Latam Real Estate - Today‘s News

Research evidence excerpt

Latam Real Estate - Today‘s News

ming to maintain operations and growth plans.

• Brazilian retail delinquency remains elevated, with Fitch seeing a slow recovery -

Valor Econômico. Brazilian retail sector delinquency is expected to remain high in 2026

due to elevated household debt and prolonged high interest rates, according to Fitch

Ratings. The median for receivables overdue by more than 90 days among retailers with

financial operations reached 14.4% in 1Q26, about 50% higher than pre-pandemic levels.

Fitch forecasts this metric to drop to 12-13% in 2027 if inflation eases to 4% and interest

rates decline. Guararapes, via Midway, had the highest delinquency rate at 18.3%, while

C&A improved to 13%, and Magazine Luiza and Casas Bahia kept rates below 8%.

• Renner’s new R$1.3bn Cabreúva distribution center aims to leapfrog competition

- Brazil Journal. The facility, 5 years in the making, enables individualized SKU-based

distribution to stores and e-commerce, improving inventory efficiency and boosting

margins, with gross margin records in the last 2 quarters. Renner targets ROIC growth

from 14.7% to 20% by 2030, 9–13% annual retail revenue growth, 140–170 new Renner

stores, and nearly doubling Youcom’s network, all supported by the new logistics

platform.

• Chilean Malls – Economic Development Bill to lower Chile corporate taxes to 23%

from 27% - J.P. Morgan Research. Wednesday, July 15, will be a very important

legislative day for President Kast’s administrtion as its key reforms, embedded in the

so-called National Reconstruction and Economic Development Bill, will be subject to a

vote in the Senate. The core of the package is a corporate tax cut from 27% to 23%. It

would be phased in through 2029 and paired with investment-friendly measures (full tax