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SMI - GERAL Q4 2025
+3.25 % 370.88
=
INCOME RETURN
+2.22 % +
APPRECIATION RETURN
+1.03 %
USD / MXN
+0.29 % 17.32
GDP (Quarterly, Millions)
-1.24 % 29,325,765.23 PTS
CPI
0.00 % 4.45 PTS
Reference Rate
0.00 % 6.50 PTS
Closing IPC
0.00 % 68,261.17 PTS
UDIs
0.00 % 8.84 PTS

Recovery of the Commercial and Corporate Real Estate Market Will Be Gradual: Fibra Danhos

  • FIBRA Danhos anticipates a gradual and time-consuming commercial and office real estate recovery following pandemic-related challenges.
  • The company aims to mitigate the impact of the pandemic, maintain acceptable occupancy levels, and adapt to changing market demands, including the shift towards remote work and reduced foot traffic in shopping malls.

FIBRA Danhos is preparing for a recovery of the commercial real estate market in Mexico. Photo: Real Estate Market & Lifestyle
FIBRA Danhos is preparing for a recovery of the commercial real estate market in Mexico. Photo: Real Estate Market & Lifestyle
03/10/2021
FIBRA Danhos, a real estate trust specializing in commercial and office development and leasing, recognizes that the recovery in this sector will be gradual and take time. The pandemic had a significant impact on their operations, as they were forced to temporarily close shopping centers and some businesses opted for remote work arrangements. 

In their recent financial report, the CEO of FIBRA Danhos stated that they see a hopeful future, primarily due to the ongoing vaccination efforts. However, they are fully aware that the recovery process will be gradual and require time. They remain committed to taking all necessary measures to mitigate the pandemic's impact and maintain acceptable occupancy levels given the circumstances.

The owner of Reforma 222 and Toreo Parque Central disclosed a decline in overall occupancy rates. In the last three months of 2020, the occupancy rate decreased to 86.5%, representing a reduction of 567.9 basis points compared to the same period in 2019. Vacancies were observed in office spaces such as Torre A de Toreo and Reforma 222 in Mexico City, where lease contracts for approximately 25,000 square meters were not renewed. Additionally, shopping mall foot traffic decreased by 52.8% compared to 2019, and the average duration of visits declined due to the impact of the COVID-19 pandemic.

Pablo Monsivais, a strategist at Barclays brokerage, commented that the ultimate impact of the pandemic on office spaces remains unclear. It is probable that there will be a decrease in demand for office spaces as tenants move towards a hybrid work model, combining office and remote work. This shift is expected to result in lower demand for office spaces in the future.

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Founded in 2015, SiiLA is the industry leading REsource for comprehensive commercial real estate market insights, news and events across Latin America. The SiiLA suite of innovative products drive greater accuracy, efficiency, and strategic advantages for top players in the commercial real estate industry.

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