There are still many resorts in the Poconos that draw big crowds, but they are different now. And visitors began looking for something different and more contemporary. Newer resorts were built in the region and in neighboring states.
In other instances, efforts to modernize were blocked by antiquated laws and a strong resistance from both the state and county governments to see the region succeed (arguably some of that had to do with shifting political demographics in the state). In some instances the owners were filled with hubris and didn’t think things could change. Upkeep costs exceeded revenue from declining bookings. Single-family proprietors faced the mortality of the owners. Many of the old Poconos resort properties started going downhill. But in the late 1990s and early 2000s, things changed.