Hotel City Regains Three Stars and Completes Investment and Conversion Process in Central Posadas
The Hotel City has regained its place among the prominent tourist offerings of Posadas. After years of renovations, service enhancements, and a profound transformation of its image, the establishment has officially been reclassified as a three-star hotel.
The certificate was presented by José María Arrúa, the Minister of Tourism of Misiones, during a ceremony held at the hotel’s premises, located opposite the 9 de Julio Square. For the hotel’s owners, this new category represents more than just a formal recognition; it is the validation of a lengthy process of investment, structural recovery, and professionalization of management.
“A day that will go down in the history of Hotel City,” expressed the establishment led by Lucía Carabante. The three stars, she highlighted, reflect “the commitment, the investment, and the constant work of our entire team,” while also renewing the commitment to continually enhance the guest experience.
This reclassification marks a turning point for the iconic hotel in the capital of Misiones, which has a rich history spanning several decades. Prior to its acquisition by the Carabante family, the hotel had fallen into a state of significant disrepair.
Rocío López, a member of the executive team at Hotel City, noted that the reclassification signifies much more than an administrative improvement. “Today, we officially receive the Certificate of Reclassification to a 3-Star Hotel, delivered by the Minister of Tourism of Misiones. For us, this recognition holds special meaning, as it arrives after ten years of work, which we precisely complete this April. It is the result of effort, investment, and the continuous commitment of our entire team,” she emphasized.
Moreover, she stressed that this achievement “fills us with pride but also represents a commitment to keep improving each day, investing in our facilities and services to provide a higher quality experience to those who choose us and to contribute to the growth of tourism in Posadas and Misiones.”
A Bet on Location and Hotel Heritage
The recovery began when Carlos Carabante, owner of Pastas Alfonsina, decided to purchase the property from Miguel Schmalko. The operation was not driven by prior experience in tourism, but by a straightforward business insight: the location.
Hotel City is located directly opposite 9 de Julio Square, in the heart of Posadas’ administrative, commercial, and financial center. This strategic position, adjacent to Casa de Gobierno and just a short distance from banks, public offices, shops, and restaurants, was the primary asset that justified the investment.
The challenges were significant. The building was plagued with maintenance issues, moisture problems, outdated furnishings, and rooms with unequal levels of equipment. Some rooms had televisions, while others did not; the beds were wooden, and the general image had lagged behind in an increasingly competitive hotel market.
The chosen strategy was gradual. Before investing in advertising or a new façade, management focused on organizing the rooms, improving services, and restoring the quality of service.
The hotel comprises two towers with approximately 95 rooms, as well as a bar and meeting rooms. The original structure facing the street was the subject of the initial renovations, while the second tower, built in response to growing demand, required a different intervention due to its semi-floor configuration.
The recovery was maintained with the hotel’s own resources. According to the administration, the renovations were carried out without resorting to loans or significant indebtedness, a particularly noteworthy detail in an industry that has faced years of decline, pandemic effects, inflation, and rising costs.
The official reclassification confirms the progress made. To attain a higher category, an establishment must meet requirements related to infrastructure, services, equipment, security, attention, and overall quality.
The certificate awarded by the Ministry of Tourism of Misiones places the City among the province’s three-star hotels and strengthens its commercial positioning. This category can enhance its competitiveness with businesses, travel agencies, tour operators, and event organizers who demand certain standards for accommodation.
It also sends a signal to the tourism market in Posadas. In a context where some establishments face challenges in maintaining operations, the recovery of a historic hotel demonstrates that private investment, professional management, and the renovation of existing assets can generate value without the need to start from scratch.
From Transit Hotel to a More Diversified Offering
The transformation of City was not just structural. It also required a revision of the business model.
Historically, a significant portion of demand was associated with traveling salespeople and transient passengers. However, technological changes, a reduction in commercial travel, and the expansion of new sales modes compelled the hotel to seek other audiences.
Management began to shift its focus towards companies, social security groups, pensioners, congresses, shows, and event tourism. The objective was to reduce dependence on traditional travelers and leverage the growth of Posadas as a city of meetings, shopping, gastronomy, and cultural activities.
Team V.DIR-EM-UAE
