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Office market already sees a recovery scenario

Despite the worsening macroeconomic scenario and political uncertainties, leases of corporate office areas tend to grow in the next year, or at least remain at the level of 2021, in the São Paulo market, according to real estate consultants heard by Valor.

Fintechs, e-commerce, technology and health companies are among the occupants standing out in area rental contracts.

In the region of Faria Lima - the most desired address for offices in São Paulo -, quality spaces are scarcer, and the asking prices are beginning to show an increase. SiiLA's president, Giancarlo Nicastro, mentions that the triple-A buildings Pátio Malzoni and B32, located on the most prominent avenue in the segment, are fully leased.

According to Nicastro's estimates, the gross absorption - a total of hirings - of offices may grow 15% in 2022 in São Paulo, reaching 500 thousand sq metres.

There is a perception by most of the market that the most expressive volume of office returns has already taken place. Since the beginning of the pandemic, the amount of spaces returned has grown due to remote work or the crisis many companies are facing due to the worsening economy and the slowdown of some activities.

Nicastro assesses that, until the first quarter, there will still be an impact from scheduled devolutions. "But from the second quarter onwards, we will have positive net absorption," he says. As a result of the new stock, the vacancy will have "slightly high", according to the president of SiiLA.

"Many companies are still looking for good opportunities in relation to prices. Anyone who wants to move from the second quarter onwards will pay dearly and stay further away", says Nicastro.

With the progress of vaccination, the effective occupation of rented offices has grown. Still, the pace of employees returning to face-to-face work will depend on factors such as new coronavirus variants. When returning to work, initiated by the tenants and provided for by another party, the hybrid model is shown to be the predominant option in medium and large companies. Depending on companies' culture and type of work in each sector, the format can predict most days at home or the office.

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