The City of McKinney’s hospitality industry achieved record hotel occupancy tax revenue in FY24-25, demonstrating unprecedented growth. Year-end figures show over $3.3 million collected, surpassing last year’s total by $200,000, a 6.7% increase. This milestone reflects the city’s growing appeal as a destination for both business and leisure travelers, highlighting McKinney’s expanding tourism profile and economic impact.
Hotels consistently outperformed prior-year revenue benchmarks, with every month posting year-over-year gains throughout 2025. June and July were especially strong, with double-digit increases of 12.6% and 12.4% respectively compared to the same months in 2024. Occupancy rates held steady at 71.2%, reflecting a healthy mix of short-term and extended-stay visitors across more than 20 hotels and 300 short-term rental properties.
Rising occupancy rates have created opportunities for new development, including full-service hotels and resort-style properties expected to open in 2026. Several new properties will include Avid Hotel, AC Marriott, and a dual property combining La Quinta and Hawthorn Suites. The city is also supporting the JW Marriott Resort Hotel near Craig Ranch through an economic development agreement, with groundbreaking expected before the end of 2025. This resort will feature 290 guest rooms, more than 51,000 square feet of event space, and luxury amenities for both business and leisure guests…