October 28, 2020 | #DatozByDatoz
“We believe that industrial real estate has definitely been less hit than commercial real estate in Mexico. Additionally, we expect its recovery to be speedier in comparison to other industries. However, we have indeed seen temporary halts on certain new projects both for companies in search of industrial land as well as investors building speculative spaces, but fortunately this has not triggered the definite cancellation of grand-scale projects. In fact, we are certain the recovery will commence in Q3 this year and it is possible we see the stabilization of the industrial activity in Q4 2020”, mentions Mr. Sergio Mireles Montaño, Founder of Datoz.
He reveals that construction within the industrial sector, both speculative and build-to-suit buildings, fell by 27% during the first six months of the year in comparison to the same period in 2019. “If we look solely at speculative buildings, which are the spaces investors build to commercialize later, construction data shows the drop is even steeper, 31%. The drop can be attributed to the fact that investors and developers have been extra cautious, but also to the 2-month long government-imposed halt, as the activity was not considered essential.”
He adds that during the second trimester of the year, which coincides with the lockdown months, industrial space rentals fell by 35%. “But, in fact, there is still the possibility that several of the projects that were put off during the first semester, make a reality during the second half of 2020.”
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