Commercial real estate activity rises in Rio de Janeiro and São Paulo

High-end office leasing markets in Brazil's major hubs are showing significant activity. In Rio de Janeiro, the vacancy rate for premium office spaces fell to 23.5% in the third quarter, reaching its lowest level since 2014. The central area saw the highest net absorption, driven by moves from organizations such as Coren-RJ, SAMM, and Vale. While vacancy remains higher in the Centro and Porto Maravilha regions, Botafogo recorded the city's lowest vacancy at 4.4%. Average rental prices in Rio rose 4.2% during the quarter to R$ 83.43/m²/month, fueled by demand from the government and oil and gas sectors.

In São Paulo, the volume of high-end office leasing quadrupled compared to the previous quarter. Two major tenants, Itaú Unibanco and Amazon, accounted for over 52% of the total space leased between July and September, occupying a combined 84,617 square meters. Itaú secured space in the Esther Towers, while Amazon occupied the Biosquare building. Other notable tenants included Bayer and Claro. The surge in leasing activity is attributed to increased employee presence in physical workspaces across the financial, retail, and communications sectors.