FIBRA STAY Investor Presentation September 2018 1 1 Disclaimer - PowerPoint PPT Presentation

FIBRA STAY Investor Presentation September 2018 1 1

Disclaimer This presentation has been prepared with information of different subsidaries of Hoteles City Express, S.A.B. de C.V. (“HCITY" or the "Compay") . The presentation is not intended to be exhaustive and does not necessarily include all the information the receiver should want to be informed of the Company. The forward-looking statements contained in this presentation are based on the current assumptions and outlook of the Company’s management. Actual results, performance and events may differ significantly from those expressed or implied in these forward- looking statements as a result of several factors such as the general and economic conditions in Mexico and abroad, interest and exchange rates, future renegotiations, pre-payments of liabilities or loans denominated in foreign currency, changes in laws and regulations, and general competitive factors (regionally, nationally or internationally). All communications, inquiries and requests for information related to these materials should be directed to the contacts listed below. Santiago Mayoral Álvarez Corporate Finance and Investors Relations Tel: +5255 5249-8067 smayoral@Hotelescity.com 2

Content Section Hoteles City Express Today 1 Section Fibra Stay Description 2 Section Competitive Advantages 3 3

Section 1: Hoteles City Express Today 4

Fastest Growing Hotel Chain in LatAm Historical Chain Growth Installed Rooms 17,797 15,228 13,702 11,944 +25.6% 10,929 9,326 8,092 6,973 5,562 4,991 3,836 2,850 2,173 1,542 1,061 586 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 Number of Hotels 5 10 15 20 26 35 45 50 62 71 82 96 106 123 135 157 Opening first Launch of Launch of Launch of First international Launch of Initial Public hotel in San Jose, Follow-On Offering Costa Rica 5

139 Hotels Distributed Among the Main Economic Drivers for the Region Maquila and logistics San José, Costa Exports Corridor (NAFTA) Rica Mining Corridor Oil and Energy Corridor Agricultural Exports Corridor (NAFTA) Colombia Manufacturing, Logistics and Industrial Exports Corridor (NAFTA) Chile Hotels in Operation 6

One Brand and Five Successful Products to Serve our Market Segment Description • Flagship Brand • City Express • Budget segment • Extended stay • City Express • Essential product located in brand brand product within city amenities Premium locations • Same quality • Apartment-style downtowns with • Economy segment within smaller layout Premium decor rooms 23 m 2 (248 ft 2 ) 23 m 2 (248 ft 2 ) 17 m 2 (183 ft 2 ) 30 m 2 (323 ft 2 ) 23 m 2 (248 ft 2 ) Average Room Size MXN $1,000 – MXN $ 1,800 – MXN $750 – $1,700 MXN $600 – $1,200 MXN $500 – $750 Average Daily Rate $1,500 $3,000 (ADR) USD $35 - $70 USD $30 - $45 USD $45 - $85 USD $ 55 - $80 USD $95 - $165 Rooms per Hotel 100 – 150 70 – 150 105 – 134 26 – 120 35 – 80 # of Hotels (1) 87 17 22 11 2 # of Rooms (1) 10,135 2,275 2,476 658 147 Market Segments Target ADR (MXN) Room Distribution by Brand > $1,700 4% 16% $800 - $1,700 14% 65% $500 - $800 7 As of June 2018 (1)

Leading Position in Limited Service Hotels in Mexico Number of Hotels by Chain in Mexico As of June 2018 157 133 112 62 50 46 44 40 35 34 30 21 HCE Marriott Starwo Number of Hotels by Brand in Mexico As of June 2018 Select Service Limited Service 101 72 62 55 50 33 32 29 29 21 17 17 17 15 14 13 14 14 12 11 11 7 Source 1. Euromonitor, quarterly reports and websites 8

Fragmented Industry that Presents Consolidation Opportunities Hotel Supply – Fragmented and Dominated by Hotel Demand – Driven by our Target Customers Independent, Non-Standardized Hotels Breakdown of Independent and Branded Hotels Occupied Room Nights by Guests ’ Nationality Independent Chained 2017 (% of Rooms) Domestic 2017 (% of Occupied Rooms) International 100 100 100 100 100 100 17 Target 19 37 25 62 Segment 66 83 82 75 63 38 34 1 - 4 Stars 5 Stars All Hotels United States Brasil Mexico Hotel Rooms in Mexico by Number of Stars Tourism Spending in Mexico (Tourism GDP) 2017 2017 Mainly independent., family operated, non- standardized hotels subject to substitution 199,438 199,335 13% 158,613 136,537 International Tourists Domestic Tourists 75,212 87% 5 Stars 4 Stars 3 Stars 2 Stars Others 48% of Total Rooms in Mexico Source: INEGI, Ministry of Tourism, Ministry of Communications and Transportation, JLL, PwC, Euromonitor. 9

Tourism Sector in Expansion in Mexico Adequate Absorption of Installed Capacity that Translates Positive Trends on Tourist Arrivals into Increasing Occupancy Passenger Arrivals to Airports Index Hotel Occupancy Index Base 2008 (2008 = 100) Base 2008 (2008 = 100) 160 160 North North Center North Center North Center Center South South 140 140 +8.1% +8.9% 120 120 100 100 80 80 60 60 2008 2009 2010 2011 2012 2013 2014 2015 2016 2008 2009 2010 2011 2012 2013 2014 2015 2016 Source: Elaboration and seasonality adjustments by Banco de México with respect to data from the Tourism Ministry of the Federal Government and Airports and Auxiliary Services. 10

HCE Key Business Segments Hoteles City Express A B Company with Asset Ownership Operating Company (PropCo) (OpCo) 11

HCE Key Business Segments (Cont’d) Hoteles City Express A B Company with Asset Ownership Operating Company (PropCo) (OpCo)  Owned Hotels  Franchise contracts with hotels  Co-Owned Hotels  Management and Operation contracts with hotels  Leased Hotels  Distribution and Digital Market Platform with 80% of reservations by own channels  Assets registered under net historic value for MXN $8.9 Billion  Yield Management systems based on forecast models, technology, culture and market information  Landbank of MXN $382 Million in real time  Development Pipeline of MXN $8.6 Billion (2018-  Investments in innovation platforms and technology 2022) of distribution and operation of rooms  Contributes with ~80% of Total Revenues (No  Brand recognition and leverage due to geographic IFRS) diversification  Contributes with ~20% of Total Revenues (No IFRS) 12

Section 2: Fibra Stay Description 13

FSTAY Structure HCE Investors Management FIBRA Fee (in market terms) Service Provision Servicios Comerciales y Administradora Promoción de FHCE, S.C. Trust 2 Hoteles SA de CV Trust 1 Fee (in Trust 3 market terms) HCe Guests (Other hotels) Contract 34 Hotels 8 Hotels Lodging + FB (Other hotels) Flow Comisión Lodging + FB Mercantil FB Food and Beverages Agency Servicios Centrales de Cobranza Hotelera SA de CV Lodging FIBRA Initial Portfolio FB FIBRA Initial Portfolio Operation Operadora de Hoteles City Express SA de CV Fee (in market terms) 14

Sustainable Recycling Capital Vehicle FSTAY can take advantage of its relationship with HCE to Public Investors create a sustainable growth cycle Capital CBFIs Resources Provides capital for hotel construction Capital Raise Develops and operates hotels Has the obligation to offer stabilized hotels FSTAY to FSTAY before anyone else Buys Receives Assets from Other Market Participants 15

Use of Resources Potential Growth 2019 - 2022 72 Geographically Diversified Pipeline 2019-2022 Potential Projects in Mexico Investment Scheme Owned 40 Co-Owned 16 Managed 16 Leased 0 Franchise 0 Total 72 Geographic Area North Border 13 Bajio Region 14 Metropolitan Areas 20 Center 5 Pacific 7 Energy Corridor 7 International 0 South 6 Total 72 Potential Projects 2019-2022 16

Section 3: Competitive Advantages 17

FSTAY Competitive Advantages Best in Class Diversified and Established Portfolio Robust Operating and Financial Performance Operation by a Leading Hotel Brand in LatAm Region Significant Growth Potential Based on a Disciplined Acquisition Strategy and Access to Development Pipeline on a Proven Business Model Internally Managed with Incentives Properly Aligned Towards Investors and Total Transparency Conservative Capital Structure and Debt Profile 18

Best in Class Diversified and Established Portfolio Portfolio Development Portfolio Development by Brand # de Hotels 42 35 31 29 25 23 21 18 14 12 9 8 5 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 Ce Cs Cj CP Key Points Hotels developed and operated by Hoteles City • Express under the highest quality standards. Assets strategically located in regions with high • demand for lodging by business travelers and with growth potential. Established Portfolio of hotels – All the assets have • at least 24 months in operation, and 83% has 36 months or more. No discrimination criteria in addition to compliance with the average stabilization period. 19