Before you decide to buy (or sell), read this line:
HOFC11 is no longer an income FII in July/2024. . Since then, the unit holder has received Dividend R$ 0,00 — 22 months running. The last distribution was 14/08/2024: R$ 0,21/unit, for June/2024 (Doc Fundos.NET 691195). From July 2024 onwards: zero. It is not a temporary interruption — it is a structural decision. No General Report Mar/2026 Hedge Investments says textually: "there is no forecast of injury reversal and return to income distribution". . The bottom has become one Runoff vehicle: sells assets, receives installments, pays the CRI, and what remains (if left) returns to the unit there in front.
Current photo of HOFC11 (Mar/2026)
Step began in 2024 — and never came back
The unitholder who entered the HOFC11 in 2022 or 2023 looking at the monthly dividends may not have seen the turn happening. The fall was gradual, but the outcome was brutal:
| Year | Total DPS in the year | Behavior |
|---|---|---|
| 2023 | R$ 2,21 | He paid every month. Range R$ 0,11–0,50/unit. Jun/2023 peak (R$ 0,50). DY ~7,9% per year on average unit of R$ 28. |
| 2024 | R$ 0,21 | Only payment of the year: 14/08/2024 (referring to Jun/24). From now on, zero. Falling 91% About 2023. |
| 2025 | R$ 0,00 | 12 consecutive months without handing out. Saliba is sold in Jul/2025 at the expense of R$ 50 Mi. Box goes to amortize the CRI. |
| 2026 (to sea) | R$ 0,00 | Three more months without handing out. MOU signed in 16/04/2026 to sell Birmann 20. |
It is not narrative: it is the official history of the FundsNet Income Documents. The total distributed from August 2024 to today is exactly R$ 0,00/unit. . 22 months running.
"But what then?" - what did the fund manager say in the most recent document
This is where a lot of investors stop reading and start cheering. I'm not gonna make it up -- I'm gonna do it again. literally. what is in the Mar/2026 Management Report (the last published) and make clear the meaning.
This phrase, in a single line, summarizes the difference between HOFC11 and any regular income FII. The fund manager's not saying "it's gonna take another quarter." Are you saying, in the middle of the 20th Sea, There's no forecast. — after 20 months without paying and with another quarter passing without paying.
This is not editorial carelessness: it is operational coherence. The average monthly result of the fund in the last 12 months was in -R$ 1,01/unit. . Accumulated 12 months until Mar/2026: -R$ 12,53/unit. There is no profit to be distributed — there is damage to be financed.
What the fund manager is doing: settlement, not recovery
Instead of trying to re-energize the locatícia operation (vacancy 52%, market for weak SP corporate slabs for medium buildings), the fund manager opted for progressive dismantling. In 6 years we left 4 properties for what will be left (1):
Saliba Building — sold in Jul/2025 (R$ 50 Mi damage)
In 28/07/2025 was lavish Public Book of Sale and Purchase of Saliba by Citadel I FII by R$ 83,28 Mi: R$ 57,68 Mi on view + 36 monthly plots of R$ 711 thousand corrected by IPCA up to Jun/2028. . The previous report was at ~R$ 133 Mi — the fund found accounting damage of approximately R$ 50 Mi, being amortized in flow as the plots arrive.
Building Corporate Alamedas — CCV in Aug/2024
In 12/08/2024 was signed the Purchase and Sale Commitment of the Corporate Alamedas by R$ 31,9 Mi, with 5 plots. The last installment (R$ 7,35 Mi corrected by IPCA) is paid in jul/2026 — after that the Corporate cash comes out of the horizon.
Birmann Building 20 — MOU signed in 16/04/2026 (-ZQX1ZX of the report)
This is the most revealing transaction of all. In 27/03/2026 arrived Commercial Proposal and in 16/04/2026 Hedge signed a Memorandum of Understanding with the buyer (a developer — likely change of purpose of the building) to alienate the entire Birmann 20:
- R$ 7,2 Mi in sight (10% of value)
- 42 monthly instalments of R$ 1,52 Mi, corrected by IPCA
- Nominal total: R$ 72 Mi
- Term of completion: ~jun/2030 (if the previous conditions are met)
- Report Discount: 25%
Birmann's report was at ~R$ 96 Mi. The sale came out by nominal R$ 72 Mi — and distributed over time. . Bringing the present value the 42 flows discounted at a reasonable rate of 14% a.a., the present value is close to R$ 58–62 Mi, i.e. closer to 35–40% below the report in economic terms. That's the real exit cap rate from the bottom — not what the report indicated.
The message hidden at the sale of Birmann 20
When a developer buys a corporate slab 25% below the report, it is usually because it will change the purpose of the property — turn residential, retrofit, or demolish and redo. It's the market saying that that particular slab, in that neighborhood, with that vacancy, has no future as an office. The P/VP of 0,57 that HOFC11 loads is not speculative discount — it is the weighted average between the value of the report (which still assumes locatícia continuity) and the actual multiple output that the market is giving.
What remains after Birmann: Morumbi Building 8.200
When Birmann's MOU closes (estimate Dec/2026, depending on the verification of the previous conditions), HOFC11 will remain monoactive: only the Morumbi Building 8.200 in São Paulo. And here the picture is also difficult:
- Current vacancy: 88% — only 12% in the rooms are rented at sea/2026
- In Mar/2026 management opened negotiations with a single tenant for the building's 100% — essential operation for the thesis, without guarantee of closure
- CRI Series 288 still leverages this property: R$ 52,6 Mi a IPCA + 7,70%, maturity jul/2032. . The financial cost consumes approximately R$ 0,15/unit/month — chapter which continues until 2032 or sale of the property, whichever comes before
In other words: the base scenario of the post-Birmann ZQX0ZX is 1 almost empty property + long-term structured debt. . The reoccupation of the 100% of Morumbi 8.200 changes the game. Not to happen keeps the bottom in runoff until 2032.
Why 0,57 P/VP is not the discount that looks like
P/VP 0,57 suggests opportunity — and that is exactly what takes the unit from the necessary reflection. When you buy HOFC11 from R$ 32,50 with VP/unit R$ 57,50, seems to be taking 43% off-balance sheet. But what's "patrimony" here?
The VP of the fund is the sum of the real estate by the CPRE + cash + receivable sales report. The Birmann 20 report indicated ~R$ 96 Mi. The real sale came out by nominal ZQX0ZX Mi (ZQX1ZX–62 Mi at present value). Saliba's report was in ~R$ 133 Mi and the sale came out by R$ 83 Mi (with R$ 50 Mi of established injury). In other words: all difficult property report tends to be mark-to-law, not mark-to-market. . And when he sells, the gap shows up.
The P/VP of 0,57 reflects the discount that the market has already applied to correct this effect. It is not inefficiency — it is pricing consistent with the concrete output multiple that the fund has been delivering quarter by quarter.
The CRI 288 Series is the silent drag
Background loads R$ 52,6 Mi CRI 288 Series backed at Morumbi 8.200, costing IPCA + 7,70% per year, maturity jul/2032. . This cost of capital bites approximately R$ 0,15/unit/month of financial expenditure — and continues to bite regardless of the lease operation. When a portion of Saliba or Corporate arrives, part of this goes to amortize the CRI before any consideration of return to distribution.
Runoff flow up to 2032 (base scenario)
If you want to understand what you are buying today the R$ 32,50, is exactly this flow:
| Period | Inputs | Outputs / Events |
|---|---|---|
| Mai–Jul/2026 | Last plot Corporate (R$ 7,35 Mi IPCA) | No distribution — box for CRI / expenses |
| Jul/2026 – Jun/2028 | 24 plots Saliba (R$ 711 thousand/month IPCA) | Morumbi negotiation pending |
| Dec/2026 (estimated) | R$ 7,2 Mi in view of Birmann | MOU closes (if previous conditions OK). After that, the bottom is mono-active. |
| Jan/2027 – Jun/2030 | 42 plots Birmann (R$ 1,52 Mi/month IPCA) | Greater period flow |
| Jul/2028 | — | Saliba ends (last installment) |
| Jun/2030 | — | Birmann's done. Morumbi + CRI left. |
| Jul/2032 | — | CRI Series 288 Venue. . You Need to Pay or Roll — Probable settlement Morumbi's. |
The unit that enters today the R$ 32,50 is betting that (Birmann plots + Saliba plots + possible sale of Morumbi) minus (CRI up to 2032 + administrative costs) will give more than the current R$ 32,50 per unit. It's a settlement arbitrage thesis, not rent. And it's a valid thesis only if you know what you're buying.
The unit holders are leaving.
In February/2026 the HOFC11 had 4.574 unit holders. . In March/2026, 4.301. 273 unit holders left in a month — a turnover of almost 6%. It is not a neutral movement: it is the part of the market that has realized what the report is saying and decided to leave first.
The 5 risks that the unit holder needs to monitor
1. Reoccupation of the Morumbi Building 8.200
Severity red. . Vacancy of 88% and the central thesis depends on closing 100% with a single lessee (trade open on Mar/2026). If it doesn't close, Morumbi's still burning cash for another 5+ years.
2. Previous conditions of Birmann MOU 20
Severity orange. . The MOU has a period of 8 months for verification (up to 10/2026). If the buyer gives up or fails to meet conditions, the sale returns to zero — in already weak market.
3. Liquid box scraping the bottom of the pan
Severity orange. . Item 9 of the Monthly Information Mar/26 shows only R$ 1,1 Mi net cash — the rest is in LCI rolling to honor the CRI service. There's little room for unforeseen.
4. CRI Series 288 in July/2032
Severity orange. . If you arrive 2032 without reoccupying Morumbi (or without selling it), the fund needs to pay up R$ 52,6 Mi updated by IPCA + 7,70% — likely forced liquidation.
5. Fixed administrative cost in decreasing fund
Severity yellow. . The entire administrative structure of the fund (management rate, audit, custody) runs over LP increasingly smaller. The lower the fund, the greater the relative weight of fixed costs on the unit.
Verdict: SALE — Note 3,0/10
For whom HOFC11 DOES NOT make sense (mostly):
- Who's building a FII wallet? seeking monthly income — zero distribution and management without a forecast of return.
- Retired or income complement — there is no DPS thesis here for the next few years.
- Who saw the P/VP 0,57 and found "high" without understanding that the discount reflects the actual multiple output.
- Those who trust the historical CBRE report — Saliba and Birmann show the gap between the report and the real market.
- Who is not willing to wait until 2030 to see the flow of plots materialize.
For whom (speculatingly) it can still make sense:
- Experienced investor who wants to bet on Settlement arbitration and made the calculation: added all plots Birmann (42), Saliba (24 remaining), the last Corporate (1), possible sale of Morumbi and the CRI until 2032 — and concluded that there is more left than R$ 32,50/unit at present value.
- Who understands that You're buying a flow, not a monthly income., and has a horizon of 4–6 years.
- Who has very small participation in the total portfolio (≤2%) and tolerates the risk of execution.
In a sentence
The HOFC11 ceased to be FII of income in July/2024 and became Runoff vehicle. . The fund manager expressly declares that "there is no forecast of reversal of injury and return to distribution", and the facts confirm: 22 months without distributing, Saliba sold with R$ 50 Mi of loss, Birmann 20 leaving 25% below report, Morumbi 8.200 with 88% of vacance and CRI until 2032. The 0,57 P/VP is no discount — it is the market pricing the actual multiple output. Whoever's looking for HOFC11 looking for dividend is looking for the wrong place. Those who understand that they are buying a flow of parcels up to 2030, with high execution risk, may even have a thesis — but it is not income. It's arbitration.
