We use cookies and similar methods to offer the best experience to all visitors and to remember their preferences. Please take a moment to review our Privacy Policy. By tapping “accept”, you consent to the use of these methods.

SBI - GERAL Q1 2026
+2.90 % 351.30
=
INCOME RETURN
+2.07 % +
APPRECIATION RETURN
+0.83 %
USD / REAL
0.00 % 5.02
CAN / REAL
0.00 % 3.64
EURO / REAL
0.00 % 5.82
IBOVESPA
-0.70 % 118,939.87 PTS
IFIX
0.00 % 3,855.09 PTS
SELIC
14.50 % 23.May.2026

Divide and Conquer: Learn about the strategy that reduced vacancy at Continental Tower

  • The CJCT11 fund managers found a solution to reduce the vacancy of the fund that incorporates the Continental Tower in the Parque da Cidade complex in São Paulo.
By: SiiLA News
12/20/2023

Market Analytics data reveals that the national average vacancy rate in A+, A, and B offices is 25.08%. In São Paulo, this number is slightly lower, 23.22%, if we look at the entire city, or 21.39% if we consider only the CBDs (Central Business Districts) regions. The struggle to achieve the coveted zero vacancy is one of the biggest challenges for property owners.

The Continental Tower, a building in the Cidade Jardim Center complex in São Paulo, in the Marginal Pinheiros region, suffered from this problem. Until 2020, the tower's floors consisted of two sets of 809 m², aiming to meet tenants who needed large areas for their operations. However, the strategy was not working, and the building faced high vacancy rates. At the end of 2018, the vacancy rate for the asset was 51.6%, in 2019 it was 49.7%, and in 2020 it was 46%.

Hedge Investments, the manager of the CJCT11 fund, which owns 9 floors in the tower, observed some market trends and made a bet that seems to be paying off: they built walls and, instead of offering tenants large floors, started bringing in smaller units for companies looking for more streamlined spaces. From mid-2020, the floor gave way to eight units ranging from 176 m² to 276 m², on the 5th and 6th floors.

Today, at the end of 3Q 2023, the tower's vacancy rate is 29.8%, a reduction of 16.12 percentage points.

Latam
Brazil
São Paulo
Office
Market Analytics
Transactions

ABOUT SiiLA

Founded in 2015, SiiLA is the industry leading REsource for comprehensive commercial real estate market insights, news and events across Latin America. The SiiLA suite of innovative products drive greater accuracy, efficiency, and strategic advantages for top players in the commercial real estate industry.

Video Thumbnail
Zolver

Premium offices expand beyond São Paulo’s traditional hubs
05/20/2026
São Paulo premium office leasing hits post-pandemic high as companies seek more dynamic spaces
05/19/2026
Multifamily gains momentum in Brazil as more people live alone and prioritize everyday convenience
05/18/2026
Toky Group Tries to Rebuild After Billion-Real Bankruptcy Protection Filing, Raising Concerns for Logistics FIIs
05/14/2026
Carrefour Throws in the Towel to Cash-and-Carry in Brazil; Atacadão, Assaí and Grupo Mateus Expand
05/12/2026

Investments


Daniel Rose, CEO of APM Terminals Suape and Pecém
Record Growth: 7.9% Vacancy in Northeast Fails to Slow Logistics Expansion
Benny Finzi, country manager of 7 Bridges
7 Bridges Capital Sees Industrial Property Market as a Primary Investment Target

Market Trends

Thais Koch, director at Koch Construtora
Real Estate Culture Sets Rio and São Paulo Apart: On the Coast, the View Matters; in São Paulo, Prestige Comes from Location
Giancarlo Nicastro, CEO of SiiLA
A 12% Vacancy Rate Marks Balance in Mature Real Estate Markets — Here’s Why

Trusted by Leading Publications

EXCLUSIVE CONTENT

Join our mailing list for Real Estate News, Events, Insights & Resources.

SiiLA News on Mobile - Stay Updated Anytime, Anywhere. Read Latest Real Estate News from your phone