ALLOS and Kinea Cut Fundraising Target by Nearly R$1 Billion for New Fund in Seven-Mall Deal
E-commerce drove 61.2% of net take-up in Q3 2026, while record-low vacancy of 3% fueled competition for space and upward pressure on rents
ALLOS has lowered the maximum fundraising target for the real estate investment fund it established with Kinea from R$1.97 billion to R$1 billion, a reduction of R$970 million, or 49.2%, from the structure announced in April.
In a securities filing released Friday, October 23, the company said it had signed agreements to sell stakes in seven shopping malls to Kinea ALLOS Malls FII, which trades under the ticker KAML11. Closing is contingent on raising at least R$600 million, and the amount raised will determine the stakes ultimately transferred.
The offering’s minimum fundraising requirement was also lowered, from R$789.5 million to R$600 million, a reduction of R$189.5 million, or 24%. The public offering of fund units launched on October 22.
In the filing, ALLOS said some of the original terms had been revised to reflect current market conditions. The document did not specify which factors prompted each change.
Danilo Barbosa, head of research at Clube FII, noted that initial offering plans, such as the one presented in April, set minimum and maximum fundraising targets. In his view, the reduction may reflect decisions about which assets would ultimately be included in the KAML11 transaction.
“Adjustments like this are common during negotiations. Once the terms are settled, the offering that will go to market is confirmed,” he said.
In a research report, BTG analysts Gustavo Cambauva and Gustavo Fabris described the partnership as positive for ALLOS, citing attractive terms for the sale of its mall stakes, opportunities for additional acquisitions by the fund and a new source of recurring revenue for the shopping center operator.
The analysts also noted that ALLOS could earn recurring fees from managing and operating the properties sold to KAML11, which will remain under its management.
The agreements cover stakes in Shopping Metrô Santa Cruz, Caxias Shopping, Bangu Shopping, Shopping Parangaba, Plaza Sul Shopping, Shopping Villa Lobos and Shopping Tamboré.
The largest potential stakes are in Metrô Santa Cruz, ranging from 49.5% to 70%, and Caxias Shopping, from 41% to 65%. The ranges are 8% to 18% for Bangu Shopping, 20% to 29% for Parangaba and 9% to 22% for Plaza Sul. For Villa Lobos and Tamboré, the ranges are 6.5% to 12% and 5% to 7%, respectively.
The filing does not disclose the final sale price for the stake in each property, making it impossible to calculate a reliable capitalization rate. The R$1 billion ceiling refers to the amount the offering can raise, which will determine the ownership stakes acquired by the fund.
Asked for comment by REsource, ALLOS said through its press office that, with the offering underway, the company would limit its comments to the information in the securities filing.
Reshaping the Portfolio
The transaction continues ALLOS’s efforts to rebalance its property holdings. As REsource previously reported, the company announced deals in May involving its exit from Shopping Curitiba, an increased stake in Amazonas Shopping and an asset swap involving Taboão, Campo Grande and Villagio Caxias do Sul. At the time, the company said average sales per square meter at the properties it acquired were 20% higher than at those it divested.
The Kinea partnership now adds a new fund to the framework for ALLOS’s future transactions. KAML11 will have a right of first offer on stakes in malls within ALLOS’s portfolio and may participate in new acquisitions alongside the company or Kinea, subject to contractual exceptions.
ALLOS Will Continue Managing the Malls
Although it is selling ownership stakes, ALLOS will continue to manage all seven malls and may retain direct stakes in some of the properties. The company also intends to hold up to 24% of KAML11’s units, subject to the offering’s allocation procedures and any proportional scaling back of subscriptions.
An ALLOS subsidiary will initially serve as the fund’s real estate adviser. Once authorized to provide investment management services, it will become a co-manager alongside Kinea.
According to the company, the partnership creates a new source of recurring revenue from asset and fund management while enabling joint acquisitions in the future.
Payment in Installments
KAML11 will pay ALLOS 80% of the purchase price upfront after the offering closes. The remaining 20% will be paid in three equal installments due in 24, 36 and 48 months.
Investors who held ALLOS shares at the market close on October 22 will receive priority allocation in the offering, as outlined in the final prospectus. ALLOS will be subject to a six-month lockup on its fund units.
In addition to meeting the R$600 million minimum fundraising requirement, the sale remains subject to the other closing conditions set out in the agreements.
