Kinea Fund Acquires 57% Share in Office Property in Chucri Zaidan Region with a 6.89% Cap Rate

For R$ 570 million, KNRI11 purchased 30,438 m² of the Crystal Tower in Rochaverá Corporate Towers, Chucri Zaidan

Carlos Martins, Executive Partner and Manager Responsible for Real Estate Equity Funds

By: SiiLA News

07/25/2024

For R$ 570 million, the Kinea Renda Imobiliária fund (KNRI11) acquired 57% of the Crystal Tower at Rochaverá Corporate Towers. The purchase was announced in a statement last Wednesday (24), and the transaction is being conducted between the Fund and Autonomy (Lesath).

The transaction involves 30,438 m² and will be completed with a one-time payment. According to the document, the Fund states it has a minimum guaranteed income of R$ 70.3 million for a period of 72 months. This means that regardless of the asset's performance, KNRI11 will receive this amount as income flow.

According to the SiiLA Market Analytics platform, the acquisition registered a stabilized CAP RATE of 6.89%, not considering the guaranteed income for 72 months.

The move expands Kinea's stake in the Rochaverá Complex

Rochaverá Complex

The Rochaverá Corporate Towers is a complex composed of four A+ class towers. The Crystal Tower has 46,395 m² of private area and a vacancy rate of 16%. Tenants include companies like CBRE, BASF, Hyundai, Mastercard, among others.

The Marble and Ebony towers in the Rochaverá complex also have stakes from KNRI11; the fund holds a 20% stake in each development.

In a statement, Kinea informed that, due to compliance reasons, it will not be able to comment on the transaction until its conclusion.

Chucri Zaidan

Chucri Zaidan vacancy rate vs Rochaverá vacancy rate

According to SiiLA's Market Analytics data, the Chucri Zaidan region is not among the best-performing areas in São Paulo; it currently has 194,000 m² of vacant space in A+ and A class es assets, the highest concentration of empty offices in the capital.

However, despite the vacant space, the area has been recording decreases in the vacancy rate. In the second quarter of 2024, there was a decrease of 1.76 percentage points (p.p.), reaching 24.4%.

In the last 12 months, Chucri Zaidan was the second region in São Paulo that saw the largest decrease in vacancy, a reduction of 7.46 p.p., second only to Itaim Bibi, which had a reduction of 14.26 p.p.

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