HBRE3: quote, dividends and indicators for HBR Realty

HBR Realty Empreendimentos S.A. is a real estate company focused on urban income-generating assets, founded in December 2011 as the income arm of the Borenstein family, a traditional group active in the Brazilian real estate market since 1961. The company was born in Mogi das Cruzes (SP), initially focused on developing urban income assets in the region, and quickly began expanding its operations to the city and state of São Paulo. In 2014, it received a relevant capital injection from Dynamo, which became a shareholder and helped strengthen corporate governance and accelerate growth. In 2021, HBR Realty went public and its common shares began trading on B3 under the ticker HBRE3, in a transaction that raised gross proceeds of R$ 729.6 million and allowed it to continue investing in its different business platforms.

HBR Realty’s operating model is based on the development, commercialization, management and recycling of income-generating real estate assets, with a strategy organized into four platforms: convenience centers (ComVem), high-standard office floors (HBR 3A), shopping malls (HBR Malls) and complementary and opportunistic assets (HBR Opportunities). The company operates throughout the real estate cycle, from prospecting and acquiring or swapping land, to project approvals and construction, and through to leasing, operation and eventual divestment of mature assets. Decision-making on new investments involves a structured process with financial, legal and commercial feasibility analysis, discussion in internal committees and detailed due diligence on the land. By focusing on developing projects with a high yield-on-cost, HBR seeks to capture value gains at the origination of developments, rather than competing primarily in the acquisition of finished assets.

The ComVem platform is one of HBR Realty’s main differentiators. It is a network of convenience centers located in regions with high population density and, in general, higher purchasing power, with a special focus on the city of São Paulo. These projects adopt the concept of “active frontages,” often in partnership with residential developers, in which HBR designs, structures the layout, selects the tenant mix and leases the commercial areas on the ground floors of buildings. The platform’s goal is to offer spaces with low occupancy costs, high visibility and convenience, with a predominance of essential services, proximity retail, pharmacies, fast food, supermarkets and service providers. The company leverages the omnichannel and multi-channel trend in retail, positioning ComVem centers as strategic points for last mile, pick-up-in-store and integration between the physical and digital channels of major chains and franchises.

HBR 3A, the high-standard corporate office platform, is dedicated to developing AAA commercial buildings in prime areas of the city of São Paulo. The strategy focuses on originating projects in scarce locations, handling everything from land acquisition to building delivery, avoiding competition in the acquisition of finished buildings, where the company believes there are lower barriers to entry and fewer opportunities to capture additional value. Developments such as HBR 3A Faria Lima, on São Paulo’s main financial avenue, and other corporate projects in the capital reflect this approach geared toward high-quality assets in regions with low structural vacancy and upward pressure on rents during economic recovery cycles. In 2025, the 3A platform had a significant impact on the company’s revenue, including recognition of the sale of the HBR Corporate Tower Pinheiros office development, a transaction that exemplifies the strategy of development followed by capital recycling.

In the shopping mall segment, grouped under the HBR Malls brand, the company mainly focuses on acquiring and managing dominant assets in their catchment areas, seeking properties with potential for operational gains and repositioning. The acquisition of Shopping Mogi in 2015, a mature and dominant mall in the Mogi das Cruzes and Suzano region, marked the beginning of this strategy. Subsequently, HBR Realty expanded this arm with the purchase of Suzano Shopping and the delivery of greenfield malls such as Shopping Patteo Olinda, in Pernambuco, and Patteo Urupema, in Mogi das Cruzes. Shopping mall operations are subject to the typical seasonality of retail, with higher sales traffic and percentage rent on dates such as Easter, Mother’s Day, Valentine’s Day, Father’s Day, Children’s Day and Christmas, as well as increased commercialization of kiosks and media spaces during these periods.

The HBR Opportunities platform concentrates assets considered complementary to the other fronts of operation, including hotels, built-to-suit developments, sale-leaseback transactions, self-storage and parking facilities. A highlight is the proprietary self-storage brand +Box, which expanded the company’s presence in urban storage, and the Hotel W São Paulo, a high-end international brand operated in Vila Olímpia, which marked HBR’s entry into the luxury hospitality segment. In 2025, the company reinforced its capital recycling strategy by completing the sale of the Hilton Garden Inn Hotel, the 3A João Moura corporate building to Hospital Israelita Albert Einstein, and +Box units in Tamboré, transactions that totaled R$ 449 million and allowed it to amortize debt and strengthen its capital structure. In the same fiscal year, the company recorded net revenue of R$ 532.6 million, or R$ 250.6 million excluding the effect of asset sales, reflecting operational growth and scale gains.

HBR Realty maintains a diversified revenue base, with no material concentration in a single tenant, and distributed across the four business platforms. In recent years, the company has significantly expanded the gross leasable area (GLA) under its own management, surpassing 150,000 square meters in 2023 and more than 247,000 square meters in 2025, with 51 assets in operation at the end of that year. In 2024, the company reported net revenue of R$ 162.9 million and NOI of R$ 130 million, as well as an increase in the value of investment properties, raising the portfolio to R$ 3.6 billion. In 2025, adjusted EBITDA reached R$ 101.8 million, and the company continued to expand the ComVem platform with the delivery of units in regions such as Klabin, Osasco, Pinheiros and Brigadeiro, reinforcing its strategy of capillarity along established urban corridors.

From a regulatory standpoint, HBR Realty’s activities are subject to a comprehensive set of federal, state and municipal regulations related to real estate development, zoning, land use, environmental licensing, protection of historical heritage and building safety. Each project requires obtaining building and execution permits from city halls, operating licenses, fire department inspection certificates (AVCB), occupancy permits (habite-se), environmental licenses and, when applicable, authorizations for vegetation suppression and use of water resources. The company is also subject to specific regulations for shopping malls, which may be structured as a condominium in buildings or as a civil condominium, with bylaws, internal rules and agreements among co-owners defining the relationship between developers, tenants and the management company. In addition, operations involving personal data of customers and visitors are subject to the General Data Protection Law (LGPD), under the supervision of the National Data Protection Authority.

In terms of environmental, social and governance (ESG) practices, HBR Realty prepares an Annual Sustainability Report aligned with the GRI (Global Reporting Initiative) standard, following the Core option and including indicators for the material topics defined in its materiality matrix. The document considers the impacts of the company’s activities and the opportunities and risks associated with sustainability, with a focus on transparency in its relationship with stakeholders. The company has already published the fourth edition of this report, covering the period from January 1 to December 31, 2024, and is preparing the subsequent edition, covering 2025. Although the report itself does not undergo independent auditing, the financial information used is taken from audited financial statements. Throughout its history, HBR Realty has also accumulated recognition in the real estate sector, with several Master Imobiliário awards granted by market entities, as well as international awards related to architecture and hospitality, associated with projects such as HBR Corporate Tower Pinheiros and W São Paulo.