Absorption

 

In Queretaro, the arrival of new investments attracted the industrial increase, which has led to the construction of new production plants.

 

According to the specialized firm NAI Mexico, the size of the state's industrial market is 2.89 million square feet giving a “Vacancy” of 11 %, the largest sub-market with the largest North with 46 %, being the submarket with greater availability and absorption of the entity.

 

In the first half of 2017, 11 transactions were recorded, giving a gross absorption of 650,399 square feet; 82 % of the transactions are Class A and Class B inventory ships; 10 % of the closures are of BTS and 9 % of expansions. Of the 650,399 square feet, 90 % of transactions were for rent and 10 % for sale.

 

The North was the sub-market with the highest absorption. In the first half of the year, 5 transactions were recorded, giving 298,691 square feet, 80 % of which were carried out in the North sub-market. They were inventory buildings, accounting for 29 % of the transactions. The main clients installed in Queretaro in the first half of 2017 were Ishimitsu, ABC Group and Mann + Hummel.

 

The submarket that followed it with greater absorption was the submarket north 32 %.

 

Availability

Marcos Alvarez, NAI Mexico's national director of market intelligence, explained that Queretaro availability has 26 Class A and Class B available spaces, giving a total of 2.56 million square feet, of which 2.13 million square feet are Class A and 433,218 square feet are Class B buildings.

 

For its part, El Marques is the submarket with the highest availability of Class A and B buildings, with 50 %, or 1.43 million square feet. The next sub-market with greater availability of buildings is North with 40 %, which corresponds to 1.19 million square feet.

 

In low-rise buildings for inventory ships, there would be 9 buildings, giving a total of 785,152 square feet; North is the submarket with 34 % of the market for buildings under construction.

 

INDUSTRIAL DEVELOPERS

The industrial real estate market in Queretaro maintains a firm step with the objective to increase the number of new complexes occupied thanks to the arrival of new companies to the State.

 

The industrial developer Advance Real State, focused on the creation of real estate projects with presence in several entities in the center of the country, ensures that the industrial real estate market in Queretaro is one of the most competitive in the country, there is the participation of developers with proven experience during Many years, founded in different corners of Mexico and consolidated against different adversities.

 

This makes it possible to solve more competitively the challenges that any type of investment or industrial project locally can generate. This advantage that today has benefited us all who are looking for new projects and challenges, as well as growth and expansion throughout the country. Regardless of the political and economic environments external threats,” said Hugo Mandujano, commercial director of Advance Real State.

 

Regarding the behavior of the industrial property market of Queretaro in this first half of the year, indicated that there has been a greater participation of companies that are focused on the domestic market, much more than on the export market. Among the sectors that have demanded more industrial spaces are: Electrical, Electronic, Paper and Cardboard, Logistics, Retail, Pharmaceutical, Food and Beverages as well as Aeronautical and Tooling for Manufacturing.

 

“Most of the projects we have dealt with are in the logistics sector 3PL, Retail, Food and Beverages or Paper. Decreasing the proportion of projects related to the automotive sector,” said the director.

 

It should be noted that Advance Real State has four industrial developments, such as: The Queretaro Innovation Technology Park, Sendero Business Park, Conin Business Park and the Advance Queretaro Industrial Park.

 

The commercial director said that among the challenges of the industrial real estate sector is the speed of understanding the edges of each of the projects of the new sectors of opportunity that are presented in the market and generate competitive solutions to remain as key element for its productivity.

 

“To focus on providing a better attention to the requirements of the projects of the aforementioned sectors and thus be able to continue giving competitive advantages to the industries that at this moment continue to increase their participation in the national market,” said Hugo Mandujano regarding Expectations for the second half of this year.

 

NATIONAL ENVIRONMENT

 

Absorption

Due to global economic conditions, the first half of 2017 compared to the first half of 2016 presents a 25 % difference in the country's absorption.

 

According to NAI Mexico, the size of Mexico's industrial market grew by 14.30 % more compared to the first half of 2016; the size of the industrial market in Mexico is now 530.69 million square feet giving a Vacancy of 5.29 %.

 

The main submarkets with the largest industrial market in Mexico are: Monterrey with 19 % and Mexico City with 16 %, since those are the two main cities with greater availability and absorption of the country.

 

Marcos Alvarez, NAI Mexico's national director of market intelligence, said that in the first half of 2017, 165 transactions were recorded all over Mexico, giving a gross absorption of 17.09 million square feet, 50 % of the transactions being inventory Class A and class B, 43 % of the closures are of BTS and 7 % of expansions.

 

Of the 17.09 million square feet, 70 % of the transactions were for rent and 30 % for sale.

 

Guanajuato was the market with the highest absorption in the first semester, accounting for 33 transactions, giving 4.14 million square feet, 78 % of the transactions carried out were the BTS taking 78 % of transactions. This is derived by the automotive manufacturers that were installed in the Bajio, which they are bringing to their suppliers.

 

The main customers installed in the first half of 2017 were Kromberg, Pirelli and UGN.

 

Meanwhile, the most followed markets in Mexico were the submarkets of Monterrey and Mexico City with 16 % of the market. Mexico City is the industrial market with the largest distribution center in the country with clients such as: Elektra, Liverpool and VF Outdoor; Conmet, Brembo and Master Logis expansions were installed in Monterrey.

 

Absorption by country

The country that brings the most industry to Mexico is the United States of America (U.S.A.,) with 63 companies, taking 39 % of the market. They are present in 14 submarkets of the country, being the City of Mexico where more U.S. companies are installed.

 

Mexico is the second country with more U.S. companies installed, with 31 transactions, being 21 % of the market and having a greater presence in the sub-markets of Mexico City and Monterrey; the next countries with the greatest presence are Japan with 11% and Germany with 8 %, having a greater presence in the sub-market of Guanajuato.

 

Absorption by industry

The industrial sector with the largest presence in Mexico is the automotive sector, with 34 % of the market and 58 transactions in 10 submarkets in the country, with Guanajuato and Saltillo having the largest transactions.

 

The next sector is the logistics sector, placing it in the country's 14 sub-markets. Mexico City is the submarket with the largest logistics companies installed.

 

The metal-mechanic sector has 12 transactions installed, with Monterrey being the submarket with the largest companies of this sector.

 

Availability

NAI Mexico indicated that our country has 303 available spaces class A and class B giving a total of 25.61 million square feet, of which 17.45 million square feet are class A and 8.18 million square feet are class B buildings.

 

Monterrey is the submarket with the highest availability of class A buildings with 17 %, which represents 3.64 million square feet; the next sub-market with the highest availability of Class A buildings is Mexico City, with 11 % of 2.67 million square feet, and Guanajuato with 10 %, equivalent to 2.50 million square feet built.

 

In low-rise buildings for inventory buildings, there are 56 in all of Mexico, giving a total of 7.85 million square feet; Mexico City is the submarket with 34 % of the market for buildings under construction, representing 10 buildings, and is 2.66 million square feet in this submarket.

 

The buildings constructed are approximately 250,000 square feet; Monterrey is the next sub-market with greater construction, being 13 buildings, giving a total of 1.83 million square feet and taking 23 % of the market in buildings under construction.

 

Mexico and Monterrey are the cities with more availability and construction in the country since those are the submarkets with greater absorption.