Abstract We integrated GPS and accelerometer data to examine habitat selection and energy expenditure patterns across the diel cycle in Strix varia (Barred Owls), addressing a critical gap in wildlife research that often overlooks activity during the “inactive” phase. Owls in Baton Rouge, Louisiana, selected forests with tall canopies and open understories, particularly in affluent neighborhoods, supporting the “luxury effect” in urban biodiversity. Nocturnal home ranges were larger (31.8 ha) compared to diurnal home ranges (8.9 ha), indicating broader habitat use at night. The total area of preferred nocturnal habitat was 33% of the Baton Rouge study area, whereas preferred diurnal habitat comprised only 5%. Energy expenditure was inversely related to preference in nocturnal home ranges but increased with preference in diurnal home ranges. Our models were validated using independent data from Clemson, South Carolina, supporting the robustness of our analysis and revealing generalities in owl habitat selection across these regions. This research contributes to a deeper understanding of urban ecology, highlighting habitat components preferred by owls and possibly other forest-dwelling species. It emphasizes the difference in nocturnal and diurnal home range sizes, the scarcity of daytime refuges for S. varia in urban landscapes, and the variation in energy expenditure in preferred habitats. Our findings advocate for urban designs that accommodate wildlife activity throughout the day and night, and highlight the positive correlation between preferred owl habitat and affluent neighborhoods, underscoring the need for equitable distribution of green spaces to foster biodiversity across socioeconomic gradients. These insights will help develop strategies to enhance the ecological value of urban environments and the conservation of S. varia and associated forest-dwelling species in rapidly urbanizing areas.