Brazil is future home of the World Cup and 2016 Olympics and its real estate sector is reacting nicely. There is ample evidence to suggest the Brazil real estate wave is just beginning and for good reason. This is a country with plenty of room and energy resources to grow. If any of the recent financial investments are any indication, and they are, than Brazil appears to be ready to take several step forward.
GoldenTree InSite is an real estate company out of New York has raised $500 millions to invest in real estate in Brazil. They have sold out a 104-unit redsidential project directed at middle-income families in Sao Paulo’s Vila Carrao area in four hours.
Porto Bay, a Portuguese hotel group, recently aquired a 80-room boutique hotel in Sao Paulo.
One of Brazil’s largest pension funds, Balia, recently bought part of the Contenental Tower that is also located in Sao Paulo for 208 million reais.
BR Malls, the group formed by GP Investimentos and Equity International, bought a shopping center for 188 milliona reais.
Sao Carlos just sold two warehouses in Rio de Janeiro and one in Pernambuco for 107 million reais.
Canadian companies are getting into the act as well as CPP Investment Board entered a joint venture with Cyrela Commercia Properties S.S. Empreendimentos e Participacoes CCPR3.BR. The real estate venture includes and arm of the Slingapore government and will focus on the developement of commercial property. CPP’s investment consists initially of a $150 million commitment with an option to increase to $250 million.
Finally, Standard Life Investments, one of the largest poperty investors in Europe, made their first Brazilian aquisition with a 13-floor office property in Sao Paulo for about 15 million reais. The tenants include oil, shipping and bioscience companies.
You can see the commerical and residential real estate properties can be good investments for individuals and business if they know where to look and the process needed in order to achieve these goals. Brazil is a great place to visit or set up a second home but some location are better than others. Regardless, Brazil is a whole is one of the leading South American real estate markets.
