Panel SA: Lease of high-end office in Rio reaches best moment of the year, says consultancy

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The vacancy rate for high-end offices in Rio de Janeiro was 34.5% in the third quarter, according to a report by Newmark consultancy. The volume of occupancy was the highest in the year.

After a timid start to the year, vacancy dropped in all regions of the Rio de Janeiro capital. Cidade Nova and Barra da Tijuca were the neighborhoods with the biggest drops.

The indicator is still a long way from that recorded in 2012, when vacancy was around 11% in the city. The rate reached 42% in 2018, the worst percentage in the historical series. According to Newmark data, since 2019, the rate has not been below 34% and the office market was heading towards a recovery, but it was interrupted by the pandemic.

The average rental price in the third quarter was R$75.23 per square meter. In 2012, this average reached R$138 per square meter.

In regions with high occupancy, such as the South Zone and Botafogo, the average rental price per square meter reaches R$145 and R$114, respectively.

The consultancy claims that an increase in business confidence will be necessary for the market to achieve a more significant recovery. The crucial point for this to happen is stability in the country’s politics and economy, says Newmark.

Right now, the rental market scenario is considered “promising”.

Joana Cunha with Paulo Ricardo Martins and Diego Felix

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