The supply and demand in the office sector are important factors in determining average rents in a market. In terms of total inventory, or the total amount of office space available in the two cities, the numbers are quite similar. According to SiiLA Market Analytics, the São Paulo market has more than 8.6 million square meters of office properties from classes A+, A, and B. The Mexico City market is close 2nd, with 8.31 million square meters. With regards to vacancy, SiiLA reports São Paulo and Mexico City ended the year with a similar proportion of empty spaces in the inventory. The São Paulo office vacancy for 4Q22 was 22.06% with Mexico City at 21.58%.

It is important to note that these two factors, supply, and demand affect the market rent price of office space along with other variables such as property location, size and layout, services, and amenities. 

 If you're considering opening an operation in one of these important Latin American capitals, it's crucial to understand what your fully loaded occupancy costs will be. In the case of São Paulo, based on the parameters described above, we can estimate an approximate cost of USD$15.22 per square meter, taking into account an exchange rate of R$5.15 to USD$1. The estimated value is based on data collected by SiiLA, which allows us to calculate an average market rent per square meter for the office sector. In Mexico City, the average market rent recorded in Q4 2022 was USD$22.89 per square meter.