brazil hotel industry investment guide

8/13/2019 Brazil Hotel Industry Investment Guide

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Brazil Hotel IndustryInvestment Guide

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Brazil Hotel Industry

Investment Guide

CONTENTS Page1 Introduction to the Brazil Hotel Industry 4

2 Brazil Tourism / Hotel Industry S.W.O.T Analysis 6

3 Brazil State Tourism / Hotel Industry Briefs 13

Rio de Janeiro State Tourism / Hotel Industry 13

Esprito Santo State Tourism / Hotel Industry 16

Minas Gerais State Tourism / Hotel Industry 17

So Paulo State Tourism / Hotel Industry 18

Paran State Tourism / Hotel Industry 21

Santa Catarina State Tourism / Hotel Industry 21

Rio Grande do Sul State Tourism / Hotel Industry 22

Distrito Federal State Tourism / Hotel Industry 23Gois State Tourism / Hotel Industry 23

Matto Grosso State Tourism / Hotel Industry 25

Matto Grosso do Sul State Tourism / Hotel Industry 25

Pernambuco State Tourism / Hotel Industry 29

Cear State Tourism / Hotel Industry 31


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Brazil Hotel IndustryInvestment Guide

CONTENTS PageSergipe State Tourism / Hotel Industry 32Alagoas State Tourism / Hotel Industry 33

Paraba State Tourism / Hotel Industry 34

Rio Grande do Norte State Tourism / Hotel Industry 35

Piau State Tourism / Hotel Industry 37

Maranho State Tourism / Hotel Industry 38

Amazonas State Tourism / Hotel Industry 39

Par State Tourism / Hotel Industry 41

Tocantins State Tourism / Hotel Industry 42

Amap State Tourism / Hotel Industry 43

Roraima State Tourism / Hotel Industry 43

Rondnia State Tourism / Hotel Industry 44

Acre State Tourism / Hotel Industry 45


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1. Introduction to the Brazil Hotel IndustryAs currently the 35th most popular global touristdestination, Brazil possesses long stretches of coastline,rainforests, wetlands, diverse biodiversities, adventure,lively cities, carnivals, warm climate and rich culturaltraditions (including many of the worlds UNESCOheritage sites) complemented by an ever-increasingamount of business travellers visiting the country.According to the World Trade Organisation (WTO),Brazil is fourth most visited country in the Americas(after the United States, Mexico and Canada) and the

highest in South America. According to the InstitutoBrasileiro de Turismo (Embratur), the revenue generatedby tourism in 2008 was over 17% higher than in 2007 (which was previously the best year ever recorded) although this decreased slightly in 2009.

The hotel industry has subsequently grown in line with the domestic and international tourist sector and,relatively speaking, was able to ride out the effects of the global economic downturn. For the future,the overall expectation remains positive particularly with the arrival high prole events such as the WorldCup 2014 and the Olympics 2016. As of today, some $US 310 has already been invested in the WorldCup hosting cities: Belo Horizonte, Braslia, Cuiab, Fortaleza, Manaus, Natal, Porto Alegre, Recife, Rio deJaneiro, Salvador and So Paulo (with further signicant infrastructural programmes in place). It was also

recently announced that some R$ 1 billion has also been earmarked to be offered as low interest loansto the hotel industry in the build up to 2014 (see below). According to Marcelo Pedroso of Embratur:the World Cup host cities will not only gain visibility with the tournament, but will also enable us to takeadvantage of the event to diversify the destination options in the country. Another encouraging fact,directly related to the hotel industry, is that between 2002 and 2009 the number of international guestsboarding cruise liners has increased by 623 percent with major companies including Royal Caribbean,P&O, and Princess Cruises all formulating expansion plans in the country.

The ever-apparent economic success of Brazil has resulted in an increasing amount of business touristsvisiting the country; exports, for example, are accounting for 25-30% of Brazils national income, up from15-20% in the 1990s. The current cities in receipt of the most commercially based visits are (in order):So Paulo, Rio de Janeiro, Porto Alegre, Curitiba, Belo Horizonte, Campinas (in So Paulo state), Braslia,Foz de Iguau, Salvador and Florianpolis (according to Embratur 2009 Anario Estatstico, Volume 36).In addition, the development and expansion of convention centres throughout the country isexemplifying the increased interest of the hotel industry to expand its operations in nearby cities.According to the International Congress and Convention Associations (ICCA), in 2009 Brazil was seventhplace in the world for the most amount of commercially-related events held in the globe (after the USA,Germany, Spain, Italy, United Kingdom and France). Examples of some of the larger centres includethe Anhembi (So Paulo, 400,000m); the Pernambuco Convention Centre (75,000m); the Rio CentreConvention Centre (Rio de Janeiro, 17,466m) and the WTC Naes Unidas (So Paulo, 10,000 m spreadover four oors).


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Examples of some signicant strides that the hospitality sector has made include the announcement byFrench group Accor (with brands including Sotel, Novotel, Mercure, Ibis and Formule 1) of theaddition over 5,000 rooms to their existing portfolio throughout the country (representing an expansionof 25 units with an investment of $US 270 million). The group also says that there are another 34 unitsin advanced negotiation with its institutional investors for future construction plans. The Blue Tree Grouphave announced their expansion into the north and mid-west of the country with the CEO, Chieko Aoki,stating very positive performance throughout 2009 and into 2010. The InterContinental Hotels Grouphave announced expansion plans with the current development of six Holiday Inn complexes in Manaus,So Luis, Belem, Maceio and Cuiaba (with a further 31 in the pipeline); the Atlantica group has 27 hotelsunder construction and scheduled to open over prior to 2012 and there are several major refurbishmentsand re-openings such as the the Hotel Cataratas in Iguau. Please click here to see our interviewwith three of the major hotel chains of Brazil.

The 2009 Travel and Tourism Competitiveness Index (TTCI) which analyses a countrys competitiveadvantage and business development potential saw Brazil remain in 49th place for the second year ina row. Whilst it remained in a strong position with regards to its natural resources (3rd in the globe) andits cultural and human development indices (6th in the globe), the TTCI analyses points to its mainlagging factors as being poor ICT (information and communications) infrastructure and transport links aswell as expressing concerns as to the countrys security and safety issues.

Mention is also worth being made of the growth of eco-tourism and responsible vacationing an industryprompted by a growing concern of travellers wanting to visit Brazils areas of outstanding natural beautywhilst still respecting its wide and varied ecosystems and biodiversity. There are now many hotels andpousadas (Brazilian guest houses) which have active instilled conservation measures in their operation

whilst still remaining protable and self sustaining. Some of the countrys award winning examples forinvestors to refer to include the Do Lado De La Eco Lodge (Aiuruoca, Minas Gerais); the Fazendo Bar-ranco Alto Eco-Lodge (the Pantanal, Mato Grosso do Sul); the Amazonat Jungle Lodge (the Amazon); theItacar (Bahia), the Juma Lodge (Manaus); the Tiwa Amazonas Eco Resort (the Amazon); the Salinas doMaragogi Resort (Alagoas). In areas such as the Pantanal, the Mata Atlantic and the Amazon, manyregions are federally protected and any development that occurs within them is subject to strictregulations and legal restrictions. In Brazils cities, as a result of the increasing important ofenvironmental protection, economic and sustainable construction (such as more effective waste disposalmechanisms), more hotels are adhering to Green Standards.

Another major factor of inuence in the market place is the presence of an increasing amount ofcompetitivity in the domestic airline industry (over 52 million internal ights were taken in 2009). Oncedominated by a handful of companies, Brazilian air travel is no longer a luxury which, in turn, is boostingthe ability of residents and visitors to the country to explore the huge region. The main companies incurrent operation are highlighted below:Gol Transportes Areos whilst witnessing a slight drop in passenger numbers in recent years;

essentially caused by the increased presence of low-cost air travel competition; the company remains oneof the largest in control of the Brazil skies with 40.18 percent market share as at May 2010 (the companyis traded on the New York and So Paulo stock exchanges);TAM Airlines established in 1961, the company has grown to become the joint largest airline in Brazil

but has the competitive advantage due to offering a range of international ights (the company is traded

on the Bovespa stock exchange). As at May 2010, it claimed a 40.18 percent share of the Brazilian
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market place.WebJet Linhas Areas a low cost budget airline company, established in 2005, with an estimated

market share of 6.24 percent as at May 2010 (a statistic that looks set to increase);Azul Brazilian Airlines established in December 2008, the companys growth strategy has been to

offer well priced travel, a result of which has seen it controlling a 5.93 percent market share in May 2010.

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2. Brazil Tourism / Hotel Industry S.W.O.T

AnalysisStrengthsA Booming Economy:Brazils prospects from an economic standpoint are looking very promising examples of which include a stable currency that has, for a long time, been unpegged to the US dollar;having one of the highest international reserves in the world today; increased trade and competitiveness(gaining ground against the global world leaders); an abundance of natural resources; leading bioenergy, wind and hydro-electric industries; huge petroleum discoveries which although likey to be aslow process will excel the country into an oil superpower; higher ratings in the eye of the internationalcredit agencies (including Moodys, Fitch and Standards & Poor); a well-regulated banking system thatwas able to withstand the effects of the global economic dowturns; lowly leveraged debt markets;

social and housing programmes which are lifting millions out of poverty; an ever rising middle classfuelled by decreasing unemployment, increasing disposible incomes and a greater puchasing power;sound macro-economic management and several other factors that will undoubtedly have a positiveeffect on the growth of the hotel industry.

Ample Options for the Leisure Tourist:As one of the largest countries in the world, Brazil offers a widerange of options for the traveller. The country has the sixth largest number of world heritage sites ofthe 130 countries evaluated by the United Nations World Tourism Organization (UNWTO) as well as7,490 miles of coastline, a largely warm climate, vast reserves of freshwater and bio-diverse rainforests.The country has, for a long time, been the rst destination of visitors to South America (second in LatinAmerica after Mexico) and tourism is an ever-growing contributor to the countrys GDP (some 53 million

travelled through the country in 2009 and direct revenues from tourists were estimated by Embratur atUS$ 22.1 billion whilst employing approximately 1.9 million people). International arrivals rose from 4.7million in 2001 to 7.2 million in 2008 and are forecasted to increase to 9.2 million+ by 2014.

Infastructural Investment:the infrastructural programmes that have been initiated in response to theWorld Cup 2014 and the Olympics 2016 will certainly make a difference to Brazils growing presence as amodern country. Many of Brazils larger cities are due for bus lane improvements and improved access forheavy goods vehicles. Road construction plans are also intended particularly in the highly congestedcities of Rio de Janeiro and So Paulo (where car sales have been increasing without the implementationof adequate support structures thus far). As can be seen from the graph on the next page, the numberof domestic and international tourists using Brazilian airports continues to rise.


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Since 2004, a number of signicant airport building and expansion plans have been underway. Tooutline: in the northeast, Macei (in the state of Alagoas), Natal (Rio Grande do Norte) and JooPessoa (Paraba) airports are under construction; in the north, new airports in Manaus (Amazonas),

Macap (Amap) and Porto Velho (Rondnia) are in the process of being constructed; in the Center Westregion, Braslia (Federal District) has witnessed signicant developments in recent years and now hasover seven million passengers per year; in the southeast region, a new terminal at Vitria Airport (EspritoSanto) is under construction; the Guarulhos International (So Paulo) also looks set for expansion andextensive improvements; the Rio de Janeiro Galeo will be extended to have a capacity of 25 millioninternational passengers annually and all of the other airports that will host World Cup 2014 soccergames will be in receipt of investment for further structural growth. In July 2010, work was commencedon a high speed rail line between Rio de Janeiro and So Paulo (estimated to be at a cost of R$ 36.4billion) which will complemented further extensions of the relatively modern subway lines in both cities(with a completion date aimed for 2016). The World Cup 2014s effect is expected to be large with anexpectation of 600,000 foreigners to the country and an increase of annual GDP to R$ 47.9 billion reais.

Mention should also be made of the government sponsored Programa de Acelerao do Crescimento(Growth Acceleration Programme). Initiated in January 2007, the rst stage of the programme (whilstslow in its implementation) was laid out on ve premises: infrastructural measures largely focused aroundenergy, transportation, housing and sanitation; measures to encourage credit and nancing; improvedenvironmental regulatory frameworks to further develop sustainable industry; tax relief, particularly aimedat the lower-income sector and long term scal reforms. Despite incompletion of the part 1 (PAC-1),the second stage was launched in March 2010, with an initial budget of R$ 958.8 billion for use between2011 and 2014. Funded via a mix of private, state, federal and municipal investment, PAC-2s allocation isearmarked for further investment in improving Brazilian cities, community citizenship, the Minha Casa,Minha Vida (My House, My Life) housing programme, improved water and light access for poorer


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communities and further developing the countrys energy matrix. Whilst criticised by opposition partymembers as being created for political gain, its the overall future effects of the programme on the

economic growth of the country cannot be underestimated.

Political Stability:whilst issues such as corruption (see below) have rocked domestic politics in the lastdecade (see below), Brazils role on the global stage has has made signicant steps forward in the last5 years over 300 additional diplomats have been bought into the government (with the same amount tobe expected over the next 4 years). The country is a member of a number of world organisationsincluding Mercosul, the G8+5, the G20, SACN and the Cairns Group (and is likely to gain seats at theOECD, OPEC and the UN Security Council in the near future) and it has continued to reinforce its ties withits fellow BRIC nations (Russia, India and China) in the form various favourable trade agreements andregular meetings to discuss collective growth strategies. Whilst some international commentators haveaccused the government of overly pushing its weight particularly with regards to its controversial

relationships with Iran and Venezuela as well as reconstruction donations to Iraq such landmark eventsare particularly important to note with regards to the future of the nation.

WeaknessesGeography:Brazil lies distant from many developed economies making visiting the country an unfeasibleoption for those with limited budgets. Below are some examples of current average ight times betweensome major cities of the globe and those of Brazil:

London Rio de Janeiro 11 hours and 30 minutes New York So Paulo 9 hours and 30 minutes

Los Angeles Recife 12 hours and 20 minutes Buenos Aires Rio de Janeiro 2 hours and 30 minutes Hong Kong So Paulo 22 hours and 30 minutes Mumbai Rio de Janeiro 16 hours and 40 minutes Moscow So Paulo 14 hours and 39 minutes Dubai Recife 12 hours and 55 minutes Sydney So Paulo 16 hours and 40 minutes

Global Economic Downturn:with global market instability, rising ying costs and a stronger currency,travelling to Brazil has become less within the means of many people as a result of economising andcutting back on luxuries. Indeed, the after effects of the global downturn will certainly take some time to

settle and will effect tourism across the world, not just Brazil.

Legal Hurdles / Bureaucracy:the country is well recognised by business leaders as having complicatedprocesses and procedures which remain fundamental barriers to engaging in economic activity: Brazilranked 129th out of 183 countries in the World Banks 2010 Doing Business report. The 2010 Index ofEconomic Freedom; whilst pointing to increased freedom in the ability to start, operate and close abusiness; stated that Brazils strict regulatory environment is impeding further growth (it takes, onaverage 218 days to create a company in Brazil compared to the world average of 35). Property rights,nancial and monetary freedom were reportedly above the global average but the country received lowerratings for its scal and labor freedom analyses as well as its ability to move away from corruption.


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Infrastructural Problems:conversely to what was stated above, concerns remain as to the countryspractical ability on the ground level to keep up with its surging growth. One of example is the countrys

transport infrastructure: the highway system remains of poor quality and trafc congestion remains aproblem in many of the bigger cities. The railway network is also very small in relation to the size of thecountry and residents also continually criticise the slow pace of transport infrastructural improvementsthat are announced. The Copa 2014 site reported in May 2010 that work on nine of the 13 airports duefor renovation had been temporarily postponed by Infraero, the government-run airports authority, due tobudgeting delays.

OpportunitiesMarket Growth:the Brazilian hotel market has presented some interesting growth patterns in recentyears well worth noting. As can be seen in the rst graph below, the average occupancy rate for hotelsand resorts in Brazil began with a path of growth only to slightly decrease with the effects of the globaleconomic climate on the marketplace. Interestingly, as the second graph demonstrates, the averageroom cost began to decrease in 2003 and, whilst witnessing slight growth, has not reached such highlevels since: industry experts reason that this was due to a heavy increased in supply in that period aswell as the effects of the global downturn further on.


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According to Diogo Canteras, the managing director for HVS in Brazil and professor of hotel developmentat the Fundao Getlio Vargas (FGV), many of Brazils cities still continue to have an issue of an over-

supply of condo-hotels which is causing new construction feasibility issues. However, the predictive graphfor the So Paulo region below produced by the FGV sees demand and supply correlating in the next fewyears:

According to Canteras, since 2006 excellent returns have been via the purchase of existing hotelproperties in need of refurbishment and the construction of new hotels looks likely to become viablewithin the next few years as the average room rate reaches a level in line to the oversupply. He pointsout that this should be a change that will be witnessed in the majority of Brazilian cities but due careattention will need be made with regards to market due diligence combined with short, medium and longterm business planning. Canteras also stresses the importance of focusing on the Brazilian market aswell as remembering that; whilst international tourism is an important factor on the growth of the indus-try and events such as the World Cup 2014 and Olympics 2016 will help increase tourism statistics;hoteliers need to ensure that the sustainability of their businesses is maintained. He also states thegrowing importance of neighbouring South American countries mainly Argentina and Paraguay and

the need to maintain client focus for travellers from these important regions. He concludes by outliningtwo potential hotel industry investment options:the aquisition of hospitality assets in cities that have been affected by over-supply (hotels, condo-hotels

and hotel companies); they will be probably be need of refurbishment and modernisation in order forthem to be repositioned in the market place (support in the form of low interest loans by national banksis being offered which hoteliers may be interested in exploring, see below);experienced hoteliers should only consider construction after extensive due dilgence and competitive

analysis has been undertaken (as at 2010, out of every 10 projects analysed by HGV, 7 are being consid-ered as unviable in the current market place).


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Government Sponsored Initiatives:In February 2010, the Banco Nacional de Desenvolvimento Economicoe Social (BNDES) and the Ministry if Tourism launched the ProCopa Turismo: a programme aimed at

assisting and nancing the reform and construction of new hotels in time for the World Cup of 2014. Theassigned budget was set at R$ 1 billion and, in the words of the Vice President of the BNDES, ArmandoMariante, its aim is to encourage the sector to boost the volume and the quality of services offeredwhilst also improving the environmental efciency and sustainability of Brazils hotel industry. ForBrazilian hoteliers, the terms of these loans are clearly advantageous with interest rates ranging between6.9 to 8.8 percent depending on the size of the organisation. Repayment deadlines of up to 12 years areoffered for modernisation / refurbishment hotel development plans and 18 years for new construction.Furthermore, if energy efciency documentation is presented, terms can be further extended for up to 10years for modernisation and 15 years for new hotels. The maximum term of loan for uncertied projectsis 8 years for reforms, modernization and expansion, and 10 years for new construction. Whilstconsidered a welcomed incentive by hoteliers across the country, potential applicants should be warnedthat the process is far from simple and detailed due diligence will be undertake on any proposed project.More information can be found by clicking here(it is in Portuguese for any assitance with transla-tion or in general with regards to this programme please feel free to contact us [email protected]).

ThreatsNatural disasters:despite its larger size in relation to other south American countries, Brazil is in afortunate position to not be close to any tectonic plates and not majorly susceptible to earth tremors(although the last recorded tremor was reported in 1986 just outside of Natal) nor major hurricane zones.However, being a country of varied terrain and environmental climates, the country has been susceptible

to some devastating events recent examples include the mudslides and oods during the wet seasonsin Rio de Janeiro, Pernambuco and Alagoas states in 2010; similar oods that effected the Santa Catarinaregion in 2009; forest res that effected the Amazon area in 1998 as well as droughts and severe watershortages in the north of the country (although the effects of these have been mitigated due to theconstruction of dams and the close location of many of the north eastern major cities to the Atlanticocean). It is an unfortunate fact that the majority of people affected by such events tend to be thepoorer sections of society.

Poverty:a commonly perceived problem of Brazilian society, particularly from outsiders. However, whilstit is still clear that poverty remains a problem throughout the country, a number of steps have been takento alleviate its effects with visible results namely rises in the minimum wage (which has risen from R$

100 in 1995 to R$ 465 in 2010); rising middle classes (the amount of people with an income betweenR$ 1,115 and 4,807 increased by 31 percent between 2003 and 2008); the Zero Fome initiative (ZeroHunger, the amount of Brazilians living on under a dollar a day decreased by 17 percent between 2005and 2009 and looks set to continue to do so); the Minha Casa, Minha Vida (My House, My Life) housingprogramme; the Bolsa Famlia (Family Grant); improving education (World Bank data demonstrated thatilliteracy ranges from 2.7 percent for the population aged 15-19 to 30 percent for those between 65-69pointing to dynamics looking set to change over time). A July 2010 collaborative study between thePesquisa Econmica Aplicada (an applied economics governmental department); the Pesquisa Nacionalpor Amostra de Domiclios (a national household sampling survey) and the Instituto Brasileiro de Geogra-a e Estatstica (a governmental statistical agency) demonstrated that there are clear signs that povertywill effect just 4 percent of the entire population by 2016 (the statistic was at 10.5 percent in 2008).
http://www.bndes.gov.br/SiteBNDES/bndes/bndes_pt/Institucional/Apoio_Financeiro/Programas_e_Fundos/ProCopaTurismo/hotel_sustentavel.htmlhttp://www.bndes.gov.br/SiteBNDES/bndes/bndes_pt/Institucional/Apoio_Financeiro/Programas_e_Fundos/ProCopaTurismo/hotel_sustentavel.html


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Crime, Violence and the Drug Trade:another issue that remains a concern for both investors andbusiness owners. One particular example of this was seen shortly after the announcement of the Olympic

Games in 2009, when a major gun re battle started between rival gangs in the north of Rio de Janeiro fuelling debate as to whether Brazil was truly capable to offer an adequate amount of security to hostthe event. Nevertheless, ofcial statistics have pointed to declining numbers: in 2008, Rio de Janeiroregistered its lowest homicide statistic in 18 years a statistic that has since continued to decrease as aresult of pacication programmes being undertaken in the citys favelas (slum communities) as well as anincreasing amount of cooperation amongst gang leaders. In March 2010, an unprecedented event oc-curred with a collective meeting of three of the heads of the major favelas of Rio met to discuss violencecontrol strategies, particularly when innocent civilians are involved in the cross-re (it is a well known factthat the drug trade in many of Brazils cities is more of a question of control as opposed to economicviability). The government have also been seen taking denitive steps to reduce corruption amongstpolice ofcials and military interveners (a problem that has served to encourage crime and violence).In So Paulo, by 2009 the number of homicides had decreased to 10 per 100,000 down from 35.7 in1999. On a national level, state heads throughout the country are reporting lower crime levels due tothe fact that the issue is inextricably linked to poverty an issue, as mentioned above, that continues todecrease.

Construction Costs:as the graph demonstrating the average construction cost per metre square belowshows, the cost of building materials and labour has increased along with the growth real estate and landmarket. Hoteliers will therefore need to note the importance of factoring in these rising costs and otherinationary pressure into their projections.


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Corruption:a 2010 study by German NGO Transparency Internationalpointed to Brazil leading ahead of its BRIC counterparts in terms of

the amount of unethical government practices occurring. The mostrecent example was that of Federal District governor, Jos RobertoArruda (pictured to the right), who was caught handing bags of moneyto his legislator allies. What made this case particularly notable wasthe fact that that upon exposure of Arrudas behaviour, the newswas widely broadcasted throughout the country and the politician waspublically arrested and placed in custody: an unprecedented event inBrazils history. Several Brazilian commentators and industry leadersalso debate that modern day principles of decency, avoidance of greedand abuse of power are emerging. According to Jorge Gerdau,chairman of Grupo Gerdau, one of Brazils largest steelmakers: There

is a historical, cultural problem of a certain backwardness which isvery hard to overcome but there is also increasing public demand fortransparency and respect for the electorate. In late 2009, PresidentLula signed a bill encouraging members of the public to report acts ofcorruption whilst, at the same time, offering support and protection forthose that do. In business and commerce, there are more companieswishing to decrease the level of corruption - one particularly successful organisation is the PactoEmpresarial pela Integridade e Contra a Corrupo (the Business Pact for Integrity and Anti-Corruption)which has most of Brazils major companies as members.

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3. Brazil State Tourism / Hotel Industry BriefsRio de Janeiro StateRio de Janeiro City: as the Brazilian city with the largest amount of year round tourists, the hotel andtour industry is considered as one of the most advanced in the country and Latin America. Rio its oftenthe rst point of call for people visiting Brazil and, as well as being the second largest recipient, has longbeen viewed as a must-see destination of the world. Its main attractions are its wide beaches including the famous Copacabana and Ipanema as well as Leblon (home of the highest valued land andreal estate in Latin America), Flamengo, Botofogo and Barra de Tijuca several well known landmarks,such as the Christ Redeemer (Cristo Redentor), the Sugarloaf Mountain (Po de Acar), its largeBotanical Gardens and the Tijuca Forest (the largest urban forest in the world) to name a few. Thecity has been allocated a signicant amount of infrastuctural development as a result of hosting severalgames of the World Cup 2014 (including the nal at the Maracan stadium) as well as the Olympics 2016(see above). Understandably, most of the major 5 star hotel chains have a hotel in the city (including theSheraton, the Marriott, the Othon, the Sotel and the InterContinental), which are largely located towardsthe beach areas of the south zone (Zona Sul). These are complemented by a range of mid-range optionsas well as youth hostels spread across the city. The city centre has a number of choices (which largelycater to business visitors) and there are a growing amount of 3/4 star hotels, boutique-sytle pousadas

and youth hostels located in the traditional and culturally rich area of Lapa.


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Angra dos Reis: whilst also known as home of two of the largest nuclear plants in Brazil (and a third

being built), the area is a well known starting point for tourists visiting its 365 islands with charteredboats running on a regular basis, particularly during the summer months (the most famous island beingthe Ilha Grande). Accommodation options range from the 4 star Hotel Blue Tree Park, Angra Inn and doFrade (which has an attached golf course) as well as the Melia Angra Marina & Convention Resort (Aqua-Fun Turismo Nutico), a number of of pousada options and youth hostels.

Paraty:another popular visting area due to itsproximity to the city of Rio de Janeiro; its colonialtown centre; pristine beaches and hidden waterfalls.Large scale hotel development has been restricteddue to the want to preserve the unique nature of the

area with a number of well run small-scale hostelsand pousadas including the Pousada Arte Urquijo (asmall hotel and art gallery housed in a 17th centurymanor); the Pousada Pardieiro (with a large gardenvisited by monkeys) and the Santa Clara (located justoutside Paraty and offers both the benet of beingsurrounded by the Atlantic Forest and having aspectular view of the ocean).

Resende:the areas main known tourist destination is the Itatiaia National Park (Parque Nacional doItatiaia), which lies to the north of the municipality and is the oldest national park in Brazil. Visitors cometo trek the Matiqueria mountain range, visit the waterfalls and view the 250 species of birds. The parkis circled by an ecological protection area and development of any sort is highly restricted. Resende alsohas two quaint villages Visconde de Mau and Penedo which have several restaurants, pousadas andcottages (often a place for tourists to unwind after visiting the national park). Hotel options in Resendeitself include include the mid-range the River Park, the Castel Plaza, the Scala and the Cegil as well asnumber of well run pousadas. Visconde de Mau has a number of excellent pousadas such as the Jardimdas guas, the Araucrias and the Framboesas. Similarly, two good examples of well run pousadaoperations in Penedo are the Sitio Serana and the Vale de Avalon.

Petrpolis:located 65km from Rio de Janeiro city, the area is a popular weekend getaway and summer

holiday destination known for its pleasant climate; forested hills of the Serra dos rgos and the imperialhistory museum (housed in the Palace of the second Brazilian emperor). Hotel options are largely in themid to lower-mid range including the Casablanca, the Riverside Park and the Bragana Palace as well as arange of pousadas.

Terespolis:located in the mountainous region of the Serrana, it is very popular for trekkers, rockclimbers and extreme sports people attracted to its high peaks (including the Dedo de Deus, Pedra doAu, Pedra do Sino, Agula do Diablo and the Nariz do Frade). In the centre are a number of mid-rangehotels and pousadas including the Canton, the Center and the Philipp. Towards the outskirts andheading towards the Serrana are a number of well run country pousadas as well the Fazenda Rosa dosVentos farmstay which has excellent reviews.


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Saquarema:one of the well known surng areas of the state, several competitions are heldthroughout the year and the city is also home of the national volleyball training centre. Points of

interest are the cliffs offering excellent views of the coastline, the citys lake and the Nossa Senhora deNazareth church. There are a handful of mid range and pleasant hotels including the Maasai Beachfront,the Itana and the J Palace as well as a range of pousada options.

Cabo Frio:increasingly becoming known as a hidden gem by international tourists, the area has longbeen visited by people from throughout the country and has recently entered the route of some of theworlds cruise liners (including the Royal Caribbean and the Latin American subsidiary of P&O). Its mainattraction are the crystal clear watered beaches, namely: Praia do Forte, Praia do Per, Praia So Bento,Praia do Siqueira, Praia do Sudoeste, Praia das Dunas, Praia do Foguete, Praia das Palmeiras and Praia deUnamar. Other points of interest are the Feliciano Sodr bridge, the Nossa Senhora da Guia chapel, thechurch of So Benedito, the Municipal Theatre as well as several bars and restaurants. Considering its

exquisite natural beauty, the accommodation industry in the area is said to be notably underdevelopedand it is widely predicted that the area will to grow as a popular tourist destination. Currently, there aremainly mid range hotels in operation including the Atlntico, Praia Forte and the Malibu Palace as wellas a range of well-run pousadas located close to the beaches.

Armao dos Bzios:a former quiet shing village that has now become one of the most popularvisiting areas of Rio de Janeiro state after the city itself and is regularly frequented by Rios high society.The region became popularised by lm star Brigitte Bardot in the 1960s whose statue remains in thecentral street Rua das Pedras (Street of Stones); it is this area where there are many elegant shops, cafsand rustic restaurants. The main attraction are its beaches including the Praia dos Manguinhos; the Praiados Amores; the Praia das Virgens; the Praia do Canto; the Praia da Armao; the Praia dos Ossos thePraia da Gerib and the Praia do Joo Fernandes (the latter two are the busiest in the region). A rangeof accommodation options are available including boutique hotels and high-end pousadas (generally lo-cated closer to the Rua das Pedras) as well as a variety of more mid-range options and a handful of youthhostels.

Rio das Ostras:as well as witnessing huge populationgrowth due to the employment opportunities offered innearby Maca and Campos dos Goyataces (location ofthe majority of Brazils new found oil discoveries), theregion is also a rising popular tourist destination due to

its attractive beaches, relaxed pace of life, ecologicalparks and mountain climbing opportunities. The cityalso hosts the second biggest carnival in the state afterRio de Janeiro. Another area that is said to beunderdeveloped considering its tourism opportunitieswith mainly seasonal pousadas serving visitors to thearea (largely located along the main beaches of theTartarugas and the Costa Azul).

Maca:a region that has been labelled as the new capital of Brazils petroleum industry, resulting in anincreasing amount of national and international business travellers. The region also has several


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tourist attractions such as the Itana archipelago, the Maca river and the Jurubatiba lake, which alongside its neighbour, Rio das Ostras, are witnessing an increasing amount of tourists. As a result of these

rises, a number of hotel chain operations have been keen to grow in the area, particularly close to thecity centre: namely the Sheraton (5 star), the Mercure (4 star) the Comfort (4 star), the Ibis (4 star) andthe Blue Trees (4 star). There are also several mid-range options and small-scale pousadas in the city.

Campos de Goytacazes:as having the third highest level of annual GDP in Rio de Janeiro state, its mainindustries are sugar (it has six of the seven factories in the state of Rio de Janeiro); ceramics andpetroleum (another one of Brazils main hubs). The municipality also has several beaches (with the mostpicturesque being the Farol de So Tom); lakes (including the Cima and the Lagoa Limpa) as wellseveral historic monuments. Unlike Maca, the increasingly growing petroleum industry has yet to attractthe major hotel chains to the region with options ranging from largely mid-range independentoperations (such as the Antares, the Amazonas, the Canaan and the Terrazzo) to small-scale pousadas.

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Esprito Santo State Vitria:as voted the fourth best capital in Brazil to

live in by the United Nations in 1998, the city islocated amongst an archipelago and connected byseveral rivers and bridges. As well as its beaches,tourists continue to be attracted to its variety oflandscapes including hills, mangroves, islands, caves

and coves. Other tourism points of interest includethe Praa dos Namorados (Valentines Square), theCarolos Gomes Theatre, the historical downtown areaas well as several cathedrals, churches andmonasteries. Temperatures rarely go under 19degrees and reach highs of between 30-33 degrees in

summer (November to March). The region is also looking set for huge economic growth due to itproximity to the countrys major oil ndings. Accommodation options range from the 4 star Comfort andMercure hotels to more mid-range options as well as a number of beach side and centrally locatedpousadas.

Vila Velha:one of the oldest municipalities in Esprito Santo and is now the largest in terms of population.The main attraction for tourists here are the wide beaches and nightlife. Close to the area is the 5 starVilha Velha Hotel (which is considered the best in the state) and there are also a number of mid-rangeoptions as well as traditional pousadas.

Guarapari:located 47 kilometres from Esprito Santo, the city has an inux of tourists during the summermonths. Whilst its main coastal region has been criticised for being over developed, the Setiba naturereserve offers pristine and unspoiled beaches. Hotel options in this area are largely mid-range, examplesof which include the Fragata, the Gaeta, the Hotur, the Lorena and the Meape as well as a number ofpousadas.


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Domingos Martins:located 60 kilometres west of Vitria, the area is referred to as a green city due to itbeing the only municipality in Esprito Santo that is surrounded by subtropical rainforest. Its main

attraction is the Pedra Azul national park (with mountains reaching up to 2,000 metres) as well asseveral private nature reserves. The hotel industry in the region is very ecologically orientated andranges in quality from the mid range Aroso Pao and Iperador to eco-resorts and pousadas including theChez Domaine, the Eco da Floresta and the Pinhos Resort.

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Minas Gerais StateBelo Horizonte:as having the third largest metropolitan region in Brazil, the city is is regularly visited forboth leisure and business. The main landmarks include the downtown municipal park (Amrico ReneGiannetti); the Praa de Liberdade (Liberty Square); the Pampulha district where there are several

examples of contemporary Brazilian architecture; the Mineiro soccer stadium and the Lourdesneighbourhood (close to downtown). The city is also known for its world class cuisine, excellentnightlife and as having a lively arts scene (theatre, dance, museums and several music venues). Aswith all the larger cities in Brazil, hotel options are wide and varied from the Othon Palace (5 star), theOuro Minas (5 star), the Clarion Lourdes (4 star) and the Ibis (4 star) to a number of mid-range options,pousadas and youth hostels.

Ouro Preto:voted as an UNESCO World Heritage site, this formermining city holds several examples of Baroque architecture as well asspectacular panoramic views and hence attracts both national andinternational tourists. Over development is restricted in the area andso there exists a number of small but very well run and traditionalhotels and pousadas examples of which include the Hotel OuroPreto, the Boroni Palace and the Fazenda Boa Vista (an eco-tourismresort).

Congonhas do Campo:another UNESCO world heritage site withseveral examples of Baroque sculpture and architecture. As withOuro Preto, excessive hotel development has been justiablyprevented and therefore what exists is a handful of small and wellrun hotels and pousadas including the Max Mazza, the Colina, the

Profetas, the Colonial Cova do Daniel and the Freitas.

Mariana:the oldest city in the state of Minas Gerais that retains itstraditional roots dating back to the 17th century including churches,buildings and museums. As expected for such a small and traditionalcity, accommodation options are in the form of cosy hotels (such as the Galeria) as well as someexcellent pousadas, namely: the Chacar, the Solar dos Correa and the Polyanna (a farmstay /eco-tourism resort).

So Joo del Rei:a growing town which has retained many of its 18th century features its mainattractions are its traditional architecture, antique railway line network, museums and quiet pace of life.


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Accommodation options are mid-range and small including the Solara, the Ponte Real and the Vereda aswell as a range of well run and traditional pousadas.

Diamantina:another UNESCO World Heritage Site, the picturesque town is home to several examplesof Baroque architecture and mountainous terrain: popular amongst trekkers and rock climbers. TheJequitinhonha river also runs to the east of the municipality. Hotels are largely mid-range including theTijuco, the Diamante Palace and the Hotel Montanha de Minas as well as a range of excellently run andecologically friendly pousadas.

Caxambu:a small town which is most popularly known as having twelve sources of natural mineral waterrunning all day, every day. Hotels are mid-range but very well run with plenty of space, examples ofwhich include the Bragana and the Chals de Minas.

So Loureno:investors should be aware that; whilst this region is well known for its natural beauty andexcellent quality of water; several oods have occurred in a relatively short space of time (with the lastone being in 2000). Nevertheless, the region seems to bounce back and is nowadays a well knownnational event destination (including the national vintage car show, the Cachaa festival, the orchidfestival and the annual Brazilian hot air balloon gathering). Hotel options are largely upper-mid to lowerrange including the Fazenda Ramon, the Beira Parque, the Sul Amrica and the Platino as well as ahandful of pousadas.

So Thom das Letras:a small town located in the south of the state, this municipality is popular for eco-tourists attracted to its waterfalls, large cave system and the Mata Atlntica jungle. The accommodation

options are very ecologically friendly and include the Bosque dos Beija-Flores Ecological Sanctuary as wellas a range of good quality pousadas including the Arco-ris, the Anjos and the Estrelas.

Capara National Park:bordering the states of Minas Gerais and Esprito Santo, this region is home toone of the highest peaks in Brazil: the Pico da Bandeira. Accommodation options range from a numberof pousadas (many of whom offer tours of the park) as well as a number of campsites grounds.

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So Paulo StateSo Paulo City:the hotel industry in Brazils main economic hub is the largest in South America and looks

set for further growth to support the needs of the increasing amount of domestic and internationalvisitors. Leisure tourists are also increasingly being attracted to the excellent nightlife, museums,theatres, world-class cuisine (some of which rarely exists in other parts of the country), parks and overallmulti-cultural feel of the city. The 5 star hotels are generally located in the city centre (in the vicinity ofthe Avenida Paulista and the Faria Lima), including the Grand Hyatt, the Radisson, the Renaissance andthe Tryp Higienpolis (Brazils only Hilton Hotel in the Morumbi business district and the Panamby nearthe Guarulhos International Airport is considered the only 5 star in the area). 3 and 4 star hotels arelocated throughout the city as are several youth hostels and apart-hotel complexes (often popular forbusiness visitors and employees remaining for extended periods).

So Sebastio:located on the east coast of the Ilhabela municipality, the region is very popular amongst


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Paulistas looking to get away from the city. Its main attractions are its surrounding beaches includingEnseada, Camburizinho, Portal da Olaria, Pontal da Cruz, Arrasto, Deserta, Grande, Pitangueiras, Toque

Toque Pequeno, Santiago, Maresias, Brava, Boiucanga, Camburi and Cigarras. Accomodation optionsrange from the boutique Ilha de Toque Toque hotel to more mid-range options including the JuquehyPraia, the Ciriba Praia, the Baraquecaba Praia and the Pris as well as a handful of nicely run pousadas.

Boiucanga:a calm beach popular with Paulistas located close to So Sebastio which is served by smallhotels (such as the Imbassa, the Mar Alta and the Maresias) and a several pousadas (including theKyrios, the Katmandu and the Encanto das Pedras).

Ilhabela:a municipality located amongst a groupof islands situated 4 miles off the coast of So Paulostate that is named after its largest island (with

the others being Vitria, Bzios and Pescadoresas well as the islets of Castelhanos, Figueira, Cabras,Enchovas, Lagoa and Serraria). Populationsreach over 100,000 in the summer months attractedto the areas 41 beaches (including Guanxuma,Jabaquara, Peque, Feiticeira and Saco doEustquio); scuba diving opportunities; hiking trailsand waterfalls. Accommodation options range from

the 5 star Itapemar and Masion Joly hotels to the moremid-range Porto Pacuiba and Mercedes as well as a range of pousadas, campsites, holiday lodges and ayouth hostel.

Guaruj:remains a popular weekend getaway for Paulistas due to being 3 hours away from the capital.The region has become heavily urbanised but still attracts visitors to its beaches including Pernambuco,Enseada, Pitangueiras, Iporanga and Tombo. The accommodation ranges from the 4 star Sotel,Delphin and Casa Grande hotels as well as wide spread of mid-range options and pousadas. Manywealthy Paulistas own second homes in the area.

Santos:whilst more commonly known as one of the largest industrial municipalities of the state (thearea has the biggest seaport in Latin America), its tropical climate, wide green spaces and beaches at-tract tourists throughout the year as well as a regular ow of global visitors for business purposes

(particularly being only 49 miles from So Paulo city). As to be expected from a large municipality thathas important trade links, hotels range from the high end InterContinental, Atlantico and Renaissanceto a number of Brazilian independent mid-range options such as the Parque Balnerio, Indai and thePraiano (most are located along the 14 kilometre beach stretch).

Campos do Jordo:despite its relatively cold climate by Brazilian standards, the region attracts touriststhroughout the year due to its spectacular mountains. Several Paulistas have winter country houses inthe region and its main attractions include outdoor activities (hiking, mountain climbing / biking, horse-back trekking). Accommodation options range from the luxury Orotour, Grande Sanac and the FrontenacBoutique Hotel to the more economical Parque, Britnia and Astria as well as a range of well runpousadas and holiday lodges available for short-term let.


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Campinas:often termed as Brazils Silicon Valley and home to one of the busiest airports in the country(the Viracopos), the area is regularly visited by business travellers and has several 5 star hotels including

the Noumi Plaza, the Royal Palm and a Marriott. Whilst not the most attractive part of the city, there aresome areas that of appeal to tourists including the urban preserved wooded area of Bosque dos Jequitibs,the Centro de Convivncia theatre complex and the Lagoa do Taquaral park / urban lagoon, home to thecitys planetarium and science museum amongst others.

Ribeiro Preto:often referred to as the Paulista California due to its year long sunny weather, this areaattracts business tourists due to it being home to some of the countrys largest agribusiness rms (its soilsare some of the most fertile in the metropolitan region of So Paulo) as well as high technology companiesand several breweries. The area also has several gardens, parks and a zoo (including the Curupira andMaurlio Biagi parks as well as the Lus Carlos botanical gardens). Accommodation ranges from the 4 starComfort and Ibis to a number of more mid-range options (such as the Arco, the Plaza Inn and the StreamPalace) as well as a range of pousadas.

So Jos dos Campos:as well as being recognised as having one of the most important industrial andresearch hubs in Latin America, the UN placed the municipality within the top 25 cities of Brazil in terms ofstandard of living. There are several 4 and 5 star hotels that mainly serve both international and nationalbusiness tourists including the San Michel Palace, the Shelton Inn, a Blue Tree Towers, a Mercure, aNovotel and the Caesar Business (which serves the 2 large pavilions where regular fairs and conventionsare held). The area also has four shopping centres, an historic downtown, sports centres, large greenspaces as well many restaurants, bars and nightclubs.

Sorocaba:another important industrial location of Latin America, the region is often visited by businesstravellers due to its leading role in the Brazilian mechanical engineering, metallurgy and steelmakingindustries with several 4 and 5 star hotels including the Shelton, the Transamerica and the Nacional.

Araatuba:another important industrial hub of the country, particularly with regards to its developing cattleand other agricultural related interests. The hotels in operation include the Quality (one of the fast growingchains in Brazil) as well as an Ibis (both 4 star).

Araraquara:an increasingly popular area for visitors to So Paulo to stay due to having one of the bestsunsets the state has to offer as well as being recognised as one of the most relaxing parts of the city. Thearea has excellent bars, restaurants and nightlife and is home to several hotels including the Comfort

Atlantica (4 star), a Shelton Inn (4 star) and the Salto Grande (4 star).

Barretos:located in the north of the state, the area is located amongst farmlands and forested hills. Theregion is more popularly known for Brazils largest rodeo the Festa do Peo de Boiadeiro which attractsover 1,000,000 visitors annually.

Bragana Paulista:as well as being an emerging commuter region due to its proximity to So Paulo cityand Campinas, it is also a popular visiting spot for weekend getaway Paulistas and holidaymakers. Its mainattraction is the Taboo lake as well as the natural beauty of its countryside. Hotels in operation in thearea include the Novotel (4 star), the Plaza (4 star) and the Bourbon Atibaia (4 star spa resort) as well asseveral pousadas and country cottage holiday homes.


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Itu:one of the oldest municipalities of So Paulo, the region has a wide range of infrastructure in placeto house international meetings, seminars and congress events. Some of the hotels in operation includethe Mercure (4 star), the Plaza (3 star) and the Gandini (3 star).

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Paran StateCuritiba:voted as one of the greenest places to live inBrazil, the city receives a solid ow of business andleisure travellers. Its attractions, include its Botanicalgardens, German Woods, Italian Woods, Japan Square,

the Wire Opera House, the Tingi park and its manyecological city walks. Hotels in operation in the areainclude the Crowne Plaza (5 star), the Pestana (5 star),the Sheraton (5 star) and the Mercure (4 star).

Paranagu:the region attracts tourists due to the factthat it offers some of the best weather in the regionand business travellers due to its closeness to the largestport in the state. As well as several pousadas and ecological resorts, hotels in the area include thePalcio, the Mata Atlntica Park and the Camboa.

Superagi National Park:one of the highlights of the state, with a total of 33,998 hectares, the parkconsists of four islands covered with tropical rainforest. Several guesthouses, pousadas, hotels and touroperators exist in the region and the amount of visitors to the region continues to increase.

Foz do Iguau (Iguazu Falls):the largest waterfall in Latin America continues to attract touristsannually. The region also is a popular connecting point for people crossing the border into Argentinaand vice versa. There are several hotels (including the 5 star Sheraton, the 4 star Iguau Grand Hoteland the 4 star Cataratas) as well as pousadas and youth hostels.

Santa Catarina State

Florianpolis:the city is most popularly known for its beaches (including Mole, Ingleses, Campeche,Joaquina and Santinho) and lakes as well as its laid back pace of life and friendly atmosphere. Thereare also an increasing amount of business travellers to the region (outside of tourism, its main industriesare information technology, commerce and the service sector) as well as southern Brazilians andArgentineans who visit for short breaks. Several hotels are located on the island including the HotelSotel (5 star), the Mercure (4 star), Hotel Ibis (4 star) and the Porto da Ilha (4 star) as well asboutique lodges, pousadas and holiday villas / apartments.


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Joinville:the largest city in Santa Catarina that iscontinuing to attract more business travellers to its

growing economy; the city also hosts several eventsand business conferences throughout the year. Itsmain attractions are the Royal Palace (built in the mid19th century), the botanical gardens, museums, a zooand several parks. The city also hosts the largestBrazilian dance festival which sees over 50,000 peoplevisit every July. The main hotels are the Mercure (4star) and the Ibis (4 star) but there are also severallocal operations and pousadas throughout the city.

Blumenau:the area is continuing to grow industry wise (with textiles, information technology, metallurgy,software and electrical equipment all having prominence) hence the increasing amount of businesstravellers visiting the area. The city is very inuenced by Italian and German culture and has an historicaldistrict, an arts centre as well as many bars, restaurants and nightlife options. Hotels in operation includethe Ibis (4 star), the Mercure (4 star) and the Plaza (4 star).

Itapema:the main attraction of the city are its beaches, with the most popular (and longest) being theMeia. The largest hotel is the Plaza Itapema Resort and Spa (4 star) but there are a variety of smallerfamily run establishments and pousadas.

Balnerio Cambori:another popular visiting area of the state for tourists (which is the regions primary in-

dustry), the main attractions are its beaches, hill climbs and the Unipraias tourist complex. There are over100 hotels in operation including the Mercure (4 star), the Royal Atlantic and the Rieger (4 star) as well aspousadas and youth hostels.

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Rio Grande do Sul StatePorto Alegre:as having the fourth largest metropolitan area of Brazil and being an important economiccentre of the Mercosul region (Rio Grande do Sul borders Argentina and Uruguay), there is an increasingamount of business travellers coming to the area as well as a steadily rising ow of tourists visiting to enjoythe city. The main attractions are the Guaiba Lake, the Public Market (in the centre), the Matrix Square,

the Mario Quintana Culture House, the many parks, several palaeontology museums and several areas towatch the very unique sunset. The are several high end hotels within the area including the Sheraton (5star), the Novotel (5 star), the Quality (4 star) and the Everest (4 star).

Torres:a small city located on the coast that is popular for surfers (some of Brazils leading professionalsare from the area) as well as being labelled as the countrys home of hot air ballooning. Tourism is themain industry in the region with some of the main hotels including the Dunas Praia (4 star), the GuaritaPark (3 star) and the So Paulo as well as several pousadas and beach houses available to rent.


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Chapada dos Veadeiros National Park:ofcially votedas an UNESCO World Heritage Site in 2001, the park

consists of a 1.8 billion year old plateau and attractsvisitors to it waterfalls (of which there are over 45), itsinfamous moon valley as well as its rare species ofwildlife including jaguars, maned wolves, king vulturesand giant armadillos. The area has several hotels,inland lodges, pousadas and campsites catered to theincreasing amount of tourists exploring the area.

Pirenpolis:whilst having a growing economy based inagriculture (which industries include corn, soybeans,

coffee and citrus); cattle and poultry farming; small scale manufacturing as well as furniture many leisure

visitors come to the area for its colonial architecture and waterfalls. A range of accommodation options areoffered ranging from rustic pousadas and lodges to sophisticated hotels (such as the Cavaleiro dosPireneus).

Gois Velho:as the former capital of the state, the area has kept much of its colonial heritage and wasofcially classed as a UNESCO World Heritage site in 2001. The area is also closely located to the SerraDourada mountains as well as waterfalls and white water rapids in its vicinity. Accommodation optionsinclude small family-led hotel operations, pousadas, farmstays, campsites and ecotourism resorts.

Caldas Novas:due to having one of the largest hydrothermal springs in the world, this municipality isofcially the most popular visiting spot of the Gois. Tourists level are reaching over 350,000 during thesummer season and there are over 80 hotels including the Best Western (5 stars), the Bougainville (3stars) and several spa hotels (ranging between 3-4 stars) as well as pousadas, holiday homes, farmstaysand campsites. The entire region is catered for the ever increasing amount of tourists including bars,restaurants, fun parks and nightclubs.

Emas National Park:also a meeting point of the Gois and Mato Grosso do Sul states, the wide area isclassied as an UNESCO World Heritage Site and consists of treeless savannah and a range of wildlifeincluding the maned wolf, the giant anteater and armadillos. Accommodation ranges from farmstays,lodges, small-scale hotel operations and pousadas.

Araguaia River:one of the main rivers of the country (with a length of 2,627 km) and runs through thestates of Gois, Mato Grosso, Tocantins and Par. At low tide season (between May and October) widesandy beaches appear, which have long been popular for tourists. There are many ecotourism resortsspread along the river as well as hotels, pousadas, campsites and apartment blocks used for holiday letting.

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Matto Grosso StateCuiab:the capital city of the state, and one of the most

central points of the whole of South America that isbringing an increased amount of business tourism (withits largest industries being agriculture, food processing,commerce and services) largely due to its proximity toseveral parts of the country. Visitors are also attractedto its rich local culture based on Portuguese, African andIndian inuences as well as its museums. The city willalso host some of the World Cup 2014 games and hasan airport (the Marechal Rondon) that serves most ofBrazil and some international destinations. A range ofaccomodation options are offered, ranging from hotels

including the Odara (5 star), the Inner City (4 star) and the Amazon Plaza (4 star) to pousadas and youthhostels.

Chapada dos Guimares:an area of steep cliffs popular with trekkers and rock climbers. Accommodationfor visitors is largely in the form of pousadas, small hotels, farm stays, country lodges, spa resorts andcampsites.

Tangar da Serra:an area to the west of Mato Grosso populated with waterfalls including the Salto dasNuvens, the Queimap, the Paraso and the Coquieral. The area is well known amongst extreme sportsenthusiasts (with activities including rafting, mountain biking and cliff jumping) but is also well cateredfor families. Perhaps not to everyones taste, but there are several tourist operations offering trips to visitindigenous tribes residing in the area (although this is not available at all times). There is a wide range ofhotels, pousadas, eco tourism resorts and campsites on offer.

Barra do Garas:a small city located 550 kilometres from the capital, popular as having the only otherChrist Redeemer statute overlooking the city in Brazil as well as hot springs, mountains and fresh waterbeaches. The area also has one of the largest military bases in Brazil and a thriving agriculture industry.Accommodation options range from hotels including the Esplanada Palace (3 star), the Serra Azul (3 star)and the Hotel So Paulo (3 star) pousadas, holiday apartments, farm stays, spa and ecotourism resorts.

Cceres:whilst not holding the greater part of the Pantanal (see below), it is known as a gateway to the

area as it contains wide entrances to the region. Meat production and shing are the main economicgenerators of the region and it is the home of Brazils shing festival which attracts tourists and competitorsfrom throughout the country and Latin America. Hotel options range from the 3/4 star gora Cceres, DonCarlos and the Extremadura hotels as well as pousadas, eco tourism resorts, campsites and farmstays.

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Matto Grosso do Sul StateCampo Grande:an ethnically rich city which is increasingly growing in economic importance due to itsrising industries (including commerce, services, soy, rice, livestock, manioc, sugar cane to name a few) andimproved connections to several parts of Brazil (in the form of roads, railways and the expansion of the

international airport). Its main attractions are its countless parks as well as squares, city waterfalls and


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lakes. There are several hotels including the Novotel (4 star), the Ibis (4 star), the Excelcer (4 star) andthe Brumado (3 star) as well as several well-run pousadas throughout the city.

The Pantanal:often referred to by Brazilians as beingmore spectacular than the Amazon, the area is thelargest wetland in the world and lies mostly in the stateof Matto Grosso do Sul but extends into Matto Grosso aswell as parts of Paraguay and Bolivia. The oodplainshave a huge and diverse ecosystem including 1000 birdspecies, 300 mammal species (including jaguars, eagles,giant otters, anteaters), 480 reptiles (includinganacondas, crocodiles, alligators, red-footed turtles andiguanas) and 9,000 various species of invertebrates.

Much concern has been raised as to the environmentalpreservation of the area particularly in the light of

global warming (deforestation), hunting, exotic animal smuggling, pollution. For these reasons, thedevelopment of the region is being carefully observed by the private landowners and the local government.Nevertheless, a wide range of accommodation continues and increases to serve the rising amount oftourists wanting to view one of the most naturally beautiful parts of Brazil (including eco-lodges, boat ho-tels and pousadas).

Corumb:as the largest state in the capital and another well known entry point to the Pantanal, the regionis one of the only cities in Brazil that has two international airports. As well as tourism, other industriesin prominence in the area include animal husbandry, various forms of large scale agriculture and mining.There are a wide range of hotels spread across the city including the Nacional Palace (5 stars), Hotel Lin-coln (4 stars) and the Nossa Senhora (3 stars) as well as eco tourism lodges / resorts, pousadas, farm-stays and campsites.

Bonito:referred to as another very underrated and hiddengem of Brazil, the areas main feature are the crystalclear waters of its rivers (due to the huge quantity oflimestone in the ground which serve to act as a naturallter). The main attractions are the Aqurio Natural(Natural Aquarium), the Rio da Prata (Silver River),

the Circuito Arvonism (a treetop adventure trek) andthe Gruta do Lago Azul (the Blue Lake Cave). Thelocal government has spent a huge deal oninfrastructural development which has resulted in anincreasing amount of hotels and tour operators in thearea. Accommodation options range from 3/4/5 star hotels including the Bonito and the Zagaia Eco Resort as well as pousadas, campsites, lodges and backpackerhostels.

Ponta Por:located 350 kilometres from Campo Grande, the city is well connected to So Paulo, Paran,Santa Catarina and Mato Grosso via the Federal Highway of Brazil. It is an increasingly important economic


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city with major industries including yerba mate (a herb used to make a Latin American green tea), woodprocessing / furniture, cassava, cattle production, bricks and coal. The main tourism attractions are the

streams, waterfalls and green settings throughout the city. Hotels in the region are relatively low inquality such the Barcelona (3 star), the Porto do Sol Palace (3 star) and the Guaruj (3 star) there arealso several pousadas as well as ecotourism lodges and campsites located in the outskirts of the city.

Aquidauana:this region is located just 139 kilometres from the capital of the state and is also a populargateway to the Patanal. The economic activities in operation are mainly based around the rich and fertilesoils throughout the municipality (agricultural farming and livestock) but there are also prominent wood,non metallic minerals, publishing, pharmaceutical and veterinary product industries in the area.Aquidauana also attracts tourists to its many rivers and globally unique scenary (shing, trekking,photographic safaris and horseback riding are all popular activities). Hotel options include eco tourismresorts, pousadas, campsites and youth hostels examples include the Pousada Aguap, Fazenda Baa das

Pedras, the Pousada Pequi, the Fazenda Santa Cruz, the Pousada Mangabal and the Recanto Barra Mansa.

Coxim:the main economic generator of the region is tourism (but there are also healthy agricultural,livestock and sh farming industries in operation). Its main attractions are the regions abundance of raresh as well as other wildlife and beautiful scenery. The area is served by a small range of 3/4 star hotels,ecotourism resorts, ranch / farm stays, pousadas and campsites.

Jardim:a city which is becoming increasingly popular for visitors to the Serra da Bodoquena national park,the Rio de la Plata (a highly transparent river), the Araras (a deep granite crack), its caves and lagoons aswell as its historical and cultural landmarks (such as monuments marking the signicance and impact of theParaguyan war). The main economic activity of the city are agricultural and livestock production of whichmuch is transported to the rest of Brazil and neighbouring South American countries. Accommodationoptions include several 3/4 star hotels (such as the Novo Jardim and the Vitria), ecotourism resorts,pousadas, campsites and a youth hostel.

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Bahia StateSalvador:as well as having the wealthiest metropolitan area of the north east, the city is recognised as thecentral home of Brazilian culture and continues to attract visitors from throughout the world to itsarchitecture, music, art and cuisine. The historic town centre Pelourinho was classed as a UNESCO

world heritage site and there are several beaches, a natural harbour and diverse terrain ranging from atto mountains and rolling hills. Salvador is well connected to the rest of Brazil via road, rail and air (mainlyvia the Deputado Lus Eduardo Magalhes International Airport). As the third most populated city after Riode Janeiro and Salvador (and one of the central economic hubs of the north east), the region has a healthybusiness tourism industry complemented by a rising ow of leisure tourists, particularly during the summermonths (its annual carnival celebrations are the second biggest in Brazil). Accommodation options rangefrom hotels including the Mercure (5 star), the Blue Tree (5 star) and the Ibis (4 star) as well as a hugerange pousadas, eco tourism resorts (generally located on the outskirts) and youth hostels.

Cachoeira:whilst having a thriving economy mainly based around sugar, cotton and tobacco, the area hasbeen undergoing a tourism revival largely due to its rich African inuenced culture (there are several

museums and historical tours available describing the slavery history of the region). Accommodation


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ranges from 3 star hotels to pousadas.

Morro de So Paulo:located on the Tinhar island, approximately 60 kilometres by sea from Salvador city this very touristic region attracts national and international visitors enjoying its stunning beachescomplemented by restaurants, bars and nightclubs. Whilst it has been criticised of losing some of its origi-nal charm over the years, the area continues to witness an increasing amount of visitors particularly byyoung people. Accommodation options range from 3/4 star hotels to pousadas, backpacker hostels,holiday apartments / houses and campsites.

Ilhus:considered another major city in the Bahian state, the municipalitys economy thrives largely ontourism (although agricultural farming also plays an important role). The main attractions are its beaches including the So Miguel da Barra, Dos Milionrios, Do Norte, Do Cristo, Da Avenida and Da Concha aswell as the museums, walks and monuments in the town centre. There are hotels (such as the 4 star

Opaba and the Aldeia da Praia), pousadas, eco tourism resorts and youth hostels throughout the city.

Porto Seguro:up until the 1800s, it was one of thebusiest ports in the whole of Brazil but now serves asone of Bahias main tourist regions particularly duringthe summer months. Attractions include its manybeaches, its lively nightlife, the Monte Pascoal NationalPark, its historical downtown as well as the ArraialdAjuda district (home of many examples colonialbuildings complemented by picturesque beaches) andTrancoso (an ethnically rich area with beaches and

main square, classied as a UNESCO heritage site). Themunicipality also has active livestock rearing,agricultural produce, services and light manufacturing

industries which are assisting to fuel its ever growing economy. Accommodation ranges from hotels including the Shalimar (4 star) and the Estalagem (3 star) to resorts, pousadas and youth hostels.

Chapada Diamantina National Park:formerly a huge diamond and gold exploration region, the area bringsa large number of hikers, mountain climbers / bikers attracted to its wide plateau complemented by uniquefauna and ora characteristic of this part of the country. A number of pousadas and youth hostels arelocated in the closest town (Lenis), many of which offer tours and camping trips into the park.

Abrolhos Islands:whilst mainly recognised as the home of one of the largest marine biology research sitesin Latin America, an increasing amount of tour operators are offering boat trips to the archipelago of 5islands (which feature a variety of healthy vegetation and a huge range of lizards and birds) as well as forwhale watching and scuba diving excursions. Whilst a handful of small hotels and pousadas operate fromthe Bahian coast, it is more common for day trips to be arranged from Porto Seguro.

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Pernambuco


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Pernambuco StateRecife:as well as being the fourth largest metropolitan region of Brazil (after Rio de Janeiro, So Paulo andSalvador) and therefore attracting an increasing amount of business travellers, the city is located amongsta large network rivers and islands and is often referred to as the veniceof Brazil. The city is well servedto the whole of the country and internationally by road, rail and domestic air ights (and is alsowitnessing increasing several large infrastructural improvements, albeit at a slow pace). The internationalairport (Gilberto Freyre / Guararapes) has regular ights to most Latin American countries as well as theUSA and Europe. A range of accommodation options are presented from high end hotels including theMercure, the Best Western, the Park and the Monte as well as a range of pousadas, low budget hotelsand youth hostels.

Olinda:recognised as one of the most well-preservedcolonial areas of the north east (the downtown area is

classed as a UNESCO World Heritage site), it is apopular destination for many people visiting the northeast. Tourism plays the most important part of thecitys economy although transportation, logistics andfurniture have long been prominent industries. The lackof presence of major hotel chains in the area isembraced by local residents and the mainaccommodation choice of visitors are the high qualitypousadas that complement the traditional and ethnicfeel of the area.

Itamarac:its location, approximately 38 km from Recife, means that this region continues to be a popularvisiting area (tourism is the main driver of the local economy, although sh farming and agriculturalproduce have also become increasingly important). The main attractions are its many beaches includingthe Rio mbar, the Baixa Verde, the Pilar, the Quatro Cantos, the So Paulo and the Enseada dos Golnhos all complemented by a range of restaurants and other tourist-orientated services. In terms ofaccommodation, there is a mix of hotels, pousadas, beach side lodges, an eco tourism resort and a back-packer hostel.

Igarassu:the area was one of the landing points of European settlers and is located close to Recife (32kilometres north). The main attractions are its beaches including the Gavoa (popular for water sports

enthusiasts), the Mangue Seco and the Coroa do Avio. There are a range of small-scale hotels (such asthe Hotel Gavoa and the Igarassu) as well as pousadas and campsites.

Caruaru:a rising economic power in the state, the regions main drivers are textiles, handicrafts,commerce, agricultural and livestock production (including corn, beans, manioc, milk, goats, chicken andcows). Tourism also plays an increasingly important role to the municipalities with one of the mainattractions being the clay art statues on the Alto do Moura (classied as the largest centre for gurativearts in the Americas by UNESCO) as well as being the home of the largest arts and handicrafts markets inBrazil. Accommodation is based around hotels including the BR Palace (3 star) and the Hotel Central (3star) as well as a number of well-run pousadas.


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Porto de Galinhas:once a central point of the slavetrade in Brazil, the area is one of the most picturesque

beaches in Pernambuco. Its beaches have previouslybeen voted the best in Brazil by the Eco Vilagem andViagem & Turismo magazines due to there naturalpools, white sand and crystal-clear waters. There arealso a number of eco-trails (popular excursions forvisitors) and the area is well served by restaurants,beach bars and a luxury hotel infrastructure includingthe Deluxe Resort (5 star), the Beach Class (5 star), theSummerville Beach Resort (5 star), the Nannai Beach

Resort (4 star), the Pontal de Ocapora (4 star) and theSolar Porto de Galinhas (4 star) there are also lower priced pousadas, campsites and a youth hostel.

Garanhuns:a popular winter tourism destination, it is often referred to as the Pernambucan Switzerlandwith its main attractions being its mountains, several monuments, the Ruben Van Der Linden and EuclidesDourado parks as well as a music festival (held every July). The municipality also has been growingeconomically as a result of its growing ower, tomato, milk, cattle and poultry industries. Accommodationoptions are mainly based around hotels including the Snooze (3 star) and the Requinte (3 star) andseveral traditional pousadas.

Triunfo:as the highest point in Pernambuco, the area is a popular visiting spot for those looking to getaway from the high temperatures. There are a handful of small scale hotels (such as the Otellin) as well aspousadas in operation.

Fernando de Noronha:a popular excursion of those visiting Recife, the area consists of an archipelago of21 islands and islets, classied as an UNESCO World Heritage site of natural beauty. The highlights of thearea are its beaches, wildlife (including rare bird species, turtles, lizards and dolphins), caves, coral and subaquatic fauna (several scuba diving tours are in operation in the area). Excessive development is beingcontrolled to prevent the risk of environmental damage. Fernando de Noronhas beauty does come at aprice and it is one of the most expensive tourist destinations of the north east. Accommodation wise it isserved by hotels, high end eco-tourism resorts as well as a very wide range of pousadas examplesinclude the Beco de Noronha, the Agulho, the Arquiplago, the Carm and the Bela Vista.

Vale do Catimbau National Park:ofcially classied as a conservational zone by the Brazilian government,the region contains an abundance of caves, canyons and 28 registered areas with pre-historical paintings.The main accommodation options in the area are small scale hotels, country lodges, pousadas andcampsites.

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Cear StateFortaleza:one of the largest metropolitan regions in the north east, the citys economy continues to grow

(largely fuelled by commerce, services, footwear, textiles, leather, mineral extraction amongst others) andit is ever keen to remove itself from the negative connotations of crime, prostitution and abject poverty a transformation that is evidentially happening, albeit at a slow pace. The main attractions are its urbanbeaches (including the Praia do Futuro), lively nightlife, ne cuisine and several famous landmarks(including the Jos de Alencar theatre, the Cathedral, the Luz Palace and the Forte Nan de Praire statue).Being such a large city, a wide range of accommodation options are available including hotels (such as the4 star Blue Tree, Comfort and Quality), lower budget hotels / guest houses, pousadas and youth hostels(the area is a popular stop off point for backpackers touring the coast of Brazil).

Aracati:a coastal municipality that is becoming increasingly popular for tourists due to its wide stretchesof Atlantic facing coastline. As an area that, overall, remains relatively undeveloped, growth is expected in

line with the improving economic conditions of the state. Perhaps the most important tourist destinationin the municipality is the Canoa Quebrada a shing village that has grown to attract an increasing amountof visitors (with water sports activities, restaurants, shops and other tourist related services in place).Accommodation options range from small-scale hotels, pousadas, eco tourism resorts, farm stays, holidayapartments / villas and backpacker hostels.

Jericoacoara:voted by the Washington Post as havingone of the top 10 beaches in the world an accoladethat has continued to attract hoteliers and touroperators. The region was ofcially converted toNational Park status in 2002, and also known for itsspectacular sunset, starry night sky as well as its sandand windsurng opportunties. There are several hotelsin operation including the 5 star Vila Bela Vista, the 4star Rancho do Peixe and Mosquito Blue Jeri as wellas high end resorts, pousadas, campsites andbackpacker hostels.

Tatajuba:another area widely predicted to witness tourism growth, access is currently limited via a dirtroad to what is one of the most spectacular beaches in Brazil. Accommodation is currently in the form ofsmall pousadas and camping grounds.

Sobral:as voted by the RMC So Paulo as one of best cities in Brazil in terms of quality of life the regionis attracting an increasing amount of both leisure and business tourists. Its economy mainly relies on theproduction of cassava, maize beans, banana, mango, sugarcane, cashew nuts, livestock, poultry andcement (it is home to one of the national headquarters of the Votorantim group). Tourism is fuelled by themany landmarks that populate the area, the rich culture (including museums, theatres, cinemas) as well asfestivals and fairs spread throughout the year. Accommodation is mainly based around small scale hotels including the Beira Rio (4 star), the Visconde (4 star), the Verde Rio (3 star) and the Atalaia (3 star) aswell as a range of pousadas.


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Baturit:as well as having a growing economy (focused mainly in the trade of rice, corn, cotton, banana,sugarcane and coffee), the area also has a rising tourism industry due the Atlantic forest that circles muchof the town with semi-tropical rainforest, trails and hidden waterfalls popular with hikers and adventuresports enthusiasts. There are also several cultural points of interest including museums, museums and atheatre located in the centre. The area is served by small scale hotels, pousadas and camping grounds.

Ibiapaba Mountains:home of the Ubajara National Park, one of the smallest conservation areas in Brazil(covering an area of 5.63km and located in the Ibiapaba mountains) at which the most infamous visitingpoint is a grotto full with large stalagmites and stalactites which is accessible by a specially built stair lift.Other major attractions of the mountains are the Morro do Cu at 820 metres high and the Pirangiwaterfall.

Juazeiro do Norte:an area that is growing economically (the region benets from highly fertile lands as

well as having healthy secondary and tertiary sectors) that is also popularly known as a religious tourismdestination. The historically well known priest Ccero Romo Batista (1844-1934) was born here and at-tracts up to 100,000 visitors every year to his pilgrimage. Hotels are mainly in the form of small pousadas.

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Sergipe State Aracaju:the capital city of the state is witnessing

growing rural to urban migration and higher annualGDP gures with an economy fuelled by the service,light manufacturing and tourism industries.

Temperatures rarely go under 17 degrees Celsius andthe coast has several urban beaches complemented byvolleyball courts, football playing areas, squares,restaurants, nightclubs, supermarkets and banks. Theinternational airport has daily connections to all parts ofBrazil and some neighbouring South American countries(with expansion plans intended). Accommodationoptions range from 4 star hotel

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