The growth of the Brazilian economy, the actual increased income of the population, the increased operations and financed amounts, in addition to the historic housing deficit in Brazil, have been providing the real estate market with positive developments. Cyrela is one of the major developers of real estate projects in the country and has followed this performance in 2010, releasing 108 projects in the year.
Although launches were concentrated in the last quarter of 2010 (59.5%) as a result of delayed approval of projects with PSV over R$ 100 million, this has not prevented the Company from getting good results: launches amounted to R$ 7.6 billion, 110.3% of the minimum guidance target, and pre-sales amounted to R$ 6.1 billion – 99.5% of the minimum guidance target for the year. With Living, the launches reached R$ 2.2 billion–a 23.5% increase over 2009, corresponding to 29.3% of the total Potential Sales Value (PSV) launched by Cyrela in the year. Sales increased 4.5%, amounting to R$ 1.8 billion, meaning 29.2% of the consolidated volume of the Company.
A highlight of the series of launches by Cyrela was the project Thera Berrini, southern zone of São Paulo, in December 2010. Its sales reached 100% of units in just two weeks. Projects Camino, Escritórios Mooca, and Wave (first launch of Cyrela in the city of Santos, SP) were also successful, having 95% of their units sold on the launching day.
The Company faced some new challenges in 2010 by reason of the increased job market and the expressive number of launches on the Brazilian real estate market, which has made tighter the competition and search for skilled professionals in civil construction. The consequences of this scenario were higher labor cost, which reinforces the need of accelerating the education of technicians and experts. On the short term, it also reduces the productivity of construction.
