Spaces to serve electronic commerce boost the industrial market in Mexico City

Mexico is one of the main markets for electronic commerce -also known as e-commerce- in Latin America. It is estimated that, during 2022, more than 48% of the Mexican population purchased goods or services online, according to Statista data.

It is estimated that this upward trend will continue in the coming years, bordering on a 58% market penetration for the year 2025.

As in most of the region, Mexico concentrates a large part of digital purchases in the most dynamic city in the country, the Mexico City.

Only in 2021, 34% of sales were made from the capitalleaving the central west zone in second place with 19%, according to figures from the e-commerce services company BlackSip.

In this context, part of the industrial real estate sector of Mexico City has begun to take shape based on the growth of electronic commerce.

A report from the Solili platform showed that, between January and November 2022, the demand for industrial buildings in the capital was 1.4 million square meterswhich has triggered developers to speed up their projects, locating land with infrastructure.

Thus, at the end of November of the current year, 640,000 square meters of industrial space were under construction, an amount 25% higher than what was built in the same period last year.

E-commerce giants arrive in Vallejo

Before the scarcity of land with infrastructure suitable for the construction of industrial buildings, the developers have opted for the conversion of old spaces that they were already going through functional obsolescence and that they could take advantage of a second opportunity under this modality.

Vallejo represents the best example of conversion, being a traditional industrial corridor located to the north of the city and where the government support It has been key to promoting the establishment of companies.

It should be remembered that this polygon benefits from the Vallejo-i Project Development Planpromoted by the Mayor of Azcapotzalco and the government of Mexico City.

Some of the companies that have opted for this area for their last-mile operations are the giants of electronic commerce and parcels: Amazon, Free Market and Fedex.

The developer O’Donnell has also been part of the transformation of the area, since, at the beginning of December, it announced the acquisition of land on which will invest 116.28 million dollars for a property with 91,000 square meters of leasable area, located in the Gustavo A. Madero City Hall and called O’Donnell Vallejo.

This same company maintains its commitment to the reconversions of other non-traditional last mile runners and explores new locations such as Coyoacán for its 2023 plans.

In short, the metropolitan area of ​​the Mexico City will continue to attract investment throughout 2023 due to the boom in recent years due to the reconfiguration of supply chainswhich will allow it to strengthen its logistics profile as a benchmark at the national level”, confirmed Solili.