Monterrey Industrial Market
Monterrey industrial vacancy fell to 7.5% at the close of 2025, a decrease from 7.8% in the prior quarter but higher than the 4.5% recorded one year ago. The vacancy rate is expected to continue its downward trend as market demand reactivates. Net absorption reached 0.2 million SF in 4Q25, contributing to an annual performance that remains steady despite a decrease in space under construction, which ended the year at 7.3 million SF. Submarket activity was highlighted by significant lease transactions in Cienega de Flores and Apodaca, including a 241,100 SF lease by Ulsee and a 221,700 SF lease by Dana.
The total market inventory reached 120.5 million SF by year-end 2025. Average asking rents stood at $7.84 USD/SF/Year, with an upward trend expected due to the delivery of new Class A speculative inventory. Economic fundamentals in Nuevo León remain strong, with the state recording 4.2% economic growth in 2Q25 and accounting for 10.1% of Mexico’s Foreign Direct Investment as of 3Q25. Performance in the automotive sector was particularly notable, with 7.5% growth in light-vehicle production through October 2025. A narrowing gap in new supply is anticipated as construction levels have decreased from the 11.1 million SF seen a year ago.
Download Monterrey Industrial Market Report 4Q 2025