Case Study: Medical Manufacturing


Our client, a  leader in the medical device manufacturing field, had been looking for a new Mexican manufacturing plant for six months.

The Situation

They had looked in Mexicali Tijuana Rosarito and Ensenada. They could not find a facility that would meet their needs. They contacted  Maquila Properties regarding site selection and construction of new clean room facilities.

Challenges Involved

Our clients needed approximately 40,000 ft.² to get started, yet knew that they would need over 140,000 ft.² within a few years. They needed a property that met their needs, worked with their budget and allowed for necessary expansion.

The Solution – How We Helped

Through our numerous connections in this region, Maquila Properties was aware of a new project under construction in the Mesa de Otay area.   This project was owned by a large U.S.- based Real estate investment trust which gave them lower-cost financing allowing them to not only construct the very expensive clean room improvements but to forgo rent on the majority of the 140,000 ft.² building for almost 2 years.


Our knowing the market paid off for our client. Most Mexican landlords would not have given free rent on 100,000 ft.² square feet of property even with a long-term lease. However the US REIT amortized the cost of the tenant improvements as well as the free space over the 10 years of the term.