Quarter One 2011 Real Estate Sales Fall for Brazil’s Leading Construction Company
Reported quarter one 2011 sales figures for one of Brazil’s prominent real estate development companies – Gafisa – fell by 4 percent (R$ 822 million) in comparison to the last quarter of 2010.
The total real estate launch value reached R$ 513 million, falling 27 percent compared to the same period in 2010. The largest declines were witnessed by the company’s low income housing sector incorporated arm – Tenda – which saw its aggregate launch value drop from R$ 297 million to R$ 102 million when comparing quarter one of 2010 with 2011.
Responsible for 45 percent of total launches in the country, the stock value of the company fell by 1.16 percent on the BM&F Bovespa shortly after the news.
Other major construction companies reported positively with Rossi announcing a 20 percent increase in sales during the first quarter of 2011; PDG Realty saw an increase in sales of 26 percent since 2010 and Brookfield Sales volumes increased by 14 percent during the same period.
