Monterrey leads Mexico’s industrial real estate market

Driven by growing demand for world-class industrial infrastructure, Monterrey has established itself as Mexico’s most dynamic and robust industrial real estate market.

This sustained growth of industrial parks in Monterrey in recent years is due to a strategic combination of factors: proximity to the United States, implementation of the USMCA, and the accelerated global trend of nearshoring.

These conditions position the state as a highly attractive destination for both domestic and foreign investment, especially for companies looking to expand or upgrade their operations with modern, well-connected, and competitive industrial spaces. The data supports this trend.

Monterrey as a benchmark for industrial investment attraction

According to El Financiero, based on data from CBRE Group, Monterrey posted strong indicators at the close of Q1 2025, demonstrating notable infrastructure maturity and solidifying its position as one of Mexico’s leading hubs for productive investment.

Among the most relevant data is a gross absorption of 2.4 million square feet, marking a return to pre-pandemic commercialization levels.

This momentum has been driven by the growing trend of nearshoring to Mexico, the strengthening of foreign trade, and the demand for industrial spaces from key sectors such as manufacturing and logistics.

Analysis of the Monterrey industrial real estate market – Q1 2025

• Net absorption:41 million sq ft - reflects sustained real demand, even after accounting for vacancies. This confirms market stability and ongoing interest from end-users.
• Gross absorption:4 million sq ft - represents the total industrial space leased or sold during the quarter, highlighting market dynamism and consistent space turnover.
• Total inventory: 176 million sq ft - positions Monterrey as the largest industrial market in Mexico, offering ideal conditions for large-scale logistics, manufacturing, and export operations.
• Annual inventory growth: +10.9 % - signals developers’ strong commitment to the region, ensuring modern, competitive space availability for expanding companies.

According to the JLL Industrial Report Mexico, Monterrey led the country’s industrial real estate market in 2024, capturing 34% of national demand for Class A and B facilities. This performance was driven by several key competitive advantages:

• Strategic location: Close to Laredo, Texas, the busiest commercial border crossing in North America.
• Skilled workforce: A large pool of qualified labor in manufacturing, logistics, and engineering.
• Robust infrastructure: Includes two international airports, over 620 miles of rail, and extensive national and international highway connectivity.
• Local supply chain: A mature industrial ecosystem with complete supplier networks serving the automotive, aerospace, appliance, and medical sectors.

Source: JLL Industrial Report Mexico

Escobedo industrial park: A new standard for modern industrial spaces

One of the standout examples of Mexico’s new generation of industrial developments is Escobedo Industrial Park by Frontier Industrial, located in Monterrey’s northern industrial corridor.

This development has emerged as an ideal location for companies in sectors such as light manufacturing, auto parts, aerospace, plastics and chemicals, as well as logistics and distribution.

Why is it attractive to companies?

Both domestic and international companies can capitalize on the current momentum of Monterrey’s industrial real estate market thanks to the following advantages offered by Escobedo Industrial Park:

• Class A industrial buildings for lease, LEED-certified and ready for immediate operation.
• Exclusive infrastructure for only two buildings, within a secure, gated environment.
• Shovel-ready land spanning 12.5 hectares, with utilities such as power and water already in place.
• Access to skilled labor: direct connection to nearby residential areas and technical institutions.
• Build-to-Suit (BTS) options allow for customized facility design based on specific technical requirements, ensuring operational efficiency from day one.

Learn more about Escobedo Industrial Park in the video below:

This industrial park aligns with the current needs of global companies seeking operational certainty, flexibility, and rapid deployment.

Today, industrial parks in Monterrey are setting the benchmark for the future of advanced manufacturing, international logistics, and specialized real estate development, not only in Mexico but across Latin America.

With projects like Frontier Escobedo, the region proves its capability to attract both domestic and foreign investment through modern, cost-effective, and ready-to-operate solutions.

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