Adult birds may use the production of offspring as a measure of habitat quality when prospecting for territories, increasing competition for productive territories. We evaluated the impact of breeding success on territory retention of Pacific (Gavia pacifica) and Yellow-billed (G. adamsii) loons in the National Petroleum Reserve-Alaska on the Arctic Coastal Plain of northern Alaska using mark–resight data and multi-state modeling. We also used behavioral observations of brood-rearing adult loons to quantify the frequency of visits by prospecting loons. We hypothesized that increased competition for productive territories would result in a decrease in territory retention rates. Territory retention rates the year following successful breeding attempts were only slightly lower (0.90) than after failed breeding attempts (0.93), and few territories were consistently successful across years. Overall territory retention rates were high (0.92) and similar for both species, suggesting that adults were able to defend their territories successfully. Males had higher territory retention rates than females, but we found no influence of mass (a possible proxy for fighting ability) on territory retention. These observations, coupled with the high frequency of visits by prospecting loons, provide additional evidence that site familiarity may provide advantages to territory holders. Quantifying territory retention behaviors may also inform land management decisions for oil and gas development in areas where loons are present. High territory retention rates, frequency of visits by prospectors, and limited habitat where new territories can be established suggest that breeding habitat in northern Alaska is saturated and may be limiting Yellow-billed Loon populations. In contrast, Pacific Loons attempting to acquire a territory may be able to form new territories on smaller, unoccupied lakes.