Brazil Real Estate Fund INLG11 Hit by Second Tenant Bankruptcy
Inter Logistico FII (INLG11) faces rising credit risk after Navarro Distribuidora de Medicamentos files for judicial recovery, bringing total distressed tenant exposure to 11.2%.
Global investors tracking international real estate have a new reason to scrutinize credit risk in South America's largest economy. A prominent Brazilian logistics real estate fund is grappling with a wave of corporate distress after a second major tenant in the exact same industrial park filed for bankruptcy protection.
The Inter Logístico Real Estate Investment Fund (INLG11), managed by Inter Asset and administered by Inter DTVM, disclosed in a regulatory filing on November 5, 2026, that its tenant Navarro Distribuidora de Medicamentos filed for judicial recovery—the Brazilian equivalent of Chapter 11 bankruptcy. The local court approved the processing of Navarro's petition on November 4, 2026.
Navarro occupies warehouse space in the LOG Gaiolli Business Park, a major industrial hub located in Guarulhos, a key logistics municipality in the metropolitan area of São Paulo. According to the fund's disclosure, the distributor’s lease runs through March 30, 2031, and accounts for approximately 5.4% of the fund’s monthly rental revenue.
A Troubled Logistics Hub
The filing marks the second time this year that a tenant at the LOG Gaiolli complex has entered bankruptcy proceedings. In September 2026, another tenant in the same facility, Comercial RS, also filed for judicial recovery. Together, the two distressed companies account for 11.2% of the fund's total monthly rental revenue.
Despite the double default risk, Inter Asset stated in its November 5, 2026, filing that Navarro was fully up to date on its rent payments prior to the court filing. The fund manager assured investors that it does not expect an immediate, material impact on its monthly dividend distributions. However, local real estate analysts warn that a prolonged court battle or future non-payment could eventually drag down the fund's yield, which currently distributes R$ 0.60 per unit.
The silver lining for the fund lies in its geography. Guarulhos is home to South America's busiest international airport and serves as the primary distribution gateway for the city of São Paulo. Because of this prime location, vacant logistics spaces in the region typically attract high demand, potentially allowing the fund to re-lease the warehouses quickly if the current tenants are forced to vacate.
In your brokerage app
While the real estate fund Inter Logístico (INLG11) is traded locally on the Brazilian exchange (B3) and cannot be bought directly on standard US retail platforms, its parent company, Inter & Co Inc., is listed in New York on the NASDAQ under the ticker INTR. Inter & Co operates the digital banking and asset management ecosystem that structures and manages this fund.
