Río de Janeiro Industrial Market
- The Rio de Janeiro industrial and logistics market faced a challenging close to 2025, with vacancy rising to 11.2%. This increase was driven by a reduction in occupancy from large tenants and low overall leasing activity, resulting in a negative net absorption of 9.4 thousand sqm for the quarter. Despite the lack of new deliveries during this period, the departure of tenants from existing spaces directly impacted market health.
The total inventory of high-end logistics space remained stable, as no new projects were completed in 4Q25. Average asking rents held steady, though the market remains tenant-favorable due to the availability of space. Looking ahead to 2026, the outlook remains cautious, with experts projecting a slow and highly selective recovery pace as the broader Brazilian economy navigates a period of moderated growth and inflation
Rio de Janeiro Office Market
- Rio de Janeiro’s high-grade corporate office market continued to experience elevated vacancy levels, ending 4Q25 at 31.9%. Leasing activity remained slow throughout the quarter, reflecting a less diversified demand base and a large existing supply of available space. However, a lack of new construction activity has limited further supply growth, which is expected to contribute to a gradual rebalancing of the market in the medium term.
Asking rental prices showed signs of stabilization during the final months of the year, potentially signaling the end of a long adjustment cycle. While the current environment remains challenging for landlords, the stabilization of rents suggests a floor may have been reached. The forecast for 2026 points toward a gradual recovery, supported by a solid labor market and a revision of Brazil’s GDP growth forecast upward to 1.6% for the coming year