Overdemand for industrial spaces from Tijuana to Matamoros
El Economista | July 11, 2022 |

From Tijuana to Matamoros there is an excess demand for industrial spaces and what is being built already has customers, however, the interruption of the supply chains of some materials causes a cost increase of between 30 to 40% that has generated delays in delivery, Sergio Reséndez, regional director at Colliers' Monterrey office, told El Economista.

He pointed out that the increase in materials has nothing to do with general inflation, which is almost 8%, "here we are talking about inflation of between 30 and 40%, in steel, concrete and materials for industrial buildings."

A bottleneck is formed by excess demand and delivery times. The developers have the capital, but they are not going at the required speed, he explained.

“There is an increase in prices that has not been seen for a long time and is a reflection of the combination of inflation and excess demand. it is a bottleneck in all the northern states, everything that is being built already has customers and this generates jobs, because many companies turn to see Mexico, the drawback is that the arrival of materials takes longer than expected, and delivery dates cannot be given,” said the manager.

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All imported materials are affected and the construction of a building that was previously delivered in six months now takes 8 to 9 months.

According to data from the consulting firm Solili, in the first quarter Monterrey ranked first in demand for industrial space with 623 thousand square meters, with the Apodaca submarket concentrating a large part of the demand last year, having 41 % of inventory in its industrial parks.

Nuevo León, like other border states, is facing the opportunity for companies from Asia or Europe to settle down to be closer to its main client, which is the United States.

In the entity's industrial parks, most companies have treatment plants to recycle water, and are making significant investments to install dry toilets and urinals, which do not use water, but instead use chemicals. What worries them is having water available for cleaning, to avoid diseases, he explained.

"A good part of the companies feed on water from wells, which is not drinkable, it is harder, with a lot of minerals, which they do not put into the supply network," said Sergio Reséndez.

The industries most affected by water scarcity are food and manufacturing, on the contrary, distribution centers and storage warehouses are considered dry operations, they use non-potable water, the problem is that there is a shortage of treated water, and the cost of pipes has almost doubled.

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He trusted that in August or September the recovery of the dams will come and will teach us the value of water, he stressed.

In short, the factors that investors take into account when deciding to install their plants have to do with having water, electricity, natural gas; air, sea and rail transport, where the demand for the products is, all that influences.

For example, in Nuevo León and other semi-desert points in the north of the country, companies that are large consumers of water are not installed, these companies are located in Veracruz, Tabasco, Oaxaca where there are higher flows. In the lowlands they currently have serious energy and security problems, he added.

In Solili you can consult industrial warehouses available in Saltillo, Tecate and Mexicali

Original note


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