Historic Building Sold by São Carlos for R$ 71.5 million in Downtown São Paulo to Become Sesc's Administrative Headquarters

São Carlos Participações, a publicly traded company that invests in and manages commercial real estate, has announced the sale of the historic João Brícola Building located in downtown São Paulo for R$ 71.5 million (around USD 14.26 million). The buyer's identity was not revealed during the transaction, but recently Sesc announced the location as their new administrative headquarters. 

The sale price was 11.9% lower than the Net Asset Value (NAV), which represents the value of all of the company's assets minus its liabilities.

Designed by renowned architect Elisário Bahiana and delivered in 1939, the building was originally built to host Banespa bank but ended up becoming an iconic location for the Mappin department store for 60 years until the company closed their doors in 1999.

The property has a gross leasable area of 12,359 square meters and is located near the North-South Axis and Anhangabaú and República subway stations, as well as popular cultural attractions such as the São Paulo Municipal Theater, Shopping Light, and Sesc 24 de Maio.

São Carlos acquired the property in 2019, paying R$ 70 million (USD 13.9 million) for the building, which was fully leased at that time to Casas Bahia, a large retail company in Brazil. This March, Casas Bahia exited, leaving the property fully vacant.

Now, the building is getting ready to accommodate the administrative teams of Sesc. On the ground floor of the building, the area will be dedicated to hosting exhibitions. Established in 1946, the Social Service of Commerce (Sesc) is a private Brazilian institution funded by business owners in the trade of goods, services, and tourism. It operates nationwide, with a primary focus on the social well-being of its employees and their families, offering a range of services in the areas of Education, Leisure, Culture, and Arts. It is also open to the general community.