Pernambuco: The Rising Industrial Hub of Northeast Brazil

Holding over 50% of Northeast Brazil’s logistics stock, Pernambuco leads the region's growth in demand and investments

Bruno Greve, General Director of HSI Real Estate Private Equity

By: SiiLA News

12/09/2024

Pernambuco, in Northeast Brazil, stands out as a thriving industrial hotspot, boasting one of the lowest vacancy rates in the region. Just 4.12% of its impressive 1.5 million m² of logistics space is available for lease. According to Market Analytics, SiiLA’s commercial real estate data platform, the state’s market comprises top tier A+, A, and B properties, making it a preferred destination for logistics operations.

Major tenants like Mercado Livre, Intermodal, and Calmed have already set up operations in Pernambuco throughout 2024, driving gross absorption to 108,967 m² this year. This growing demand underscores Pernambuco’s strategic position as a logistics hub in Brazil.

"Pernambuco has established itself as the main logistics hub in Northeast Brazil, with a strategic infrastructure that includes the Port of Suape and the highest GDP per capita in the region. This favorable environment continues to attract more companies to the area," says Giancarlo Nicastro, CEO of SiiLA.

New Developments Fueling Growth

Photo: Disclosure

Pernambuco leads Northeast Brazil with the largest industrial inventory, outpacing Bahia, which holds just 733,000 m²—nearly half of Pernambuco’s stock. This leadership has attracted a wave of new investments and developments.

Since 2022, Pernambuco has expanded its logistics footprint by 239,000 m², with an additional 300,000 m² expected by the end of 2025. Notable projects like Syslog Recife by HSI, Log Recife II, and Cone Multimodal are set to further cement the state’s position as a logistics powerhouse.

Top Sectors Driving Occupancy

SiiLA data highlights the key sectors shaping Pernambuco’s logistics market: Consumer Goods: 39.32% of occupied space, Transportation and Logistics: 30.37%, Manufactured Products: 13.87%.

By: SiiLA

See: Beyond tourism: The Northeast is a potential logistics hub, says expert

Major players such as Lojas Americanas, Amazon, and Mercado Livre are among the top occupiers, reinforcing the state’s importance in the supply chain landscape.

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