Baltimore's city-owned Hilton hotel sees lowest occupancy since 2009

The Hilton Baltimore Inner Harbor, a city-owned convention center hotel, recorded its worst financial performance in 2025, with an occupancy rate dropping to 52.3%, according to The Baltimore Banner and FOX45 Baltimore.

This occupancy rate is the lowest since 2009, excluding the COVID-19 pandemic years from 2020 to 2023, and is well below the originally projected 74% occupancy rate, FOX45 Baltimore reported.

Despite the decline in occupancy, the average nightly room rate increased to about $204, but this did not prevent revenue per available room from falling to its lowest level since 2009, according to FOX45 Baltimore.

The Baltimore Development Corp. described 2025 as a "transition year," noting that hotels across Baltimore's central business district also struggled, with an overall occupancy rate of 55.7%, The Baltimore Banner reported.

Hotel performance has improved in 2026 with increased revenue driven by major events and stronger group business, according to the BDC's executive vice president, as cited by The Baltimore Banner.

The hotel, built with roughly $300 million in borrowed funds, has never met its initial occupancy projections, raising questions about its long-term financial viability and the growing burden on Baltimore taxpayers, FOX45 Baltimore noted.