High Interest Rates and Low Occupancy Prompt Developers to Reevaluate Projects in Chácara Santo Antônio and Chucri Zaidan

Despite having over 1 million square meters of available office space in Class A+ and A buildings—nearly 31% of all available office space of these types in São Paulo—the regions of Chucri Zaidan and Chácara Santo Antônio are currently undergoing reevaluation by construction companies that had planned to establish new offices in these areas.

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This observation comes after a report by SiiLA's REsource portal found that at least three major projects by different companies in these regions have been reevaluated, discontinued, or halted for strategy redefinition yet to be determined.

One such project, the WT Brooklin by WT Torre, which was to feature 40,000 square meters and two towers, has been discontinued. According to the company, the project did not reach the desired viability.

Another project, the New Marginal by Tishman Speyer, which was to be located on Avenida Professor Abreu Maynard Araújo in Chácara Santo Antônio, has also undergone strategic reassessment. Currently, the project is no longer part of the developer's portfolio, with the company choosing not to comment on the withdrawal or transfer of the project.

A third project in the regions, located between Chucri Zaidan and Chácara Santo Antônio on Rua Enxovia, belongs to Barzel. This project has not been abandoned but has returned to the planning and analysis phase.

In a statement from Barzel’s press office, the company confirmed that the project has not been discarded but could not provide further details due to confidentiality. "As there are still some issues to be defined, we cannot discuss the project at this time," said the communication team at Barzel.