The industrial real estate market Ciudad Juarez and Tijuana It has greater growth opportunities for the coming years, this derived from the behavior that was registered in 2021, assured the firm Newmark.
The company explained that the estimate is also due to the fact that during the past year the large industrial companies showed enormous interest in growing in these two cities on the border between Mexico and the United States, not only because of the geographical location but also because of the detonation of infrastructure. .
Precisely Ciudad Juárez in Chihuahua is attracting several companies due to the ease of access it has to the United States, for example, it has the Zaragoza bridge, adjacent to the Río Bravo industrial park, in the southeast corridor.
Another advantage of the infrastructure of this northern city is the location of the airport and its proximity to several industrial parks, including Panamericana, Aerojuarez and FINSA Airport.
According to the report corresponding to the fourth quarter of 2021 of the industrial market in Ciudad Juárez, during the closing of 2021 this city saw one of the highest absorptions since 2018, at the same time, even with little speculative construction, an activity was registered fury.
In terms of land supply, of the seven industrial corridors that are evaluated in Ciudad Juárez (Central, North, East, West, San Jerónimo, South, Southeast and Southwest), the South presented the greatest availability. The vacancy rate was reported at 0.8%, the lowest in the market in recent years due to little speculative construction.
On the current conditions, the average exit prices have maintained a stable rise, like other border cities, reaching 4.84 dollars per square meter per month in the south of the city. Likewise, increases in BTS-type construction and operations are expected in the first half of 2022.
Meanwhile, Newmark assured that the south of the city of Tijuana is becoming more and more attractive for new investments, thanks to the Boulevard. 2000 and its quick access to Tecate, Rosarito and the commercial port of Otay.
“We will see a growth in the industrial footprint in the Alamar area in the coming years. With the anchor operation of Amazon and other world-class companies such as Jabil and XB Fulfillment, this area has become highly valued, but we will see an increase in its demand with the new OTAY II border crossing, which is forecast to start operations between the end of 2024 and early 2025”, highlighted the report for the fourth quarter of 2021 of the industrial market in Baja California.
At the same time, it is expected that new sub-markets will be generated in areas of Tijuana that previously had no developments; This is due to the fact that absorption fell due to the high demand that exists in the face of such little availability of spaces, while prices remain on the rise and the current construction can only try to meet the requirements.
The Otay-Alamar corridor in Tijuana closed 2021 with the largest inventory (2.1 million square meters) and 100% occupancy; Construction continued to be concentrated on Florido-Blvd 2000 with more than 196,000 square meters under construction and another 100,000 that will begin work at the end of 2021.
The new projects are projected to be ready until the second quarter of 2022, for which a low absorption will be observed.
“Tijuana is in a particular situation: with the United States border to the north, the Pacific Ocean to the west, and the only direction for expansion continues to be the southeast of the city. New developers continue to focus their investment on build-to-spec Class A buildings.
Industrial space rents continue to rise throughout the city, with some asking prices as high as $7 per square meter in East Tijuana. While the sale of industrial land remains in a range between 120 and 150 dollars per average square meter, “which has led to interest for rent by individuals.”