Still relevant to Cushman & Wakefield’s recent report…

We have added a post few days ago about the “office rental growth” showing how Sao Paulo and Brasilia made the rank of the Top 10 in the Americas. Some readers asked why Rio was not in the list, and our answer is: because the measure of “rental growth” is not about the most expensive, but about the ones that increased the most when compared to the previous year. Believe it or not, Rio’s prices have come slightly down in 2011. But having said that, the price per square meter of commercial offices in Rio de Janeiro are still more expensive than Sao Paulo and Brasilia. Here is the report’s take on Brazil:

“Notwithstanding the uncertainty surrounding the global economy, the Brazilian office market experienced buoyant conditions in 2011. Solid demand brought an overall rental appreciation of 13%, with certain markets achieving record rental growth. A number of new high-end office buildings are anticipated to come onto market in the near future, particularly in São Paulo. This resurgence of supply should boost demand, although with rents close to peaking, rental growth may slow.”

Now here are the price details on the three Brazilian cities:

City: São Paulo / Rental price per square meter per month (in Reais): 114.24 / Annual rental growth: 24%

City: Rio de Janeiro / Rental price per square meter (in Reais): 130.91 / Annual rental growth: -8%

City: Brasilia / Rental price per square meter (in Reais): 99.67 / Annual rental growth: 21%

Full report can be downloaded below…
OSATW_2012

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