The above chart shows that net absorption has experienced ups and downs over the past five years. The pandemic, which hit Brazil hard, especially between 2020 and 2021, was a turning point for work models—a topic still under discussion today. Nevertheless, the current scenario points to a return to in-person work, either in hybrid or fully on-site arrangements, as highlighted in a recent REsource report.

According to Luz, the pandemic was the main factor behind the decline in net absorption. However, she believes that even during the downturn, office occupation persisted and has recently begun to grow again.

“The emergence of various work models addressed a wide range of needs. Now, for example, we have the option to choose smaller, more streamlined offices,” Luz explains.

Companies that adopted hybrid work models over the past two years, such as Amazon and Google, are now moving toward a full return to in-person work. Tellus observes that sectors requiring greater collaboration, such as finance and technology, are increasingly occupying office spaces.

Luz mentions that properties in Tellus' portfolio have seen a rise in interest from companies looking to lease spaces, particularly those planning to return to in-person work.

Looking ahead, Luz anticipates a reduction in newly delivered office spaces, as many projects that were planned for the pandemic period were postponed.

During the pandemic, the shift in work models also drove a surge in residential developments—a trend expected to continue growing in the coming years, with corporate projects taking a back seat.

“This dynamic supports faster absorption in the coming years as the new inventory of buildings decreases, likely leading to a more pronounced absorption,” Luz concludes.