Gafisa S A : Material Fact - Capital Increase and Closing Upcon

GAFISA S.A.

CNPJ/MF 01.545.826/0001-07

NIRE 35.300.147.952

Publicly-held Company

MATERIAL FACT

GAFISA S.A. (B3: GFSA3; OTC: GFASY) ("Gafisa" or "Company"), a company with 66 years of market experience, in compliance with CVM Instruction No. 358/2002, as amended, hereby informs its shareholders and the market in general that the entire amount of the capital increase approved by the August 7th, 2020 Extraordinary General Shareholders' Meeting - in the amount of BRL 389,999,999.10 - was fully subscribed.

This is another relevant step in the path for the restoration of the Company's growth, and an unmistakable demonstration of trust by its shareholders in providing a continuous strengthening of its balance sheet, that, together with the three capital increases that took place since 2019, places Gafisa in a privileged position in the Brazilian real estate sector as one the companies with better financial and net leverage stand. Using our 2nd quarter financial statements as a base, and adding the amounts raised in this capital increase, Gafisa's cash position nears BRL 790 Million, and our net debt goes negative by approximately BRL 115 Million.

Additionally to the positive impacts in the Company's financial structure, the capital increase also allowed Gafisa to finalize all its remaining obligations related to the Upcon acquisition, thus enabling the closing of the transaction and the immediate integration into Gafisa of the entire Upcon landbank with a total SPV of BRL750 million for short and medium-term launches.

Gafisa's management reaffirms its commitment of consolidating a leading position for Gafisa both in its segment and the market in general.

São Paulo, September 23, 2020.

Ian Andrade

Chief Financial and Investor Relations Officer