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    North                       The Indian Eye

                              AMERICANNewsline

             14                                                                                                                  JUNE 26, 2026

             New York City Hotels Projected to Make Only

              Half of Anticipated Revenue from World Cup

               Despite avoiding a crippling hotel strike, international travel barriers, weak bookings, and rising

                   costs are turning New York’s anticipated World Cup windfall into a major disappointment

            OUR BUREAU
            New York, NY
                 or New  York  City’s  hotel  in-
                 dustry, what was expected to
            Fbe a major economic boom
            from the World Cup is looking like a
            big bust. In its latest projections, the
            Hotel Association of New York City
            (HANYC) slashed its forecast for ho-
            tel revenue growth during the tour-
            nament period from roughly $200
            million in February to $100 million as
            the World Cup kicks off.
                The industry has been warning
            for months that World Cup bookings
            were falling short of the goal for what
            should be a once-in-a-generation eco-
            nomic opportunity. Last month, the
            American Hotel & Lodging Associa-
            tion reported that 60% of New York   inated the risk of labor disruptions
            hotel operators were experiencing   that could have further discouraged
            softer-than-expected bookings for   visitors from staying in city hotels
            World Cup, citing geopolitical instabil-  and spending in the city, a scenario
            ity and an international tourism slump.  that came much closer to playing out
                International visitors, who spend,   in Los Angeles, where a possible ho-
            on  average, four times as  much as   tel union strike was just avoided at
            domestic  travelers,  are  facing  grow-  the last minute.
            ing barriers to entry, including trav-  The World Cup disappointment
            el bans, visa delays, immigration   comes as the industry faces major
            crackdowns, and other restrictions.   headwinds from slowed revenue
            Those policies have dampened de-  growth,  persistent  inflation,  rising
            mand from international travelers   operating costs, and the prolonged
            who would otherwise fill hotel rooms   tourism  slowdown.  Together,  they
            and support businesses across the   threaten a cornerstone of New
            city. The war with Iran further com-  York City’s economy that supports
            pounded the problem, triggering an   more than 40,000 hotel workers and
            additional 10% to 15% decline in   400,000 hospitality workers while   kickoff, hotels that were counting on   future major tourism events as well.”
            hotel business.                   generating billions in annual tax rev-  a World Cup boost to offset rising   Founded in 1878, the Ho-
                At the same time, the industry   enue that helps fund essential public   costs and a prolonged slump in inter-  tel Association of New York City
            and city were confronted with anoth-  services.                     national tourism are slated to bring   (HANYC) is the oldest hotel associ-
            er significant World Cup threat from   “We now know that the promised   in just half of what they’d anticipat-  ation in the United States and one of
            a potential hotel union strike, which   World Cup economic boom will be   ed,” said Vijay Dandapani, President   the oldest professional trade associ-
            would have dealt a devastating blow   a bust. The hotel industry has been   and CEO of the Hotel Association   ations in the country. HANYC is an
            to hotels, hotel workers, and the   warning for months that World Cup   of New York City. “The industry suc-  internationally recognized leader in
            broader tourism economy. HANYC    bookings and revenue were falling   cessfully avoided a union strike ahead   New York City’s $11 billion tourism
            successfully averted the strike with   short of expectations, threatening   of the tournament that would have   industry, representing  nearly 300
            a precedent-setting contract agree-  hotels and hotel workers, the larger   been all the more devastating. With-  of the city’s finest hotels with more
            ment with the union just weeks be-  hospitality sector, and critical rev-  out relief, New York risks missing out   than 80,000 rooms and approximate-
            fore the tournament. The deal elim-  enue for the city. Just days before   not only on this opportunity, but on   ly 50,000 employees.

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