Vacancy Surges in Nationwide Shopping Malls: New Assets and Shifting Consumer Trends Shake Asset Performance

The landscape of Brazilian shopping centers in 2023 has seen notable shifts, as highlighted by the GROCS platform, a data analysis tool for shopping malls by SiiLA. Vacancy rates have increased in class B and C assets, reaching 11.33% and 18.43%, respectively, influenced by various factors, including new deliveries and expansions.

Several malls in the state of São Paulo, such as Center Norte and Catarina Fashion Outlet, have completed expansions, as reported on the REsource platform. Standout among the country's new ventures are Pontal Shopping a class C in Rio Grande do Sul, Terazzo Shopping class A in Ceará, and Shopping Patteo Urupema, classified as class B, in São Paulo.

Giancarlo Nicastro, CEO of SiiLA, comments, "Unlike trends in other countries, Brazilian shopping malls continue to captivate audiences, prompting ongoing investments in new projects and expansions. The Brazilian culture of leisurely strolls through malls remains strong."

In recent news, Morumbi Shopping, a class B asset in São Paulo, announced a substantial expansion slated for 2026, backed by investments exceeding R$ 200 million.

Nevertheless, it's essential to pay attention to evolving consumer behaviors, notes Nicastro. "Today, many stores function more as showcases, with consumers increasingly opting for online purchases, seeking the convenience of delivery and competitive pricing. To counter this trend, numerous malls are strategically investing in services, dining experiences, and entertainment to draw in their target audience," remarks Giancarlo Nicastro, CEO of SiiLA.