LPA Injects $200M in Hidalgo to Capture Demand Where Space Is Scarce

Logistic Properties of the Americas (LPA) is redirecting capital toward Mexico with an investment of nearly $200 million in Class A industrial assets in Tepeji del Río, Hidalgo, as part of a strategy to concentrate on logistics corridors where demand is already established.

The transaction was structured as a forward purchase agreement with Fortem Capital, under which LPA will progressively acquire assets within Central Park 57, an industrial park located along the Mexico–Querétaro corridor, with a total projected development of approximately 195,000 square meters.

The structure allows the company to grow with lower exposure to construction and absorption risks by incorporating stabilized properties.

This strategy is supported by a capital recycling program, through which the company plans to divest between $50 million and $100 million in assets in Peru, Colombia, and Costa Rica, while maintaining an operating presence in those markets. As such, the move suggests a reconfiguration of the portfolio toward geographies with stronger logistics viability.

In 2025, LPA increased its revenue by 14.3% and its NOI by 11.9%, while its portfolio operated at near full occupancy, and Mexico began generating income within the platform.

Currently, the country represents a still limited share of LPA’s portfolio—around 4% of its gross leasable area—and a marginal contribution to its results—approximately 1% of revenue and around 4% of NOI—with rental levels below the portfolio average and a limited contribution to asset value. In that sense, the Tepeji transaction marks an inflection point in the scale and relevance of the country within its regional strategy.

This is taking place in an expanding market. Hidalgo currently has more than 560,000 square meters of Class A and B industrial space, with an occupancy rate above 95%.

Over the past year, inventory in the region grew by nearly 18% with the delivery of almost 90,000 square meters—double the growth recorded a year earlier—in a phase of expansion that began in 2023. During that period, absorption advanced at a compound annual rate of 17%, with virtually no tenant turnover and a sustained 5% annual increase in asking rents, which now exceed $7 per square meter per month, according to SiiLA data.

Today, LPA is betting on Mexico—and doing so in markets where demand is already strong, and availability is limited. At that point, the decision shifts from where to anticipate growth to where it can be realized immediately. That is where capital enters: not to create demand, but to capture the demand already pressing against available inventory.

To learn more about these dynamics, visit SiiLA Market Analytics or contact us at contacto@siila.com.mx.