Towards the end of the second quarter of 2023, gross industrial demand in Mexico City managed to accumulate 380 thousand square meters during the first 5 months of the year, which represents 16% of the national total.

With an annual decrease of more than one percentage point, vacancy in the country's capital reached 1.6% at the end of May 2023, this being its lowest level in the last five years since the Solili real estate platform monitored this market.

Of interest: Industrial Report May 2023, demand and construction triple with respect to the same period in 2022

This scenario advances with almost 510,000 square meters of projects still underway, where a significant portion of them corresponds to large surfaces that exceed 20,000 square meters and the vast majority are Class A. Cuautitlán, Tultitlán e Ixtapaluca concentrate most of constructions in progress.

The construction activity in 85% of speculative projects, so the rate of progress once the work begins is activated with greater force when closing some pre-lease, where the tenant already negotiates with the developer not only the surface but terms of endowments , finishes and installations fully adapted to your production process.

In turn, large stores have been the most demanded by tenants so far this year and here logistics, storage operations and some light manufacturing processes that favor Mexico City over other potential markets stand out.

For their part, rental prices continue to rise and at the end of April 2023 the average for the capital registered $6.8 dollars per square meter per month, although corridors such as Cuautitlán, Iztapalapa y Vallejo handle prices above average.

The concurrence of large industrial developers who seek to position themselves with the incorporation of new land with an industrial vocation anticipates a 2023 where there will be important movements to start projects and changes in the portfolios of investors.

Check here: Campus Cuautitlán I Industrial Park inaugurated

At the end of May 2023, Fibra Macquarie announced a joint venture on a project in Cuautitlán where it will participate with 37.2 million dollars, which is equivalent to 82% participation. The operation involves the lease of a 47.3 thousand square meter industrial project made up of two buildings in this important metropolitan area of Mexico City.

Fibra Prologis also highlighted that it will invest 400 million dollars since it requires new space to attend to the relocation of companies from Asia and mainly explores border markets such as Monterrey, Tijuana y Ciudad Juárez, although it could also incorporate the search in Mexico City.

The State of Mexico is and will continue to be key in promoting industrial real estate development, which is why we will see the incorporation of new non-traditional areas of extension of the urban march that will allow it to consolidate itself as the first logistics center in the country.