Pinellas County has achieved remarkable tourism recovery with visitors contributing a record $8.29 million in tourism tax revenue in January, just three months after hurricanes Helene and Milton caused widespread damage to the area. Tourism officials expect this positive trend to continue as more than 1,400 hotel rooms prepare to reopen, most by late summer.
While coastal communities continue to recover, St. Petersburg emerged as a key factor in offsetting beachfront losses, with the city’s bed tax revenue—a 6% surcharge on overnight stays—increasing by an impressive 34% compared to the previous year. The county’s Tourist Development Council received this encouraging data during their Wednesday meeting.
“It’s amazing, to me, that our January collections in 2025 were better after two hurricanes, not that long ago,” said County Commission chairperson Brian Scott. “That is amazing to me. Great news.”
Although January’s tourism tax revenue only exceeded the 2023 figure by 1.65%, this growth occurred despite significant challenges, including a 5.6% reduction in overall room supply and numerous properties remaining offline. Vacation rental collections specifically dropped by 41%, while coastal communities like St. Pete Beach, Treasure Island and Madeira Beach saw bed tax decreases of 35%.
St. Petersburg’s tourism performance has been particularly noteworthy, generating $1 million in tourism taxes for the first time ever in November 2024, before reaching nearly $1.5 million in January.
Eddie Kirsch, director of digital and data for Visit St. Pete-Clearwater, presented the findings and noted that demand for hotel accommodations remains strong while the vacation rental market continues its recovery process.
Other areas also experienced substantial growth, with Clearwater and Clearwater Beach tourism tax revenue increasing 16% to over $2 million, while collections in Tarpon Springs, Palm Harbor, Dunedin and Oldsmar rose 25.5% to nearly $500,000.
Multiple metrics highlight the tourism industry’s resilience, including January’s hotel occupancy rate of 79% (up 23.6%) and an average room cost of $185 (up 6.1%). Overall demand and revenue increased by 16.7% and 23.7% respectively, with local demand outpacing neighboring counties and competitive markets across Florida.
Kirsch observed a shift in visitor patterns, noting they are “really starting to see a decrease in people coming as just couples, and more people coming as groups of friends, extended families or even groups of couples.” Russ Kimball, CEO of the Sheraton Sand Key Resort, confirmed this trend, crediting group gatherings for helping boost business.
The region also experienced an increase in day-trip visitors, with Kirsch highlighting that 87% of surveyed visitors—”by far a record”—recalled seeing promotional advertising before their trip, compared to the typical 40%. He attributed this to the marketing agency’s post-storm “Still Shining” campaign, which has since evolved to showcase inland attractions complementing coastal offerings.
Brian Lowack, CEO of Visit St. Pete-Clearwater, described the evolving tourism revenue pattern through fiscal year 2025’s first quarter, beginning with a 30% drop immediately after the hurricanes, followed by essentially flat results in the second month, an 8% increase in the third month, and continued growth in the fourth month.
The tourism sector’s outlook appears promising with over 1,400 rooms scheduled to reopen throughout 2025, and 27 hotel projects either in final planning stages or under construction. These developments will add more than 2,300 new rooms by 2027 and 3,277 by 2034.
Despite the Tampa Bay Rays canceling the Historic Gas Plant District’s $6.7 billion redevelopment, St. Petersburg is still set to gain 649 new hotel rooms. Kirsch noted that several hotels originally scheduled to open in 2026 will now welcome guests in 2027, a timeline adjustment that “does make a little bit more sense” considering hurricane-related delays.