Standard Life property fund exits Brazil

The Standard Life Investments Select Property Fund has sold its two remaining assets in São Paulo, Brazil, over fears of muted rental growth.

Andrew Jackson, the fund’s manager, says the sale of the final two assets, at a combined value of 181 million reais (€70.2 million), was primarily made based on research into the market.

“We expect the increasing supply of office space in São Paulo to lead to negative or at least muted rental growth in the medium term,” he says.

Madison Building, an office building within the Vila Olimpia district of São Paulo, was purchased in March 2010 for 52 million reais and sold for 96 million.

Bela Paulista Building, another office address, was purchased in July 2010 for 54 million reais and sold for 85 million reais.

“Both properties are located in prime areas of the city and have been sold to a domestic fund manager,” Jackson adds.

©2013 funds europe

HAVE YOU READ?

THOUGHT LEADERSHIP

Innovative US companies are providing some of the solutions to the climate crisis and transition to a more sustainable economy. We see potential opportunities in areas including renewable energy and…
FIND OUT MORE
This white paper outlines key challenges impeding the growth of private markets and explores how technological innovation can provide solutions to unlock access to private market funds for a growing…
DOWNLOAD NOW

IRELAND SPOTLIGHT

Visit our dedicated Ireland channel for all the latest news and analysis on the country's investment industry.
READ MORE

PRIVATE MARKETS FUND ADMIN REPORT

Private_Markets_Fund_Admin_Report

LATEST PODCAST