The Real Estate Boom in El Bajío Region

The Real Estate Boom in the Bajío Region

El Bajío, nestled in the heart of Mexico, has emerged as a pivotal economic hub, capturing attention for its dynamic growth and promising investment landscape. With a surge in both national and international manufacturing companies setting up operations, the Bajío is not just a manufacturing powerhouse but also a burgeoning hotspot for real estate investment.

What is El Bajío region

El Bajío, translating to "The Lowlands," and is a geographical region situated in Central Mexico. While its boundaries might seem somewhat fluid, the essence of El Bajío is unmistakably defined by its economic dynamism, cultural richness, and historical significance.

When searching for El Bajío on platforms like Google, the results can be varied, reflecting the region's loosely defined geography. However, several states consistently emerge as integral parts of this vibrant heartland:

Guanajuato
Querétaro
Aguascalientes
San Luis Potosí
Jalisco (particularly the areas surrounding Guadalajara)
Michoacán
Zacatecas

These states collectively form the core of the Bajío region, each contributing unique flavors of industrial growth, cultural heritage, and natural beauty, El Bajío offers a tapestry of opportunities and experiences waiting to be explored.

Investment Potential: A Booming Market

El Bajío stands out as the region with the highest real estate growth in Mexico, a testament to its economic vitality and investment appeal. The area's real estate offerings are both vast and diverse, catering to a wide range of investors and sectors.

A significant driver behind this growth is the influx of manufacturing companies, both national and foreign, that have chosen El Bajío as their operational base. This influx has not only bolstered the region's economic prosperity but has also fueled demand for residential, commercial, and industrial properties. Additionally, the region's attractive tourist destinations and job creation initiatives further contribute to its real estate growth, making El Bajío a multifaceted investment destination.

10 key points that make the Bajío region in Mexico a secure investment destination:

Historical Economic Thriving:

The Bajío region, comprising the states of Querétaro, Guanajuato, San Luis Potosi, Aguascalientes, and parts of Michoacán, Jalisco, and Zacatecas, has historically been a thriving center for economic activities. It has consistently outperformed the national average growth rate for the past two decades.

Industrial Real Estate Demand:

Industrial real estate in El Bajío remains in strong demand. Most commercialization is concentrated in light manufacturing and the automotive sector, accounting for over 70 percent of demand.

Nearshoring Trend:

El Bajío benefits from the nearshoring trend, driven by strengthening manufacturing ecosystems. As global clients seek premium industrial parks and facilities, El Bajío has seen increased demand in light manufacturing, automotive, and logistics.

Trade Relations with the U.S.:

Mexico has become the main trading partner of the United States, surpassing China.

El Gran Bajio Alliance:

Local businesses in the Bajío region have formed the El Gran Bajio alliance, aiming to regain the region’s position nationally and internationally. This private initiative integrates leading business people, fosters strategic partnerships, and facilitates entry into new markets

Infrastructure Development:

The Bajío’s economic success is built on years of infrastructure development, investment in education, and security. This attractive model for industry continues to attract investment

Attractive Investment Destination:

The Bajío represents 17.4 percent of Mexico’s national GDP and covers 20.6 million inhabitants. Its strategic location, skilled workforce, and free trade agreements make it an attractive investment destination

Reduced Dependence on Chinese Manufacturing:

The trade war between the U.S. and China has emphasized the importance of diversifying manufacturing sources. Leaving dependence on Chinese manufacturing is a priority, making Mexico an appealing choice for investors.

Strategic Position Post-USMCA Transition:

With the transition from NAFTA to USMCA, free trade in North America continues to offer manufacturing opportunities. El Bajío plays a crucial role in ensuring supply chains.

Touristic appeal:

The Bajío region is home to several Pueblos Mágicos (Magical Towns) and Historical Sites and Architecture, each with its unique charm, which attracts constant tourism to the region.

Touristic Locations of El Bajío

Guanajuato: A Colonial Gem

Capital: Guanajuato
Major Tourist Places: San Miguel de Allende, Dolores Hidalgo

Guanajuato is a state steeped in colonial history and architectural beauty. Its capital city, also named Guanajuato, is a UNESCO World Heritage site renowned for its well-preserved colonial buildings, winding alleys, and colorful houses. Visitors can explore the iconic Callejón del Beso (Alley of the Kiss), climb the historic Pipila Monument for panoramic city views, and attend the famous Cervantino International Festival, a celebration of arts and culture held annually. Nearby, San Miguel de Allende offers another dose of colonial charm with its well-preserved historic center filled with art galleries, boutiques, and Spanish colonial architecture. Dolores Hidalgo, known as the Cradle of Mexican Independence, is famous for its role in Mexico's fight for independence and its colorful talavera ceramics.

Querétaro: Where History and Modernity Meet

Capital: Santiago de Querétaro
Major Tourist Places: Bernal, Tequisquiapan

Querétaro boasts a harmonious blend of historical landmarks and modern attractions. The capital city, Santiago de Querétaro, features a charming historic center with baroque architecture, picturesque plazas, and impressive colonial-era churches. Beyond its historical charm, Querétaro is also known for its thriving wine industry, offering visitors the opportunity to explore vineyards, sample local wines, and indulge in gourmet cuisine. Nearby, the town of Bernal is famous for its towering monolith, Peña de Bernal, a popular spot for hiking and enjoying panoramic views. Tequisquiapan, another nearby town, is known for its quaint streets, traditional markets, and relaxing thermal springs.

Aguascalientes: The Land of Hot Springs and Festivals

Capital: Aguascalientes
Major Tourist Places: Calvillo, Real de Asientos

Aguascalientes, meaning "hot waters" in Spanish, is renowned for its natural hot springs, which have been enjoyed for relaxation and healing for centuries. The state is also famous for its vibrant festivals, most notably the Feria Nacional de San Marcos, one of Mexico's largest and oldest fairs featuring music, dance, rodeos, and cultural exhibitions. Visitors can also explore Aguascalientes' colonial architecture, art museums, and beautiful parks and gardens. Nearby, Calvillo is known for its picturesque orchards and delicious guava sweets. Real de Asientos, a former mining town, offers visitors a glimpse into its rich colonial past with well-preserved buildings and underground tunnels to explore.

San Luis Potosí: Nature's Playground

Capital: San Luis Potosí
Major Tourist Places: Huasteca Potosina, Xilitla

San Luis Potosí offers a diverse array of natural attractions, from dramatic canyons and lush forests to mesmerizing waterfalls and underground caves. The Huasteca Potosina region is a paradise for adventure seekers, with opportunities for hiking, rafting, and exploring breathtaking natural landscapes. In addition to its natural beauty, San Luis Potosí boasts historical sites such as the colonial-era city of San Luis Potosí and the ancient ruins of La Ciudadela. Nearby, Xilitla is famous for its surreal Edward James Surrealist Garden, a unique collection of sculptures and structures set amidst the lush rainforest.

Jalisco: The Birthplace of Tequila and Mariachi

Capital: Guadalajara
Major Tourist Places: Tequila, Chapala

Jalisco is synonymous with Mexican culture, being the birthplace of two of Mexico's most iconic exports: tequila and mariachi music. Visitors can tour tequila distilleries in the town of Tequila, learn about the agave cultivation process, and sample the country's famous spirit. In Guadalajara, the state's vibrant capital, visitors can immerse themselves in the lively atmosphere of mariachi performances, explore historic landmarks, and indulge in delicious regional cuisine. Nearby, Chapala is Mexico's largest freshwater lake and a popular destination for water sports, fishing, and relaxing lakeside activities.

Michoacán: A Land of Natural Beauty and Cultural Heritage

Capital: Morelia
Major Tourist Places: Pátzcuaro, Uruapan

Michoacán captivates visitors with its stunning natural landscapes, including the volcanic peaks of Paricutín and the tranquil shores of Lake Pátzcuaro. The state is also rich in cultural heritage, with indigenous communities preserving ancient traditions and crafts such as the famous Day of the Dead celebrations in the town of Janitzio. Visitors can explore colonial cities like Morelia, with its impressive cathedral and historic center, and indulge in Michoacán's delicious regional cuisine. Nearby, Pátzcuaro is known for its picturesque island of Janitzio, traditional handicrafts, and vibrant Day of the Dead festivities. Uruapan, often referred to as the "avocado capital" of the world, offers beautiful waterfalls, lush forests, and opportunities to taste fresh local avocados.

Zacatecas: A UNESCO World Heritage Treasure

Capital: Zacatecas
Major Tourist Places: Guadalupe, Jerez

Zacatecas is a state brimming with cultural and architectural treasures, earning its capital city a spot on the UNESCO World Heritage list. The city of Zacatecas enchants visitors with its stunning pink stone buildings, winding cobblestone streets, and historic landmarks such as the majestic Cathedral and the iconic El Eden Mine. Beyond its architectural beauty, Zacatecas offers cultural attractions like museums, theaters, and festivals celebrating the state's rich history and traditions. Nearby, the town of Guadalupe is famous for its colonial architecture and religious pilgrimage site, while Jerez is known for its lively festivals, traditional music, and delicious regional cuisine.