Cycloaliphatic polyester polyols and processes for making them from thermoplastic polyesters are disclosed. One process comprises heating a thermoplastic polyester with a glycol to give a digested intermediate and hydrogenating aromatic rings in the digested intermediate to produce the cycloaliphatic polyester polyol. Optionally, the digested intermediate is reacted with a hydrophobe to give a modified polyol prior to hydrogenation, and the modified polyol is hydrogenated to give the cycloaliphatic polyester polyol. The high-recycle-content cycloaliphatic polyester polyols have desirable attributes for formulating polyurethane dispersions, two-component polyurethane coatings, mono- or poly(meth)acrylates, polyisocyanurates, flexible and rigid foams, coatings, adhesives, sealants, and elastomers, and they provide a sustainable alternative to petrochemical-based polyols.