Russia to Cap Sochi 2014 Hotel Rates at $450

MOSCOW, December 10 (R-Sport) – The Russian federal government is to regulate hotel prices at the 2014 Sochi Winter Olympics, capping five-star room rates at $450 per night for the period of the Games.

Authorities are keen to encourage high attendances for the two-week sports festival that starts February 7, 2014, and fear that astronomical prices could scare off the hordes.

It has prompted the Cabinet to take action, issuing a statement to officials in Sochi’s region of Krasnodar to warn those affected of the coming changes.

“The Krasnodar administration together with the municipal authorities in the resort city of Sochi is recommended to inform hotel owners about the state regulation of hotel prices in the [Games] period,” the statement issued Monday said.

It has issued price caps on each accommodation category, starting with penthouse suites, which may not run for more than 13,896 rubles ($450) per person per night for the period January 1 through July 1 2014.

King-standard rooms in five-star facilities may cost no more than 10,569 rubles ($342).

Regular rooms in four-star accommodation are limited at 6,492 rubles ($209), while those in three-star hotels cannot cost more than 5,741 rubles ($185), the statement said.

Those costs are based on double rooms, the price ceiling for single rooms is a little lower.

Breakfast must be included if that is the hotel’s regular policy on pricing outside the Games period, the statement said.

Authorities are hoping 42,000 rooms will be ready by Games time, more than half of which will come from newly built hotels.


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