Mexico’s commercial real estate boom helped boost the economy throughout 2016 but 2017 will test its strength and endurance. With most of its transactions carried out in US dollars and with the 2016 interest rate hikes – along with those predicted for 2017 - the economic environment might place some pressure on the thriving sector. To ensure sustainable growth, developers and the public sector must work closely together to foster the development of cities. Mexico City, once the most demanded city for offices, is now at its lowest occupancy rates in the last 10 years. Mixed-use developments reduce risk by combining shopping malls, offices and residential buildings in one place but if not planned correctly, these could form economic islands within cities.

This chapter provides an inside look at Mexico’s real estate sector through the eyes of the country’s most successful and ingenious developers.

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