...And where else could it take place? There aren't all that many options, when it comes down to it.
Rio's problems otl were much more to do with building new facilities than anything - and you see similar problems in most places that host the Games, realistically. You're not going to see as much of that here as otl. Much of the facilities, in theory, you'd need are already in existence or could be modified from something else.
Plus, this is also a scaled down version from otl.