Hotel and tourism infrastructure sector 2016

1. HOTEL & TOURISM
INFRASTRUCTURE ATTRACTIVE INCENTIVES FOR
INVESTMENT IN THE HOTEL INDUSTRY
Exemption from income taxes for a period of 30 years:
the exemption will enter into force after the initiation of
operations for hotel services provided in new, remodeled and/
or expanded hotels from the year 2003 to December 2017.
Exemption from income taxes for a period of 20 years; income
from ecotourism services is exempt for a period of 20 years,
following the 2003 tax year.
Tax and customs benefits for capital assets used for tourism-
related exports (Vallejo Plan).
GROWTH, CONFIDENCE AND
OPPORTUNITIES TO INVEST
Li
b ertad y Orden
Colombia vows to exempt tourists from sales tax. the decree
exempts from VAT those who visit us from the outside and
those who buy tour packages associated with health tourism,
tourism events, or related to cultural activities

2. GROWTH IN INTERNATIONAL
TOURISM TO COLOMBIA IS
ABOVE THE WORLD AVERAGE
ARRIVAL OF FOREIGN
TRAVELERS TO COLOMBIA
2005 – 2013
DYNAMIC SECTOR
IN CONSTANT GROWTH
Source: Colombian Immigration Department, 2014
Construction of more than 27,000 homes over the last 11 years. (Portafolio, 2014)
Colombia has great potential for investment in various tourist niches (wellness, nature,
sun and beach, entertainment and urban hotels).
mainlyaroundthecitiesofBogotaandCartagenadeIndias,and7newhotelsareexpected
to arrive in the country.
Colombia has more than 45 million people and is considered a country with middle to
high incomes, according to the World Bank.
Colombiahasmorethan1,000weeklyflightsinternationalairlines.Theaveragegrowthin
passenger traffic on domestic flights in the last five years was 11.3%. (OAG Aviation,
2015)
From 2010 to 2015, around 160 hotels (16,839 rooms) were opened in the country.
Arrivals of non-resident foreigners to Colombia increased from 1,591,120 in 2012 to 2,288,342 in 2015.
It has showed an average increase of 16.3% in 2015 compared to 2014. (Migration Colombia, 2015)
In 2015, Colombia hosted 351 events, reaching 270,000 assistants.
2012
1,591,120
1,726,300
1,967,814
2,288,342
2013 2014 2015

3. OPENING HOTELS IN COLOMBIA 2010-2020*
INVESTMENT OPPORTUNITIES
FOR HOTEL AND TOURISM
INFRASTRUCTURE IN THE
FOLLOWING SECTORS:
WELLNESS TOURISM: URBAN HOTELS:
ENTERTAINMENT:
NATURE:
SUN AND BEACH:
Source: MICT (Ministry of Trade, Industry and Tourism)
Beaches that span across two oceans abounding with rainforests, lush landscapes
and a variety of climatic thermal floors (glacial, Andean moor, cool, temperate and
warm). Its biodiversity is conducive for therapies, tranquile atmospheres and the
development of unique products and experiences related to wellness and nature.
Opportunities: hotels with thalassotherapy centers, thermals infrastructure and
hotels with spa–wellness centers.
Colombia has 53 million hectares of natural forest, 22 million hectares of savanna,
desert, snow-capped mountains and wetlands. It is the fourth richest country in the
world in water resources. Its natural parks make up 14% of the national territory,
and it is the country with the highest biodiversity per square meter in the world.
Opportunities: eco-luxury hotels, eco-glamping, ecolodge and complementary
eco-friendly infrastructure (trails, paths, bird watching hubs, corridors).
Colombian beaches are bordered by the stunning Pacific Ocean and Caribbean Sea.
There are world-class attractions including coral reefs, ecological parks, aquariums,
marine museums, and historic city walls.
Opportunities: luxury hotels, luxury include concept, and golf resorts.
Colombiahas9urbansprawlsthathaveapopulationover500,000inhabitants.This
creates a large opportunity to offer hotel alternatives due to the cities’ intense trade
and business dynamics. Also, Colombia has become widely known as a destination
for hosting congresses and conventions in Latin America, which opens the demand
for hotels with convention centers.
Opportunities:full,limitedandselectservicehotels,andhotelswithconventioncenters.
Colombia offers a limited inventory of large crowd event infrastructure and
entertainment venues. In 2011, a law was passed to stimulate investment in the
entertainment industry. Show and entertainment infrastructure investments will
be 100% deductible from income tax, among other incentives for US entrepreneurs.
Opportunities: amusement park construction, entertainment venues, and audito-
riums enabled for concert events.
2010
35 35
22 21
23
27
74
2,655
3,010
2,519
2,817
2,754
3,084
4,623
2011 2012 2013 2014 2015 2016-2020*
Habitaciones
Estimado apertura de hoteles

4. COLOMBIA,
A COUNTRY
WITH MULTIPLE
DEVELOPMENT HUBS
BOGOTA - CUNDINAMARCA
CARTAGENA DE INDIAS
ATLANTICO
MAGDALENA
ANTIOQUIA
VALLE DEL CAUCA
COFFEE CULTURAL LANDSCAPE
SANTANDER
Hotel occupancy rate: 56.83%
(2015) - Cotelco 2015.
General average rate: USD 92.
(2015) - Cotelco 2015.
Hotel occupancy rate: 57,35%.
(2015) - Cotelco 2015.
General average rate:
USD 131,7 (2015) - Cotelco 2015.
Hotel occupancy rate: 56.25%.
(2015) - Cotelco 2015.
General average rate: USD 62.1
(2015) - Cotelco 2015.
SAN ANDRES
“Colombiahasaneconomythatissufficientlystableandwillkeepgrowing,andthisisattractive
Source: Cotelco 2015.
Average representative exchange rate 2015 $2,741.78
ALVARO DIAGO, PRESIDENT OF THE IHG FOR LATIN AMERICA AND THE CARIBBEAN.
Hotel occupancy: 79.48%.
(2015) - Cotelco 2015.
General average rate: USD 72.6
(2015) - Cotelco 2015.
Hotel occupancy rate: 56.3%.
(2015) - Cotelco 2015.
General average rate: USD 80.7
(2015) - Cotelco 2015.
Hotel occupancy rate: 65.74%.
(2015) - Cotelco 2015.
General average rate: USD 65.7.
(2015) - Cotelco 2015.
Hotel occupancy rate: 50.78%
(2015) - Cotelco 2015.
General average rate: USD 58.5
(2015) - Cotelco 2015.
Hotel occupancy rate: 45%.
(2015) - Cotelco 2015.
General average rate: USD 57.1
(2015) - Cotelco 2015.
Hotel occupancy rate: 45.05%.
(2015) - Cotelco 2015.
General average rate:
USD 55.4 (2015) - Cotelco 2015.
MAGDALENA SANTANDER

5. HILTON HOTELS:
inaugurated its first hotel in the Colombian capital, with
around 240 rooms in the financial district of Bogota
(Calle 73). Hilton also has a presence under its Hampton
brand on the Colombian Caribbean, in Cartagena de
Indias and Barranquilla.
ACCOR:
International Center (one of the most important
commercial areas in the city). It also has a hotel in
Medellin with 216 rooms.
MARRIOTT:
room hotel near the city airport. It also has the hotel
JW Marriott in the financial district of Bogota, with
264 rooms. It expects to open a Marriott hotel with 180
rooms in Cali.
INTERCONTINENTAL:
and in Cartagena de Indias stands out; between the two
hotels there are 331 rooms. Additionally, there is a Holiday
InnExpresswith76roomsinBogota,onewith98inCucuta
and one with 170 in Bucaramanga. An Intercontinental is
currently being built in Cartagena de Indias.
LARGE FOREIGN COMPANIES
HAVE CHOSEN COLOMBIA
AS A PLACE TO INVEST
Medellín.

6. In 2014, a global study of 234 cities with more than 2,000 people in 32
countriesdeterminedthatMedellinisthebestcityinLatinAmericatolivein.
Colombia currently has 13 Cultural Heritage of Humanity awards by
UNESCO. In 2011 the “Coffee Cultural Landscape” was added to this list.
British tour operators chose the country as the Long-Distance Revelation
Destination in 2013, a prestigious award granted by the magazine Selling
Long Haul. Similarly, Tayrona National Park and Lost City in Santa Marta
were destinations selected within the “best trips” category for 2012 by
National Geographic’s Travel Magazine. Cali, the “World Salsa Capital”, was
ranked tenth among the 41 travel destinations recommended in 2011 by the
New York Times.
TOURIST DESTINATIONS
IN COLOMBIA ARE BEING
RECOGNIZED WORLDWIDE
COFFEE CULTURAL
LANDSCAPE
TAYRONA
NATIONAL
NATURAL PARK
SAN ANDRES BOGOTA