The city continued with positive net absorption in the first quarter of 2023, ending with a cumulative 22,417 m² in the year. The Center was largely responsible for this value, reaching 20,190 m² and representing a drop of 2.25 p.p. in the region's vacancy rate.
Transactions reflect interest in the Center
The latest transactions by Cushman & Wakefield in the capital of Rio de Janeiro were all in the center and prove the prospects for recovery in the region, in addition to revealing the predominance of the flight to quality movement, in which occupants leave inferior buildings to settle in classes A and A+ . To learn more about flight to quality click here.
One of these transactions involved an important reinsurance company, which, after a strategic move, sold the historic property it occupied and moved to Ventura Corporate Towers. Both transactions were handled by Cushman & Wakefield, which also provided Project Development services for the design and execution of the new office.
A maritime logistics company expanded its operation to double the size of the Ventura Corporate Towers, the city's oil and gas hub, in its second transaction by Cushman & Wakefield, which also involved Project Development services for the design and execution of the new office work.
Another company, also a maritime logistics company, left Del Castilho, a residential neighborhood in the North Zone of the city, to occupy the RB1 building, thanks to the active work of the Cushman & Wakefield transaction team in Rio.
Residential should attract companies to the Center
About 6 thousand residential units should be delivered in the coming years in Porto Maravilha. The region should have almost 16,000 residents – an increase of more than 50% in population, according to Rio’s City Hall.
The first residential project announced in Porto Maravilha was Rio Wonder, in June 2021, which should be delivered in 2023. A month later, Rio Energy was launched. In April 2022 the Vargas development was announced – the third in Porto. In 2022 it was the turn of Pateo Nazareth and Porto Carioca to be launched. In 2023, Epicenter was announced - the sixth launch in less than two years in the port region. Both developments are by the developer Cury. Other developers such as Encamp and Tishman Speyer also have projects planned for the region.
By the way, for those who don't know, the Porto Maravilha Project is the result of an Urban Consortium Operation that aims at the urban revitalization of the Port Region of Rio de Janeiro created by Municipal Law 101 of 2009.
These residential units should be delivered together with Moinho Fluminense, one of the most anticipated developments in the city, under development by Autonomy Investimentos, with delivery scheduled for 2025. The Moinho will be transformed into a multipurpose space in Porto Maravilha. On seven floors, the site will house offices, bars, restaurants, an art exhibition and a space for events, according to an article published in G1.
Jenifer Almeida, Transactions Coordinator, says that the number of people living in the region should arouse interest in working nearby and attract companies to the center: ''Port is the solution for those who want to live close to the Center and escape the high prices of south zone'', he says.
For her, this movement, combined with public initiatives and the delivery of all these residential units, should, among other advantages, reduce the feeling of insecurity, especially during non-business hours: ''This movement should promote a greater sense of security and attract occupants for corporate buildings in the region, one of the factors that led many occupants to the Orla region during the pandemic'', he concludes.
Public initiatives
In addition, the government has promoted some initiatives for the center to return to the pre-pandemic scenario. The Reviver Centro project is one of them, as well as incentives for shopkeepers, ISS reduction for technology and education companies that are installed in the perimeter, in addition to the construction of the Gentileza Intermodal Terminal, which will integrate the Transbrasil BRT system.
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