U.S. hotel labor costs per occupied room (POR) have surged across major markets, with the steepest increases concentrated in Sun Belt and coastal destinations. Rising labor expenses are a growing concern for hotel operators, particularly as wage legislation ramps up in key markets.
Sun Belt and coastal cities see higher hotel labor costs
Rising wages and new legislation squeeze margins in popular leisure markets
CoStar Analytics
July 7, 2025 | 7:02 P.M.
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