At the end of the second quarter of 2022, Reynosa registered a growth momentum in industrial net demand of almost 75 thousand square meters in a market where developers such as Parks and Prologis stand out among the main ones.

The constructions have been activated with more than 170 thousand square meters that advance to satisfy the demand that is inclined towards this frontier market.

Custom-made projects or BTS dominate new constructions in a market marked by manufacturers of relocation processes that seek advantages of better costs and proximity to demand in Mexican territory. Several of the projects being built are expansions of established operations that already know the advantages of being located in this market.

Another consideration is that the BTS are associated with more precise and particular specifications of an operation between developer and tenant that, under an inflationary scenario, tends to go through adjustments of the original budgets where it is decisive to finish the works on time and specifications to comply with the agreed agreements. .

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This construction environment goes hand in hand with vacancies that have been adjusting downward, quarter after quarter, closing at 2Q 2022 with 1.6%, which implies an annual contraction of two percentage points. When we analyze the history of the entity, the highest vacancy was registered in April 2021 with 4.46%.

Therefore, the industrial vacancy has pushed up rental prices and closes in June 2022 at $3.81 dollars per square meter per month, indicating an increase of 5.5% in annual terms.

The  Airport-Pharr Bridg submarket registers the highest rental price with $4.84 dollars per square meter, focused on its important geographical location advantage.

Now, if we do the analysis only for class A projects that are under construction and that have available space, the price rises even more, reaching almost $5.0 dollars per month per meter, since these new prices incorporate the increase in building materials.

The availability of industrial warehouses has been decreasing and currently, when consulting the Solili platform, eight options stand out with sizes ranging from 3.7 to 15 thousand square meters, all of them Class A.

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Prices have increased in part because the operations that are closed quarterly correspond to Class A vessels and where the increase in direct costs for materials such as steel and cement have impacted the starting prices in a market where vacancy has reached historical lows. .

The remainder of 2022 will continue to present the requirements where, although manufacturing predominates, logistics is also present with announcements such as that of the North American company dedicated to e-commerce XB Fulfillment, which in May 2022 declared that it is preparing an investment of 60 million dollars for an industrial park to be installed in Reynosa. 

This new investment in a space of 67 thousand square meters will increase the movement of goods between Mexico and the United States and will impact employment in the region.

Faced with this reality, developers refine their analyzes and detect opportunities in the face of an evident condition that indicates the need to produce more industrial facilities that allow a return to a balance between vacancy and rental price.