Descubra agora: qual a rentabilidade de investimento em retrofit?

Find out now: what is the profitability of investing in retrofitting?

What is the profitability of investing in retrofitting , when can it be applied and why can this modality provide savings and investment?

Profitability from investing in real estate is one of the most popular ways to make money for those who like to invest in the real estate market. However, this technique called retrofitting is currently working very well.

So, are you interested in how this technique works? Continue reading this article that we at Citas have prepared especially for you.

Check it out below!

What is Retrofit?

Retrofitting is a technique that seeks to revitalize older buildings that, unlike other construction models, prefers to preserve the true characteristics of the project.

Therefore, as they come from properties that have deteriorated over time, the procedure for this type of investment involves having it at a good discount, approximately 40% on the advertised price.

In a way, retrofitting has gained visibility here in Brazil and conquered several real estate markets, such as Rio de Janeiro, where the method has been used in the historic Hotel Glória, which is being revitalized into a residential complex with approximately 266 apartments and four stores nearby.

Let's take an example: consider a 40 m² apartment, advertised for R$600,000 and located in Salvador, Bahia. With the discount, the purchase price can be around 50% cheaper. However, it is necessary to take into account the cost of maintenance, improvements and furniture.

When can Retrofit be applied?

Buildings are selected based on their location and their potential for retrofitting. Other issues are also taken into consideration that facilitate the choice of renovation action related to the ceiling height, since the presence of physical space facilitates the application of the Retrofit.

Furthermore, he continues, the position of beams and pillars is also observed, as this can contribute to the creation of new architectural layouts and uses, as well as the geometries of the ground floors, accesses and parking spaces that may or may not help the use related to the new operation of the building.

What is the profitability of investing in Retrofit?

For many directors, retrofit works can provide operational savings and increased real estate investments.

Therefore, the savings created are related to the consequent effects of technical changes, such as facades, to the benefit of reducing energy consumption such as automated curtains, air conditioning or exhaust.

In addition, the savings are an effect of replacing equipment in elevator, pump and lighting systems that begin to use modern processes with better performance and reduced energy consumption.

That said, these changes can allow buildings to become more variable in their use and, therefore, end up creating greater productivity for both tenants and investors attentive to this opportunity.

This guarantees a positive and satisfactory return on investment in retrofit!

What are you waiting for to work with the retrofit technique? And don't forget, visit other blogs like this one on our blog !

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