Retrofit is a development approach that consists of a complete overhaul and modernization of abandoned and/or deteriorated buildings. In major cities with limited land, retrofitting has become a viable solution for investors looking to create modern properties in urban centers.

Moraes emphasizes Vila 11’s role in retrofitting and its commitment to sustainable urban development and construction. "It’s a sustainable strategy because it minimizes construction material waste and carbon emissions associated with demolition and new building construction. The retrofit practice offers key benefits for sustainability and energy efficiency," he states.

The model is being increasingly adopted by companies like Brookfield, which announced in September the acquisition of five buildings in downtown São Paulo for multifamily use. 

• Read more: Companies Double Down on Brazil, Converting Commercial Buildings into Multifamily Residential Properties

Santander has already pioneered the banking sector in facilitating credit for this model. In 2022, the bank created a credit line exclusively for retrofit projects, with over R$60 million spent so far.

Recently, Giancarlo Nicastro, CEO of SiiLA, attended an AMCHAM conference at the Commercial Association of Rio de Janeiro’s auditorium, where he presented studies on Rio’s corporate real estate market. During his presentation, Nicastro noted that retrofitting is being used by companies as a solution to revitalize Rio’s downtown and highlighted completed projects in São Paulo. 

• Read more:  Revitalization of Rio de Janeiro’s Downtown is the Focus of Giancarlo Nicastro’s Panel at AMCHAM Event

Vila 11 has seven other multifamily projects, including Alameda Itu, a class A development with 3,904 square meters, and Bela Vista, also class A, with 4,185 square meters.

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• Read more: Luggo Mansões and Paraíso da Vila 11: Successful Multifamily Examples in Brazil