Q1 Leasing Renewed Amid Low Demand, Monterrey 7.5% Vacancy
Key Questions
What is the current vacancy rate in Monterrey?
Monterrey reports a 7.5% vacancy rate, equivalent to 9 million square feet, tempering the nearshoring boom. Strong absorption is expected to keep end-2025 vacancy below 10%.
How has leasing activity performed in Q1?
Cresa reports slowed new deliveries but renewed leasing activity, though demand lags supply. Prologis highlights strength with same-store cash NOI up 9.9% and GAAP NOI up 10.7% year-over-year.
What economic pressures are affecting the industrial market?
Q1 GDP contracted by 0.8% with manufacturing weakness, leading to rising vacancy and availability in CDMX despite rent increases per Newmark. Bodycote's Apodaca heat treatment facility signals ongoing auto demand.
Cresa Q1 slowed deliveries/renewed leasing, demand lags supply; Monterrey 7.5% vacancy (9M SF) Bodycote Apodaca auto signal; Newmark CDMX rents up rising vacancy/availability; Prologis NOI +9.9-10.7% rent power tempers Q1 GDP -0.8% manuf weakness.