As Asunción and the country's economy continue to grow, the demand for corporate space has intensified, reflecting sustained economic dynamism and growing interest from national and international investors. In this context, the Central Bank of Paraguay reported an accumulated growth of the Gross Domestic Product (GDP) of 4.3% in 2024, consolidating the stability of the economic sector. During the period 2003-2023, the Paraguayan economy experienced an average growth of 3.6% per year, outperforming many economies in the region and positioning the country as an attractive destination for investment and business development. This progress allowed Paraguay to achieve the investment grade granted by Moody's in July 2024, strengthening its credibility in international markets.
In parallel, the corporate office market in Asunción has shown accelerated growth. By mid-2024, it reached 257,000 m², ranking among the smallest in the region, but with a notable pace of expansion and modernization according to JLL's Latin American Office Market Report. This panorama highlights the potential for growth and consolidation of the corporate real estate sector in the city, driven by the growing demand from companies looking for strategic locations and modern infrastructure.
Originally, most of the city's businesses were located in "El Centro" (The Center) of Asunción. The population was concentrated mainly in the center and in surrounding neighborhoods such as Las Mercedes, Barrio Obrero, Ciudad Nueva, and Sajonia. The first large buildings began to be built in 1960, after President Stroessner imposed a higher tax on older houses in the area. From then on, downtown Asunción grew in height until the 1980s, driven by the boom of the Itaipú hydroelectric plant. At the same time, areas previously dominated by large country houses began to be urbanized, such as Los Laureles, Villa Morra, Santísima Trinidad, Las Lomas, and Ycua Satí.
The economic crises of 1995 and 2002 impacted the population and corporate activity in downtown Asunción. Companies opted to rent large houses, which were cheaper than offices in corporate buildings. The center began to experience traffic problems, rent increases, and increased insecurity. During the first decade of the 2000s, corporate offices predominated in low-rise buildings and houses adapted to the new urbanized areas of Asunción.
In 2010, the company GA&W and the developer Capitalis began the construction of medium-sized corporate buildings on Avenida Aviadores del Chaco, promoting the area as "The New Corporate Axis of Asunción." It was not until 2011, with the announcement of the World Trade Center Asunción, followed by Paseo La Galería in 2013, that the area was consolidated as the main corporate district. Projects such as Sky Park, Park Plaza, Torres AYMAC I, II and III, The Top, Torre Aviadores and Trading Park were later added. Today, this axis houses thousands of companies and offices. Many of the firms that previously operated from homes or downtown Asunción migrated to this area, improving connectivity between collaborators and suppliers, encouraging collaboration and networking. Although growth in square meters has slowed, projects such as Matter and Link Aviadores still bring innovative proposals to the area. In addition, Shopping del Sol, the main shopping, dining and entertainment centre in the area, continues to evolve to adapt to the market.
However, new areas of the city are emerging as corporate hubs. Although they have not yet displaced the Corporate Axis, they have attracted the attention of developers and investors.
Recoleta/Mariscal neighborhood
One of the neighborhoods with the greatest growth in residential and corporate square meters in recent years is the Recoleta neighborhood, also known as the Villa Morra neighborhood. Its corporate development was slower than that of the Corporate Axis, with the first corporate building, Citi Center, inaugurated in 2001. It was not until 2009 when BBVA (now the headquarters of Banco GNB) built the second building in the area, followed in 2012 by Mariscal Center and in 2013 by the Banco Continental building. In 2016, the Mariscal Shopping Center expanded its infrastructure with the addition of Banco Atlas' Atlas Center, its first corporate tower, and in 2017 the Torre de las Américas was inaugurated, strengthening the area's position as a growing business hub.
2022 marked a turning point in the transformation of Recoleta with the launch of Central Mariscal, currently under construction, and the creation of the Mariscal Neighborhood Association. To enhance the area's attractions, a group of businesspeople created the 'Barrio Mariscal', an initiative that has generated a significant impact on the community. For more than two years of joint work, the Mariscal Neighborhood Association has implemented multiple urban improvements to make the area a more accessible and attractive space. These actions include the removal of railings, the modernization of public spaces, the optimization of road signs, as well as the cleaning and continuous maintenance of sidewalks. In addition, interventions have been carried out in the gardens on the public streets and the painting of sidewalk curbs to strengthen the identity and aesthetics of the neighborhood. Thanks to these efforts, Recoleta has established itself as a modern and functional neighborhood, with a dynamic and attractive environment for both residents and businesses.
Within this framework of growth, Central Mariscal is emerging as a key project for the consolidation of the district, promoting urban and corporate development in the area. Developed by Altius Group Paraguay, it will include an office building, two MORE residential towers, a gastronomic and commercial promenade, and parking lots, further strengthening the corporate and residential infrastructure of the area. Penta SA, a key investor in the area, has acquired a 14-story office tower, the gastronomic promenade, and 260 parking spaces.
Other projects include New World Tower, the future headquarters of AGB, and Asunción Trading Center, with more than 6,000 m2 of offices. Sudameris Bank is also planning a very important corporate building on the corner where Tigo used to operate. With these developments, the Recoleta neighborhood will consolidate itself as a financial and corporate district, increasingly approaching the number of square meters that exist in the Avidores del Chaco Corporate Axis.
Perseverance District
Distrito Perseverancia, the largest mixed-use complex in the country, will have 10 buildings in the corporate part of the project, including spaces dedicated to offices, hospitality, health, education and services. This development is designed to become a catalytic space, integrating different areas to promote productivity and business well-being. The first tower under construction, La Torre Marfil, will mark the beginning of Distrito Perseverancia's corporate campus. With a design focused on maximizing the corporate experience, improving workplace well-being and stimulating creativity, this building will be a key point within the project.
IWG, the world leader in flexible workspaces, will be part of Torre Marfil with its Spaces brand, offering fully equipped offices and coworking areas in Torre Marfil. These spaces are designed to attract start-ups and professionals looking for dynamic and modern work environments. With the arrival of IWG, many smaller companies will find Distrito Perseverancia an ideal environment, as these spaces offer flexible contracts and efficient solutions for growing companies.
An example that illustrates the benefits of mixed-use developments is the relocation of Boston Consulting Group (BCG) offices to Hudson Yards in New York. The relocation allowed BCG to increase its collaboration space by 176% and reduce costs per employee by 55%, thanks to more efficient use of space and a modern design. In addition, choosing Hudson Yards allowed them to take advantage of the development’s amenities, such as shopping centers, restaurants, and subway access, becoming an extension of their corporate culture. This case demonstrates that a well-planned mixed-use development, such as Perseverance District, not only improves the employee experience, but also optimizes costs and fosters a more connected and efficient business ecosystem.
The Delta
El Delta is strategically located between the Remanso Bridge and the Héroes del Chaco Bridge, south of the Transchaco Route. This modern development includes a completed residential neighborhood, two under construction, two finished building complexes and two corporate offices: Alkan and Navis. In addition, it has a shopping center under development and a golf course, consolidating itself as a comprehensive project with multiple services.
While El Delta is primarily known for its residential neighborhoods, it is evolving into a growing corporate hub. Its Business Center, located on the banks of the Paraguay River, houses the Alkan, Navis and the future Navis II buildings, offering a strategic environment for national and international companies.
In 2021, the zone became the first Free Trade Zone for Services in the country, attracting companies with significant economic benefits thanks to Decree 5965/21. This legal framework allows the developer to attract high value-added service companies, replicating successful models from Costa Rica and Uruguay. Key sectors include biotechnology research, software development, architectural design, technical and financial consulting, along with other activities regulated by current legislation.
With a focus on innovation and business growth, El Delta seeks to establish itself as a key hub for corporate and commercial development in the region.
As the corporate real estate sector continues to evolve, Paraguay is positioning itself as an increasingly attractive destination for international investment, especially for companies from Bolivia and Argentina looking to expand in a stable and favorable environment. However, the key to the future of the corporate market in Asunción lies not only in the expansion of square meters, but in the ability to offer specialized spaces adapted to the needs of each industry.
Global trends indicate that personalization and flexibility of workspaces will be decisive. Hybrid office models, premium coworking and mixed-use developments are marking the future of the sector. In this context, investors and developers have the opportunity to differentiate themselves and innovate, attracting companies looking for strategic, modern and efficient environments.
With this development, Asunción will not only consolidate its growth as a business hub in Paraguay, but will also strengthen its position in the region, competing with more developed markets and attracting new investment opportunities.
If you’re interested in learning more about the corporate office market in Asunción, seeking the ideal location for your business, or exploring investment opportunities, feel free to contact us at +595 992 823700 or at info@altusterras.com.