Peru Goes in for New Hotel Investments

In a context of progress in vaccination against Covid-19, 10 new hotel chains will carry out projects this year in Lima, Callao and Cusco, thanks to the facilities granted by the Special Advance Recovery Regime (RERA) of the IGV in the sector tourism, created by Legislative Decree No. 973.

In total, they will represent an investment of more than US $ 202 million, and will add 1,913 rooms to the hotel market. The projects are: Vistamar Hotel Project, Courtyard by Marriott Aeropuerto, Hilton Garden Inn Lima Hotel, Ibis Novotel Encalada Hotel, Balta Hotel, Hampton by Hilton Miraflores Hotel, Cinsa Hotel, GHK Hotel, IHC Boutique Hotel and Hampton by Hilton Cusco Hotel.

To date, this mechanism implemented by Proinversión and Mincetur has promoted the execution of 28 hotel projects, which represent an investment of more than US $ 594 million. In 2021, in a context of reactivation, two investment projects began to operate, adding 460 rooms of category 5 and 4 stars to the national hotel plant for an investment amount of more than US $ 75 million.

The Special Advance Recovery Regime (RERA) of the IGV consists of the refund of the General Sales Tax that levied imports and / or local acquisitions made in the pre-productive stage of private investment projects, corresponding to new capital goods, goods new intermediates, services and construction contracts, which will be used by the beneficiary companies of this regime, directly in the execution of the investment commitment of the project.

The Mincetur seeks to further incentivize the execution of private investment projects under the RERA and thus increase the tourist infrastructure, in the reactivation stage. To this end, it will strengthen the work of the Vice Ministry of Tourism and Promperú in promoting investments.

The first emblematic investment project developed under the RERA was the Westin Lima Hotel & Convention Center, completed in 2011.