What happened
Guests who booked a Palette hotel in Las Vegas found only the OYO parking lot and were put in rooms at the former Hooters OYO, LoyaltyLobby reports. Owners based in India used AI images to invent the Palette listing and set the address on OTAs to that lot. Staff at the desk refused refunds or support.
The listing ran on Booking.com and Expedia from unverified supplier uploads. Both sites removed it after backlash. An anonymous insider told LoyaltyLobby there is no general manager on site, just an owner contact in India. The goal was to fill OYO rooms that already carried a poor reputation.
OTA inventory can include a hotel that does not exist. Cash and points travelers then land at a different hotel with no refund at the desk. Getting money back after check-in usually meant a long fight with the booking site. Confirm the hotel exists before paying, and press the OTA for a refund if a different property is offered.
- Numbers
- $56 Million: 2015 sale price of the former Hooters property
- Where
- Las Vegas, OYO Hotel, Palette
- Takeaway
- Verify a hotel actually exists before you book, and if you are sent to a different property, demand a refund from the OTA rather than the front desk.