I don't think so. The sentence is worded in a way that that translation is grammatically incorrect. The sentence would be, "Donde en esta ciudad estan los hoteles?", if that makes sense.
TL;DR - Estar for being in a location, describing emotions or anything temporary
Estar - when talking about a temporary situation/emotion and about location (which is also a temporary thing if you think about it). Ser - all the other uses of "to be" we know of.
So, estar: Estoy en el banco - I'm in the bank Estoy triste - I'm sad (it's an emotion, so we use estar) Estoy ocupado - I'm busy (also a temporary thing, so estar).
Ser: Yo soy Tom, Yo soy un niño.
Notice the last one is technically temporary (a niño grows up to be an hombre), but it cannot immediately change, so we use ser.
Hope that helps
Ahh but is not death.. permanent?
Yo estoy muerta. (I am dead)
Están muertos. (They are dead)
Ser is not used when it comes to death.. which is permanent, in my opinion.
There are always exceptions to the rules.
The "permanent vs. temporary" thing is a bit of an oversimplification. After all, locations generally don't move around, parties and events (which use ser) do eventually end, time (which also uses ser) is constantly changing, and (as you pointed out) death is forever.
A better way to distinguish "ser" vs. "estar" is inherent qualities vs. conditions and states. Places, for example, use estar because where something is located also depends in part on where you happen to be; it might be north of me but south of you.
Under that concept, being dead is a state, and states (even permanent ones) use estar. As it was explained to me, when you remember someone who has died you don't think about where they are right now; you recall the things they said and did when they were alive. As such, their death is a thing that happened, but it doesn't change your memories of who they were.
I used the wrong words :O I said where are they in the hotels in the city but it was really where are the hotels in the city :(
I mean where are they on the hotels in the city forgive me : XD couldnt help it
One thing is for sure. When you are not looking for a hotel, you will see many of them. When you are looking for a hotel, you will see none. That's my experience...