NAI Global LAC 1S15 Market
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Global Locations Argentina Buenos Aires City Latin America, Buenos Aires North Bahamas & The Caribbean Nassau Brazil Säo Paulo Rio de Janeiro Chile Santiago Costa Rica San Jose Jamaica Kingston Mexico Ciudad Juarez Guadalajara Matamoros Mexicali Mexico City Monterrey Queretaro Reynosa San Luis Potosi Tijuana Panama Panama City Peru Lima Puerto Rico San Juan Venezuela Caracas Mauro Keller Sarmiento, SIOR Executive Managing Director, International Business +54 11 4320 4320 and their company associates. Any dissemination or replication, without the express authorization of NAI Global, is strictly prohibited. [email protected] Buenos Aires Market Report First Semester June 30th 2015 Economic Overview GPD GROWTH 0.4% INFLATION 16.5% UNEMPLOYMENT RATE 7.7% CURRENCY Pesos Argentinos $ARS Trends JUNE 30th - 2015 CONVERSION RATE (VS USD) 8.8 Vacancy Estimates Total Sale Average Lease Average Rate Take Up Asking Rates Asking Rates Prime Offices The semester of 2015, presents a negative total net absorption at -2,200 sqm, indicating excessive rentable area available to lease.The distribution of the demand shows positive net absorption in the Catalinas and Macrocentro Sur submarkets. Sale Value (USD / m2) Lease Value (USD / m2 /month) USD 3,800 USD 26 Prime Industrial The northern area of Buenos Aires accumulates 87% of the available surface area. This area includes the Triángulo San Eduardo and Route 9 which record the highest rental prices, reaching an average lease value of USD 8.0/sqm/month. Sale Value (USD / m2) Lease Value (USD / m2 / month) USD 600 USD 7.5 Prime Retail The Retail sector has show a high level of vacancy observed in the main streets of Buenos Aires (Florida and Sta Fe Ave). Regarding leasing values, prices rise below inflation which affects profitability negatively, in order to maintain the premises occupied. Sale Value (USD / m2) Lease Value (USD / m2 / month) USD 6,500 USD 35 Prime Offices stock distribution by submarket 28.74% Puerto Madero 6.4% Corredor 9 de Julio 20.54% Zona Norte Panamericana 4.9% Belgrano, Núñez, Saavedra 13.6% Plaza Roma 4.9% Microcentro 10% Catalinas 1.9% Plaza San Martín 9% Zona Norte Libertador San Martin 640 – 10th Floor Buenos Aires - Argentina +54 11 4320-4320 www.NAIArgentina.com Nassau Market Report First Semester June 30th 2015 Economic Overview GPD GROWTH 2.1% INFLATION 1.9% UNEMPLOYMENT RATE 15.9% CURRENCY Bahamian Dollar B$ Trends JUNE 30th - 2015 CONVERSION RATE (VS USD) 1:1 Vacancy Estimates Total Sale Average Lease Average Rate Take Up Asking Rates Asking Rates Prime Offices The demand for Class A office space has shown no improvement and remains flat. The vacancy rate in June 2015 was 9.50% down slightly from 9.54 % in October 2014. Our financial services industry continues to be challenged and has been contracting. Sale Value (USD / m2) Lease Value (USD / m2 /month) USD 2,903 USD 30.4 Prime Industrial This market is limited almost exclusively to warehouse developments of which there are not many. Data only covers those properties for which we are able to collect reliable data. This market is not growing due to the state of the local economy. Sale Value (USD / m2) Lease Value (USD / m2 / month) - USD 13.5 Prime Retail There was a marginal increase in the vacancy rate during this period from 8.81% to 8.91%. The vast majority of the retail space is in regional strip malls catering to the local trade. Only 10.38% of stock is located in the CBD. Sale Value (USD / m2) Lease Value (USD / m2 / month) - USD 25.5 Prime Industry stock distribution by submarket 45% Nassau West 29.4% Nassau CBD 21.8% Nassau East 3.3% Nassau PI P.O. Box N-1132 Nassau - Bahamas +1 242 396 0028 www.NAIBahamas.com São Paulo BRAZIL Market Report First Semester June 30th 2015 Economic Overview GPD GROWTH -1.5% INFLATION 8.89% UNEMPLOYMENT RATE 7.9% CURRENCY Brazilian Real R$ Trends JUNE 30th - 2015 CONVERSION RATE (VS USD) 3.18 Vacancy Estimates Total Sale Average Lease Average Rate Take Up Asking Rates Asking Rates Prime Offices Vacancy rate trend continues to rise since new inventory for the remaining of 2015 is high and the economy is weak. As a consequence lease rates will continue drifting down. Sale Value (USD / m2) Lease Value (USD / m2 /month) USD 4,447 USD 35 Prime Industrial We expect vacancy rate to remain between 15% to 20%. Several projects are being delayed to cope with the economy pace. Rates will remain on a low trend until mid-2016. Sale Value (USD / m2) Lease Value (USD / m2 / month) USD 719 USD 6 Prime Retail Consumption was been affected by increase in interest rates and low consumer confidence. The trend in this sector is similar to others and reflects current economic environment. Sale Value (USD / m2) Lease Value (USD / m2 / month) USD 4,024 USD 30 Prime Offices stock distribution by submarket 17% Berrini 8% Marginal Oeste 14% Faria Lima 7% Marginal Sul 14% Itaim / JK 7% Paulista 12% Chucri Zaidan 5% Marquês São Vicente 160 George Eastman, Street 8% Vila Olimpia 4% Chácara Sto Antônio São Paulo - Brazil 3% Marginal Morumbi +55 11 3755 8888 www.NAIDworking.com Santiago CHILE Market Report First Semester June 30th 2015 Economic Overview GPD GROWTH 2.4% INFLATION 4% UNEMPLOYMENT RATE 6.6% CURRENCY Chilean Peso CLP$ Trends JUNE 30th - 2015 CONVERSION RATE (VS USD) 646.8 Vacancy Estimates Total Sale Average Lease Average Rate Take Up Asking Rates Asking Rates Prime Offices The 1Q/2015 showed a decline in the average absortion, resulting in a negative indicator of 5.620 m² in the prime sector. The vanacy rates rise up almost double than 1Q/14 (1Q/15: 8,22%) and the average rental price fell 26.89 USD / m² to 24.12 USD / m² Sale Value (USD / m2) Lease Value (USD / m2 /month) USD 3,460 USD 23.6 Prime Industrial No-data Sale Value (USD / m2) Lease Value (USD / m2 / month) no-data no-data Prime Retail No-data Sale Value (USD / m2) Lease Value (USD / m2 / month) no-data no-data Prime Offices stock distribution by submarket 69.7% El Golf 30.3% Nueva Las Condes Av. Pdte Riesco 3451, Las Condes Santiago - Chile. +56 2 2347 7000 www.NAISarra.cl San Jose Great Metropolitan Area Market Report First Semester June 30th 2015 Economic Overview GPD GROWTH 3.4% INFLATION 4% UNEMPLOYMENT RATE 10% CURRENCY Costa Rica Colón CCRC Trends JUNE 30th - 2015 CONVERSION RATE (VS USD) 536 Vacancy Estimates Total Sale Average Lease Average Rate Take Up Asking Rates Asking Rates Prime Offices Vacancy rates are improving compared to past periods. There is good A class product in the market that is pushing prices lower and this can benefit office clients. Sale Value (USD / m2) Lease Value (USD / m2 /month) USD 1,550 USD 17.3 Prime Industrial Industrial sector has been behaving positively. The vacancy rate is very good at 5,14%. New projects entering the market have had good absorp- tions. New industrial projects and expansions are expected. Sale Value (USD / m2) Lease Value (USD / m2 / month) USD 867 USD 6.8 Prime Retail The retail sector has been moving very well. Recognized Franchise expansions and new penetrations are expected in the near future. Also, biggest new Regional Center will be introduced before years end. Sale Value (USD / m2) Lease Value (USD / m2 / month) USD 1,422 USD 22.2 Prime Offices stock distribution by submarket 23.66% San José Oeste 7.6% Sabana 21.28% Heredia 4.74% San José Noreste 20.09% San José Centro 1.68% Alajuela Oficentro Madrid, Pozos de Sta. Ana 11.02% San José Este 0.87% San José Sur San José - Costa Rica 8.3% Pavas/ Uruca 0.74% Cartago ++506 2203 5171 www.NAICostarica.com Kingston & Montego Bay Market Report First Semester June 30th 2015 Economic Overview GPD GROWTH 0.1% INFLATION 5% UNEMPLOYMENT RATE 14.2% CURRENCY Jamaican Dollars J$ Trends JUNE 30th - 2015 CONVERSION RATE (VS USD) 116.6 Vacancy Estimates Total Sale Average Lease Average Rate Take Up Asking Rates Asking Rates Prime Offices Takeup of prime offices is slow due to the fact that most of these offices are in the CBD in Kingston where maintenance costs levied by the Land- lord are high – sometimes higher than the rent. Sale Value (USD / m2) Lease Value (USD / m2 /month) USD 954 USD 7.2 Prime Industrial Static activity with little new development taking place. Sale Value (USD / m2) Lease Value (USD / m2 / month) USD 630 USD 5 Prime Retail Suffering from a flat economy. Many rentals were set in US$ and with the decline of the Jamaican dollar, rental charge is increasing. Some retailers have vacated units. Sale Value (USD / m2) Lease Value (USD / m2 / month) USD 1,883 USD 12.5 31 Upper Waterloo Road Kingston - Jamaica +1 876 925 7861 www.NAIJamaica.com Mexico City Market Report First Semester June 30th 2015 Economic Overview GPD GROWTH 2.2% INFLATION 3% UNEMPLOYMENT RATE 4.7% CURRENCY Mexican Peso $MXN Trends JUNE 30th - 2015 CONVERSION RATE (VS USD) 15.35 Vacancy Estimates Total Sale Average Lease Average Rate Take Up Asking Rates Asking Rates Prime Offices Office market reflects strong demand. Current office inventory is 89.3 million sf. Leasing activity still slightly higher than construction. Most subsectors have under 8% vacancy rate. Sale Value (USD / m2) Lease Value (USD / m2 /month) USD 4,000 USD 32 Prime Industrial Industrial space inventory at 148 million sf. Construction of new space slightly higher than leased / sold space. Vacancy rate at 5.0%, with two subsectors showing 0.0% vacancies.