Five benefits of leasing industrial space
Leasing or acquiring real estate has always been a dilemma for companies looking to set up or expand their operations. However, leasing industrial space is a better option than purchasing it.
Given the above, this article will analyze the benefits of leasing and the industrial space’s distribution in Mexico by relevant zones.
Industrial space leasing benefits for your company
1. Financial certainty and operating costs reduction
Through leasing, companies enjoy greater liquidity as they do not have the pressure of having to make a down payment. Moreover, this decision helps calculate fixed operating costs and avoid surprises that could jeopardize them.
2. Flexibility on the needs of change or expansion
If the company foresees or experiences rapid growth, one alternative is to analyze the possibilities of expansion within the same space considering the scalability needs. Another leasing benefit is to change the location at the end of the contract, something not very feasible when the property has been acquired.
3. Possibility of access to a Class A industrial building
These industrial buildings are characterized by their compliance with international standards regarding the safety of operations.
They usually have firefighting equipment and reinforced concrete facilities for certain activities, and are more convenient.
Most of them have an office area and LED lighting, which increases their value and that of the investment. This, a plus in a leasing contract, entails a greater financial effort for companies that decide to acquire this type of space.
4. Simplification of procedures
In Mexico industrial spaces, the tenant company has access to the benefit of simplifying specific procedures and permits, either through an intermediary or through a direct agreement with the leasing company. It is enough to pay the leasing fee, process the license, and arrange the necessary basic services.
5. Customer service
A good real estate provider will have a customer service office to handle infrastructure operation, maintenance of the common areas, and exterior. Hence, tenants will not have to worry about anything outside their work.
Mexico’s industrial space distribution
The situation of the industrial real estate market differs depending on the region. There are 13 major industrial spaces in Mexico1 that pose specific needs and challenges for developers.
Northern Mexico
The northern border, where markets such as Tijuana and Ciudad de Juarez are located, is characterized by the scarcity of quality vacant space. This is the result of the high demand for industrial space, which in turn is caused by the area’s strategic location.
Saltillo and Querétaro
Unlike other industrial spaces in Mexico, they are experiencing a decrease in demand, which leads to higher availability and affordability for companies looking for space to set up or expand operations.
Monterrey, Guadalajara and CDMX
Despite the vacancy experienced in the pandemic, the leasing cost in these locations remains stable and demand steady thanks to the strategic importance and industrial development of three of the country’s major cities.
Mexico’s leading industrial spaces
At Advance Real Estate, we are aware of the changing scenario that several industries face and, above all, of the different needs of each country’s region.
Therefore, we have industrial parks in the Bajio, North and Central regions of Mexico. All of them are tailored to each company operational requirements, suitable to respond to market conditions and to provide our customers with the efficiency and security they need in these uncertain times.
Information source:
- thelogisticsworld.com/almacenes-e-inventarios/12-recomendaciones-que-debes-conocer-antes-de-rentar-una-nave-industrial
- blog.frontierindustrial.mx/compra-renta-naves-industriales-pros-contras
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