In the first five months of the year, the gross industrial demand reported by the three markets that make up the Baja California region, is already 105% higher than that registered in the same period of 2022, registering 380,000 square meters, according to data indicated by the platform. Solili.

In Tijuana we observe that the demand covers sizes from 5,000 to 43,000 square meters, while in Mexicali the range is further expanded with warehouses from 1,000 to 34,000 square meters. So far this year in Mexicali, demand is concentrated in manufacturing activities, while in Tijuana we observe a wide spectrum where the food, automotive, logistics, packaging, electronics, and medical device sectors participate.

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Both Tijuana and Mexicali have managed to reverse the decline in their vacancies and close in May 2023 with 1.6% and 3.4%, respectively. In the case of Tecate, practically zero vacancy reports half a percentage point, being one of the lowest percentages nationwide.

Part of these results is due to a significant number of works under construction that have been meeting the planned delivery schedules, although a significant proportion corresponds to speculative projects that are traded prior to the settlement, so the decrease in vacancy has not been greater.

Once again, this region is facing a scenario of scarcity of land with an industrial vocation, mainly concentrated in the traditional submarkets of Tijuana, which has benefited Tecate y Rosarito, which make up the submarkets that would allow the extension of the urban sprawl.

The lack of space to build industrial complexes is leading developers to evaluate new schemes such as vertical development in light manufacturing industries, as recently proposed by the Mesa Otay Industrial Association.

The initiative could be applied to food, beverage, textile, footwear, medicine and cosmetics companies, among others, whose production processes could be adapted to a multi-level operation. This challenge involves working hand in hand with the local planning authorities in order to adapt the resulting net profitable areas to current regulations.

Of interest: Industrial Report May 2023, demand and construction triple with respect to the same period in 2022

Although each of these three markets handle different sizes, the amounts under construction exceed the values reflected in the last year, in each of them. At the end of May 2023, in Tijuana, 585,000 square meters of industrial buildings were in progress, while in Mexicali and Tecate we found 185,000 and 23,000 square meters, respectively.

Towards the end of the second quarter of 2023, the Baja California region will maintain its participation between 15 to 16% of the total national gross demand, being one of the most favored due to its proximity to more developed markets behind the American border, as is the case of San Diego and Los Angeles.