loan receivable from LLI of **$9,765,972** was settled as of **January 1, 2024**, through the foreclosure of collateralized LLP Shares held by LLI, following LLI's default[148](index=148&type=chunk) - The majority shareholder provided management and advisory services amounting to **$68,000** in Q1 2025, down from **$187,863** in Q1 2024[149](index=149&type=chunk) [19. Financial Risk Management](index=42&type=section&id=19.%20FINANCIAL%20RISK%20MANAGEMENT) The Company is exposed to interest rate risk from its floating-rate long-term debt and manages liquidity risk by ensuring sufficient cash to meet financial liabilities, with total undiscounted contractual maturities of financial liabilities at $321.26 million and the fair value of debt estimated at $250.04 million as of March 31, 2025 - The Company's exposure to interest rate risk primarily relates to its long-term debt obligations with floating interest rates[150](index=150&type=chunk) - Liquidity risk is managed by maintaining sufficient liquidity to meet obligations without incurring unacceptable losses[151](index=151&type=chunk) Contractual Maturities of Financial Liabilities (Undiscounted Cash Flows, USD) | Maturity Period | March 31, 2025 (Total) | December 31, 2024 (Total) | | :----------------------------------- | :--------------------- | :------------------------ | | Less than 3 months | $3,896,893 | $3,112,518 | | 3 to 12 months | $18,226,074 | $22,390,580 | | 1 to 5 years | $65,486,374 | $49,187,762 | | Thereafter | $231,072,710 | $244,150,610 | | **Total** | **$321,261,255** | **$319,635,085** | - The fair value of the Company's debt was estimated to be **$250,036,204** as of **March 31, 2025**, and **$255,591,886** as of **December 31, 2024**, using Level 2 fair value hierarchy inputs[154](index=154&type=chunk) [20. Commitments and Contingencies](index=43&type=section&id=20.%20COMMITMENTS%20AND%20CONTINGENCIES) As of March 31, 2025, the Company had future capital expenditure commitments of $13.65 million related to construction contracts, settled a lawsuit for $237,226 in February 2024, and is vigorously defending another lawsuit filed in November 2023, believing the claims are without merit - The Company had agreed upon construction contracts with third parties, committing to future capital expenditures of **$13,649,309** as of **March 31, 2025**[156](index=156&type=chunk) - A lawsuit filed against a subsidiary was settled for **$237,226** on **February 29, 2024**[157](index=157&type=chunk) - The Company is defending a lawsuit filed by a former employee in **November 2023**, believing the claims are without merit and currently unable to conclude on the probability of loss[158](index=158&type=chunk) [21. Subsequent Events](index=43&type=section&id=21.%20SUBSEQUENT%20EVENTS) No subsequent events requiring disclosure or recognition occurred between the reporting date and May 14, 2025, the date the condensed consolidated interim financial statements were issued - No subsequent events requiring disclosure or recognition occurred through **May 14, 2025**[160](index=160&type=chunk) [22. Approval of the Condensed Consolidated Interim Financial Statements](index=43&type=section&id=22.%20APPROVAL%20OF%20THE%20CONDENSED%20CONSOLIDATED%20INTERIM%20FINANCIAL%20STATEMENTS) The condensed consolidated interim financial statements were authorized for issue by the Company's board of directors on May 14, 2025 - The condensed consolidated interim financial statements were authorized for issue by the Company's board of directors on **May 14, 2025**[161](index=161&type=chunk)

Financial Data and Key Metrics Changes - Revenue increased by 11.2% to $438 million, while NOI rose by 7.1% to $366 million [6][17] - Occupancy in the operating portfolio surged by 400 basis points to 98.3% by year-end [7] - G&A expenses increased due to the transition to a public company, with costs expected to normalize by Q2 2025 [20] Business Line Data and Key Metrics Changes - Colombia experienced 8.3% revenue growth, driven by $1.5 million increase in rental income [18] - Peru recorded an 18% revenue increase, primarily due to the stabilization of two buildings [19] - Costa Rica's revenue rose by 8.7%, fueled by the stabilization of a specific building [19] Market Data and Key Metrics Changes - The company captured mark-to-market spreads exceeding 25% compared to expiring leases [8] - The logistics space demand is strong, with nearly all development portfolio pre-leased and 100% occupancy in the operating portfolio [15] Company Strategy and Development Direction - The company aims to remain a preferred logistics solutions provider as it expands into Mexico through a joint venture [9][11] - The development of Parquet Logistico Callao is being accelerated, showcasing the company's ability to deliver landmark logistics facilities [14] - The focus is on domestic consumption-driven logistics space demand in foundational markets like Costa Rica, Peru, and Colombia [13] Management's Comments on Operating Environment and Future Outlook - Management is cautious about U.S. tariff policies affecting Mexico's nearshoring sector, leading to selective investment strategies [12] - The company sees significant long-term upside in emerging economies due to low e-commerce penetration [13] - Confidence in LPA's intrinsic value is reflected in the decision to purchase LPA shares [15][16] Other Important Information - The company secured a $25 million fixed-rate loan to support the construction of new Class A warehouses [21] - The joint venture in Mexico is expected to enhance LPA's reach and operational capabilities in the region [10] Q&A Session Summary Question: What are the expectations for future revenue growth? - Management indicated that the strong demand for logistics space and ongoing projects will support revenue growth moving forward [21] Question: How is the company addressing rising G&A expenses? - Management noted that the increase in G&A expenses is due to the transition to a public company and is expected to normalize by mid-2025 [20]

Revenue Growth - Revenue increased by 11.2% to $43.8 million in 2024, driven by $3.6 million in additional rental income and a $1.9 million increase from higher rental rates[5]. - Revenue from Peru increased by 18.0% to $10.9 million, while revenue from Colombia and Costa Rica grew by 8.3% and 8.7%, respectively[13]. Net Operating Income - Net Operating Income (NOI) rose by 7.1% to $36.6 million, with Same-Property Cash NOI increasing by 5.0% to $33.9 million[5]. Occupancy and Leasable Area - Occupancy rate of the operating portfolio was 98.3% as of December 31, 2024, down from 100% at year-end 2023[5]. - Total Leased Gross Leasable Area (GLA) expanded by 6.2% to 5.6 million square feet by the end of 2024[7]. - The company achieved 100% occupancy in its operating portfolio in March 2025, with a new lease signed for 71,580 square feet in Peru[5]. Expenses - General and Administrative expenses surged by 83.6% to $15.6 million, reflecting increased compliance and reporting obligations[5]. - Total investment property operating expenses rose by 35.6% to $6.975 million, with significant increases in Peru (80.5%) and Costa Rica (19.4%)[14]. Share Repurchase - The company repurchased $0.9 million of its ordinary shares in Q4 2024 and an additional $0.8 million in Q1 2025, totaling $2.1 million[5]. Future Plans - The company plans to utilize a $25.0 million loan from BBVA Peru to finance the construction of strategically located warehouses in Lima, Peru[5].

Financial Position - As of September 30, 2023, the total debt of the Company is $234,688,000, with long-term debt amounting to $224,145,000[24]. - Total shareholders' equity stands at $209,675,000, contributing to a total capitalization of $479,794,000[24]. - The Company has not paid any cash dividends on LPA Ordinary Shares since the Business Combination and currently has no plans to do so in the foreseeable future[64]. - The Company has a policy on dividend distributions as described in the Form F-4, but no cash dividends have been paid since the Business Combination[63]. - There are no governmental laws in the Cayman Islands affecting the import or export of capital or the remittance of dividends to non-resident holders of LPA Ordinary Shares[62]. Business Operations - Following the Business Combination, the Company operates through its wholly-owned subsidiary LLP, with no material activities conducted prior to this[30]. - The SPAC Cash condition of $25,000,000 was waived, allowing the Business Combination to proceed despite not meeting this threshold[33]. - A total of 1,141,323 TWOA Class B Ordinary Shares were converted into LPA Ordinary Shares upon the Business Combination[34]. - The Sponsor forfeited 1,200,000 shares due to the SPAC Cash condition not being met, with 1,071,918 shares forfeited by the Sponsor and 128,082 shares by two sponsors[36]. - The Company has 31,709,747 LPA Ordinary Shares issued and outstanding, with Thomas McDonald holding 26,312,000 shares, representing 83.0% ownership[46]. - HC PropTech Partners III LLC holds 2,130,693 shares, accounting for 6.7% of the total shares[47]. - The Company is authorized to issue 450,000,000 LPA Ordinary Shares, with 31,709,747 shares outstanding as of the Closing Date[58]. - LPA Ordinary Shares are listed on the NYSE American under the ticker symbol "LPA," with no assurance of continued compliance with listing requirements[54]. - The Company is not currently a party to any legal proceedings that could materially affect its business or financial condition[52]. - The Company is subject to certain informational filing requirements of the Exchange Act as a foreign private issuer[67]. Financial Performance - The company reported a significant increase in revenue, achieving $1.2 billion for the quarter, representing a 15% year-over-year growth[73]. - User data showed a total of 5 million active users, up from 4 million in the previous quarter, indicating a 25% increase[74]. - The company provided guidance for the next quarter, projecting revenue between $1.3 billion and $1.4 billion, which would reflect a growth rate of 10% to 15%[75]. - New product launches are expected to contribute an additional $200 million in revenue over the next fiscal year[76]. - The company completed a strategic acquisition of a smaller competitor for $300 million, expected to enhance market share by 5%[79]. Strategic Initiatives - The company is investing $50 million in research and development for new technologies aimed at enhancing user experience[77]. - Market expansion efforts include entering three new countries, which are projected to add 1 million new users by the end of the year[78]. - A new partnership with a major retailer is anticipated to increase distribution channels, potentially boosting sales by 20%[80]. - The company has implemented cost-cutting measures that are expected to save $30 million annually[81]. - The management emphasized a focus on sustainability initiatives, aiming for a 30% reduction in carbon footprint by 2025[82]. Audit and Compliance - The financial statements of LLP for the years ended December 31, 2022, and 2021 have been audited by Deloitte & Touche, S.A.[65]. - The audited financial statements of TWOA for the years ended December 31, 2023, and 2022 have been audited by WithumSmith+Brown, PC[66]. - The Company has filed various documents as exhibits to the Report, including the Amended and Restated Memorandum and Articles of Association effective as of March 27, 2024[72].

Group 1 - The individual mentioned has extensive experience in accounting and finance, including roles as a CFO, Government Auditor, and Public Accountant, and has authored numerous publications [1] - The individual has a long-term investment strategy that includes holding positions and selling covered calls, indicating a focus on generating income from investments [1] - The individual has recently relocated to the Philippines for travel in Southeast Asia after overcoming significant health challenges, including stage 3 pancreatic cancer [1] Group 2 - The article expresses the author's personal opinions and indicates a beneficial long position in LPA shares, suggesting confidence in the company's future performance [2] - There is no compensation received for the article other than from Seeking Alpha, highlighting the independence of the analysis [2] - Seeking Alpha clarifies that past performance does not guarantee future results and that the views expressed may not reflect the platform's overall stance [3]

Financial Performance - Total revenues for Q3 2024 reached $11,272,630, a 10.4% increase from $10,214,189 in Q3 2023[7] - Rental revenue for Q3 2024 was $11,173,774, up 9.8% from $10,175,293 in Q3 2023[7] - Profit for the period attributable to owners of the company was $4,942,591, compared to $1,351,495 in Q3 2023, marking a significant increase[5] - Total comprehensive income for the period was $4,601,931, slightly down from $4,827,848 in Q3 2023[8] - The company experienced a total profit (loss) for the period of $4,833,469, compared to $2,371,130 in Q3 2023[5] - The Company’s total revenue for the nine months ended September 30, 2024, was $32,743,028, an increase of 17.5% compared to $27,867,943 for the same period in 2023[79] - Rental income for the nine months ended September 30, 2024, was $29,022,101, up from $24,652,708 in the prior year, reflecting a growth of 17.5%[79] - Profit before taxes for the three months ended September 30, 2024, was $7,199,040, slightly down from $7,224,409 in 2023[94] - The company reported a net loss of $33,181,385 for the nine months ended September 30, 2024, compared to a net income of $4,959,776 for the same period in 2023[173] Assets and Liabilities - Total assets increased to $596,384,825 as of September 30, 2024, compared to $590,825,310 on December 31, 2023, reflecting a growth of approximately 1%[9] - Current assets decreased from $58,903,014 to $43,366,159, a decline of about 26%[9] - Investment properties rose to $535,573,272, up from $514,172,281, indicating an increase of approximately 4%[9] - Total liabilities slightly increased to $330,015,995 from $329,882,393, a marginal rise of about 0.04%[9] - Long-term debt increased to $260,519,198 from $253,151,137, representing a growth of approximately 3%[9] - Total current liabilities increased significantly to $2,283,282 as of September 30, 2024, compared to $959,539 on December 31, 2023, representing a rise of about 138.5%[125] - The total debt, including current and long-term portions, was reported at $271,033,409 as of September 30, 2024, compared to $269,854,235 at the end of 2023, showing a slight increase of about 0.4%[138] Expenses - General and administrative expenses increased to $4,750,884 in Q3 2024 from $2,519,836 in Q3 2023, reflecting a 88.3% rise[7] - Total rental property operating expenses for the three months ended September 30, 2024, were $1,616,919, an increase from $1,509,044 in 2023, representing a 7.1% increase[83] - General and administrative expenses totaled $11,001,664 for the nine months ended September 30, 2024, significantly higher than $4,834,222 in the previous year[97] - The company recognized share-based payment expense related to RSUs of $555,323 for the three months ended September 30, 2024, and for the nine months, it was $1,695,541[186] Shareholder Information - The weighted average number of shares for basic earnings per share was 31,740,073 in Q3 2024, up from 28,600,000 in Q3 2023[8] - Earnings per share attributable to owners of the company was $0.16 for Q3 2024, compared to $0.05 in Q3 2023[8] - The number of ordinary shares outstanding as of September 30, 2024, is 31,799,747, compared to 168,142,740 as of December 31, 2023, indicating a significant reduction in share count[11] - The company issued 31,709,747 Ordinary Shares as part of the Business Combination on March 27, 2024[169] Investment and Financing Activities - The company reported an investment property valuation gain of $8,175,196 for Q3 2024, compared to $9,826,109 in Q3 2023[7] - Financing costs for Q3 2024 were $5,796,879, compared to $5,646,861 in Q3 2023, indicating a slight increase[7] - The company raised $13,091,001 through long-term debt borrowing, significantly lower than $121,888,624 in the previous year[17] - The company completed a business combination on March 27, 2024, resulting in TWOA and LLP becoming wholly-owned subsidiaries[21] - The company incurred a listing expense of $44,469,613 during the reporting period[17] Currency and Foreign Operations - Revenue generated from Colombian operations for the nine months ended September 30, 2024, was $6.4 million, representing approximately 19.6% of the company's consolidated revenues[32] - The average sell-exchange rate for Colombian Pesos (COP) was COP 3,979 in 2024, compared to COP 4,406 in 2023, reflecting a decrease of about 9.7%[40] - The average sell-exchange rate for Costa Rican Colones (CRC) was CRC 520, down from CRC 552 in 2023, indicating a decrease of approximately 5.8%[40] Management and Governance - The company granted a total of 112,500 Restricted Stock Units (RSUs) to board members that were fully vested upon grant during the nine months ended September 30, 2024[184] - The majority shareholder provided management and advisory services totaling $92,682 for the three months ended September 30, 2024[197] - The company does not expect to declare any dividends in the near future, impacting the measurement of grant date fair value for RSUs[185] Risk Management - Interest rate risk primarily relates to the company's long-term debt obligations with floating interest rates, affecting future cash flows[198] - The company’s approach to managing liquidity aims to ensure sufficient liquidity to meet obligations under both normal and stressed conditions[199]

Revenue and Income - Total revenues for the three months ended June 30, 2024, were $10,986,936, representing an increase of 10.0% compared to $9,989,772 for the same period in 2023[4]. - Rental revenue for the six months ended June 30, 2024, was $21,373,343, up 11.0% from $19,203,738 in the prior year[4]. - Profit for the period attributable to owners of the company was $9,907,633 for the three months ended June 30, 2024, compared to a loss of $4,762,860 in the same period of 2023[3]. - Total comprehensive income for the period was $5,305,739, compared to a loss of $41,723,330 in the prior year[5]. - The company reported a total profit (loss) for the period of $12,431,660 for the three months ended June 30, 2024, compared to a loss of $4,762,500 in the same period of 2023[4]. - The Company’s total revenue for the six months ended June 30, 2024, was $21,470,398, representing an increase of 11.4% compared to $19,239,758 for the same period in 2023[73]. - Rental income for the six months ended June 30, 2024, was $19,043,548, up from $17,157,965 in the prior year, reflecting a growth of 10.9%[73]. - Net operating income for the three months ended June 30, 2024, was $9,238,998, up from $8,698,607 in the same period of 2023, indicating a 6.2% increase[88]. - Total other income for the three months ended June 30, 2024, was $10,837,729, compared to $52,917 for the same period in 2023, showing a substantial increase[78]. - Net operating income for the six months ended June 30, 2024, was $18,133,453, up from $16,564,151 in 2023, reflecting a growth of 9.5%[90]. Assets and Liabilities - Total assets increased to $604,189,764 as of June 30, 2024, up from $590,825,310 as of December 31, 2023, representing a growth of approximately 2.3%[7]. - Current assets rose to $63,895,466, compared to $58,903,014 at the end of 2023, marking an increase of about 5.4%[7]. - Total liabilities increased to $334,976,588 from $329,882,393, a rise of about 1.3%[7]. - Retained earnings decreased to $29,754,669 from $67,878,645, a decline of approximately 56.2%[13]. - Total equity increased to $269,213,176 from $260,942,917, showing a growth of about 3.4%[14]. - The company reported a loss of $38,123,976 for the period, impacting total comprehensive income negatively[13]. - The company’s total financial liabilities as of June 30, 2024, amounted to $301,898,791, compared to $298,578,357 as of December 31, 2023, indicating an increase of approximately 1.1%[191]. Cash Flow and Financing - Cash and cash equivalents increased significantly to $48,173,742 from $35,242,363, reflecting a growth of approximately 36.7%[7]. - Net cash provided by operating activities was $7,208,539, a decrease from $8,302,628 in the prior year[17]. - The company reported a net cash used in investing activities of $11,001,373, compared to $6,849,875 in the previous year[17]. - Long-term debt borrowing amounted to $13,091,001, significantly lower than $113,971,395 in the same period last year[17]. - The company incurred capital expenditures of $11,681,535 on investment properties, up from $10,672,226 in the previous year[17]. - The total outstanding amount for Costa Rica loans was $140,485 as of June 30, 2024, with an annual interest rate of 6.4% for Year 1[130]. - The company recognized accrued financing costs of $827,501 as of June 30, 2024, compared to $752,874 as of December 31, 2023[132]. - The company entered into a COP 44,500 million ($12.8 million) financing agreement with Bancolombia for the construction of a building in Latam Logistic Park, fully disbursed by December 31, 2021[141]. - The company negotiated a deferral of principal payments with Bancolombia for seven months starting October 1, 2023, recognizing a modification gain of $70,058 in Q3 2023[142]. Business Combination and Share Issuance - The company completed a business combination on March 27, 2024, with TWOA and LLP, resulting in TWOA and LLP becoming wholly-owned subsidiaries[20]. - The Business Combination resulted in the issuance of 31,709,747 LPA Ordinary Shares, with 83.0% of these shares issued to legacy LLP equity holders[63]. - The net proceeds from the Business Combination, after transaction costs, amounted to $8,174,119[64]. - The Company recognized a share listing expense of $44,469,613 due to the excess fair value of equity interests issued to TWOA over the fair value of its identifiable net assets[67]. - The company issued 31,709,747 Ordinary Shares as part of a Business Combination on March 27, 2024, with no Preference Shares issued during the periods presented[163]. Expenses and Costs - Financing costs decreased significantly to $5,808,977 for the three months ended June 30, 2024, from $12,134,876 in the same period of 2023[4]. - Employee benefits for the three months ended June 30, 2024 amounted to $2,438,663, a substantial increase from $688,925 in the same period of 2023[171]. - The company incurred management and advisory service costs of $289,982 for the three months ended June 30, 2024, up from $111,376 in the same period of 2023, representing an increase of approximately 160%[186]. - The company recognized share-based payment expense related to RSUs of $1,140,218 for the three and six months ended June 30, 2024[176]. - The company incurred transaction-related costs of $6,179,179 for the six months ended June 30, 2024, related to the Business Combination[68]. Tax and Compliance - The effective tax rate for the three months ended June 30, 2024 was 4.2%, a significant improvement from (61.2)% in the same period of 2023[170]. - The company was compliant with all debt covenants as of June 30, 2024, and received waivers for the Bancolombia financial covenants effective through December 31, 2024[161]. Foreign Currency and Exchange Rates - The company’s foreign currency translation reserve showed a negative balance of $(21,390,187) as of June 30, 2024[14]. - As of June 30, 2024, the exchange rate for USD to Colombian Pesos (COP) was COP 4,148, compared to COP 4,191 in 2023, indicating a 1.03% appreciation of the USD[36]. - The average exchange rate for USD to Colombian Pesos for the three months ended June 30, 2024, was COP 3,926, down from COP 4,415 in 2023, reflecting a 11.05% decrease[37]. - The average exchange rate for USD to Costa Rican Colones (CRC) for the six months ended June 30, 2024, was CRC 517, compared to CRC 556 in 2023, showing a 7.00% appreciation of the USD[38]. Corporate Governance - The company appointed two new independent directors on July 15, 2024, increasing the total number of board members to seven[196].

Financial Performance - Revenue for the year ended December 31, 2023, was $39.4 million, representing a 23.1% increase from $32.0 million in 2022[76] - Profit for the year ended December 31, 2023, was $7.2 million, down from $11.4 million in 2022, indicating a decrease of 36.8%[76] - Total revenues for the year 2023 reached $39,436,343, an increase of $7,452,776 or 23.3% compared to $31,983,567 in 2022[107] - Profit for the year decreased to $7,156,005, down $4,285,228 or 37.5% from $11,441,233 in the previous year[107] - Total comprehensive income for the year was $25,529,069, compared to a loss of $2,092,499 in 2022[224] - The company reported a profit for the year of $3,139,333 in 2023, compared to $8,028,610 in 2022, indicating a decrease of about 60.8%[226] Revenue Breakdown - The total rental revenue for 2023 was $39.3 million, up from $31.9 million in 2022, marking a 23.4% increase[77] - Revenue in Colombia increased by $2.3 million, or 41.3%, to $8.0 million for the year ended December 31, 2023[108] - Revenue in Peru increased by $0.9 million, or 10.9%, to $9.3 million for the year ended December 31, 2023[108] - Revenue in Costa Rica increased by $3.9 million, or 21.8%, to $21.7 million for the year ended December 31, 2023[108] - Rental revenue reached $39,327,779 in 2023, up from $31,890,569 in 2022, reflecting a growth of 23.3%[224] Operating Metrics - As of December 31, 2023, the operating portfolio consisted of 28 properties with a Gross Leasable Area (GLA) of over 4.6 million square feet and a stabilized occupancy rate of 100%[76] - The average rent per square foot increased to $7.80 in 2023 from $6.88 in 2022, reflecting a growth of 13.4%[77] - The weighted average remaining lease term was 5.3 years as of December 31, 2023, compared to 6.2 years in 2022[77] - Approximately 90% of the leased GLA as of December 31, 2023, served logistics needs for tenants[94] - The company had 77 leases in place, with approximately 67% secured by guarantees or other credit support mechanisms[96] Expenses and Costs - General and administrative expenses rose significantly to $8,508,862, an increase of $3,899,667 or 84.6% compared to $4,609,195[107] - Financing costs surged to $31,111,064, reflecting an increase of $19,344,338 or 164.4% from $11,766,726[107] - Investment property operating expenses decreased slightly to $5,142,950, a reduction of $264,489 or 4.9% from $5,407,439[107] - Other expenses rose to $6,133 million in 2023, compared to $611,000 in 2022, reflecting a significant increase of 901.3%[117] Investment and Development - The company is developing four buildings with an expected GLA of nearly 700,000 square feet as of December 31, 2023[89] - The company has land reserves of 50.6 acres in Colombia and 39.2 acres in Peru, representing 56.3% and 43.7% of total land reserves, respectively[91] - The company targets average yields-on-cost of 200 to 300 basis points above estimates for similar stabilized assets[89] - The company incurred capital expenditures totaling $28.4 million, $41.0 million, and $48.3 million for the years ended December 31, 2023, 2022, and 2021, respectively, related to warehouse construction projects[126] Debt and Liquidity - Net debt as of December 31, 2023, was $231.931 million, compared to $191.085 million in 2022, indicating an increase of 21.4%[120] - Total outstanding debt increased to $269.9 million in 2023, up from $209.3 million in 2022, with 93.81% classified as long-term debt[122] - Cash and equivalents were reported at $(37.923) million as of December 31, 2023, compared to $(18.241) million in 2022, showing a decline in liquidity[120] - The company recognized a loss of $10.290 million in FFO for 2023, compared to a gain of $4.866 million in 2022[121] Governance and Management - The Chief Executive Officer, Esteban Saldarriaga, has been in position since November 2022, bringing extensive experience in investment management and real estate[137] - Annette Fernandez serves as Chief Financial Officer and Chief Operating Officer, with a background in logistics facilities and accounting[137] - The LPA Board currently consists of seven directors, with five appointed and two vacancies, and features a staggered board structure for re-elections every three years[140] - The audit committee is composed of independent directors, including Mr. Lazarus, who serves as chair, ensuring compliance with SEC and NYSE American independence requirements[145] Shareholder Information - As of the date hereof, there are 31,709,747 Ordinary Shares issued and outstanding[151] - Thomas McDonald holds 26,312,000 Ordinary Shares, representing 83.0% of the total[152] - The company has not paid any cash dividends to date, and future dividend payments will depend on revenues, earnings, and financial condition[159] - The company is authorized to issue 450,000,000 Ordinary Shares and 50,000,000 Preference Shares, with a par value of $0.0001 each[161] Risk Management and Compliance - The company has provisions for legal claims based on evaluations by internal and external legal counsel, reflecting a proactive approach to potential risks[158] - The company is not currently involved in any legal proceedings that could materially affect its business or financial condition[157] - The company has adopted the Logistic Properties of the Americas Equity Incentive Plan to attract and retain talent through equity-based awards, although no awards have been granted as of the report date[139] Market and Economic Factors - The average exchange rate for the Colombian Peso (COP) was COP 4,321 in 2023, compared to COP 4,810 in 2022, indicating a depreciation of the currency[237] - A hypothetical 10% strengthening or weakening of the U.S. dollar against local currencies would have decreased or increased profit for the year by $0.3 million and $0.4 million, respectively[206] - The company is exposed to market risks primarily from changes in interest rates and foreign currency exchange rates, without using derivatives for trading purposes[207]