Mexico's Gross Domestic Product (GDP) closes the third quarter of 2024 breaking the slowdown that had characterized the last year. According to data published by INEGI, GDP experienced an annual growth of 1.5%, reflecting a slight recovery of the Mexican economy.

At the end of November 2024, the national industrial inventory was 103.5 million square meters, reporting an annual increase of 11%. The market has a wide offer in industrial infrastructure and has a vacancy rate of 2.9%, equivalent to 3 million square meters ready to be occupied throughout the country.

Industrial investments continue to rise, as demonstrated by the accumulated demand figure at the end of November 2024, which reached nearly 5.9 million square meters, a figure that is 15% higher than that recorded during the period from January to November 2023.

More than 70 new investments boosted industrial leasing activity nationwide during October and November, reaching a total of 860 thousand square meters occupied. The Monterrey industrial market led the demand during the two-month period, registering a total of 199 thousand square meters. Mexico City was in second place, with a demand of 189 thousand square meters, while third place went to the Guanajuato industrial market, which reported an occupation of 84 thousand square meters.

The eight industrial markets that make up the northern region of the country concentrate 50% of the national demand, with a total of 430 thousand square meters. In turn, the industrial markets of the Bajío region contributed 22% of the national occupation, registering a total demand of 189 thousand square meters.

The vacancy of industrial spaces totaled 100 thousand square meters, reporting stable figures, similar to those recorded in November 2023. The markets with the highest volume of vacated space were Mexico City and Monterrey, accounting for 39% and 20%, respectively, of the vacancies nationwide.

Industrial construction nationwide continues to rise and concludes the month of November 2024 with 5.8 million square meters. During the months of October and November 2024, 697 thousand square meters of new industrial properties were started, with Monterrey standing out by concentrating nearly 47% of the new projects.

The deliveries of October-November 2024 registered a total of 817 thousand square meters of industrial buildings that finished construction and entered the national inventory. The Monterrey and Guadalajara markets experienced the largest increase in inventory as a result of the volumes of new supply, with more than 140 thousand square meters added in each.

Industrial property rental prices continue to trend upward, closing the month of November with an average of $6.97 USD/m²/month, which represents an annual increase of close to 20%. Mexico City reports the highest rental prices nationwide at $9.20 USD/m²/month, while the Guanajuato market offers the most competitive prices at $5.00 USD/m²/month.

The outlook for the end of the year remains encouraging, driven by growth in demand and industrial construction, which demonstrates investor confidence. Annual industrial leasing has already surpassed 2023 levels, which is a clear indication that the market is adapting to the new needs of key sectors such as e-commerce, manufacturing and logistics. With expanding inventory, diversified supply and growing demand, the industrial real estate sector is poised to close 2024 on a strong note.