The Global Deal
The Real Estate Behind the Games
A look at the 2016 Summer Olympic Games – Rio de Janeiro, Brazil, South America ADAM DOUDIET M.S. Candidate in Real Estate Finance Since winning the bid in 2009
Olympics, arguing that money
stadiums,
to host the 2016 Summer
should rather be spent on
athletes, and a large media
Olympic
education, infrastructure, and
center. While the city has
health care.
offered
Games,
Rio
de
Janeiro and the country of Brazil
have
faced
many
challenges. There is a recession
The
development
of
the
residences
these
for
residents
hundreds of thousands of dollars in compensation, there
that continues to worsen, high inflation, unemployment, and
“The removal of its residents,
are still some homeowners who refuse to leave. The
a government that is caught
however, does not alleviate the
government’s
up in a corruption scandal involving state-‐‑run oil firm Petrobras.
This
political
climate has led to several mass protests in Rio as well as other cities
throughout
Brazil,
prompting the demand to impeach
President
Dilma
Rousseff. Protesters have also fought against
hosting
the
2014
World Cup and this year’s
compensation for leaving is well below market level”
for leaving are justified by additional plans to convert the athletes’ housing into luxury
Olympic venues has created within
to
compensate these individuals
city’s poverty. Their
conflict
efforts
Rio’s
communities.
In
the
neighborhood
of
Vila
Autodromo, hundreds of families have had to relocate to allow for the construction of February 19, 2016 [Edition 1, Volume 1]
homes at the conclusion of the Olympics. As city officials are also determined to build roads leading into the Olympic Park, the remaining families may finally be forced to leave with this compensation.