Mexico City, May 4 – Mexico City is experiencing a significant shortage of available industrial space amid continuously growing logistics demand. With a vacancy rate of only 3% to 4% in the metropolitan market, the lack of available land has prompted companies and developers to repurpose existing properties into urban distribution centers, according to data from Spot2.mx.
E-commerce Fuels Demand for Urban Logistics
This transformation is occurring simultaneously with the sustained expansion of e-commerce in Mexico. In 2025, Mexico surpassed 77 million online shoppers, with sales reaching 941 billion pesos, representing an annual growth of 19.2%, as reported by the Mexican Online Sales Association (AMVO).
In response, the market has begun to reuse underutilized factories, warehouses, and corporate buildings to address the demand for last-mile delivery within the city. These interventions include modernizing infrastructure, improving maneuvering yards, incorporating automation, and subdividing spaces for various logistics operators, as analyzed by Spot2.mx.
“Last-mile delivery has evolved from a differentiator to an operational necessity. Today, companies prioritize locations that allow them to reduce delivery times and bring inventory closer to their customers. In many cases, modernizing a well-located asset is more efficient than developing new inventory on the periphery,” stated Vianey Macías, Head of Market Research at Spot2.mx.
Demand Peaks Strain Logistics Operations
Pressure on logistics infrastructure intensifies during periods of high demand. For instance, during Mother’s Day, one of the year’s most significant commercial dates, the demand for logistics services can increase by up to 9.4%, with an average 8% rise in delivery volume throughout that week, according to a SimpliRoute report.
This behavior places greater pressure on delivery times and necessitates adjustments in routes, inventory, and distribution schemes. Some companies have opted to integrate technological tools to enhance operational efficiency and cost control in high-pressure scenarios, SimpliRoute noted.
“The value is no longer defined by the size of the property but by its position within the urban area, and that is rewriting the rules of the market,” Macías affirmed.
Urban Industrial Market Transformation
This scenario is further complicated by a transformation in the configuration of the urban industrial market. Traditional corridors are beginning to specialize based on their proximity to consumption zones and connectivity. The scarcity of land is also promoting schemes such as vertical logistics in multi-story buildings, which maximize the use of available land, according to Spot2.mx.
The combination of limited space availability and recurring demand peaks is shaping a logistics environment increasingly reliant on location, the adaptability of properties, and operational efficiency in a city where last-mile distribution is consolidating as a central component of economic activity, the Spot2.mx analysis concluded.
