Hotel Property Taxes – An Opportunity to Cut a Cost

Robert Mandelbaum | May 26, 2022

By Robert Mandelbaum and Mark Whitney According to the March 2022 edition of CBRE’s Hotel Horizons® national forecast report, the total revenue for a typical U.S. hotel is not expected to return to pre-COVID 2019 nominal dollars until 2023.  Accordingly, hotel owners and operators continue to seek ways to control expenses. One potential reduction opportunity is property taxes.  Based on a sample of 3,400 hotels from CBRE’s Trends® in the Hotel Industry database, U.S. hotel property tax expenditures declined by 13.0% from 2020 to 2021.  This decline put 2021 property taxes 9.9% below 2019 levels.  Unfortunately, this compares u...