The surge in soccer fans this summer was bad for some businesses in Los Angeles. World Cup host cities had lofty economic expectations for the summer tournament. But the city’s hotels only got a 1% bump in occupancy, according to a report published this week by Hospitality Education and Research Organization, a project of the Hotel Assn. of Los Angeles.
Seventy-two percent of surveyed hotels said the tournament hurt their 2026 finances, and 48% called the impact “extremely negative.” Just 2% said it met projections. Downtown occupancy reached 66% in June, down from 71% a year earlier, the report says. Room nights fell between 10% and 12%.
Ahead of World Cup tournaments, FIFA holds large blocks of rooms. But FIFA canceled or released up to 70% of the hotel room blocks it had reserved in host cities, including Los Angeles. The disappointing turnout led to staff reductions.
Of the hotels surveyed 82% reduced seasonal staff and more than six in 10 reported reducing employee shifts, scheduled hours, or permanent staff. Hotels did raise prices, with the average daily rate hitting $228, the highest of any comparable L.A. event in three years. But occupancy was 71%, well below the 83% recorded during Taylor Swift’s Eras Tour.
The survey drew 58 responses from 210 hotels, and the analysis was done by travel-data firm Rove using CoStar and AirDNA data. International visitors were also scarce, with Los Angeles welcoming 700,000 international arrivals in June and July — roughly 80,000 visitors below 2024 levels for the same period, the report says. Their demand rose 23% and revenue 21% versus July 2024, while hotel revenue fell 3.3%.
Airbnb, the tournament’s official fan accommodation, offered new hosts $750 incentives. The city is currently weighing a temporary proposal to ease its short-term rental rules through the end of 2028 to accommodate tourists. Six in 10 surveyed hoteliers expect an Olympic rental surge to hurt their bookings and rates, the report says.
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