Don Henley has credited the Eagles' 1976 album Hotel California with arriving at exactly the right moment, giving the band a second chance after their earlier concept record, Desperado, failed to connect with audiences. Following the disappointment of their sophomore album and the surprise commercial success of their unplanned Greatest Hits compilation, the band used the momentum to craft a more focused and ambitious statement record, which became one of the best-selling albums of all time.

Released in December 1976 during America's Bicentennial year, Hotel California tackled themes including Hollywood, the music industry and environmental concerns, in contrast to the band's earlier, less cohesive gunslinger-themed concept album. Henley said the label's decision to release a Greatest Hits album, despite the band's reluctance, bought them time to finish Hotel California and helped build anticipation, with the record's commercial explosion setting the stage for the follow-up's success. The band split just one album later, reportedly worn down by the pressure of following up such a landmark record.