Yes! I have to agree with that. But maybe, and i said maybe: We could risk to say Gramado is more like Dresden!
I've been in Gramado several years ago, and i had to sleep in the street there as well because of money issues (i think that was back in 1999). The city is gorgeous...and very, very cold!!! Sometimes they have even snow. Look: http://www.google.com.br/images?hl=pt-br&q=neve%20em%20gramado&rlz=1R2ADRA_pt-BRBR407&um=1&ie=UTF-8&source=og&sa=N&tab=wi&biw=1345&bih=583