São Paulo
In the 1st quarter of 2023, the corporate real estate market in the city of São Paulo maintained its total office stock at 11.79 million square meters, with no delivery of new corporate developments during the period. However, there was an increase in construction activity, with 549,000 square meters under construction. Additionally, the vacancy rate showed a significant reduction, dropping to 20.99%, which represents 2.47 million square meters of vacant space.
Regarding demand, there was an increase in gross absorption of 192,000 square meters, which represents the square meterage of rented spaces, whether new or used. The average asking rental prices also increased, reaching R$ 71.36/sqm per month.
As for Class A corporate buildings, there was a negative net absorption of 8,300 square meters and a vacancy rate that increased to 22.35%. On the other hand, Other Class corporate buildings showed a positive net absorption of 16,000 square meters and a vacancy rate of 20.07%.
Occupancy, vacancy rate, construction activity and new stock
Corporate (Class A and Others)
Net Absorption and Vacancy Rate
Corporate
The office building classification methodology adopted by Ocupantes is as follows: “Office” type buildings have office suites under 100 m²; “Corporate” type buildings consist of office suites greater than or equal to 100 m²; Class A buildings feature high technical standards.
Rio de Janeiro
In the 1st quarter of 2023, although the total stock of corporate offices in the city of Rio de Janeiro remained stable at 5.52 million square meters, the vacancy rate increased to 25.80%, which represents 1.42 million square meters of vacant space. On the other hand, construction activity remained high with the construction of 97,000 square meters of new developments.
Regarding demand, the gross absorption of rented spaces decreased to 49,000 square meters, both for new and used properties. Additionally, the average asking prices had a slight decrease, closing the first quarter of 2023 at R$ 60.80/sqm per month.
In the category of Class A corporate buildings, net absorption showed a decrease of 9,200 negative square meters and the vacancy rate had a small increase, reaching 37.70%. Other Class corporate buildings had a negative net absorption of 7,000 square meters and a vacancy rate with a small increase, closing at 19.90%.
Occupancy, vacancy rate, construction activity e new stock
Corporate (Class A and Others)
Net Absorption and Vacancy Rate
Corporate
The office building classification methodology adopted by Ocupantes is as follows: “Office” type buildings have office suites under 100 m²; “Corporate” type buildings consist of office suites greater than or equal to 100 m²; Class A buildings feature high technical standards.
