Tishman Speyer Plans Residential Development in Rio
- Mar 17, 2015
Tishman Speyer is planning to develop Lumina Rio, a four-tower residential development project in the financial center of Rio de Janeiro, Brazil.
If approved, this will be the company’s first residential project in the area.
“We have great confidence in the long-term vitality of Brazil as Latin America’s economic powerhouse,” Rob Speyer, Tishman Speyer’s president & Co-CEO, said in a company release. “Likewise, Rio de Janeiro is one of the region’s greatest cities and we are pleased to help meet the market demand for high-quality, well-located housing with this project.”
Lumina Rio will be constructed in Porto Maravilha, fronting Avenida Venezuela between L’Oreal’s future main office and Moinho Fluminense.
The first tower is expected to have 360 for-sale residential units, and will be available about two years after approval. Units will boast a view to the Guanabara Bay and to Rio de Janeiro icons such as the Sugar Loaf and the Corcovado.
Located by the Boulevard of the Maua Square, nearby the Museu do Amanhã and the Museum of Arts of Rio, Lumina Rio will feature a façade with curves and angles intended to capture Rio de Janeiro’s elegance and modernity.
“This project shows a reinforcement of our commitment to Porto Maravilla, the scene of Brazil’s most ambitious urban project,” Daniel Cherman, Tishman Speyer’s senior managing director and country head for Brazil, said in the release. “With the support of the area infrastructure now in process, we see the dynamic mix of commercial, residential and hotel development activity bringing the area to new life.”
Tishman Speyer is no stranger in Rio de Janeiro, having already developed Ventura Corporate Towers, a two-tower, 1,146,356 square-foot office complex. It also has more than 20 Brazilian projects in pre-development, construction or operation.
Looking at the commercial market in the country, JLL’s 2014 Q4 Global Market Perspective shows that with a large new supply wave inundating the markets in Brazil, overall office market conditions are still weakening, and tenants continue to enjoy the lion’s share of leverage over landlords. Vacancy rates remain on an upward path, reaching 18.6 percent in Rio de Janeiro.
Of course, the company is staying busy in the U.S. as well. Tishman Speyer expects to break ground later this year on a 14-story, 313,000-square-foot mixed-use development at Pier 4 in Boston’s hot Seaport District; its Lumina development in San Francisco is under construction with units selling quickly; and it has developed or is currently working on luxury residential offerings in cities such as New York and Shanghai.