The restoration of The Don CeSar by Host Hotels & Resorts has highlighted the financial burden of extreme weather events on the hospitality industry. The company incurred costs of $105 million due to damages from hurricanes Helene and Milton, which struck in 2024. Notably, 30% of this amount was allocated for remediation efforts alone.
Investment in Resilience
Throughout 2025, Host Hotels & Resorts directed $75 million, representing approximately 11.6% of its capital expenditures, towards hurricane and additional restoration work, including the rehabilitation of the Florida-based St. Pete Beach hotel, The Don CeSar. The expenditure was part of broader efforts to manage climate risk.
Insurance Payouts and Reopening
In response to the hurricane damages, Host Hotels & Resorts received $73 million through insurance payouts, which also accounted for business losses during the closure. The Don CeSar remained closed until late March 2025, with full services resuming by the third quarter of that year.
Long-term Resilience Efforts
Over the six-year span ending December 2025, the company invested about 8% of its capital expenditures into fortifying properties against climate-related risks. This strategic focus on resilience, however, acknowledges that while mitigation efforts are valuable, they cannot eliminate risks entirely.
Reporting based on coverage first published by skift.com.