American entrepreneur Elliot Rosenberg, who operates the Favela Experience website, right, waits to show the apartment of Dembore Silva to a potential renter, while Silva, left, works on a laptop, in the Rocinha favela of Rio de Janeiro, Brazil. Silva is expecting to collect 4,000 reais ($1,719) by renting the apartment to World Cup guests willing to sample life in Rio de Janeiro, where federal troops are joining police to combat attacks by drug gangs. Dado Galdieri / Bloomberg
American entrepreneur Elliot Rosenberg, who operates the Favela Experience website, right, waits to show the apartment of Dembore Silva to a potential renter, while Silva, left, works on a laptop, in the Rocinha favela of Rio de Janeiro, Brazil. Silva is expecting to collect 4,000 reais ($1,719) by renting the apartment to World Cup guests willing to sample life in Rio de Janeiro, where federal troops are joining police to combat attacks by drug gangs. Dado Galdieri / Bloomberg
American entrepreneur Elliot Rosenberg, who operates the Favela Experience website, right, waits to show the apartment of Dembore Silva to a potential renter, while Silva, left, works on a laptop, in the Rocinha favela of Rio de Janeiro, Brazil. Silva is expecting to collect 4,000 reais ($1,719) by renting the apartment to World Cup guests willing to sample life in Rio de Janeiro, where federal troops are joining police to combat attacks by drug gangs. Dado Galdieri / Bloomberg
American entrepreneur Elliot Rosenberg, who operates the Favela Experience website, right, waits to show the apartment of Dembore Silva to a potential renter, while Silva, left, works on a laptop, in

Fifa World Cup gives a shot to Brazil’s rental entrepreneurs as hotel space comes up short


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For Dembore Silva, 26, this year’s Fifa World Cup in Brazil means a new motorcycle.

He is renting his studio apartment in Brazil’s biggest slum for the month-long duration of the football tournament that ends in July 13, expecting to collect 4,000 reais (Dh6,313) from guests willing to sample life in Rio de Janeiro, where federal troops are joining police to combat attacks by drug gangs.

“I’m going to be out of my apartment during the World Cup, but my pocket’s going to be so happy,” says Mr Silva, who makes a living by guiding tourists around Rio’s slums, called favelas. He plans to use the cash to buy a motorbike to supplement his income of 1,500 reais a month by ferrying people up to Rocinha, a hillside district of 70,000 that overlooks some of Rio’s beaches. “I could make an extra 1,000 reais if I had a bike.”

About half of the 600,000 foreign visitors the nation expects for the World Cup will visit Rio, according to Brazil’s tourist agency. They will be competing for 55,400 hotel beds, the agency says, with much of the remaining demand being met by people renting out homes. The lack of formal transport, restaurants and shops will keep most visitors away from the favelas, says Marcelo Haddad, the head of the Rio Negocios investment promotion agency.

“I can’t imagine an average audience for the World Cup going to Rocinha, it has nothing to offer,” Mr Haddad says. “It’s not mainstream at all.”

Rio’s favelas are home to 1.4 million people, 22 per cent of the city’s population, according to the 2010 census.

Mr Silva will move in with his girlfriend, who lives nearby. He is not the only favela resident trying to capitalise on the World Cup and moves by the city’s government to “pacify” the hillside communities, which until the arrival of police units were controlled by heavily armed drug gangs. The police occupied Rocinha in September 2012.

Scores of slum properties for rent are listed on websites including Airbnb and Favela Experience, a website set up by American Elliot Rosenberg, 24, who has a degree in commerce and Latin American studies from the University of Virginia in Charlottesville.

A three-bedroom residence in Leblon, Rio’s most exclusive neighbourhood, goes for an average of 3,500 reais a day during the World Cup, according to Rio’s regional real estate brokerage council, called Creci.

At Mr Silva’s place, guests will have to negotiate several steep stairways before they get to the narrow alley that is home to his three-storey building, where he has the top apartment. Inside, the furniture is basic, with a double bed the centrepiece of a red and green-walled room. He is most proud of the roof terrace that offers views of the ocean and an area called “Dirty Clothes,” a Rocinha neighbourhood that remains a notorious gang stronghold.

Even with police on patrol, the sound of gunshots still crackles occasionally through the narrow network of steep alleyways that make up the neighbourhoods. Mr Silva, says Rocinha is safer for tourists than upmarket Ipanema and Leblon, where most of the city’s top hotels are based.

“I’ve had many guests mugged down there, but never here,” says Mr Rosenberg, pointing to the beaches below that are on many of the postcards that visitors send back from Rio. Mr Rosenberg, who is from Beverly Hills, California, brokers deals for favela residents such as Mr Silva. He lives in Rocinha, too, so he can be close to his clients, he says.

“I love Rocinha,” says Martha Snow, 21, a British student staying with a local family. “It’s really misunderstood. Two friends were going to come and visit but changed their minds because they didn’t want to take the risk.”

Ms Snow says she remains vigilant and does not walk in certain areas, particularly at night.

A police-implemented pacification programme has opened investment doors, says Conrado Denton, 24, a Brazilian member of a group that in January opened the Hotel Mirante Do Arvrao in Vidigal, a favela popular with tourists that is next to Rocinha. It has dormitory-style rooms on the first floor, while the second has ocean-facing double bedrooms that will cost as much as US$300 a night for the World Cup.

“We bought the space four years ago, but started building after the police moved in,” says Mr Denton. “It’s created new opportunities. In the past the place where we’re sitting was the worst: it was the place where all the top drug dealers lived.”

Room rates have soared 66 per cent in the three years to December 2013, and more than half of the 9 per cent room expansion since then has been from the three largest operators in the city — Accor, Windsor Hoteis and BHG — whose experience getting permits and financing gives them an advantage, says Mr Haddad.

“These guys are used to dealing with bureaucracy and all the Brazilian complexities.”

Brazil is ranked by the World Bank at 116th out of 189 countries for ease of doing business. The country is spending about 26.5 billion reais to host the World Cup.

Andy Allan, 40, a British expat, and his compatriot Stephen Pike are betting £100,000 (Dh617,332) that their campsite in the Recreio suburb will prove a hit with World Cup fans.

They are charging £35 a person to stay in one of 800 two-man tents being erected for the duration of the competition.

Mr Allan says he used Google Earth to find a suitable location, and is paying 120,000 reais to rent the venue, which is surrounded by banana plantations and is usually used for corporate events, religious gatherings and rave parties. He says the bookings made so far mean the campsite, about 35km away from the Maracana stadium that will host seven World Cup games, including the July 13 final, has already covered its costs, saying it requires 200 guests a night to break even.

Security may be a concern. Hundreds of foreign fans sleeping in tents probably will attract the attention of thieves, Mr Allan says. The site will hire a private security service, he adds.

“With 800 people here, you have a risk of robbers hearing about it and think they’re going to come along and take a chance, but we’re a long way away from any favelas.”

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RESULTS
%3Cp%3E%0D%3Cstrong%3E6pm%3A%3C%2Fstrong%3E%20Marfa%20Deira%20%E2%80%93%20Conditions%20(PA)%20Dh80%2C000%20(Dirt)%201%2C200m%0D%3Cbr%3E%3Cstrong%3EWinner%3A%3C%2Fstrong%3E%20Wadheha%2C%20Bernardo%20Pinheiro%20(jockey)%2C%20Majed%20Al%20Jahouri%20(trainer)%0D%3Cbr%3E%3Cstrong%3E6.35pm%3A%20%3C%2Fstrong%3EDubai%20Creek%20%E2%80%93%20Maiden%20(TB)%20Dh82%2C500%20(D)%201%2C400m%0D%3Cbr%3E%3Cstrong%3EWinner%3A%20%3C%2Fstrong%3EBarq%20Al%20Emarat%2C%20Bernardo%20Pinheiro%2C%20Ismail%20Mohammed%0D%3Cbr%3E%3Cstrong%3E7.10pm%3A%20%3C%2Fstrong%3EMina%20Hamriya%20%E2%80%93%20Handicap%20(TB)%20Dh95%2C000%20(D)%201%2C600m%0D%3Cbr%3E%3Cstrong%3EWinner%3A%3C%2Fstrong%3E%20Tahdeed%2C%20Dane%20O%E2%80%99Neill%2C%20Michael%20Costa%0D%3Cbr%3E%3Cstrong%3E7.45pm%3A%3C%2Fstrong%3E%20Mina%20Rashid%20%E2%80%93%20Maiden%20(TB)%20Dh82%2C500%20(D)%201%2C900m%0D%3Cbr%3E%3Cstrong%3EWinner%3A%20%3C%2Fstrong%3ESeyaasi%2C%20Xavier%20Ziani%2C%20Salem%20bin%20Ghadayer%0D%3Cbr%3E%3Cstrong%3E8.20pm%3A%20%3C%2Fstrong%3EAl%20Garhoud%20Sprint%20DP%20World%20%E2%80%93%20Listed%20(TB)%20Dh132%2C500%20(D)%201%2C200m%0D%3Cbr%3E%3Cstrong%3EWinner%3A%3C%2Fstrong%3E%20Mouheeb%2C%20Ray%20Dawson%2C%20Michael%20Costa%0D%3Cbr%3E%3Cstrong%3E8.55pm%3A%3C%2Fstrong%3E%20Mirdiff%20Stakes%20Jebel%20Ali%20Port%20%E2%80%93%20Conditions%20(TB)%20Dh120%2C000%20(D)%201%2C400m%0D%3Cbr%3E%3Cstrong%3EWinner%3A%3C%2Fstrong%3E%20Seyouff%2C%20Antonio%20Fresu%2C%20Michael%20Costa%0D%3Cbr%3E%3Cstrong%3E9.30pm%3A%3C%2Fstrong%3E%20Jebel%20Ali%20Free%20Zone%20%E2%80%93%20Handicap%20(TB)%20Dh95%2C000%20(D)%202%2C000m%0D%3Cbr%3E%3Cstrong%3EWinner%3A%20%3C%2Fstrong%3EAjuste%20Fiscal%2C%20Jose%20da%20Silva%2C%20Julio%20Olascoaga%3C%2Fp%3E%0A
CREW
%3Cp%3E%3Cstrong%3EDirector%3A%20%3C%2Fstrong%3ERajesh%20A%20Krishnan%3C%2Fp%3E%0A%3Cp%3E%3Cstrong%3EStarring%3A%20%3C%2Fstrong%3ETabu%2C%20Kareena%20Kapoor%20Khan%2C%20Kriti%20Sanon%26nbsp%3B%3C%2Fp%3E%0A%3Cp%3E%3Cstrong%3ERating%3A%3C%2Fstrong%3E%203.5%2F5%3C%2Fp%3E%0A
Key recommendations
  • Fewer criminals put behind bars and more to serve sentences in the community, with short sentences scrapped and many inmates released earlier.
  • Greater use of curfews and exclusion zones to deliver tougher supervision than ever on criminals.
  • Explore wider powers for judges to punish offenders by blocking them from attending football matches, banning them from driving or travelling abroad through an expansion of ‘ancillary orders’.
  • More Intensive Supervision Courts to tackle the root causes of crime such as alcohol and drug abuse – forcing repeat offenders to take part in tough treatment programmes or face prison.
THREE
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Keep it fun and engaging

Stuart Ritchie, director of wealth advice at AES International, says children cannot learn something overnight, so it helps to have a fun routine that keeps them engaged and interested.

“I explain to my daughter that the money I draw from an ATM or the money on my bank card doesn’t just magically appear – it’s money I have earned from my job. I show her how this works by giving her little chores around the house so she can earn pocket money,” says Mr Ritchie.

His daughter is allowed to spend half of her pocket money, while the other half goes into a bank account. When this money hits a certain milestone, Mr Ritchie rewards his daughter with a small lump sum.

He also recommends books that teach the importance of money management for children, such as The Squirrel Manifesto by Ric Edelman and Jean Edelman.

MATCH INFO

Uefa Champions League semi-final, first leg
Bayern Munich v Real Madrid

When: April 25, 10.45pm kick-off (UAE)
Where: Allianz Arena, Munich
Live: BeIN Sports HD
Second leg: May 1, Santiago Bernabeu, Madrid

Farage on Muslim Brotherhood

Nigel Farage told Reform's annual conference that the party will proscribe the Muslim Brotherhood if he becomes Prime Minister.
"We will stop dangerous organisations with links to terrorism operating in our country," he said. "Quite why we've been so gutless about this – both Labour and Conservative – I don't know.
“All across the Middle East, countries have banned and proscribed the Muslim Brotherhood as a dangerous organisation. We will do the very same.”
It is 10 years since a ground-breaking report into the Muslim Brotherhood by Sir John Jenkins.
Among the former diplomat's findings was an assessment that “the use of extreme violence in the pursuit of the perfect Islamic society” has “never been institutionally disowned” by the movement.
The prime minister at the time, David Cameron, who commissioned the report, said membership or association with the Muslim Brotherhood was a "possible indicator of extremism" but it would not be banned.