In the last months of 2021, the whole world had to find a balance between its economic recovery and the containment of the new variants of Covid-19.

For its part, Mexico has maintained the dynamism that it had prior to the pandemic in recovery, where the economy grew 2.7 percent annually.

Despite this, in 2020, the country suffered a contraction of 8.3%, so that the average growth of 5.59% that was estimated by Banxico, could be part of a rebound effect.

Thus, a price hike is expected during the year, favored by external factors such as: the withdrawal of stimuli, as well as the low growth projection for the United States Federal Reserve (FED).

For the real estate sector, real estate activity in some segments has remained in reverse slowdown. On the other hand, other branches, such as industrial, have taken advantage of the change in consumption, which enhances their resilience and transformation.

In Solili's 4Q2021 reports, the Mexican industrial real estate inventory achieved an average growth of 5%, a market that found strength thanks to its competitiveness and dynamism.

Entities such as Guadalajara, Mexicali, Saltillo and Querétaro, obtained greater increases in the year, with inventories of 7 and 10 percent. However, in absolute terms, Ciudad de México y Monterrey remain in the top positions.

Check here: Guadalajara reported a significant increase in demand in 2021

In terms of prices, the markets reported an increase, influenced by the pressure generated by low availability rates, the increase in the price of construction materials, among others.

Therefore, markets such as CDMX reported increases of more than 50 cents in the rent of industrial spaces. Tijuana, due to its shortage of vacancies, was the market with the highest increase in rents, of up to one dollar per square meter at the end of the fourth quarter of 2021.

The scarcity of available spaces in various markets, the impulse that the demand obtained during the year and the increase in tailor-made projects, meant that the construction of the country will increase.

Consequently, Mexico, in 2021, closed with a total of 3.7 million square meters. The leading entities in construction were Monterrey with 935 thousand square meters, Mexico City with 742 thousand square meters and Tijuana with 435 thousand square meters.

The industrial market closed with increasing inventories, prices trending upward, while demand showed historical levels in some markets.

Consequently, at the end of 2021, an annual figure of 6.6 million m² was obtained, which is 70% more than in 2020.

In 2021, Monterrey became a leader at the national level, this due to differential characteristics such as: logistics connectivity, security and support from the authorities, which allowed gross demand to exceed one million 400,000 m² per year.

Of interest: Fourth wave of the covid will not stop investment in industrial buildings in Nuevo León

Due to the relocation of production processes, Mexico was favored, due to its proximity to the United States. Likewise, the consolidation of regional supplier bases worked as a driver for border and shoal companies, which obtained adjustments of up to 2.5 percentage points.

The logistics market showed favorable figures for Mexican developers that incorporate new technologies in large storage areas. Therefore, Mexico City, Guadalajara and Tijuana installed new distribution centers that exceed 50 thousand square meters.

This year the trend is expected to continue to rise. However, factors such as the increase in prices of raw materials, the scarcity of inputs and government regulations will be those that will define the course of the country.

In Solili you can consult industrial warehouses available in Ciudad Juárez, Guadalajara y Guanajuato

Original note