FIBRA Prologis Industrial Corridors Presentation slide image

FIBRA Prologis Industrial Corridors Presentation

Mexico Logistics Real Estate Fundamentals¹ DEMAND (T12M) VS SUPPLY PIPELINE (MSF) Mexico City DEMAND VS SUPPLY (MSF) Mkt Vacancy 48 44 1.2% 40 VACANCY (%) 8 36 Monterrey 1.1% 32 6 1.3% 28 Guadalajara Juarez 2.6% Reynosa Tijuana 0 5 10 15 20 Net absorption LTM BTS Spec 1.3% 24 16 12 2222220 + 4 8 0.8% 0 2013 14 Completions Net Absorption 22 2023F Vacancy Rate Sources: Prologis Research with information from Solili, CBRE. 1. Note: Defined as modern logistics market, inclusive of only those facilities with advanced functional features and/or superior locations, deemed to be competitive with Prologis. Data as of September 30, 2023 Sources: Prologis Research Note: Completions equate to supply while net absorption is equivalent to demand 2 4 10 FIBRA PROLOGIS • • • Market vacancy of 1.3%, near historical lows We expect increasing demand due to supply chain reconfigurations and limited supply caused by enhanced supply barriers to continue driving high occupancies and rent growth Market rent growth in 2023 will reach +15%; we now forecast +10% rent growth for 2024 given the rapid rise in replacement costs. Nearshoring in Northern Mexico and e-commerce adoption are the main drivers of demand 7
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