Mexico’s office real estate sector continues to consolidate its recovery, ending 3Q25 with higher occupancy, falling vacancy rates, and rent growth fueled by business confidence and macroeconomic stability. According to Solili’s 3Q25 Office Market Report, greater economic certainty and the Bank of Mexico’s recent interest rate cuts have boosted corporate confidence, leading to new leasing decisions across the country.
By the end of September, Mexico’s total office inventory reached 17.6 million m2, expanding by nearly 200,000m2 year-over-year. About 8,000m2 of new supply entered the market during the quarter, primarily in Queretaro, which accounted for 87% of new deliveries.
The national vacancy rate declined to 16%, or 2.8 million m2 available, down 150 basis points from the same period in 2024. The decline was widespread, led by Mexico City, which reduced vacant space by 168,000m2, followed by Monterrey and Guadalajara, which posted decreases of 43,000 and 19,000m2, respectively. Only Queretaro, Merida, and Tijuana recorded slight increases in available inventory.
Office demand surged between July and September, with gross absorption reaching 325,000m2, twice the volume of a year earlier. The strongest activity occurred in Mexico City, Monterrey, and Guadalajara, where leasing rose by 100%, 69%, and 54%, respectively. During the first nine months of 2025, national occupancy totaled 707,000m2, up 18% compared with 2024.
Despite the robust demand, new developments are advancing at a measured pace. Office space under construction stands at 1.2 million m2, similar to last year’s level. Only Merida reported new project starts, adding 3,000 square meters. Construction activity remains concentrated in Mexico City (57%), followed by Monterrey (16%), Guadalajara (8%), and Tijuana (6%), the latter distinguished by its rapid vertical growth.
National average rents reached US$20.34/m2. Tijuana remains the most expensive market at US$22.10/m², followed by Mexico City (US$21.10/m²) and Merida (US$19.60/m²). More affordable options are found in Leon (US$9.60/m²), Puebla (US$15.00/m²), and Queretaro (US$15.80/m²).
Overall, rents grew 2% year-over-year, supported by stronger demand. Merida led with a 20% increase, followed by Queretaro (+8%) and Guadalajara (+7%), while Leon was the only market with a decline (–19%), reinforcing its position as Mexico’s most cost-effective destination.
With sustained absorption, falling vacancy, and recovering rents, Mexico’s office market is moving toward equilibrium. Although developers remain cautious about new projects, resilient demand and a more stable economic outlook suggest an optimistic close to 2025.