According to data from SiiLA, the high-end office industry (A + and A) inSão Paulo recorded negative net absorption of 31 thousand square meters in the first quarter of this year.

The net absorption corresponds to the volume of square meters occupied more (or less, when it is negative) in relation to the previous quarter. It acts as an indicator of growth or retraction of the market in occupied square footage.

The result recorded between January and March this year represents the fourth consecutive quarter of decline in occupations and is the worst in SiiLA's historical series, which began in 2008. In the first quarter of 2020, before exposure to the impacts of Covid-19, the market of São Paulo offices had recorded net positive absorption of 19,651 square meters. The picture changed from the period ended in June when the data were negative in 12,565 square meters.

"The outlook is that office exits will continue to occur in the coming months, following the trend of telecommuting adoption and hybrid systems", writes Giancarlo Nicastro, CEO of SiiLA, in a statement.

According to him, this movement is not more intense at the moment because many tenants need to wait for the end of their contracts to avoid heavy penalties.

Read the full story (in Portuguese).