We strive to identify cities that have the potential to benefit immensely from the projects we develop. Many areas in Mexico have a population with high purchasing power but a lack of entertainment areas and commercial offer. It is a major area of opportunity for us as we are the only ones developing such innovative mixed-use developments outside of Mexico City. It is also much easier to develop large projects in smaller cities because Mexico City suffers from a lack of space, oversaturation and the area is also undergoing the political transition from a city to a state. The idea of anchor stores is changing. Now, stores like H&M are just as important as more traditional anchor stores such as Liverpool and Palacio de Hierro. In the past, commercial centers would have to chase anchor stores and now we are reversing this phenomenon thanks to our successful track record. It is also essential to offer high-quality gastronomical choices and entertainment options.
The government’s goal was to make private vehicles only one of many options for transportation, fostering the implementation of carpooling when possible. To do that, we needed to invest in sustainable mobility with safe, connected and quality public transportation. This included more space for mobility options like Metrobús and Ecobici, enough space to promote the use of private bicycles and sustainable buses to replace the current minibus fleet. We also balanced the use of private and public transportation in Mexico City by publishing new parking standards in July 2017. One of these standards eliminated the obligation for parking space delimitation in new developments in an effort to better organize the city’s parking layout. Many international studies show that bad planning of parking lots and an excess of them can lead to additional traffic. These standards are the most important the city has published in recent years.
We are interested in at least 12 major cities in Mexico as they have a high concentration of services, which tends to attract the younger demographic and Millennials. In much the same pattern we have seen in the US in the last five years, we are seeing a new preference in Mexico for renting rather than owning. There is a much greater drive toward lifestyle and the 24-hour city wherein people want to be closer to work and create more convenience. The population is more mobile and less willing to commit, there are more single person households, with people delaying marriage and parenting. As a result, for the same population, now there is a requirement for 40-60 percent more houses because people are living alone or with roommates rather than in large family units.