NE Valley Times

NE Valley Times

Thursday, April 2, 2020

Researchers determine COVID-19's affect on hotels, resorts in Scottsdale


By Tamara Browning | Mar 25, 2020

Hotel Valley Ho in Scottsdale, Arizona. | Wikimedia Commons

The community affairs director of a destination marketing company said she is awaiting reports from a hotel market researcher to determine how COVID-19 is affecting Scottsdale-area hotels and resorts.

Stephanie Pressler, director of community affairs for the nonprofit, private company Experience Scottsdale, told the Scottsdale Independent that she is aware that visitors and meeting groups are canceling trips because of COVID-19.

"We are waiting to receive reports from hotel market researcher STR, Inc., to have a more concrete understanding of the impact on Scottsdale-area hotels and resorts,” Pressler told the Scottsdale Independent. “We won’t receive those reports for a few weeks, so without those facts, we want to avoid speculation on how the coronavirus is affecting Scottsdale’s tourism industry. We anticipate an impact, though we can’t yet say the scope of that impact.”

Experience Scottsdale contracts with Scottsdale and Paradise Valley to conduct marketing, according to its website.

The Scottsdale Independent reported that Scottsdale and Paradise Valley rely on a transient occupancy tax, known as the bed tax. The communities also rely on sales tax from annual spring events.

The Scottsdale Tourism Study – Lodging Statistics October 2019 Tourism and Events said the bed tax generated over $146 million in revenue for Scottsdale in the last 10 years.

Scottsdale has a 5% bed tax from hotel room rentals. Bed tax funds go for Scottsdale’s destination marketing, general fund, tourism-related capital projects, tourism events and research, the tourism study said.

Hotel/motel properties generated in 2018 over $10 million in sales tax that went to the general fund. The hotel/motel sales tax generated over $83.7 million for Scottsdale since 2009, the study said.

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