Time to buy a hotel?

austriaco

Active member
Mar 16, 2020
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Never did grasp the airbnb concept. I am not sleeping in accommodations that do not have a track record. I know the airbnb product has gotten popular but so are hostels and campgrounds. It aint for me.

Yes, airbnb started with hostel style accomodations

but thats long ago.

now you can get 2000 USD per night luxury

you find luxury apartments, houses and small hotels and of course if you want you still can find a camper.

airbnb expanded way beyond the original business.
They deliver a perfect service for the owner including invocing and collection. Something the competition did not understand and for that they took market from expedia, booking and house rental sites.
 

austriaco

Active member
Mar 16, 2020
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The whole AirBnB model is pretty much hated by governments worldwide because it is so informal. AirBnB has been banned in Berlin, Barcelona, central London precisely because it encourages people to set up informal, unregulated, uninsured hotels that don't pay any tax. And no taxes being paid, no safety. It's the same in Dom Rep, and in the Colonial Zone, the Vicini family have bought tens of properties to convert into hotels

nope, the reason for the partial ban in some European cities is different. It is because the city center turned into a dead zone without any residentes and the population could not affort the rent any more because everything turned into an airbnb. Of course the city depends on the tax of the residents and if there is none thats not going to end well. The tax on airbnb does not help as the 18 to 21% VAT is federal tax not ending icities pocket. The tourist tax itself yes, but thats 1% - irrelevant.

anyone buying up the colonial city to convert normal houses to hotels would have that very same problems in Paris like the airbnbs.

additionaly in traditionaly large houses the other owners got pissed by the noisy tourists. Even in colombia its forbidden to make an airbnb or hotel without owning 100% of a house.

generally speaking internationally its a problem of airbnb AND hotels in city centers and mostly they use zoning laws against it.

as such ban on airbnb as plattform does not exist, as the business is legal, its the individual owners who may comit illegal acts in offereing their apartment for rent. For example a long term rent via airbnb may still be perfectly legal in many places or renting a house. This depends on the city and the exact rules there. Its in the details. The tax is just tax evation and they go after that not with a ban but with collecting the tax and multa.

i know the press calls it ban, because they like simple headlines and not the long complicated real explanaition.
 

johne

Silver
Jun 28, 2003
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"Building Back Trust in Going to the Dominican Republic". That will be the mantra starting in a couple weeks. Will it begoing to "Mom and Pops Hide-a-way in Heaven" offered by the unregulated AirBNB or a World wide brand of hotels? That's the question for the "new traveller" post covid19. You decide for yourself, but what will the consumer that is not as well versed in the matters of the DR (as we are) going to decide?
 

austriaco

Active member
Mar 16, 2020
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"Building Back Trust in Going to the Dominican Republic". That will be the mantra starting in a couple weeks. Will it begoing to "Mom and Pops Hide-a-way in Heaven" offered by the unregulated AirBNB or a World wide brand of hotels? That's the question for the "new traveller" post covid19. You decide for yourself, but what will the consumer that is not as well versed in the matters of the DR (as we are) going to decide?
The AI hotel chains had their reputation damaged with their unprofessional reaction to the mysterious death cases. That was not the airbnbs. I would rather rent a house for myself then be in one of those 2000 bed in one place brands. As on the ships the virus likes very much places with lot of people. Based on the virus experience airbnb is the safer choice and that the big hotels are unable to handle problems we saw last summer - and that was not even a big or real problem and still they plundered it.
 

johne

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Jun 28, 2003
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The AI hotel chains had their reputation damaged with their unprofessional reaction to the mysterious death cases. That was not the airbnbs. I would rather rent a house for myself then be in one of those 2000 bed in one place brands. As on the ships the virus likes very much places with lot of people. Based on the virus experience airbnb is the safer choice and that the big hotels are unable to handle problems we saw last summer - and that was not even a big or real problem and still they plundered it.

OK. So in your opinion hotel industry is damaged forever because of the incident? Not the DR in general ( damaged)? And you equate a hotel to a ship out to sea with 3000 people ? ok I see your personal observation you being a former owner of a small hotel (Not a AI) that was probably crushed by AI's.
 

johne

Silver
Jun 28, 2003
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OK. So in your opinion hotel industry is damaged forever because of the incident? Not the DR in general ( damaged)? And you equate a hotel to a ship out to sea with 3000 people ? ok I see your personal observation you being a former owner of a small hotel (Not a AI) that was probably crushed by AI's.
ETA The days of AI buffet tables are numbered. With that in mind there will need to be big changes in the manner they serve food. I hope. I had forgotten about the buffet since I have not been to a AI in at least 10 years.
 

austriaco

Active member
Mar 16, 2020
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OK. So in your opinion hotel industry is damaged forever because of the incident? Not the DR in general ( damaged)? And you equate a hotel to a ship out to sea with 3000 people ? ok I see your personal observation you being a former owner of a small hotel (Not a AI) that was probably crushed by AI's.
Well that would be an overinterpretation as the hotel was crushed by the cheaper illegal hotels down the road as the AI are not in city tourism any way - and the question was not "forever" but now.

But I hate the AIs because they crushed all tourismo by their stupid handling the crises last year and they did have the budget and payment to handle that differently. As small hotel owner you struggle to do the best and then these fat AIs who have more resources have do the dumbest things possible and this effects everyone.

I hace been to AI and I neither see the buffet halls nor the part with one room after the other (2000 to 4000 of them) or the fact of many employees in contact with many customers any different to a ship from the point of view of a virus. Both are paradise for viruses and tourists.
 

Big

Well-known member
Apr 24, 2019
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Well that would be an overinterpretation as the hotel was crushed by the cheaper illegal hotels down the road as the AI are not in city tourism any way - and the question was not "forever" but now.

But I hate the AIs because they crushed all tourismo by their stupid handling the crises last year and they did have the budget and payment to handle that differently. As small hotel owner you struggle to do the best and then these fat AIs who have more resources have do the dumbest things possible and this effects everyone.

I hace been to AI and I neither see the buffet halls nor the part with one room after the other (2000 to 4000 of them) or the fact of many employees in contact with many customers any different to a ship from the point of view of a virus. Both are paradise for viruses and tourists.
yes, good thing those AI's are closed. They are a mecca for fat unhealthy people. Heavy smokers,drinkers and eaters. Morbidly obese people who make a sport out of all you can eat. They would have the lions share of covid19 deaths here and they would blame the resort. They are a sniffle away from the grave anyways
 

Giovannisoto

Just Do It
Apr 29, 2020
11
2
3
Nyc
Because hotels have to charge and pay 18% ITBIS to the government, plus the 10% propina legal. Airbnb's don't charge nor pay this, so the government is losing a lot of tax. And in addition, since the scandals in 2019 about people dying, the Ministry of Tourism is seriously clamping down on where tourists can stay, so are insisting that all hotels are registered, have insurance, have fire extinguishers, pay their taxes etc. The last thing Dom Rep needs right now is a scandal where a lot of tourists die in a hotel fire or similar. And most AirBnB's don't have insurance, no fire certification, no hygiene protocols.
Here in USA Its a little difficult to find, or control the Airbnb s. I assume it’s more difficult in DR. But you @TropicalPaul say ......“The Colonial Zone is a good place to watch if you're thinking of investing as they are almost certainly going to outlaw AirBnB there sometime soon (this was coming before the crisis) and there is a lot of investment coming into the public realm. It's not all doom and gloom, that's my message.” SO- 1) What type of investI gotta are you referring to ? , that will be good and 2)what type of investments are coming into the public realm? 3)what’s your opinion of the short term Value of USD vs peso?
 

chico bill

Dogs Better than People
May 6, 2016
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I suspect the hotels who were planning on a recovery this year can write that off now. Not likely in the early months of 2021 either, then the typical tourism season ends - so maybe by Sept 2021.
Can your hotel survive another 16 months of nothing ?

Hopefully most hotel owners have mega-deep pockets because they are going to need to dig deep to have any chance to re-open in the distant future
 

Big

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Apr 24, 2019
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Because you’re not rich doesn’t mean others aren’t. Jealous men are pathetic.
what is rich?? I have never heard a wealthy person describe himself as "rich" . Which in all probability means you are projecting another tall tale.
 
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Big

Well-known member
Apr 24, 2019
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I suspect the hotels who were planning on a recovery this year can write that off now. Not likely in the early months of 2021 either, then the typical tourism season ends - so maybe by Sept 2021.
Can your hotel survive another 16 months of nothing ?

Hopefully most hotel owners have mega-deep pockets because they are going to need to dig deep to have any chance to re-open in the distant future
totally agree!
 

johne

Silver
Jun 28, 2003
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I suspect the hotels who were planning on a recovery this year can write that off now. Not likely in the early months of 2021 either, then the typical tourism season ends - so maybe by Sept 2021.
Can your hotel survive another 16 months of nothing ?

Hopefully most hotel owners have mega-deep pockets because they are going to need to dig deep to have any chance to re-open in the distant future

Many people (worldwide) ask for advise but really don't follow even though the facts show the advise to be 99% corrects.
Reminds me of the story of a man that goes into a restaurant and asks what's the best dish to go with tonight. Waiter says, "steak, chops or pasta. Fish is not too good tonight. What will you have?" Man says, "I'll have the fish"!
 
Jan 9, 2004
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I suspect the hotels who were planning on a recovery this year can write that off now. Not likely in the early months of 2021 either, then the typical tourism season ends - so maybe by Sept 2021.
Can your hotel survive another 16 months of nothing ?

Hopefully most hotel owners have mega-deep pockets because they are going to need to dig deep to have any chance to re-open in the distant future

Exactly.

AI hotels are planning for 12-18 months from the re-opening date before they can return to any meaningful capacity. And the virus protocols some plan on instituting once they re-open are going to make the formally relaxed atmosphere.......seem anything but relaxing.

Respectfully,
Playacaribe2
 

TropicalPaul

Bronze
Sep 3, 2013
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ETA The days of AI buffet tables are numbered. With that in mind there will need to be big changes in the manner they serve food. I hope. I had forgotten about the buffet since I have not been to a AI in at least 10 years.

I completely agree with this. Buffets are the worst way to spread a virus as literally thousands of people are picking up the same tongs, touching plates, touching food, then eating. This is one of the main reasons viruses spread so rapidly on cruise ships. But without buffets, the all-inclusive model really struggles and there are big questions over whether the AI model can survive social distancing. The whole Punta Cana model is based on cheap - from the UK you can fly for 9 hours, stay for a week with guaranteed sun, all your drinks and food included for under £1000. Once you take away the buffets, and once airlines aren't able to pack their planes, then prices will go up and it's a big question whether the model will work at £1,500 or more.

So far the Dominican government's predictable reaction is to set up a new set of standards which they want all hotels and restaurants to adhere to, so this will mean everyone has to submit another million sheets of paper, another load of inspectors, another complicated set of hurdles to jump over. And of course it won't help at all, but MITUR and ASONAHORES seem to think this will somehow solve the crisis for hotels.
 

Big

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Apr 24, 2019
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AI's cater to much the same clientele as cruise ships. The factory worker from Michigan that sees good value in all-u-can eat and then all you can drink while relieving yourself in the community urinal aka swimming pool., then pumps countless more into a slot machine making his cruise/ AI trip cost quadruple. These hourly wage earners suffer the most during economic downturns making the cruise and AI industry hit the hardest .
 

pokerplayer

Active member
Mar 22, 2020
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I completely agree with this. Buffets are the worst way to spread a virus as literally thousands of people are picking up the same tongs, touching plates, touching food, then eating. This is one of the main reasons viruses spread so rapidly on cruise ships. But without buffets, the all-inclusive model really struggles and there are big questions over whether the AI model can survive social distancing. The whole Punta Cana model is based on cheap - from the UK you can fly for 9 hours, stay for a week with guaranteed sun, all your drinks and food included for under £1000. Once you take away the buffets, and once airlines aren't able to pack their planes, then prices will go up and it's a big question whether the model will work at £1,500 or more.

So far the Dominican government's predictable reaction is to set up a new set of standards which they want all hotels and restaurants to adhere to, so this will mean everyone has to submit another million sheets of paper, another load of inspectors, another complicated set of hurdles to jump over. And of course it won't help at all, but MITUR and ASONAHORES seem to think this will somehow solve the crisis for hotels.
Yeah it will be awhile before I eat at a buffet again:

 

Mr Deal HD

Active member
Sep 11, 2019
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what is rich?? I have never heard a wealthy person describe himself as "rich" . Which in all probability means you are projecting another tall tale.

Maybe because you don’t know all wealthy people that use different sentence structures and words based on the colloquial they grew up around.

You’re not just proving to be a jealous, pathetic individual, you’re obviously highly unintelligent and small minded too. Que Rico...

Thankful everyday I’m not a loser like people like you.