The coming year holds a bright future for Mexico's industrial sector. So far, SiiLA has recorded 433 industrial warehouses scheduled for delivery throughout the country in 2024. These warehouses, totaling over 10 million square meters combined, represent a 12% increase in the national industrial real estate market's gross leasable area (GLA). More projects are set to join this trend, especially in the context of Mexico potentially closing the year with record levels of foreign direct investment, as per data from the Mexican Economy Secretariat. This investment drives demand for industrial and logistics spaces, providing an additional boost to industrial project expansion.

To better grasp the significance of this wave of projected industrial warehouses for the next year, it's essential to note that Mexico has been incorporating an average of 150 industrial warehouses per quarter over the past three years, equivalent to a quarterly growth of nearly 2.2 million square meters. The GLA of the new registered industrial warehouses already surpasses this quarterly average growth, underscoring the forthcoming growth in the industrial real estate sector next year.

This substantial growth offers a significant opportunity for investors and developers. It also highlights Mexico's importance in the global supply chain and its attractiveness as a destination for industrial and logistics infrastructure investments. As we approach 2024, the industrial real estate market is emerging as a fundamental component of the Mexican economy and an indicator of the dynamism of its business sector.

Industrial Warehouses Leading the Way in 2024

Quality infrastructure, technological innovations, and strategic location will continue to characterize the offering of industrial warehouses in Mexico.

According to SiiLA, approximately 95% of the industrial GLA scheduled for development and delivery in 2024 is Class A, with an average size of 23,000 square meters. However, it's worth noting that most projects fall within the size range of 10,000 to 20,000 square meters.

These findings reveal a trend toward constructing larger industrial warehouses, typically designated for large-scale logistics and manufacturing operations. Additionally, there is a focus on flexible spaces with advanced technologies, offering spacious and efficient areas and sustainable and secure features to meet modern business expectations. This could be indicative of the evolution of the industrial sector in Mexico, which tends to diversify its operations, including advanced logistics, distribution centers, and data centers, among others.

Regarding location, SiiLA data indicates that northern Mexico will continue to lead the industrial market expansion, especially in Monterrey, which accounts for approximately a third of the developments projected for 2024. However, Mexico's central and Bajio regions will remain crucial for businesses, with significant last-mile destinations like Mexico City and manufacturing and transportation & logistics regions like San Luis Potosi, Guadalajara, Guanajuato, and Queretaro.

SiiLA is a leader in intelligent solutions for Latin America's commercial real estate market. Our team of researchers collects quarterly data on industrial, office, and retail assets in Mexico to analyze trends and assist our clients in making more informed investment decisions. For further information, visit our website or contact us at contacto@siila.com.mx.