We did an RCI exchange. I read the other reviews on this site so I was a bit hesitant to book however I had several time share weeks banked so I decided to take it. The hotel was packed with South American tourists so it is a very popular place. The room was very basic but it did have a small balcony that had a great view of Copacabana. If a view is important to you and you don't spend too much time in the room then this may be a good option for you. I found the twin beds a bit uncomfortable and the carpeting is in need of replacement-actually tile would be a good option since it gets so damp in the room due to the sea breeze. The constant humid conditions make the room smell moldy. The bathroom could use a good cleaning with some bleach as well but then again any place near the ocean is bound to have mold problems. The neighborhood is very touristy but noone bothered us. Also the famous Disco Help was two doors down but we did not encounter any problems and quite honestly I would never have suspected that it was anything other than a disco-I am glad I was warned so that we (two 40 something women) didn't wander in.
Added expenses are room tax and in-room safe cost if you use it. Breakfast is not included with RCI exchanges but it is only 15R per person and I thought it was well worth it for the delicious coffee alone.
The staff was very helpful and friendly (Please remember to tip generously as these hard working staff who work the hotels only earn about $250 per month).
My impression of Rio is that it truly is a marvelous city and I found that people to be genuinely friendly.
As for the Rio Othon I had a overall good experience but I would not stay here again due to the mold problem and I also would like to stay in a less touristy area. My cost (total fees) was only $700 for the week so it wasn't that bad for the price.

Maybe it was the Brazilian air traffic controllers' strike that started me on a bad foot, or the 24 plus hours without sleep when arriving. But the first room (of 3!) almost had me packing again. The carpet was threadbare and matted looking (we dared not let our feet touch it). The dark paneled walls didn't help either. After calling down for a room change, things weren't off to a good start at all.

The second room was better, except for plumbing issues on the second day (burst pipe). The third room should have been the one to entice us with. Of course, by this time, the bloom was off the rose, so to speak, vis-a-vis the staff. When the General Manager starts off with the attitude that what we say had to be verified with her eyes, it is very difficult to get that warm welcome feeling in your bones. To be fair, they made an effort toward the end to make up for it (still short). We ate in their pool lounge. Food was nothing to write home about.

Minimally accomodating, I'd save my money for the Copacabana Palace down the road on the beach.

My mom and I just returned from 5 nights in marvelous Rio and had a very pleasant experience at the Othon Palace. True, it is nowhere near being a 5 star property, but for the deal we got through Skyauction.com it was just fine. I was really worried after reading the reviews that it would be a dump, but when we got to our room, it was not nearly as bad as I expected. Yes, the rooms are in desperate need of an update, but the view we had of Copacabana from the 15th floor was spectacular and made up for the deficiency in the decor. I would suggest you ask for a room facing north (you'll have a sweeping view of Copacabana and Sugar Loaf). Also get a room at least above the 12th floor or you'll be looking into the apartment buildings next door.

Found it through Lonely Travel guide, called directly and booked, and stayed for 2 weeks.

The location is fantastic, and the views are great, but that's about it. The price is ridiculous, the service is bad and slow, and my room had cocroaches, ants, and other bugs.

If you want to stay on Copacabana, you can find much cleaner places nearby. However, if you stay in Rio for several weeks, the best deal is to make arrangements with a trusted local travel guide who can find you a nice private apartment or villa on Ipanema beach, which is much nicer than Copa. Back in 2003 the going rate was $50/night for a nice Ipanema apartment. It is probably much higher now, but still much less than Othon.

Stay away from Othon!