Sedona's Short Term Rentals Contribute Substantial Revenue Amid Double Counting Concerns

The Sedona Tourism Advisory Board (TAB) meeting held on September 3, 2025, focused on key discussions regarding occupancy rates and revenue from both hotels and short-term rentals in the Sedona area. The meeting began with an analysis of occupancy figures, noting a potential 7% decrease in occupancy at Poco Diablo within the study area.

A significant portion of the discussion revolved around the total revenue generated from hotels and short-term rentals. It was clarified that the Sedona Plus study area includes certain resorts, such as Enchantment and Juniperine, but does not account for all hotels in Sedona. This exclusion means that the reported figures represent only about 80% of the total hotel rooms in the city.

Board members raised questions about the percentage of total business attributed to short-term rentals. It was noted that while there is an ongoing investigation into the financial data, preliminary estimates suggest that short-term rentals could represent a substantial portion of the bed tax revenue, potentially around 46%. However, concerns were raised about double counting revenue from properties listed on multiple platforms, such as Airbnb and VRBO.

The meeting also compared the performance of the Sedona Plus market to the Village of Oak Creek, indicating that both markets are pacing similarly in terms of occupancy. However, the Sedona Plus market is experiencing gains in Average Daily Rate (ADR) that are not reflected in the Village of Oak Creek.

In conclusion, the TAB meeting highlighted the complexities of measuring occupancy and revenue in Sedona's tourism sector. Board members expressed a desire for clearer data in the coming months to better understand the impact of short-term rentals on the local economy. The discussions underscored the importance of accurate data collection and analysis as Sedona continues to navigate its tourism landscape.