While the average asking rent for Class A+ office properties in the region is at R$ 240.96/m², according to SiiLA Market Analytics data, Itaú was paying R$ 370/m². Experts explain that this elevated value is attributed to the fact that the development is a BTS.

Furthermore, it is estimated that since when they first started to occupied the space, over a decade ago, the bank has spent over R$ 1 billion on rent alone, excluding annual adjustments. With contract renewals every 60 months, the conclusion of the last agreement provided an opportunity for the property purchase.

 Another crucial factor influencing the acquisition was the potential interest from a fund, says real estate executives interviewed by REsource team. Although not officially confirmed, sources suggest that in this scenario, Itaú BBA exercised the right of preference in the purchase.

Designed by Tishman Speyer, the development is situated on a 10,341 m² land with a private area of 24,000 m². If there is interest and a change in the current legislation occurs, the financial institution could add approximately 18,000 m² of private area, reaching around 41,000 m². Achieving this expansion would require an increase in its constructive potential through the Faria Lima Urban Operation and the acquisition of available CEPACs.

• Read more: Faria Lima vs. Polanco: Parallels and Contrasts of Two Latin American Business Powerhouses

*Conversion performed on January 22 at 13:09 UTC