The year 2023 that just ended leaves behind a growth in industrial demand that registered a slower pace than that reported in 2022, with a contraction of almost 21%. It was a period of rising interest rates, although they did so at a slower pace than in previous periods, and that, together with inflation with more controlled rates, partly favored credit to support industrial construction in our country.

Industrial construction in Mexico reached close to 5.6 million square meters by the end of the year, which represents a figure 5.7% above that reported at the end of 2022. However, the main industrial markets in the country such as Monterrey, Mexico City and Saltillo maintained increases well above the average with 20%, 36% and 24%, respectively.

Check here: Industrial demand in Tijuana exceeds half a million m² in 2023, 40% above 2022

The construction industry in general is equivalent to 133 billion dollars, an estimated figure for 2023, which represents 7.6% of the national GDP, in turn made up of three subsectors, such as: building, specialized construction work and engineering works. civil or heavy.

On the other hand, another indicator such as industrial vacancy reached 1.97% at the end of Q4 2023, which is key to projecting the next movements that we will see in demand and construction.

A recent report from Prologis Research identified seven key trends for the industrial real estate market by 2024 in the United States and Latin America.

In principle, a reversal of the global recession in freight transport could be anticipated, thus streamlining land and port traffic. Another trend that he sees for 2024 is the slowdown that could occur in industrial construction, at the same time that industrial rental prices will continue to advance until reaching double digits in those markets where vacancy is exhausted.

Of interest: Industrial supply in Ciudad Juárez rises above the national average at the end of 2023

The fourth trend is the acceleration of annual demand in China that will lead to overcoming the excess supply of recent years and the fifth has to do with technology, especially artificial intelligence that will increase energy requirements in logistics facilities, incentivizing double solar capacity in warehouses.

The last two projections correspond to financial issues such as the fall in interest rates, which will facilitate real estate financing. And, finally, the movements in capitalization rates are expected to reverse, decreasing the cost of capital in the United States and Europe, but will increase in Japan as monetary policy tightens in the latter, which affects movements in investments.