By Gabriel Araujo

SAO PAULO (Reuters). Shares of Brazilian shopping center operators surged after Multiplan announced figures exceeding pre-pandemic levels during the fourth quarter of 2020. Additionally, a Bank of America survey indicated that there was a strong recovery.

Multiplan reported in its operational preview, that same store rent increased by 41.4% over the quarter ended March 2019, while sales rose 10.3%.

Comparing to the same quarter in 2019, sales rose 8.1%, aided by strong holiday performances.

December was an important highlight with sales reaching 110.1%, compared to the previous year. Multiplan stated that sales in the fourth quarter were higher than 2019 levels, with totals of 5.6 billion Brazilian reais ($1.01 million)

Multiplan’s numbers were supported by an American Bank survey that showed a K-shaped recovery of the sector. 92% of Brazilian shoppers are back in malls, despite visiting less frequently, the Bank of America study said.

BofA noted, too that consumers with higher incomes are now spending more than ever before while those who have a lower budget reduced their spending.

BofA reported that the survey of 1,000 Brazilian shoppers during Christmas suggests that internet shopping habits learned during the pandemic may be sticky, but it should not discourage mall visits.

We expect a steady recovery of 4Q sales. Our findings are consistent with our expectations. It stated that malls that target high-end consumers are likely to have higher rents this year due to a quicker recovery in sales.

On Wednesday, Brazil’s stock market saw the largest gains for mall operators.

Multiplan’s shares rose 6.7%, to 18.10 reais by late afternoon. Iguatemi jumped 7.8% while BR Malls rose 5.8%. Bovespa saw an increase of 1.7%.

($1 = 5.5678 reais)