The results for the first quarter of the year show a positive behavior in the market industrial real estate of the areas of Shallows Y Guadalajaraso its behavior in the short term could be at the level of the dominant regions in this regard, many of them located on the northern border of the country.
In the first quarter of 2022, the gross absorption of space industrial real estate in the area of Shallows reached 83,000 square meters (m2), which represented an increase of 23% compared to the same period last year, detailed CBRE Mexico.
Although the net absorption industrial real estatethat is, the new rented space in the entire region was 2% below what was reported in the first quarter of 2021, with 51,000 square meters, some corridors in particular have shown greater demand.
“Guanajuato and Querétaro were the markets with the highest demand for industrial space, as of Q1 (first quarter) 2022, both entities concentrated 69% of the net absorption, mainly by manufacturing companies”, detailed CBRE Mexico in its results.
In the case of San Luis Potosí, which registered 31% of the demand, the search for space derived from the automotive industrial demand, while in the case of Aguascalientes, the demand for 4,000 square meters corresponded to contract renewals.
“With the gradual recovery of the economy and the reactivation of construction activity, it is expected that the expansion of the logistics companies that arrived in the region in the last 12 months will continue and that light manufacturing and the automotive industry will demand space. industrial in the region,” highlighted CBRE Mexico.
According to the firm, this area of the country stands out for the following characteristics:
- Logistic advantages.
- Qualified workforce.
- Park infrastructure industrial in the Bajio.
The expectation is that in the remainder of this year the commercialization of space industrial in the markets of Guanajuato, Aguascalientes, Querétaro and San Luis Potosí, accelerated hand in hand with the expansion of companies located in the region.
Data from the Ministry of Economy indicated that last year the Bajío region added 31,621 million dollars of Foreign Direct Investment, an amount 13% higher than in 2020, and that it represented a proportion of 10% of the total received by the country.
“El Bajío has been characterized in recent years by the expansion of companies already installed in the region, Querétaro stands out as the market with the most diversity of tenants industrial in manufacturing, while in Guanajuato and San Luis Potosí they stand out for attracting investment from the automotive industry.
“In addition, in the context of the health emergency due to Covid-19 and in view of the national growth of electronic commerce, data and logistics centers have become important in the demand for space. industrial”, detailed the CBRE analysis.
According to published figures, currently the vacancy rate (availability) is 4.3%, the lowest figure since 2018, with Aguascalientes as the corridor with the least available space, with 3.3% of its empty space, while Guanajuato recorded the highest availability offer, with 4.7% free space.
Warehouses under construction
Currently, the Bajío area mainly reports Built to Suit (BTS) projects under construction, since of the 268,000 square meters under construction at the end of the January-March period of this year, 60% corresponds to industrial ships built with features requested by their tenants.
Regarding deliveries, CBRE estimated that it will be in the next nine months when these projects in development enter the market.
It should be noted that, at the end of the first quarter, the Bajío market reported a total inventory of 12.9 million square meters, equivalent to an annual increase of 2 percent.
“The markets with the highest inventory growth were Querétaro and Guanajuato, these being the ones that concentrated close to 60% of the new supply.”
Guadalajara, the strong neighbor
Close to the Bajío region, but independently, the industrial ships of Guadalajara advance in the allocation of space, as well as in the offer of new projects, according to the results presented by Solili.
In what corresponds to the net demand, that is, discounting the space that was vacated, in the first three months of 2022 the figure reached 133,000 square meters, the second highest figure in the last four years, only after the 186,000 m2 of the first quarter of 2021.
Gross demand in the first quarter was 100,000 square meters, mainly due to demand from logistics and retail companies, as well as from the food and beverage industry and hand in hand with the manufacturing industry.
“One of the advantages of this market is that the larger projects on the El Salto corridor were negotiated in times of controlled inflation, so they can currently compete and take advantage of attracting potential tenants to their options,” he explained. Solili.
A positive reduction
In February of last year, the market industrial real estate Guadalajara reached a vacancy rate of 6.4%; however, at the end of the first quarter of this year, the indicator fell to 2%, making it one of the largest contractions recorded at the national level.
“Sustained demand has been the engine of the strong construction momentum where at the end of 1Q 2021 works are progressing for more than 160,000 square meters, the vast majority being located on the El Salto corridor, represented in eight industrial shipsof which only three have available space”, Solili elaborated on the improvement in the empty space indicator.
Thus, at the end of the first quarter, the rental price per square meter was 5.06 dollars, an amount 5.5% higher, compared to January-March 2021.
In this way, according to Solili’s analysis, the Jalisco market seeks to compete by absorbing construction costs, despite the fact that these have skyrocketed in recent quarters.