Rental Pool Agreement: A Smart Way for Hotels to Increase Revenue

As a hotel owner or manager, you know that the key to success is to keep your rooms occupied year-round. But what if you could maximize your revenue by renting out your rooms even when occupancy levels are low? Fortunately, there is a smart way for hotels to increase revenue and that is through a rental pool agreement.

What is a Rental Pool Agreement?

A rental pool agreement is a legal document that allows multiple hotel owners to pool their rooms together and rent them out as a single entity. It is a great way to increase revenue and reduce the risk of low occupancy levels during off-peak seasons.

How Does it Work?

Under a rental pool agreement, hotels form a partnership and agree to rent out their rooms collectively. This means that if one hotel in the agreement has low occupancy, the other hotels can fill in the gap by offering their rooms to guests. The revenue generated from the rental pool is then divided among the hotels based on an agreed-upon formula.

Benefits of a Rental Pool Agreement

1. Increased Revenue

A rental pool agreement can help hotels increase revenue by offering more room options to guests. This means that even during off-peak seasons, hotels can still generate income by renting out their rooms to other hotels in the pool.

2. Cost Savings

By sharing the marketing and administrative costs associated with renting out rooms, hotels can save a significant amount of money. This means that hotels can focus on providing a better guest experience while reducing their operating costs.

3. Flexibility

A rental pool agreement provides hotels with flexibility when it comes to managing their inventory. If a hotel has low occupancy, they can transfer their rooms to other hotels in the pool, which helps to balance the occupancy levels among all the hotels involved.

4. Competitive Advantage

By offering a wider range of room options, hotels in a rental pool agreement can gain a competitive advantage over other hotels in the area. Guests are more likely to book a room if they have a better selection of options available to them.


A rental pool agreement is a smart way for hotels to increase revenue and reduce the risk of low occupancy levels. It offers cost savings, flexibility, and a competitive advantage to hotels looking to improve their bottom line. If you are a hotel owner or manager, consider exploring a rental pool agreement with other hotels in your area to see how it can benefit your business.