When “Resort Fees” Make Their Way To City Hotels

It’s not just airlines which love nickel-and-diming and charging hidden fees. Hotels have been doing the same for years, with “resort fees.” This is a practice whereby many resorts charge a daily fee for use of their facilities, like the pool, towels, etc.

I guess it’s the hotel equivalent of airlines imposing fuel surcharges. When I pay for an airline ticket, shouldn’t the cost of fuel be factored in? Similarly, if I pay to stay at a resort, am I not paying for use of the facilities? That’s why people stay at resorts.

Historically these fees have mostly been limited to resorts, and haven’t spread to city hotels… well, for the most part.

In late 2012 I wrote about how Le Parker Meridien in New York City added a mandatory “facilities charge.” At the time the fee was $10, and included the following:

  • Wired or Wireless High Speed Internet Access for multi-devices in guestrooms, the lobby, restaurants and the bar.
  • Unlimited use of gravity fitness Center.
  • Unlimited use of the penthouse pool.
  • Unlimited toll free and local calls from your in room phone.

Even if you’ve never stayed at Le Parker Meridien (now the Parker New York Hotel) you may be familiar with the property, as they were fudging their occupancy numbers to extract more than a million dollars in additional reimbursement from SPG. So they’re perhaps not the most SPG-compliant property out there, and have since left the portfolio.

Anyway, I stayed at the Parker New York a couple of nights ago because it was the most convenient hotel for where I needed to be. I love Le Parker Meridien Palm Springs, which is a quirky and cute property.

Parker-Palm-Springs-Hotel-17
Parker Palm Springs junior suite

Unfortunately its New York sister property was underwhelming, to say the least, with extremely drab decor.

Le-Parker-Meridien-New-York
Le Parker Meridien New York guest room

Perhaps the most surprising part to me was that they increased their “facilities charge” from $10 to $15.

The worst part of the increase is that Starwood now includes Wi-Fi for all guests booking through a Starwood channel, so that can’t really be thought of as a benefit of the facilities charge for most guests.

So for $15 per night you get access to the gym, pool, and local calls. In fairness, having a pool in a New York City hotel is pretty rare, but I’m guessing most people aren’t going to New York to swim, and a vast majority of guests don’t use it (I certainly had no interest in using it).

Ironically I actually found the gym the least useful of any New York City hotel I’ve stayed at. I tried to go to the gym yesterday morning at 2:30AM (thanks, jetlag!) only to find out it doesn’t operate 24/7. Which is the first time in years I’ve seen that at a US city hotel in a long time.

That was only the second most offensive aspect of this hotel, however. The most offensive was the fact that the keys are double the length of normal ones. So they don’t fit in a wallet, and are a good 6″+ long. Who wants to unnecessarily shove something 6″+ in their pocket? There’s a difference between quirkiness and impracticality.

Le-Parker-Meridien-New-York-Key

Bottom line

I find “resort fees” to be ridiculous enough to begin with, but the concept of a “facilities charge” in a city hotel sort of blows my mind. Then again, I guess it’s no less ridiculous than airlines having added “fuel surcharges” for years, which in the meantime have turned into “carrier imposed surcharges” given the price of oil. What exactly do those cover, dear airlines?!

What do you think of the concept of a “facilities surcharge” at a city hotel? You have a problem with it, or just accept it as a reality at some hotels?

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gyulay Guest

Nothing is as outrageous as this $34.43/rm/night "Destination Fee" at NYC Barclay Intercontinental: "Daily Destination Fee of $34.43 allows our guests to enjoy $25 Food & Beverage Credit per day, $15 Laundry/Dry Cleaning Credit per day, Premium High-Speed Internet Service, Free Local & International Calls, VIP Passes for discounts at Bloomingdales and The Shops at Columbus Circle at Time Warner Center" Just try to find anything on the rm service menu for $34 when there is 22% tax + $6.50 delivery charge. And what laundry service is $15?

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AlexS Diamond

Crap like this is why I often stay at limited service hotels domestically. I just scored the Residence Inn on 48th in NYC for next week around ~$160/night, which includes: Internet: Free Gym: Free, open 24/7 Hot Breakfast: Free Full kitchen. Yet if I pay double that to stay at a full service hotel, all of that becomes an extra charge? No way. Even though the opposing party is paying for it, I refuse to needlessly rack up $$ to get less. Don't get me wrong, I'm not about to stay at a Motel 6 or Knights Inn, but this is far from that. If anything, because it's a newer property, I find the rooms there to be nicer than some of the older full-service hotels nearby.

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Bob Trial Guest

@Mike, To me its worthless when I just landed on CX846 and want to workout when I arrive at the hotel. A closed gym is a wotthless gym to me. I dont live in the US. 95pct of the hotels I stay in are 24 hours. Not having that is a bummer for me. This was the biggest fail of a 4.5 star hotel I've ever stayed in. Fortunately my former colleague is out of the picture and we've moved Manhattan hotels.

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Chambo Guest

What a scasm. And so are the tips. I never leave them in a hotel, the same way I don't tip my bank cashier or my supermarket cashier. If you work somewhere you should get an honest wage, if not get another job.

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mbh Guest

I'm not THAT old, but surely I'm not the only one who remembers when these really were optional? It used to be that hotels packaged a la cart items into a tempting group for a discounted price. So, you didn't expect to use the ($5/day) gym, but you DID want to use Internet ($10), the parking ($12), and pool towels ($5). The $15 daily resort fee was worth it. Some had levels that included snorkeling equipment, yoga, soft drinks, etc. I think the price points were reasonable and most of the things included really were optional. Probably, most people chose to pay them. But, all of a sudden, they became mandatory and you couldn't opt out. I don't know when it happened, but I doubt we can get that genie back in the bottle.

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