BAJÍO WESTERN www.datoz.com
1Q2022
We are Datoz We combine continuous commercial real estate research with cutting edge software to provide transparency to the industry through impartial and constantly updated market intelligence. Our research team monitors and records real estate activity throughout México, covering 24 markets in the industrial segment, 5 markets in the corporate segment and 3 markets in the commercial segment. Research efforts include field verification activities that reinforce our data precision and provide our researchers with physical evidence to support our monthly market updates. Datoz proprietary software allows users to connect online any time and from anywhere. Our suite of products offers the possibility to search verified available spaces, download property brochures, view details from thousands of lease and sale transactions, customize data-sets, download statistics and indicators in friendly and customizable formats, among many other features.
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Index
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1Q22 Bajío - Western
We are Datoz
1
Index
2
Economic outlook
3
Market location
4
Inventory
5
Vacancy rate
6
Gross absorption
7
Asking and closing prices
8
Construction activity
9
Summary
10
Glossary
11
Methodology
12
Contact information / Privacy policy
13
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ECONOMIC OUTLOOK 1Q22
Economic Outlook According to INEGI (Instituto Nacional de Estadística y Geografía), national industrial activity increased 1.0% in January 2022, compared to the previous month. This is due to the increase in mining sector. However, industrial production had an increase of 4.3% annually.
Employment in the manufacturing industry grew at 2.3% per year as of January 2022, while the monthly rate had an increase of 0.1%, according to INEGI. The first month of the year recorded 4.3 million manufacturing workers, the highest level for a January since records have been kept. In December 2021, consumption registered a 7.4% annual increase, while monthly consumption had a rise of only 1.5%, according to INEGI.
Inflation accelerated in March and reached 7.45%, its highest level in 21 years. This was due to the increase in energy and prices of basic goods, according to INEGI.
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1Q22 Bajío - Western
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Market location
BAJÍO WESTERN
Aguascalientes
San Luis Potosí
Guanajuato Guadalajara
Querétaro
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1Q22 Bajío - Western
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INVENTORY 1Q22
Inventory
The bajío-western region’s total inventory, which includes the markets of Aguascalientes, Guadalajara, Guanajuato, Querétaro and San Luis Potosí, closed 1Q 2022 with a total inventory of 245 million ft2 of GLA, approximately 2.06% more than the same period a year earlier. Guadalajara registered the highest growth in the region with an increase of 3.70% adding 1.9 million ft2 of GLA compared to the same quarter
of 2021, totaling over 53.0 million ft2. The dynamic industrial activity in Querétaro drove its inventory and closed the quarter with 63.3 million ft2.
Ags.
S.L.P
Market Inventory measures the total size of a real estate market taking into account delivered building as well as those planned and under construction from all classes (A, B and C).
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1Q22 Bajío - Western
MARKETS
INVENTORY
Guanajuato
66,033,418
Querétaro
63,299,369
Guadalajara
53,031,929
San Luis Potosí
37,527,310
Aguascalientes
25,098,147
Total
244,990,173
Guanajuato
10%
27%
15%
22%
26%
Guadalajara
*ft2
**Bajío-Western
© Source: Datoz
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Querétaro
VACANCY RATE
1Q22
Vacancy rate
2021
2022
Guanajuato
8.79%
7.81%
San Luis Potosí
8.46%
7.12%
Querétaro
8.13%
6.02%
Guadalajara
3.40%
2.53%
Aguascalientes
1.82%
1.87%
Average
6.12%
5.07%
In the first quarter of 2022, a vacancy rate of 5.07% was recorded for the region, roughly 13.4 million ft2 of GLA, 105 basis points less than 1Q 2021. Market activity in the region continued thriving as a result of growth and recovery of the automotive sector, and to some extent, of the electronics and logistics industries. For this reason, overall vacancy continued falling. Querétaro and Guadalajara sustained the most notable YOY decrease and ended the quarter with available rates of 6.02% and 2.53%, respectively.
Guanajuato
2021
San Luis Potosi
2022 Querétaro Guadalajara Aguascalientes
*Bajío-Western region © Source: Datoz
0%
5%
10%
The ratio of available space to total inventory is described as availability rate.
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1Q22 Bajío - Western
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GROSS ABSORPTION
1Q22
Gross Absorption
MARKETS
1Q-2022
Guadalajara
1,124,021
San Luis Potosí
823,622
Guanajuato
487,055
Querétaro
476,180
Aguascalientes
-
Total
2,910,878
During 1Q 2022, the bajio-western region accumulated 2.9 million ft2 of gross absorption, a 15% drop compared to the same period a year earlier. San Luis Potosí and Querétaro exceeded YOY performance with increases of 147% and 21%, respectively. Gross absorption for the these markets amounted to over 823,000 ft2 for San Luis Potosí and roughly 476,000 ft2 for Querétaro. Strong demand persists for Guadalajara where gross absorption surpassed 1.1 million ft2 for the quarter.
1,200,000 1,000,000 800,000 600,000 400,000 Gross absorption refers to the amount of space leased or sold to and end-user during any given period.
200,000 0 Guadalajara *ft2
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1Q22 Bajío - Western
**Bajío-Western region
San Luis Potosí
Guanajuato
Querétaro
© Source: Datoz
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Aguascalientes
ASKING AND CLOSING PRICES
1Q22
Asking and closing prices
MARKET
ASKING
CLOSING
Guadalajara
$0.47
$0.49
San Luis Potosí
$0.40
$0.35
Querétaro
$0.39
$0.34
Guanajuato
$0.38
$0.35
Aguascalientes
$0.36
-
Average
$0.40
$0.38
As of 1Q-2022, the weighted average asking lease price for the bajío-western region stood at $0.40 USD/ft2/month, compared with a weighted average closing price of $0.38 USD/ft2/month. Asking rates have risen due to decreasing availability and increasing construction costs, although closing rates decreased 8.38% YOY for the region. Guadalajara and Querétaro recorded an increase in asking lease rates and ended the quarter with averages of $0.46 USD/ft2/month and $0.39 USD/ft2/month, respectively. Despite overall regional performance, Guadalajara had YOY increase in it's closing price average.
$0.60 $0.50
The asking price is the rate per ft2 at which a building’s space is offered. On the other hand, the rate at which a space has actually been leased or sold is the closing price.
$0.40
Asking
$0.30
Closing
$0.20 $0.10
*USD/ft2/month **Bajío-Western
$0.00 Guadalajara
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1Q22 Bajío - Western
San Luis Potosí
Querétaro
Guanajuato
Aguascalientes
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© Source: Datoz
CONSTRUCTION ACTIVITY
1Q22
Construction activity
Guadalajara, Querétaro and San Luis Potosí added over 1.0 million ft2 of construction starts. BTS activity has dominated construction in the region with, amounting to 70% of construction starts during 1Q-2022, equivalent to over 690,000 ft2.
Featured projects
PARK
NAME
Construction Activity measures the total amount of construction initiated during any given period including speculative, build-to-suit (BTS) and build-to-own (BTO) spaces.
GLA
OWNER
MARKET
SUBMARKET
American Industries BTS-Confidential
San Jorge Industrial Park
312,153
American Industries
Guadalajara
El Salto
Iamsa Development Group - Terra
Vie Verte Querétaro Ii
170,500
Iamsa Development Group
Querétaro
Aeropuerto
Millenium Industrial Park
53,992
Argo Grupo Industrial
San Luis Potosí
San Luis Potosí
Argo Grupo Industrial - 5000 - 22
*ft2 **Bajío-Western ****GLA (Gross Leasable Area) © Source: Datoz
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1Q22 Bajío - Western
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SUMMARY
1Q22
Summary The bajío-western region ended the quarter with over 245 million ft2 of total inventory. Roughly, 2.06% YOY increase. Vacancy rate was 5.07% by the end of the firts quarter, approximatley 13.4 million ft2. Guadalajara and Querétaro ended the period with 2.53% and 6.02% vacancy. Gross absorption for 1Q-2022 reached 2.9 million ft2. Weighted average asking price for the region was $0.40 USD/ft2/month, higher than the $0.38 USD/ft2/month recorded for the weighted average closing rate. Construction starts reach 1.0 million ft2 during 1Q-2022.
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GLOSSARY
1Q22
Glossary Inventory (ft2): Measures the total size of a real estate market taking into account delivered building as well as those planned and under construction from all classes (A, B and C). Availability rate (%): The ratio of available space to total inventory. Availability (ft2): Measure of the total space available for lease and sale including delivered buildings as well as those under construction and planned from all classes (A, B and C). Gross absorption (ft2): Refers to the amount of space leased or sold to an end-user during any given period. Asking price: The rate per square foot at which a building’s space is offered. Closing price: The rate at which any given space has actually been leased or sold. Construction activity (ft2): The sum of construction starts including speculative, build-to-suit (BTS) and build-to-own (BTO) projects.
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METHODOLOGY
1Q22
Methodology We work with an extensive network of market participants and maintain constant contact to update information on a monthly basis. In this manner, we ensure that key market data comes directly from the professionals involved in diverse activities that affect commercial real estate in each and every market. Our researchers verify all collected data and visit markets regularly to corroborate information that can only be validated through physical surveys and on-site inspections. We continuously work to standardize number formats, calculations and ratios in order to present our results in a simple and comprehensible manner. Once data has been thoroughly verified and meets quality standards, it is merged and loaded unto our database, which in turn compares it against other entries pertaining to the same property and market to validate its place in a building’s historic timeline. Furthermore, our analysts continually review our data-sets in order to proactively amend anomalies and in doing so help maintain the highest standards of quality for real estate data in Mexico.
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Legal notice The material presented in this document by Datoz Real Estate refers to information collected from the market and provided by trusted sources. The contents shall be exclusively informative without legal value or effect or of any other nature, so Datoz Real Estate is not responsible for any damage that results from or may derive from the use or misuse that is made of these contents. For more information about this report or any other investigative material of Datoz consult our website www.datoz.com.
Contact 01 (81) 2721 0850 www.datoz.com Calzada San Pedro No.104-A. Col. del Valle.
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