Rio's by-the-hour motels get incentives to upgrade for World Cup


Skift Take

It's hard to se why motel owners wouldn't go for the deal. They'll get discounts to upgrade, then can go back to business as usual (if they want) after the World Cup and the Olympics.

Rio de Janeiro is granting tax breaks to motels that convert from red velvet and ceiling mirrors to single beds and conference tables as a means of boosting lodging capacity in the city that will host the 2016 Olympics. Incentives include a 40 percent property-tax reduction and a services tax reduction through 2015 for motels that agree to block off 90 percent of their rooms for the Olympics and make them family-friendly, according to information provided by the city’s investment promotion agency. The proposals were presented to Rio’s chapter of the hotel association, ABIH-RJ, on Jan. 29. “Motels are going to offer simple, pleasant installations without the gaudiness of the past: red velvet, colored lights, mirrors everywhere so people can see themselves from 10 different angles,” said Antonio Cerqueira, vice president of motels at ABIH-RJ. “People are going to feel good.” Motel operators, who typically charge for a room by the hour, welcomed the proposals as they sense an opportunity to lure new clientele and boost occupancy with tourists as well as the businessmen building infrastructure and increasing offshore oil development. Billiona