Ciudad Juárez has been one of the few markets on the Mexican border that has managed to reverse the decrease in its vacancy since April 2023 to stand at 2.7% at the end of October.

Part of this change is activated by the response of the developers who maintained the pace of industrial construction between 450 and 527 thousand square meters, during the last year, which implies that if part of the works were completed, as many others entered that allow a movement that does not stop in terms of constructions.

Check here: CDMX maintains the pace of industrial investments, reporting 536 thousand m² under construction

If we consult the Solili platform in mid-November, construction is progressing on 11 spaces that group 405 thousand square meters, of which 67% are available with options ranging from 18 to 36 thousand square meters.

The new industrial offer concentrates more than three quarters in the Southern submarket, which is consolidated as the epicenter of industrial growth in Ciudad Juárez, incorporating 277 thousand square meters into the city's inventory during the penultimate quarter of 2023.

With the record of an increase in rental prices in the order of 16% and with the possibility of existing supply, it could be projected that demand will maintain its growth possibilities so far in 2023 and during the first quarters of 2024.

Ciudad Juárez between January and October 2023 accumulates 236 thousand square meters of gross herd but is still very far from the figure reached in the same period of 2022, which would be justified by the limited supply that this market presented. 

That is to say, the tenants who were inclined to choose this market often did not have the options they demanded for their expansions or new locations, so they ended up migrating to other markets in northern Mexico.

At the end of the second quarter of 2023, the Ministry of Finance and Public Credit declared that in Ciudad Juárez the areas under construction of industrial sites increased by 152.3% annually during the period.

Of interest: Guadalajara's industrial vacancy rate exceeds 2% during October 2023

These growth projections make the start of speculative projects attractive for developers in Ciudad Juárez, which reaches one of the highest percentages nationwide with 84% of the projects that were built at the end of the third quarter of the year.

Towards 2024, greater activity is projected resulting from multiple expansions that already include companies installed in this prominent border market.