Sorry for the lag in posts – internet has been spotty and the leisurely lifestyle in Rio makes it difficult to be productive. We arrived in Rio Thursday, and quickly got a feel for the difference from Sao Paulo. The plane’s landing route into Santos Dumont airport takes you right over the heart of Rio de Janeiro, sandwiched between the mountains and ocean, making for a very scenic entry into the city. Rio also has a much more leisurely and fun-loving feel to it, a point driven home when the hotel welcomed us upon our arrival with a round of stiff Caipirinhas (at noontime).
There have been murmurs among my trip mates that my last blog post did not reflect the amount of fun we’ve been having here, so I will attempt to spice this one up a bit. In the interest of maintaining some semblance of relation to real estate – the focus of our trip – I will hit you with some interesting tidbits gleaned to this point, split into real estate and non real estate categories.
– Tenant rights are extremely strong in Brazil, with commercial tenants able to cancel a lease at any point during the term and only pay three months of rent in penalty
– Given the historical lack of debt availability, about 75% of buildings in Sao Paulo (which is a LOT of buildings) are owned free and clear without any debt
– Malls are the hot property type these days, with waiting lists of several years for tenants to get into the best malls (except for Apple, of course, who is coveted by all retail
owners everywhere in the world)
– Rio and Sao Paulo take very different approaches to favelas, the urban slums where significant portions of the population live. Sao Paulo is attempting to relocate the residents and raze the slums while in Rio, the government is bringing services and infrastructure into the slums, to integrate them with society. In Rio the favelas are mostly on mountainsides and in fact could be some of the most valuable real estate in the city with incredible views of the bay.
Non Real Estate
– Brazilian barbecue is awesome
– Both Sao Paulo and Rio have beautiful graffiti murals all around the cities, many of which depict scenes reflecting local history and culture
– The name ‘Jared’ does not translate in Portuguese