End of the Wework soap opera with RCRB11; Ifix returns to operating in the negative – Money Times


real estate funds - ifixx

In the month, however, the IFIX has already accumulated a drop of 1.04%. For the year, the index is negative and drops 1.20%. (Image: Pexels/ Canva Pro)

The soap opera involving the background Rio Bravo Corporate Income (RCRB11) and others WeWork has come to an end. After several conversations and until the issue was brought to court, an agreement was established and signed on Tuesday (02), according to a statement sent to the market.

The agreement establishes full payment, within 24 hours of WeWork signing the Commercial Agreement, of outstanding rent, without correction and without fine. In addition, part of the property, Block C, is expected to be vacated immediately, with the payment of a fine for early termination divided into three installments and paid within the current semester.

RCRB11 management also states that Wework will remain in Blocks A and B of the Girassol development, in Vila Madalena, but with a one-off discount on the rental price for a period of 12 months.

“After much negotiation, we reached a very positive agreement for the Fund’s shareholders, which for us has always been something non-negotiable. Diligent management of people's assets is part of our culture. We are convinced of the excellence of the property and our rental history. This gives us the perspective to keep the asset at high occupancy”, says Anita Scal, partner at Rio Bravo Investimentos.

The payment will have a positive impact of R$0.49/share on the Fund's real estate revenue in the current semester. In relation to recurring revenue, there should be a reduction in real estate revenue of around R$0.01 per share referring to the occasional renegotiation of the lease for Blocks A and B, lasting 12 months, and around R$0, 06 per share when returning Block C.

As for the available property, management states that it works to rent quickly and with good commercial terms.

O Real Estate Investment Fund Index (IFIX) closed another day of October in a fall. On Thursday (04), the index fell 0.22%, reaching 3,271.60 points.

In the month, however, the IFIX has already accumulated a drop of 1.04%. For the year, the index is negative and drops 1.20%.

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