Document and Entity Information
Document and Entity Information - USD ($) $ in Billions | 12 Months Ended | ||
Dec. 31, 2018 | Feb. 26, 2019 | Jun. 29, 2018 | |
Document and Entity Information [Abstract] | |||
Entity Registrant Name | DiamondRock Hospitality Co | ||
Entity Central Index Key | 1,298,946 | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Filer Category | Large Accelerated Filer | ||
Document Type | 10-K | ||
Document Period End Date | Dec. 31, 2018 | ||
Document Fiscal Year Focus | 2,018 | ||
Document Fiscal Period Focus | FY | ||
Amendment Flag | false | ||
Entity Common Stock, Shares Outstanding | 201,392,563 | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Emerging Growth Company | false | ||
Entity Small Business | false | ||
Entity Shell Company | false | ||
Entity Public Float | $ 2.5 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 | |
ASSETS | |||
Property and equipment, net | $ 2,944,617 | $ 2,692,286 | |
Restricted cash | [1] | 47,735 | 40,204 |
Due from hotel managers | 86,914 | 86,621 | |
Favorable lease assets, net | 63,945 | 26,690 | |
Prepaid and other assets | 10,506 | 71,488 | |
Cash and cash equivalents | 43,863 | 183,569 | |
Total assets | 3,197,580 | 3,100,858 | |
Liabilities: | |||
Mortgage and other debt, net of unamortized debt issuance costs | 629,747 | 639,639 | |
Term loans, net of unamortized debt issuance costs | 348,219 | 298,153 | |
Total debt | 977,966 | 937,792 | |
Deferred income related to key money, net | 11,739 | 14,307 | |
Unfavorable contract liabilities, net | 73,151 | 70,734 | |
Deferred ground rent | 93,719 | 86,614 | |
Due to hotel managers | 72,678 | 74,213 | |
Dividends and distributions declared and unpaid | 26,339 | 25,708 | |
Accounts payable and accrued expenses | 51,395 | 57,845 | |
Total liabilities | 1,306,987 | 1,267,213 | |
Equity: | |||
Preferred stock, $0.01 par value; 10,000,000 shares authorized; no shares issued and outstanding | 0 | 0 | |
Common stock, $0.01 par value; 400,000,000 shares authorized; 204,536,485 and 200,306,733 shares issued and outstanding at December 31, 2018 and 2017, respectively | 2,045 | 2,003 | |
Additional paid-in capital | 2,126,472 | 2,061,451 | |
Accumulated deficit | (245,620) | (229,809) | |
Total stockholders' equity | 1,882,897 | 1,833,645 | |
Noncontrolling interests | 7,696 | 0 | |
Total equity | 1,890,593 | 1,833,645 | |
Total liabilities, noncontrolling interests and stockholders’ equity | $ 3,197,580 | $ 3,100,858 | |
[1] | Restricted cash primarily consists of reserves for replacement of furniture and fixtures held by our hotel managers and cash held in escrow pursuant to lender requirements. |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - $ / shares | Dec. 31, 2018 | Dec. 31, 2017 |
Stockholders' Equity: | ||
Preferred stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized (in shares) | 10,000,000 | 10,000,000 |
Preferred stock, shares issued (in shares) | 0 | 0 |
Preferred stock, shares outstanding (in shares) | 0 | 0 |
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized (in shares) | 400,000,000 | 400,000,000 |
Common stock, shares issued (in shares) | 204,536,485 | 200,306,733 |
Common stock, shares outstanding (in shares) | 204,536,485 | 200,306,733 |
Consolidated Statements of Oper
Consolidated Statements of Operations - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Revenues: | |||
Total revenue | $ 863,704 | $ 870,005 | $ 896,558 |
Operating Expenses: | |||
Depreciation and amortization | 104,524 | 99,090 | 97,444 |
Impairment losses | 0 | 3,209 | 0 |
Hotel acquisition costs | 0 | 2,028 | 0 |
Corporate expenses | 28,563 | 26,711 | 23,629 |
Business interruption insurance income | (19,379) | (4,051) | 0 |
Gain on property insurance settlement | (1,724) | 0 | 0 |
Total operating expenses, net | 733,643 | 730,222 | 739,088 |
Interest and other income, net | (1,806) | (1,820) | (762) |
Interest expense | 40,970 | 38,481 | 41,735 |
Loss (gain) on sales of hotel properties, net | 0 | 764 | (10,698) |
Loss on early extinguishment of debt | 0 | 274 | 0 |
Total other expenses, net | 39,164 | 37,699 | 30,275 |
Income before income taxes | 90,897 | 102,084 | 127,195 |
Income tax expense | (3,101) | (10,207) | (12,399) |
Net income | 87,796 | 91,877 | 114,796 |
Less: Net income attributable to noncontrolling interests | (12) | 0 | 0 |
Net income attributable to common stockholders | $ 87,784 | $ 91,877 | $ 114,796 |
Earnings per share: | |||
Net income per share available to common stockholders - basic (in dollars per share) | $ 0.43 | $ 0.46 | $ 0.57 |
Net income per share available to common stockholders - diluted (in dollars per share) | $ 0.43 | $ 0.46 | $ 0.57 |
Weighted-average number of common shares outstanding: | |||
Basic (in shares) | 205,462,911 | 200,784,450 | 201,079,573 |
Diluted (in shares) | 206,131,150 | 201,521,468 | 201,676,258 |
Rooms | |||
Revenues: | |||
Total revenue | $ 631,048 | $ 635,932 | $ 650,624 |
Operating Expenses: | |||
Operating expenses | 158,078 | 158,534 | 159,151 |
Food and beverage | |||
Revenues: | |||
Total revenue | 184,097 | 183,049 | 194,756 |
Operating Expenses: | |||
Operating expenses | 118,709 | 120,460 | 125,916 |
Other | |||
Revenues: | |||
Total revenue | 48,559 | 51,024 | 51,178 |
Operating Expenses: | |||
Operating expenses | 322,713 | 302,272 | 302,805 |
Management fees | |||
Operating Expenses: | |||
Operating expenses | $ 22,159 | $ 21,969 | $ 30,143 |
Consolidated Statements of Equi
Consolidated Statements of Equity - USD ($) $ in Thousands | Total | Common Stock | Additional Paid-In Capital | Accumulated Deficit | Total Stockholders' Equity | Noncontrolling interests |
Beginning Balance at Dec. 31, 2015 | $ 1,824,605 | $ 2,007 | $ 2,056,878 | $ (234,280) | $ 1,824,605 | $ 0 |
Beginning balance (in shares) at Dec. 31, 2015 | 200,741,777 | |||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Dividends per common share | (100,738) | 358 | (101,096) | (100,738) | ||
Issuance and vesting of common stock grants, net | 4,636 | $ 2 | 4,634 | 4,636 | ||
Issuance and vesting of common stock grants, net (in shares) | 187,362 | |||||
Share repurchases | (6,512) | $ (7) | (6,505) | (6,512) | ||
Share repurchases (in shares) | (728,237) | |||||
Net income | 114,796 | 114,796 | 114,796 | |||
Ending Balance at Dec. 31, 2016 | 1,836,787 | $ 2,002 | 2,055,365 | (220,580) | 1,836,787 | 0 |
Ending balance (in shares) at Dec. 31, 2016 | 200,200,902 | |||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Dividends per common share | (100,682) | 424 | (101,106) | (100,682) | ||
Issuance and vesting of common stock grants, net | 5,663 | $ 1 | 5,662 | 5,663 | ||
Issuance and vesting of common stock grants, net (in shares) | 105,831 | |||||
Net income | 91,877 | 91,877 | 91,877 | |||
Ending Balance at Dec. 31, 2017 | 1,833,645 | $ 2,003 | 2,061,451 | (229,809) | 1,833,645 | 0 |
Ending balance (in shares) at Dec. 31, 2017 | 200,306,733 | |||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Dividends per common share | (103,240) | 465 | (103,705) | (103,240) | ||
Issuance and vesting of common stock grants, net | 4,642 | $ 1 | 4,531 | 110 | 4,642 | |
Issuance and vesting of common stock grants, net (in shares) | 141,165 | |||||
Issuance of OP units | 7,784 | 7,784 | ||||
Sale of common stock | 92,248 | $ 75 | 92,173 | 92,248 | ||
Sale of common stock (in shares) | 7,472,946 | |||||
Common stock repurchased and retired | (32,182) | $ (34) | (32,148) | (32,182) | ||
Common stock repurchased and retired (in shares) | (3,384,359) | |||||
Distributions to noncontrolling interests | (100) | (100) | ||||
Net income | 87,796 | 87,784 | 87,784 | 12 | ||
Ending Balance at Dec. 31, 2018 | $ 1,890,593 | $ 2,045 | $ 2,126,472 | $ (245,620) | $ 1,882,897 | $ 7,696 |
Ending balance (in shares) at Dec. 31, 2018 | 204,536,485 |
Consolidated Statements of Eq_2
Consolidated Statements of Equity (Parenthetical) - $ / shares | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Statement of Stockholders' Equity [Abstract] | |||
Dividends per common share (in dollars per share) | $ 0.50 | $ 0.5 | $ 0.50 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Statement of Cash Flows [Abstract] | |||
Net Income (Loss), Including Portion Attributable to Noncontrolling Interest | $ 87,796 | $ 91,877 | $ 114,796 |
Adjustments to reconcile net income to net cash provided by operating activities: | |||
Real estate depreciation | 104,524 | 99,090 | 97,444 |
Corporate asset depreciation as corporate expenses | 216 | 95 | 66 |
Loss (gain) on sale of hotel properties, net | 0 | 764 | (10,698) |
Loss on early extinguishment of debt | 0 | 274 | 0 |
Non-cash ground rent | 7,305 | 6,290 | 5,671 |
Non-cash amortization of financing costs and interest rate cap as interest | 1,862 | 1,950 | 2,302 |
Impairment losses | 0 | 43,993 | 0 |
Estimated recovery of impairment losses from insurance | 0 | (40,784) | 0 |
Amortization of favorable and unfavorable contracts, net | (1,969) | (1,912) | (1,912) |
Amortization of deferred income related to key money | (2,568) | (5,760) | (2,851) |
Stock-based compensation | 5,573 | 6,201 | 5,321 |
Deferred income tax expense | 1,591 | 7,702 | 10,405 |
Changes in assets and liabilities: | |||
Prepaid expenses and other assets | 28,657 | (26,333) | 17,007 |
Due to/from hotel managers | (5,686) | 1,540 | (1,056) |
Accounts payable and accrued expenses | (7,997) | 17,006 | (20,969) |
Net cash provided by operating activities | 219,304 | 201,993 | 215,526 |
Cash flows from investing activities: | |||
Hotel capital expenditures | (115,171) | (97,424) | (102,861) |
Hotel acquisitions | (259,883) | (93,795) | 0 |
Proceeds from sale of properties, net | 0 | (764) | 175,300 |
Proceeds from property insurance | 30,742 | 10,042 | 0 |
Net cash (used in) provided by investing activities | (344,312) | (181,941) | 72,439 |
Cash flows from financing activities: | |||
Scheduled mortgage debt principal payments | (13,612) | (12,417) | (11,198) |
Repurchase of common stock and other | (33,113) | (537) | (7,197) |
Proceeds from sale of common stock, net | 92,679 | 0 | 0 |
Repayments of mortgage debt | 0 | (170,368) | (249,793) |
Proceeds from senior unsecured term loan | 50,000 | 200,000 | 100,000 |
Draws on senior unsecured credit facility | 85,000 | 0 | 75,000 |
Repayments of senior unsecured credit facility | (85,000) | 0 | (75,000) |
Payment of financing costs | (412) | (1,579) | (2,765) |
Payment of cash dividends | (102,709) | (100,542) | (100,771) |
Net cash used in financing activities | (7,167) | (85,443) | (271,724) |
Net (decrease) increase in cash and cash equivalents, and restricted cash | (132,175) | (65,391) | 16,241 |
Cash, cash equivalents, and restricted cash beginning of year | 223,773 | 289,164 | 272,923 |
Cash, cash equivalents, and restricted cash, end of year | 91,598 | 223,773 | 289,164 |
Supplemental Disclosure of Cash Flow Information: | |||
Cash paid for interest | 38,548 | 36,288 | 40,345 |
Cash paid for income taxes | 2,208 | 3,251 | 1,973 |
Non-cash Investing and Financing Activities: | |||
Buyer assumption of mortgage debt on sale of hotel | 0 | 0 | 89,486 |
Issuance of OP units in connection with acquisition of hotel property | 7,784 | 0 | 0 |
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents [Abstract] | |||
Total cash, cash equivalents, and restricted cash | $ 223,773 | $ 289,164 | $ 272,923 |
Organization
Organization | 12 Months Ended |
Dec. 31, 2018 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Organization | Organization DiamondRock Hospitality Company (the “Company” or “we”) is a lodging-focused real estate company that owns a portfolio of premium hotels and resorts. Our hotels are concentrated in key gateway cities and in destination resort locations and many of our hotels are operated under a brand owned by one of the leading global lodging brand companies (Marriott International, Inc. (“Marriott”) or Hilton Worldwide (“Hilton”)). We are an owner, as opposed to an operator, of the hotels in our portfolio. As an owner, we receive all of the operating profits or losses generated by our hotels after we pay fees to the hotel managers, which are based on the revenues and profitability of the hotels. As of December 31, 2018 , we owned 31 hotels with 10,091 rooms, located in the following markets: Atlanta, Georgia; Boston, Massachusetts ( 2 ); Burlington, Vermont; Charleston, South Carolina; Chicago, Illinois ( 2 ); Denver, Colorado ( 2 ); Fort Lauderdale, Florida; Fort Worth, Texas; Huntington Beach, California; Key West, Florida ( 2 ); New York, New York ( 4 ); Phoenix, Arizona; Salt Lake City, Utah; San Diego, California; San Francisco, California ( 2 ); Sedona, Arizona ( 2 ); Sonoma, California; South Lake Tahoe, California; Washington D.C. ( 2 ); St. Thomas, U.S. Virgin Islands; and Vail, Colorado. As of December 31, 2018 , the Frenchman's Reef & Morning Star Beach Resort ("Frenchman's Reef") is currently closed as a result of damage incurred from Hurricanes Irma and Maria in September 2017 . We conduct our business through a traditional umbrella partnership real estate investment trust, or UPREIT, in which our hotel properties are owned by our operating partnership, DiamondRock Hospitality Limited Partnership, or subsidiaries of our operating partnership. The Company is the sole general partner of our operating partnership and owns either directly or indirectly 99.6% of the limited partnership units ("OP units") of our operating partnership. The remaining 0.4% of the OP units are held by third parties, otherwise unaffiliated with the Company. See Note 5 for additional disclosures related to OP units. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2018 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | Summary of Significant Accounting Policies Basis of Presentation Our financial statements include all of the accounts of the Company and its subsidiaries in accordance with U.S. GAAP. All intercompany accounts and transactions have been eliminated in consolidation. If the Company determines that it has an interest in a variable interest entity within the meaning of the Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) 810, Consolidation , the Company will consolidate the entity when it is determined to be the primary beneficiary of the entity. Our operating partnership meets the criteria of a variable interest entity. The Company is the primary beneficiary and, accordingly, we consolidate our operating partnership. The Company’s sole significant asset is its investment in its operating partnership, and consequently, substantially all of the Company’s assets and liabilities represent those assets and liabilities of its operating partnership. In addition, all of the Company's debt is an obligation of its operating partnership. Use of Estimates The preparation of the financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Risks and Uncertainties The state of the overall economy can significantly impact hotel operational performance and thus, impact our financial position. Should any of our hotels experience a significant decline in operational performance, it may affect our ability to make distributions to our stockholders and service debt or meet other financial obligations. Fair Value Measurements In evaluating fair value, U.S. GAAP outlines a valuation framework and creates a fair value hierarchy that distinguishes between market assumptions based on market data (observable inputs) and a reporting entity’s own assumptions about market data (unobservable inputs). The hierarchy ranks the quality and reliability of inputs used to determine fair value, which are then classified and disclosed in one of the three categories. The three levels are as follows: • Level 1 - Inputs are quoted prices (unadjusted) in active markets for identical assets or liabilities • Level 2 - Inputs include quoted prices in active markets for similar assets and liabilities, quoted prices for identical or similar assets in markets that are not active and model-derived valuations whose inputs are observable • Level 3 - Model-derived valuations with unobservable inputs Property and Equipment Following the adoption of FASB Accounting Standards Update (“ASU”) No. 2017-01, investments in hotel properties, including related land, land improvements, building and furniture, fixtures and equipment and identifiable intangible assets are generally accounted for as asset acquisitions, which are recorded at total cost and allocated based on relative fair value. Direct acquisition-related costs are capitalized as a component of the acquired assets. Property and equipment purchased after the hotel acquisition date is recorded at cost. Replacements and improvements are capitalized, while repairs and maintenance are expensed as incurred. Upon the sale or retirement of a fixed asset, the cost and related accumulated depreciation are removed from the Company’s accounts and any resulting gain or loss is included in the statements of operations. Depreciation is computed using the straight-line method over the estimated useful lives of the assets, generally 5 to 40 years for buildings, land improvements and building improvements and 1 to 10 years for furniture, fixtures and equipment. Leasehold improvements are amortized over the shorter of the lease term or the useful lives of the related assets. We review our investments in hotel properties for impairment whenever events or changes in circumstances indicate that the carrying value of the hotel properties may not be recoverable. Events or circumstances that may cause a review include, but are not limited to, adverse changes in the demand for lodging at the properties due to declining national or local economic conditions and/or new hotel construction in markets where the hotels are located. When such conditions exist, management performs an analysis to determine if the estimated undiscounted future cash flows from operations and the proceeds from the ultimate disposition of a hotel property and related assets exceed the carrying value. If the estimated undiscounted future cash flows are less than the carrying amount of the asset, an adjustment to reduce the carrying amount to the related hotel property's estimated fair market value is recorded and an impairment loss is recognized. We classify a hotel as held for sale in the period that we have made the decision to dispose of the hotel, a binding agreement to purchase the property has been signed under which the buyer has committed a significant amount of nonrefundable cash and no significant financing or other contingencies exist which could cause the transaction to not be completed in a timely manner. If these criteria are met, we record an impairment loss if the fair value less costs to sell is lower than the carrying amount of the hotel and related assets and cease recording depreciation expense, and classify the assets and related liabilities as held for sale on the balance sheet. Cash and Cash Equivalents We consider all highly liquid investments with an original maturity of three months or less to be cash equivalents. Revenue Recognition Revenues from operations of the hotels are recognized when the goods or services are provided. Revenues consist of room sales, food and beverage sales, and other hotel department revenues, such as telephone, parking, gift shop sales and resort fees. Rooms revenue is recognized over the length of stay that the hotel room is occupied by the customer. Food and beverage revenue is recognized at the point in time in which the goods and/or services are rendered to the customer, such as for restaurant dining services or banquet services. Other revenues are recognized at the point in time or over the time period that goods or services are provided to the customer. Certain ancillary services are provided by third parties and we assess whether we are the principal or agent in these arrangements. If we are the agent, revenue is recognized based upon the commission earned from the third party. If we are the principal, we recognize revenue based upon the gross sales price. Advance deposits are recorded as liabilities when a customer or group of customers provides a deposit for a future stay or banquet event at our hotels. Advance deposits are converted to revenue when the services are provided to the customer or when a customer with a noncancelable reservation fails to arrive for part or all of the reservation. Conversely, advance deposits are generally refundable upon guest cancellation of the related reservation within an established period of time prior to the reservation. Certain of our hotels have retail spaces, restaurants or other spaces which we lease to third parties. Lease revenue is recognized on a straight-line basis over the life of the lease and included in other operating revenues in our consolidated statements of operations. Income Taxes We account for income taxes using the asset and liability method. Deferred tax assets and liabilities are recognized for the estimated future tax consequences attributable to the differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases. Deferred tax assets and liabilities are measured using enacted tax rates in effect for the year in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities from a change in tax rates is recognized in earnings during the period in which the new rate is enacted. However, deferred tax assets are recognized only to the extent that it is more likely than not that they will be realized based on consideration of all available evidence, including the future reversals of existing taxable temporary differences, future projected taxable income and tax planning strategies. Valuation allowances are provided if, based upon the weight of the available evidence, it is more likely than not that some or all of the deferred tax assets will not be realized. We have elected to be treated as a REIT under the provisions of the Internal Revenue Code, which requires that we distribute at least 90% of our taxable income annually to our stockholders and comply with certain other requirements. In addition to paying federal and state taxes on any retained income, we may be subject to taxes on “built-in gains” on sales of certain assets. Our taxable REIT subsidiaries will generally be subject to federal, state, local and/or foreign income taxes. In order for the income from our hotel property investments to constitute “rents from real properties” for purposes of the gross income tests required for REIT qualification, the income we earn cannot be derived from the operation of any of our hotels. Therefore, we lease each of our hotel properties to a wholly owned subsidiary of Bloodstone TRS, Inc., our existing taxable REIT subsidiary, or TRS, except for Frenchman’s Reef, which is owned by a Virgin Islands corporation, which we have elected to be treated as a TRS, and Cavallo Point, The Lodge at the Golden Gate ("Cavallo Point"), which is leased to a wholly owned subsidiary of the Company, which we have elected to be treated as a TRS. We had no accruals for tax uncertainties as of December 31, 2018 and 2017 . Intangible Assets and Liabilities Intangible assets or liabilities are recorded on non-market contracts assumed as part of the acquisition of certain hotels. We review the terms of agreements assumed in conjunction with the purchase of a hotel to determine if the terms are favorable or unfavorable compared to an estimated market agreement at the acquisition date. Favorable contract assets or unfavorable contract liabilities are recorded at the acquisition date and amortized using the straight-line method over the term of the agreement. We do not amortize intangible assets with indefinite useful lives, but we review these assets for impairment annually or at interim periods if events or circumstances indicate that the asset may be impaired. Earnings Per Share Basic earnings per share is calculated by dividing net income by the weighted-average number of common shares outstanding during the period. Diluted earnings per share is calculated by dividing net income by the weighted-average number of common shares outstanding during the period plus other potentially dilutive securities such as stock grants or shares issuable in the event of conversion of operating partnership units. No adjustment is made for shares that are anti-dilutive during a period. Stock-Based Compensation We account for stock-based employee compensation using the fair value based method of accounting. We record the cost of awards with service or market conditions based on the grant-date fair value of the award. That cost is recognized over the period during which an employee is required to provide service in exchange for the award. No compensation cost is recognized for equity instruments for which employees do not render the requisite service. Comprehensive Income We do not have any comprehensive income other than net income. If we have any comprehensive income in future periods, such that a statement of comprehensive income would be necessary, such statement will be reported as one statement with the consolidated statement of operations. Noncontrolling Interests The noncontrolling interest is the portion of equity in our consolidated operating partnership not attributable, directly or indirectly, to the Company. Such noncontrolling interests are reported on the consolidated balance sheets within equity, separately from the Company’s equity. On the consolidated statements of operations, revenues, expenses and net income or loss from our less-than-wholly-owned operating partnership are reported within the consolidated amounts, including both the amounts attributable to the Company and noncontrolling interests. Income or loss is allocated to noncontrolling interests based on their weighted average ownership percentage for the applicable period. Consolidated statements of equity include beginning balances, activity for the period and ending balances for stockholders’ equity, noncontrolling interests and total equity. Restricted Cash Restricted cash primarily consists of reserves for replacement of furniture and fixtures generally held by our hotel managers and cash held in escrow pursuant to lender requirements. Deferred Financing Costs Financing costs are recorded at cost as a component of the debt carrying amount and consist of loan fees and other costs incurred in connection with the issuance of debt. Amortization of deferred financing costs is computed using a method that approximates the effective interest method over the remaining life of the debt and is included in interest expense in the accompanying consolidated statements of operations. Due to/from Hotel Managers The due from hotel managers consists of hotel level accounts receivable, periodic hotel operating distributions receivable from managers and prepaid and other assets held by the hotel managers on our behalf. The due to hotel managers represents liabilities incurred by the hotel on behalf of us in conjunction with the operation of our hotels which are legal obligations of the Company. Key Money Key money received in conjunction with entering into hotel management or franchise agreements or completing specific capital projects is deferred and amortized over the term of the hotel management agreement, the term of the franchise agreement, or other systematic and rational period, if appropriate. Deferred key money is classified as deferred income in the accompanying consolidated balance sheets and amortized as an offset to management fees or franchise fees. Rental Income and Expense We record rental income and expense on leases that provide for minimum rental payments that increase in pre-established amounts over the remaining term of the lease on a straight-line basis. Concentration of Credit Risk Financial instruments that potentially subject the Company to significant concentrations of credit risk consist principally of our cash and cash equivalents. We maintain cash and cash equivalents with various financial institutions. We perform periodic evaluations of the relative credit standing of these financial institutions and limit the amount of credit exposure with any one institution. Segment Reporting Each one of our hotels is an operating segment. We evaluate each of our properties on an individual basis to assess performance, the level of capital expenditures, and acquisition or disposition transactions. Our evaluation of individual properties is not focused on property type (e.g. urban, suburban, or resort), brand, geographic location, or industry classification. We aggregate our operating segments using the criteria established by U.S. GAAP, including the similarities of our product offering, types of customers and method of providing service. All of our properties react similarly to economic stimulus, such as business investment, changes in Gross Domestic Product, and changes in travel patterns. As such, all our operating segments meet the aggregation criteria, resulting in a single reportable segment represented by our consolidated financial results. Accounting for Impacts of Natural Disasters Assets destroyed or damaged as a result of natural disasters or other involuntary events are written off or reduced in carrying value to their salvage value. When recovery of all or a portion of the amount of property damage loss or other covered expenses through insurance proceeds is demonstrated to be probable, a receivable is recorded and offsets the loss or expense up to the amount of the total loss or expense. No gain is recorded until all contingencies related to the insurance claim have been resolved. Income resulting from business interruption insurance is not recognized until all contingencies related to the insurance recoveries are resolved. In September 2017 , Hurricane Irma caused significant damage to Frenchman's Reef and Havana Cabana Key West. Frenchman's Reef was further impacted by Hurricane Maria. The Company has filed insurance claims for the remediation and repair of property damage and business interruption resulting from the hurricanes, as well as from the 2017 wildfires in Northern California that impacted The Lodge at Sonoma. In July 2018 , the Company settled the insurance claims for Havana Cabana Key West and The Lodge at Sonoma. The Havana Cabana insurance claim was settled for $8.3 million , net of deductibles, and we recorded a gain of approximately $1.7 million related to the property damage. The Lodge at Sonoma claim was settled for $1.3 million , net of deductibles. The Frenchman’s Reef insurance claim is ongoing and we received $85.0 million and $10.0 million in insurance proceeds during the years ended December 31, 2018 and 2017 , respectively. The following table summarizes the business interruption insurance income by impacted hotel property (in thousands): Year Ended December 31, 2018 2017 Frenchman's Reef $ 16,090 $ 3,128 Havana Cabana Key West 2,137 923 The Lodge at Sonoma 1,152 — Total $ 19,379 $ 4,051 For the year ended December 31, 2018 , we recognized a $1.7 million gain related to the settlement of the property damage insurance claim at the Havana Cabana Key West. Recently Issued Accounting Pronouncements In January 2017, the FASB issued ASU No. 2017-01, Business Combinations (Topic 805): Clarifying the Definition of a Business , which clarifies the definition of a business to assist entities with evaluating whether transactions should be accounted for as acquisitions of assets or business combinations. As a result of the standard, we anticipate that the majority of our hotel acquisitions will be considered asset purchases as opposed to business combinations. However, the determination will be made on a transaction-by-transaction basis and we do not expect the determination to materially change the recognition of the assets and liabilities acquired. This standard will be applied on a prospective basis and, therefore, it does not affect the accounting for any of our previous transactions. This standard is effective for annual periods beginning after December 15, 2017. We adopted ASU No. 2017-01 effective January 1, 2018. This standard does not affect the accounting for any of our transactions prior to January 1, 2018. Refer to Note 10 for more information about our three hotel property acquisitions during the year ended December 31, 2018 , which were all accounted for as asset purchases. In November 2016, the FASB issued ASU No. 2016-18, Statement of Cash Flows (Topic 230): Restricted Cash , which requires that the statement of cash flows explain the change during the period in the total cash, cash equivalents, and amounts generally described as restricted cash or restricted cash equivalents. This standard is effective for annual periods beginning after December 15, 2017. We adopted ASU No. 2016-18 effective January 1, 2018. The adoption of ASU No. 2016-18 changed the presentation of the statement of cash flows for the Company and we utilized a retrospective transition method for each period presented within financial statements for periods subsequent to the date of adoption. Restricted cash reserves are included with cash and cash equivalents on our consolidated statements of cash flows for all periods presented. There was no impact to the consolidated statements of income or the consolidated balance sheets. In August 2016, the FASB issued ASU No. 2016-15, Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments , which clarifies and provides specific guidance on eight cash flow classification issues with an objective to reduce the current diversity in practice. This standard is effective for annual periods beginning after December 15, 2017. We adopted ASU No. 2016-15 effective January 1, 2018 and it did not have a material impact on our consolidated financial statements. In February 2016, the FASB issued ASU No. 2016-02, Leases (Topic 842) , which primarily changes the lessee's accounting for operating leases by requiring recognition of lease right-of-use assets and lease liabilities. This standard is effective for annual reporting periods beginning after December 15, 2018. The primary impact of the new standard will be to the treatment of our ground leases, which represent a majority of all of our operating lease payments. We intend to adopt ASU No. 2016-02, along with its related clarifications and amendments, as of the effective date of January 1, 2019. We are finalizing our evaluation of the changes from adopting this standard to our future financial reporting and disclosures, as well as designing and implementing related processes and controls. We also intend to elect all of the new standard’s available transition practical expedients. We expect the standard to result in an increase to both total assets and total liabilities of between $95 million and $125 million , before adjusting for existing deferred rent and favorable and unfavorable lease intangible amounts included on our balance sheet as of December 31, 2018. Any changes to discount rates, lease terms or other variables may have a significant effect on the calculation of this recorded amount. We do not expect the adoption of the standard to result in a cumulative effect adjustment, or that the adoption of the standard will have a material impact to our results of operations, cash flows, or liquidity. In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers (Topic 606) . The new standard sets forth five prescribed steps to determine the timing and amount of revenue to be recognized to appropriately depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. In August 2015, the FASB issued ASU No. 2015-14, Revenue from Contracts with Customers (Topic 606): Deferral of the Effective Date , which deferred the effectiveness of ASU No. 2014-09 to reporting periods beginning after December 15, 2017. We adopted the new standard effective January 1, 2018, under the cumulative effect transition method. No adjustment was recorded to the our opening balance of retained earnings on January 1, 2018, as there was no impact to net income for the Company. |
Property and Equipment
Property and Equipment | 12 Months Ended |
Dec. 31, 2018 | |
Property, Plant and Equipment [Abstract] | |
Property and Equipment | Property and Equipment Property and equipment as of December 31, 2018 and 2017 consists of the following (in thousands): 2018 2017 Land $ 617,695 $ 602,879 Land improvements 7,994 7,994 Buildings 2,682,320 2,414,216 Furniture, fixtures and equipment 491,421 423,987 Construction in progress 38,623 31,906 3,838,053 3,480,982 Less: accumulated depreciation (893,436 ) (788,696 ) $ 2,944,617 $ 2,692,286 During the year ended December 31, 2017 , we recognized a $41.7 million impairment loss for property damage at Frenchman's Reef, the Havana Cabana Key West, and the Sheraton Suites Key West in connection with Hurricanes Irma and Maria. We recorded a reduction to the impairment loss and a corresponding receivable of $40.8 million reflecting the insurance proceeds that were probable of receipt up to the amount of the loss recorded. The receivable for insurance proceeds is included in prepaid and other assets on the accompanying consolidated balance sheets. We evaluate probable recovery by considering various factors, including discussions with our insurance providers, consideration of their financial strength, and review of our insurance provisions and limits. During 2017 , we determined the carrying value of $1.8 million of construction in progress was not recoverable and we recorded a corresponding $1.8 million charge within impairment losses for the year ended December 31, 2017 . As of December 31, 2018 and 2017 , we had accrued capital expenditures of $12.4 million and $11.7 million , respectively. |
Favorable Lease Assets
Favorable Lease Assets | 12 Months Ended |
Dec. 31, 2018 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Favorable Lease Assets | Favorable Lease Assets In connection with the acquisition of certain hotels, we have recognized intangible assets for favorable ground leases and tenant leases. Our favorable lease assets, net of accumulated amortization of $3.4 million and $2.7 million as of December 31, 2018 and 2017 , respectively, consist of the following (in thousands): 2018 2017 Cavallo Point Ground Lease $ 17,908 $ — Hotel Palomar Phoenix Ground Lease 19,763 — — Westin Boston Waterfront Hotel Ground Lease 17,426 17,643 Orchards Inn Sedona Annex Sublease 8,757 8,925 Lexington Hotel Tenant Leases 91 122 $ 63,945 $ 26,690 Favorable lease assets are recorded at the acquisition date and are generally amortized using the straight-line method over the remaining non-cancelable term of the lease agreement. Amortization expense for the years ended December 31, 2018 , 2017 , and 2016 , was $0.7 million , $0.4 million , and $0.3 million , respectively. Amortization expense is expected to total $1.1 million annually 2019 through 2023 . In connection with our acquisition of the Orchards Inn Sedona on February 28, 2017 , we recorded a $9.1 million favorable lease asset. In connection with our acquisition of the Hotel Palomar Phoenix on March 1, 2018 , we recorded a $20.0 million favorable lease asset. In connection with our acquisition of Cavallo Point on December 12, 2018 , we recorded a $17.9 million favorable lease asset. We determined the value of these favorable lease assets using a discounted cash flow of the favorable difference between the contractual lease payments and estimated market rents. The market rents were estimated by applying a land capitalization rate to the estimated fee-simple value of the underlying land. The discount rate was estimated using a risk adjusted rate of return. |
Equity
Equity | 12 Months Ended |
Dec. 31, 2018 | |
Equity [Abstract] | |
Equity | Equity Common Shares We are authorized to issue up to 400 million shares of common stock, $0.01 par value per share. Each outstanding share of common stock entitles the holder to one vote on all matters submitted to a vote of stockholders. Holders of our common stock are entitled to receive dividends out of assets legally available for the payment of dividends when authorized by our board of directors. We have an “at-the-market” equity offering program (the “Current ATM Program”), pursuant to which we may issue and sell shares of our common stock from time to time, having an aggregate offering price of up to $200 million . Prior to the implementation of the Current ATM Program, the Company had a $200 million ATM program (the "Prior ATM Program"), which is no longer active. During the year ended December 31, 2018 , we sold 7,472,946 shares of common stock at an average price of $12.56 for net proceeds of $92.9 million under the Prior ATM Program. The full amount remains available under the Current ATM Program. Our board of directors has approved a share repurchase program authorizing us to repurchase shares of our common stock. On November 2, 2018 , our board of directors increased the authorization under the share repurchase program from $150 million to $250 million of our common stock. Repurchases under this program are made in open market or privately negotiated transactions as permitted by federal securities laws and other legal requirements. This authority may be exercised from time to time and in such amounts as market conditions warrant, and subject to regulatory considerations. The timing, manner, price and actual number of shares repurchased will depend on a variety of factors including stock price, corporate and regulatory requirements, market conditions, and other corporate liquidity requirements and priorities. The share repurchase program may be suspended or terminated at any time without prior notice. During the year ended December 31, 2018 , we repurchased 3,384,359 shares of our common stock at an average price of $9.49 per share for a total purchase price of $32.2 million . Subsequent to December 31, 2018 , we repurchased 3,143,922 shares of our common stock at an average price of $9.52 per share for a total purchase price of $30.0 million . We retired all repurchased shares on their respective settlement dates. As of February 26, 2019 , we have $188.0 million of authorized capacity remaining under our share repurchase program. Dividends We have paid the following dividends to holders of our common stock for the years ended December 31, 2018 and 2017 , and through the date of this report: Payment Date Record Date Dividend per Share April 12, 2017 March 31, 2017 $0.125 July 12, 2017 June 30, 2017 $0.125 October 12, 2017 September 29, 2017 $0.125 January 12, 2018 December 29, 2017 $0.125 April 12, 2018 March 29, 2018 $0.125 July 12, 2018 June 29, 2018 $0.125 October 12, 2018 September 28, 2018 $0.125 January 14, 2019 January 4, 2019 $0.125 Preferred Shares We are authorized to issue up to 10 million shares of preferred stock, $0.01 par value per share. Our board of directors is required to set for each class or series of preferred stock the terms, preferences, conversion or other rights, voting powers, restrictions, limitations as to dividends or other distributions, qualifications, and terms or conditions of redemption. As of December 31, 2018 and 2017 , there were no shares of preferred stock outstanding. Operating Partnership Units In connection with the acquisition of Cavallo Point in December 2018 , we issued 796,684 OP units to third parties, otherwise unaffiliated with the Company, at $11.76 per unit. Each OP unit is redeemable at the option of the holder beginning December 12, 2019 . Holders of OP units have certain redemption rights, which enable them to cause our operating partnership to redeem their units in exchange for cash per unit equal to the market price of our common stock, at the time of redemption, or, at our option, for shares of our common stock on a one -for-one basis, subject to adjustment upon the occurrence of stock splits, mergers, consolidations or similar pro-rata share transactions. As of December 31, 2018 , there were 796,684 operating partnership units held by unaffiliated third parties. |
Stock Incentive Plans
Stock Incentive Plans | 12 Months Ended |
Dec. 31, 2018 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Stock Incentive Plans | Stock Incentive Plans We are authorized to issue up to 6,082,664 shares of our common stock under our 2016 Equity Incentive Plan (the “ 2016 Plan”), of which we have issued or committed to issue 846,517 shares as of December 31, 2018 . In addition to these shares, additional shares of common stock could be issued in connection with the performance stock unit awards as further described below. The 2016 Plan replaced the 2004 Stock Option and Incentive Plan, as amended (the " 2004 Plan"). We no longer make share grants and issuances under the 2004 Plan, although awards previously made under the 2004 Plan that are outstanding will remain in effect in accordance with the terms of that plan and the applicable award agreements. Restricted Stock Awards Restricted stock awards issued to our officers and employees generally vest over a three -year period from the date of the grant based on continued employment. We measure compensation expense for the restricted stock awards based upon the fair market value of our common stock at the date of grant. Compensation expense is recognized on a straight-line basis over the vesting period and is included in corporate expenses in the accompanying consolidated statements of operations. A summary of our restricted stock awards from January 1, 2016 to December 31, 2018 is as follows: Number of Shares Weighted- Average Grant Date Fair Value Unvested balance at January 1, 2016 474,567 $ 12.72 Granted 461,281 8.94 Forfeited (126,610 ) 10.08 Vested (241,698 ) 11.83 Unvested balance at December 31, 2016 567,540 10.62 Granted 324,502 11.19 Forfeited (16,669 ) 10.80 Vested (244,411 ) 11.29 Unvested balance at December 31, 2017 630,962 10.66 Granted 349,091 10.19 Forfeited (51,061 ) 10.44 Vested (287,148 ) 11.02 Unvested balance at December 31, 2018 641,844 $ 10.25 The remaining share awards are expected to vest as follows: 310,117 during 2019 , 215,368 during 2020 , and 116,359 during 2021 . As of December 31, 2018 , the unrecognized compensation cost related to restricted stock awards was $4.0 million and the weighted-average period over which the unrecognized compensation expense will be recorded is approximately 21 months. For the years ended December 31, 2018 , 2017 , and 2016 , we recorded $3.1 million , $3.1 million and $2.8 million , respectively, of compensation expense related to restricted stock awards. Performance Stock Units Performance stock units (“PSUs”) are restricted stock units that vest three years from the date of grant. Each executive officer is granted a target number of PSUs (the “PSU Target Award”). For the PSUs issued in 2014 and 2015 and vested in 2017 and 2018, respectively, the actual number of shares of common stock issued to each executive officer was subject to the achievement of certain levels of total stockholder return relative to the total stockholder return of a peer group of publicly-traded lodging REITs over a three -year performance period. There is no payout of shares of our common stock if our total stockholder return falls below the 30 th percentile of the total stockholder returns of the peer group. The maximum number of shares of common stock issued to an executive officer is equal to 150% of the PSU Target Award and is earned if our total stockholder return is equal to or greater than the 75 th percentile of the total stockholder returns of the peer group. For PSUs issued in 2016 and vesting in 2019, the calculation of total stockholder return relative to the total stockholder return of a peer group over a three -year performance period remained in effect for 75% of the number of PSUs to be earned in the performance period. The remaining 25% is determined based on achieving improvement in market share for each of our hotels over the three -year performance period. For the PSUs issued in 2017 and 2018 and vesting in 2020 and 2021, respectively, the calculation of total stockholder return relative to the total stockholder return of a peer group over a three -year performance period applies to 50% of the number of PSUs to be earned in the performance period. The remaining 50% is determined based on achieving improvement in market share for each of our hotels over the three -year performance period. We measure compensation expense for the PSUs based upon the fair market value of the award at the grant date. Compensation expense is recognized on a straight-line basis over the three -year performance period and is included in corporate expenses in the accompanying consolidated statements of operations. The grant date fair value of the portion of the PSUs based on our relative total stockholder return is determined using a Monte Carlo simulation performed by a third-party valuation firm. The grant date fair value of the portion of the PSUs based on improvement in market share for each of our hotels is the closing price of our common stock on the grant date. The determination of the grant-date fair values of outstanding awards based on our relative total stockholder return included the following assumptions: Award Grant Date Volatility Risk-Free Rate Fair Value at Grant Date February 26, 2016 24.3 % 0.93 % $ 8.42 February 26, 2017 26.7 % 1.46 % $ 10.89 March 2, 2018 26.9 % 2.40 % $ 9.52 April 2, 2018 26.9 % 2.37 % $ 9.00 A summary of our PSUs from January 1, 2016 to December 31, 2018 is as follows: Number of Units Weighted- Average Grant Date Fair Value Unvested balance at January 1, 2016 676,359 $ 11.41 Granted 310,398 8.54 Additional units from dividends 38,324 9.37 Vested (1) (242,096 ) 9.85 Forfeited (96,301 ) 10.74 Unvested balance at December 31, 2016 686,684 10.65 Granted 266,009 11.04 Additional units from dividends 33,478 11.17 Vested (2) (200,374 ) 12.15 Unvested balance at December 31, 2017 785,797 10.42 Granted 293,111 9.82 Additional units from dividends 35,197 11.24 Vested (3) (218,514 ) 11.98 Forfeited (113,668 ) 9.86 Unvested balance at December 31, 2018 781,923 $ 11.19 ______________________ (1) The number of shares of common stock earned for the PSUs vested in 2016 was equal to 89.5% of the PSU Target Award. (2) There was no payout of shares of our common stock for PSUs that vested on February 27, 2017, as our total stockholder return fell below the 30 th percentile of the total stockholder returns of the peer group over the three -year performance period. (3) The number of shares of common stock earned for the PSUs vested in 2018 was equal to 51.75% of the PSU Target Award. The remaining unvested target units are expected to vest as follows: 247,949 during 2019 , 231,221 during 2020 and 302,753 during 2021 . As of December 31, 2018 , the unrecognized compensation cost related to the PSUs was $3.1 million and is expected to be recognized on a straight-line basis over a period of 22 months . For the years ended December 31, 2018 , 2017 , and 2016 , we recorded approximately $1.9 million , $2.5 million , and $2.0 million , respectively, of compensation expense related to the PSUs. The compensation expense recorded for the year ended December 31, 2016 includes the reversal of $0.4 million of previously recognized compensation expense resulting from the forfeiture of PSUs by our former Executive Vice President and Chief Operating Officer. The compensation expense for the year ended December 31, 2018 includes the reversal of $1.0 million of previously recognized compensation expense resulting from the forfeiture of PSUs by our former Executive Vice President and Chief Financial Officer. |
Earnings Per Share
Earnings Per Share | 12 Months Ended |
Dec. 31, 2018 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | Earnings Per Share Basic earnings per share is calculated by dividing net income available to common stockholders by the weighted-average number of common shares outstanding. Diluted earnings per share is calculated by dividing net income available to common stockholders by the weighted-average number of common shares outstanding including dilutive securities. The following is a reconciliation of the calculation of basic and diluted earnings per share (in thousands, except share and per-share data): Years Ended December 31, 2018 2017 2016 Numerator: Net income attributable to common stockholders $ 87,784 $ 91,877 $ 114,796 Denominator: Weighted-average number of common shares outstanding—basic 205,462,911 200,784,450 201,079,573 Effect of dilutive securities: Unvested restricted common stock 215,655 188,759 47,468 Shares related to unvested PSUs 452,584 548,259 549,217 Weighted-average number of common shares outstanding—diluted 206,131,150 201,521,468 201,676,258 Earnings per share: Net income per share available to common stockholders—basic $ 0.43 $ 0.46 $ 0.57 Net income per share available to common stockholders—diluted $ 0.43 $ 0.46 $ 0.57 The OP units held by the noncontrolling interest holders have been excluded from the denominator of the diluted earnings per share calculation as there would be no effect on the amounts since the OP units' share of income or loss would also be added or subtracted to derive net income (loss) available to common stockholders. |
Debt
Debt | 12 Months Ended |
Dec. 31, 2018 | |
Debt Disclosure [Abstract] | |
Debt | Debt The following table sets forth information regarding the Company’s debt as of December 31, 2018 (dollars in thousands): Principal Balance as of December 31, Loan Interest Rate Maturity Date 2018 2017 Salt Lake City Marriott Downtown mortgage loan 4.25 % November 2020 $ 55,032 $ 56,717 Westin Washington D.C. City Center mortgage loan 3.99 % January 2023 62,734 64,833 The Lodge at Sonoma, a Renaissance Resort & Spa mortgage loan 3.96 % April 2023 27,633 28,277 Westin San Diego mortgage loan 3.94 % April 2023 63,385 64,859 Courtyard Manhattan / Midtown East mortgage loan 4.40 % August 2024 82,620 84,067 Renaissance Worthington mortgage loan 3.66 % May 2025 82,540 84,116 JW Marriott Denver at Cherry Creek mortgage loan 4.33 % July 2025 62,411 63,519 Boston Westin mortgage loan 4.36 % November 2025 194,466 198,046 New Market Tax Credit loan (1) 5.17 % December 2020 2,943 — Unamortized debt issuance costs (4,017 ) (4,795 ) Total mortgage and other debt, net of unamortized debt issuance costs 629,747 639,639 Unsecured term loan LIBOR + 1.45% (2) May 2021 100,000 100,000 Unsecured term loan LIBOR + 1.45% (2) April 2022 200,000 200,000 Unsecured term loan LIBOR + 1.45% (3) October 2023 50,000 — Unamortized debt issuance costs (1,781 ) (1,847 ) Unsecured term loans, net of unamortized debt issuance costs 348,219 298,153 Senior unsecured credit facility LIBOR + 1.50% May 2020 (4) — — Total debt, net of unamortized debt issuance costs $ 977,966 $ 937,792 Weighted-Average Interest Rate 4.01% _____________ (1) Assumed in connection with the acquisition of the Hotel Palomar Phoenix on March 1, 2018 . (2) The interest rate at December 31, 2018 was 3.80% . (3) The interest rate at December 31, 2018 was 3.78% . We entered into an interest rate swap agreement in January 2019 to fix LIBOR at 2.41% through October 2023 . (4) The credit facility may be extended for an additional year upon the payment of applicable fees and the satisfaction of certain customary conditions. The aggregate debt maturities as of December 31, 2018 are as follows (in thousands): 2019 14,195 2020 66,174 2021 116,461 2022 214,095 2023 194,649 Thereafter 378,190 $ 983,764 Mortgage Debt We have incurred limited recourse, property specific mortgage debt secured by certain of our hotels. In the event of default, the lender may only foreclose on the pledged assets; however, in the event of fraud, misapplication of funds or other customary recourse provisions, the lender may seek payment from us. As of December 31, 2018 , eight of our 31 hotel properties were secured by mortgage debt. Our mortgage debt contains certain property specific covenants and restrictions, including minimum debt service coverage ratios that trigger “cash trap” provisions as well as restrictions on incurring additional debt without lender consent. As of December 31, 2018 , we were in compliance with the financial covenants of our mortgage debt. On March 1, 2018 , in connection with our acquisition of the Hotel Palomar in Phoenix, Arizona, we assumed a $2.9 million loan originated under a qualified New Market Tax Credit program. The loan is interest-only and bears an annual fixed interest rate equal to 5.17% . The loan matures on December 6, 2020 . On April 26, 2017 , we repaid the mortgage loan secured by the Lexington Hotel New York with proceeds from a new unsecured term loan, which is discussed further below. The mortgage loan had an outstanding balance of $170.4 million at repayment. Senior Unsecured Credit Facility We are party to a $300 million senior unsecured credit facility with a maturity date of May 2020 . The maturity date of the facility may be extended for an additional year upon the payment of applicable fees and the satisfaction of certain other customary conditions. The facility also includes an accordion feature to expand up to $600 million , subject to lender consent. The interest rate on the facility is based upon LIBOR, plus an applicable margin based upon the Company's leverage ratio, as follows: Leverage Ratio Applicable Margin Less than or equal to 35% 1.50% Greater than 35% but less than or equal to 45% 1.65% Greater than 45% but less than or equal to 50% 1.80% Greater than 50% but less than or equal to 55% 2.00% Greater than 55% 2.25% In addition to the interest payable on amounts outstanding under the facility, we are required to pay an amount equal to 0.20% of the unused portion of the facility if the average usage of the facility was greater than 50% or 0.30% of the unused portion of the facility if the average usage of the facility was less than or equal to 50% . The facility also contains various corporate financial covenants. A summary of the most restrictive covenants is as follows: Actual at Covenant December 31, Maximum leverage ratio (1) 60% 27.5% Minimum fixed charge coverage ratio (2) 1.50x 4.17x Minimum tangible net worth (3) $1.98 billion $2.72 billion Secured recourse indebtedness Less than 45% of Total Asset Value 18.9% _____________________________ (1) Leverage ratio is net indebtedness, as defined in the credit agreement, divided by total asset value, defined in the credit agreement as the value of our owned hotels based on hotel net operating income divided by a defined capitalization rate. (2) Fixed charge coverage ratio is Adjusted EBITDA, generally defined in the credit agreement as EBITDA less FF&E reserves, for the most recently ending 12 months, to fixed charges, which is defined in the credit agreement as interest expense, all regularly scheduled principal payments and payments on capitalized lease obligations, for the same most recently ending 12-month period. (3) Tangible net worth, as defined in the credit agreement, is (i) total gross book value of all assets, exclusive of depreciation and amortization, less intangible assets, total indebtedness, and all other liabilities, plus (ii) 75% of net proceeds from future equity issuances. As of December 31, 2018 , we had no borrowings outstanding under the facility and the Company's leverage ratio was 27.5% . Accordingly, interest on our borrowings under the facility will be based on LIBOR plus 150 basis points for the following quarter. We incurred interest and unused credit facility fees on the facility of $1.2 million , $1.0 million and $1.3 million for the years ended December 31, 2018 , 2017 and 2016 , respectively. Subsequent to December 31, 2018 , we borrowed $45 million under the facility. Unsecured Term Loans We are party to a five -year $100 million unsecured term loan, a five -year $ 200 million unsecured term loan, and a new five -year $50 million unsecured term loan, entered into on October 18, 2018 . On December 5, 2018 , in connection with the acquisition closing of Cavallo Point, we drew down the full balance of the new $50 million term loan. In January 2019 , we entered into an interest rate swap agreement to economically hedge variability in LIBOR-indexed interest payments at 2.41% through October 2023 for the $50 million unsecured term loan. The financial covenants of the three term loans are consistent with the covenants on our senior unsecured credit facility, which are described above. The interest rate on the term loans is based on a pricing grid ranging from 140 to 220 basis points over LIBOR, based on the Company’s leverage ratio, as follows: Applicable Margins Leverage Ratio $100 Million and $200 Million Term Loans $50 Million Term Loan Less than or equal to 25% 1.45% 1.40% Greater than 25% but less than or equal to 35% 1.45% 1.45% Greater than 35% but less than or equal to 45% 1.60% 1.55% Greater than 45% but less than or equal to 50% 1.75% 1.75% Greater than 50% but less than or equal to 55% 1.95% 1.95% Greater than 55% 2.20% 2.20% As of December 31, 2018 , the Company's leverage ratio was 27.5% . We incurred interest on the term loans of $10.6 million , $ 6.2 million and $1.3 million for the years ended December 31, 2018 , 2017 and 2016 , respectively. |
Dispositions
Dispositions | 12 Months Ended |
Dec. 31, 2018 | |
Discontinued Operations and Disposal Groups [Abstract] | |
Dispositions | Dispositions On June 8, 2016 , we sold the 485 -room Orlando Airport Marriott to an unaffiliated third party for a contractual sales price of $63 million . We received net proceeds of approximately $65.8 million from the transaction, which included credit for the hotel's capital replacement reserve. We recognized a pre-tax gain on sale of the hotel of approximately $3.7 million . On June 30, 2016 , we sold the 821 -room Hilton Minneapolis to an unaffiliated third party for a contractual sales price of $140 million . The buyer assumed the $89.5 million mortgage loan secured by the hotel. We received net proceeds of approximately $54.8 million from the transaction, which included credit for the hotel's working capital. We recognized a pre-tax gain on sale of the hotel of approximately $4.9 million during the year ended December 31, 2016. We recognized an incremental pre-tax loss of $0.8 million during the year ended December 31, 2017 due to a post-closing adjustment for hotel expenses incurred under our ownership period. On July 7, 2016 , we sold the 169 -room Hilton Garden Inn Chelsea/New York City to an unaffiliated third party for a contractual sales price of $65.0 million . We received net proceeds of approximately $63.3 million from the transaction. We recognized a pre-tax gain on sale of the hotel of approximately $2.0 million . We had no dispositions during the years ended December 31, 2017 and 2018 . Our consolidated statements of operations include the following pre-tax income (loss), inclusive of the gains and losses on sale, from the hotel properties sold during 2016 (in thousands): 2018 2017 2016 Orlando Airport Marriott $ — $ — $ 8,225 Hilton Minneapolis — (764 ) 4,872 Hilton Garden Inn Chelsea/New York City — — 3,107 Total pre-tax (loss) income $ — $ (764 ) $ 16,204 |
Acquisitions
Acquisitions | 12 Months Ended |
Dec. 31, 2018 | |
Business Combinations [Abstract] | |
Acquisitions | Acquisitions 2018 Acquisitions (Accounted for as Asset Acquisitions) On March 1, 2018 , we acquired the 77 -room Landing Resort & Spa in South Lake Tahoe, California, for a total contractual purchase price of $42 million . The acquisition was funded with corporate cash. The acquisition is accounted for as an acquisition of assets; accordingly, direct acquisition costs were capitalized. On March 1, 2018 , we acquired the 242 -room Hotel Palomar in Phoenix, Arizona, for a total contractual purchase price of $80 million . The acquisition was funded with corporate cash. In connection with the acquisition, we assumed a $2.9 million loan under a qualified New Market Tax Credit program. Refer to Note 8 for additional information about the loan. The acquisition is accounted for as an acquisition of assets; accordingly, our direct acquisition costs were capitalized. We lease the surface and air rights of the hotel property pursuant to a ground lease with the City of Phoenix. We own the building improvements fee simple. The ground lease expires in 2085 , including all extension options. Refer to Note 13 for additional information about this lease. As lessee of government property, we are subject to a Government Property Lease Excise Tax ("GPLET") under Arizona state statute in lieu of ad valorem real estate taxes through the end of the term of the ground lease. We reviewed the terms of the ground lease and GPLET agreement and concluded that the terms of the ground lease are favorable to us compared with a comparable market ground lease. Accordingly, we allocated $20.0 million of the total acquisition cost to a favorable ground lease asset that will be amortized over the remaining term of the ground lease, including all extension options. We assumed an agreement previously made with the lessee of the subsurface parking facility under the hotel, which requires us to pay 50% of the lessee's lease payments to the landlord—the City of Phoenix. The agreement is coterminous with the underlying subsurface ground lease, which expires in 2085 , including all extension options. We reviewed the terms of the parking agreement and concluded that the terms are unfavorable to us compared with a typical market parking agreement. Accordingly, we allocated $4.6 million of the total acquisition cost to an unfavorable agreement liability that will be amortized over the remaining term of the parking agreement, including all extension options. On December 12, 2018 , we acquired the 142 -room Cavallo Point for a total contractual purchase price of $152 million . The acquisition was funded through a combination of corporate cash, proceeds from the new $50 million unsecured term loan and the issuance of OP units. The acquisition is accounted for as an acquisition of assets; accordingly, our direct acquisition costs were capitalized. Cavallo Point is subject to a long-term ground lease agreement with the United States National Park Service that expires in 2066 . Refer to Note 13 for additional information about this lease. We reviewed the terms of the ground lease and concluded that the terms of the ground lease are favorable to us compared with a comparable market ground lease. Accordingly, we allocated $17.9 million of the total acquisition cost to a favorable ground lease asset that will be amortized over the remaining term of the ground lease. 2017 Acquisitions (Accounted for as Business Combinations) On February 28, 2017 , we acquired the 88 -room L'Auberge de Sedona and the 70 -room Orchards Inn Sedona, each located in Sedona, Arizona, for a total contractual purchase price of $97 million . The acquisition was funded with corporate cash. We lease the buildings and sublease the underlying land containing 28 of the 70 rooms at the Orchards Inn Sedona, which expires in 2070 , including all extension options. We reviewed the terms of the annex sublease in conjunction with the hotel acquisition accounting and concluded that the terms are favorable to us compared with a comparable market lease. As a result, we recorded a $9.1 million favorable lease asset that will be amortized through 2070 . Acquired properties are included in our results of operations from the date of acquisition. The following pro forma financial information for the years ended December 31, 2017 , and 2016 , present our results of operations (in thousands, except per share data) as if the hotels acquired in 2017 and accounted for a business combinations were acquired on January 1, 2016 . The hotels acquired in 2018 are accounted for as asset acquisitions and are not included in the information presented below. The pro forma information is not necessarily indicative of the results that actually would have occurred nor does it indicate future operating results. Year Ended December 31, 2017 2016 (unaudited) (unaudited) Revenues $ 873,427 $ 924,806 Net income $ 91,602 $ 118,232 Earnings per share: Net income per share available to common stockholders—basic $ 0.46 $ 0.59 Net income per share available to common stockholders—diluted $ 0.45 $ 0.59 For the years ended December 31, 2018 and 2017 , our consolidated statements of operations includes $34.7 million and $29.3 million of revenues, respectively, and $6.9 million and $5.9 million of net income, respectively, related to the operations of the hotels acquired in 2017 under business combination accounting. The following table summarizes the assets acquired and liabilities assumed in our 2017 and 2018 acquisitions (in thousands): Cavallo Point Landing Resort & Spa Hotel Palomar Phoenix L'Auberge de Sedona Orchards Inn Sedona Land $ — $ 14,816 $ — $ 39,384 $ 9,726 Building and improvements 123,100 24,351 59,703 22,204 10,180 Furniture, fixtures and equipment 10,470 3,346 5,207 4,376 1,982 Construction in progress 1,734 — — — — Total fixed assets 135,304 42,513 64,910 65,964 21,888 Favorable lease asset 17,907 — 20,012 — 9,065 Unfavorable lease liability — — (4,644 ) — — New Market Tax Credit loan assumption — — (2,943 ) — — Other assets and liabilities, net (5,083 ) (658 ) 497 (2,710 ) (412 ) Total $ 148,128 $ 41,855 $ 77,832 $ 63,254 $ 30,541 |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2018 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes We have elected to be treated as a REIT under the provisions of the Internal Revenue Code, which requires that we distribute at least 90% of our taxable income annually to our stockholders and comply with certain other requirements. In addition to paying federal and state taxes on any retained income, we may be subject to taxes on “built in gains” on sales of certain assets. Our taxable REIT subsidiaries are subject to federal, state, local and/or foreign income taxes. Our provision for income taxes consists of the following (in thousands): Year Ended December 31, 2018 2017 2016 Current - Federal $ 66 $ 622 $ — State 984 1,221 1,297 Foreign 460 662 697 1,510 2,505 1,994 Deferred - Federal 1,857 6,432 9,779 State 178 425 1,324 Foreign (444 ) 845 (698 ) 1,591 7,702 10,405 Income tax provision $ 3,101 $ 10,207 $ 12,399 A reconciliation of the statutory federal tax provision to our income tax provision is as follows (in thousands): Year Ended December 31, 2018 2017 2016 Statutory federal tax provision (1) $ 19,089 $ 35,729 $ 44,518 Tax impact of REIT election (14,439 ) (22,277 ) (31,101 ) State income tax provision, net of federal tax benefit 705 1,652 1,703 Foreign income tax benefit (2,927 ) (430 ) (3,080 ) Tax reform impact on U.S. taxes — (2,143 ) — Tax reform impact on foreign taxes — (2,076 ) — Other 673 (248 ) 359 Income tax provision $ 3,101 $ 10,207 $ 12,399 _____________________________ (1) Beginning January 1, 2018, the U.S. federal income tax rate decreased from 35% to 21% . On December 22, 2017, the U.S. government enacted comprehensive tax legislation, H.R. 1, originally known as the Tax Cuts and Jobs Act (the "Tax Act"). Among other changes to the U.S. tax code, the Tax Act reduces the U.S. federal corporate income tax rate to 21%, and requires companies to pay a one-time transition tax on certain unrepatriated earnings (where applicable) of foreign subsidiaries with an election option to defer the transition tax over eight years. Accordingly, our federal net deferred tax liabilities as of December 31, 2017 have been remeasured using a U.S. federal income tax rate of 21% that is effective beginning on January 1, 2018, to reflect the effects of the enacted changes in tax rates at the date of enactment based on the applicable enacted tax rate when the temporary differences and carryforwards are expected to reverse. The impact of this remeasurement is a decrease to net deferred tax liabilities and a decrease to the deferred income tax provision in 2017 of approximately $4.2 million . Additionally, we elected to defer the transition tax inclusion of approximately $17.8 million into REIT taxable income related to the deemed mandatory repatriation of foreign earnings and profits of the Frenchman's Reef & Morning Star Beach Resort (located in the U.S. Virgin Islands) over the eight-year period allowed under the Tax Act. The transition tax increased our 2017 REIT taxable income in 2017 by approximately $1.5 million . The remaining deferred transition tax inclusion was included in our 2018 REIT taxable income. We are required to pay franchise taxes in certain jurisdictions. We recorded approximately $0.4 million of franchise taxes during each of the years ended December 31, 2018 , 2017 and 2016 , which are classified as corporate expenses in the accompanying consolidated statements of operations. Deferred income taxes are recognized for temporary differences between the financial reporting bases of assets and liabilities and their respective tax bases and for operating loss and tax credit carryforwards based on enacted tax rates expected to be in effect when such amounts are paid. However, deferred tax assets are recognized only to the extent that it is more likely than not that they will be realizable based on consideration of available evidence, including future reversals of existing taxable temporary differences, projected future taxable income and tax planning strategies. Deferred tax assets are included in prepaid and other assets and deferred tax liabilities are included in accounts payable and accrued expenses on the accompanying consolidated balance sheets. The total deferred tax assets and liabilities are as follows (in thousands): 2018 2017 Federal Net operating loss carryforwards $ 1,983 $ 3,099 Deferred income related to key money 2,465 2,549 Alternative minimum tax credit carryforwards 103 169 Other 326 355 Depreciation and amortization (9,188 ) (8,889 ) Federal - Deferred tax (liabilities) assets, net $ (4,311 ) $ (2,717 ) State Net operating loss carryforwards $ 2,975 $ 3,126 Deferred income related to key money 780 801 Alternative minimum tax credit carryforwards 80 81 Other 103 111 Depreciation and amortization (2,906 ) (2,803 ) Less: Valuation allowance (700 ) (400 ) State - Deferred tax assets, net $ 332 $ 916 Foreign (USVI) Deferred income related to key money $ — $ 95 Depreciation and amortization (255 ) (796 ) Other — 1 Land basis recorded in purchase accounting (2,617 ) (2,617 ) Foreign - Deferred tax liabilities, net $ (2,872 ) $ (3,317 ) As of December 31, 2018 , we had deferred tax assets of $5.0 million consisting of federal and state net operating loss carryforwards. The federal loss carryforwards of $2.0 million generally expire in 2029 through 2034 if not utilized by then. We believe that it is more likely than not that the results of future operations will generate sufficient taxable income to realize the deferred tax asset related to federal loss carryforwards prior to their expiration and have determined that no valuation allowance is required. The state loss carryforwards of $3.0 million generally expire in 2020 through 2034 if not utilized by then. The Company analyzes state loss carryforwards on a state by state basis and records a valuation allowance when we deem it more likely than not that future results will not generate sufficient taxable income in the respective state to realize the deferred tax asset prior to the expiration of the loss carryforwards. As of December 31, 2018 , we have a $0.7 million valuation allowance on the deferred tax asset related to the Illinois state loss carryforward. The remaining deferred tax assets of $3.9 million are expected to be recovered against reversing existing taxable temporary differences. The Frenchman's Reef & Morning Star Beach Resort is owned by a subsidiary that has elected to be treated as a TRS, and is subject to U.S. Virgin Islands ("USVI") income taxes. We are party to a tax agreement with the USVI that reduces the income tax rate to approximately 7% . This agreement expires in February 2030. |
Relationships with Managers and
Relationships with Managers and Franchisors | 12 Months Ended |
Dec. 31, 2018 | |
Relationships With Managers [Abstract] | |
Relationships with Managers and Franchisors | Relationships with Managers and Franchisors We are party to hotel management agreements for each of our hotels owned. Under our hotel management agreements, the hotel manager receives a base management fee and, if certain financial thresholds are met or exceeded, an incentive management fee. The base management fee is generally payable as a percentage of gross hotel revenues for each fiscal year. The incentive management fee is generally based on hotel operating profits, but the fee only applies to that portion of hotel operating profits above a negotiated return on our invested capital, which we refer to as the owner's priority. We refer to this excess of operating profits over the owner's priority as “available cash flow.” The following is a summary of management fees for the years ended December 31, 2018 , 2017 and 2016 (in thousands): Year Ended December 31, 2018 2017 2016 Base management fees $ 20,467 $ 22,265 $ 24,480 Incentive management fees 5,805 6,259 7,810 Amortization of deferred income related to key money (2,398 ) (4,840 ) (432 ) Amortization of unfavorable contract liabilities (1,715 ) (1,715 ) (1,715 ) Total management fees, net $ 22,159 $ 21,969 $ 30,143 Nine of our hotels earned incentive management fees for the year ended December 31, 2018 . Ten of our hotels earned incentive management fees for the year ended December 31, 2017 . Nine of our hotels earned incentive management fees for the year ended December 31, 2016 . Performance Termination Provisions Our management agreements provide us with termination rights upon a manager's failure to meet certain financial performance criteria and manager's decision not to cure the failure by making a cure payment. Key Money Our managers and franchisors have contributed to us certain amounts in exchange for the right to manage or franchise hotels we have acquired and in connection with the completion of certain brand enhancing capital projects. We refer to these amounts as “key money.” Key money is classified as deferred income in the accompanying consolidated balance sheets and amortized against management fees or franchise fees on the accompanying consolidated statements of operations. We amortized $2.6 million of key money during the year ended December 31, 2018 , $5.8 million during the year ended December 31, 2017 , and $2.9 million during the year ended December 31, 2016 . In connection with a change in hotel manager of the Courtyard Manhattan/Midtown East, we recognized $1.9 million of accelerated amortization in 2017 of key money provided to us by the previous hotel manager. In connection with the termination of the management agreement for Frenchman's Reef, we accelerated the amortization of key money received from the hotel manager from the date of our notice of termination in 2017 through the effective termination date of February 20, 2018 . We recognized an additional $2.6 million of amortization of key money during the year ended December 31, 2017 in connection with this acceleration. The remaining $2.2 million was amortized during the first quarter of 2018 . During 2015 , Starwood provided us with $3.0 million of key money in connection with our renovation associated with the brand conversion of the hotel formerly known as the Conrad Chicago to The Gwen, a Luxury Collection Hotel. The key money was amortized against franchise fees over the period of the renovation— January 2016 through April 2017 . Franchise Agreements We have franchise agreements for 13 of our hotels. Pursuant to these franchise agreements, we pay franchise fees based on a percentage of gross room sales, and, under certain agreements, a percentage based on gross food and beverage sales. Further, we pay certain other fees for marketing and reservation services. The following is a summary of franchise fees for the years ended December 31, 2018 , 2017 and 2016 (in thousands): Year Ended December 31, 2018 2017 2016 Franchise fees $ 26,348 $ 24,890 $ 24,237 Amortization of deferred income related to key money (170 ) (920 ) (2,420 ) Total franchise fees, net $ 26,178 $ 23,970 $ 21,817 Total franchise fees are included in other hotel expenses on the accompanying consolidated statements of operations. |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2018 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies Litigation We are subject to various claims, lawsuits and legal proceedings, including routine litigation arising in the ordinary course of business, regarding the operation of our hotels and Company matters. While it is not possible to ascertain the ultimate outcome of such matters, management believes that the aggregate amount of such liabilities, if any, in excess of amounts covered by insurance will not have a material adverse impact on our financial condition or results of operations. The outcome of claims, lawsuits and legal proceedings brought against the Company, however, is subject to significant uncertainties. On August 13, 2018, the Company brought suit against certain of its property insurers in St. Thomas, U.S. Virgin Islands, over the amount of the coverage the insurers owe as a result of the damage caused to Frenchman's Reef by Hurricanes Irma and Maria. On September 28, 2018, certain of the Company's property insurers brought a similar suit against the Company in New York seeking a declaration that the insurers do not owe the full amount of the Company's claim. Notwithstanding the litigation, the Company and its insurers continue to engage in discussions and negotiation regarding the Company's claim. Other Matters In February 2016, the Company was notified by the franchisor of one of its hotels that as a result of low guest satisfaction scores, the Company was in default under the franchise agreement for that hotel. The Company continues to proactively work with the franchisor and the manager of the hotel and has developed and executed a plan aimed to improve guest satisfaction scores. Though the guest satisfaction scores have improved, the Company remains in default under the franchise agreement. While the franchisor has reserved all of its rights under the franchise agreement, no action to terminate the franchise agreement has been taken by the franchisor and no accrual was recorded as of December 31, 2018 or 2017 . If the Company is not successful in resolving the matter, the franchisor may seek to terminate the franchise agreement and assert a claim it is owed a termination fee, including a payment for liquidated damages, which could result in a material adverse effect on the Company's business, financial condition or results of operation. Restricted Cash As of December 31, 2018 and 2017 , we had $47.7 million and $40.2 million , respectively, of restricted cash, which consists of reserves for replacement of furniture and fixtures generally held by our hotel managers and cash held in escrow pursuant to lender requirements. Ground Leases Seven of our hotels are subject to ground lease agreements that cover all of the land underlying the respective hotel: • The Bethesda Marriott Suites hotel is subject to a ground lease that runs until 2087 . There are no renewal options. • The Courtyard Manhattan/Fifth Avenue is subject to a ground lease that runs until 2085 , inclusive of one 49 -year renewal option. • The Salt Lake City Marriott Downtown is subject to two ground leases: one ground lease covers the land under the hotel and the other ground lease covers the portion of the hotel that extends into the adjacent City Creek Project. We own a 21% interest in the land under the hotel. The term of the ground lease covering the land under the hotel runs through 2056 , inclusive of renewal options. The term of the ground lease covering the extension into the City Creek Project was amended during 2017 to run coterminously with the term of the ground lease covering the land under the hotel. As such, the term now runs through 2056 , inclusive of renewal options. • The Westin Boston Waterfront is subject to a ground lease that runs until 2099 . There are no renewal options. • The Shorebreak Hotel is subject to a ground lease that runs until 2100 , inclusive of two renewal options of 25 years each and one 24 -year renewal option. We own a 95.5% undivided interest in the land underlying the hotel and lease the remaining 4.5% under the ground lease. • The Hotel Palomar Phoenix is subject to a ground lease that runs until 2085 , inclusive of three renewal options of five years each. • Cavallo Point is subject to a ground lease with the United States National Park Service that runs until 2066 . There are no renewal options. A portion of the parking garage relating to the Renaissance Worthington is subject to three ground leases that cover, contiguously with each other, approximately one-fourth of the land on which the parking garage is constructed. Each of the ground leases has a term that runs through July 2067 , inclusive of three 15 -year renewal options. The remainder of the land on which the parking garage is constructed is owned by us in fee simple. A portion of the JW Marriott Denver at Cherry Creek is subject to a ground lease that covers approximately 5,500 square feet. The term of the ground lease runs through December 2030 , inclusive of two 5 -year renewal options. The lease may be indefinitely extended thereafter in one -year increments. The remainder of the land on which the hotel is constructed is owned by us in fee simple. We lease the buildings and sublease the underlying land containing 28 of the 70 rooms at the Orchards Inn Sedona, which expires in 2070 , including all extension options. The remainder of the land underlying the hotel is owned by us in fee simple. These ground leases generally require us to make rental payments (including a percentage of gross receipts as percentage rent with respect to the Courtyard Manhattan/Fifth Avenue, Westin Boston Waterfront Hotel, Salt Lake City Marriott Downtown, and Cavallo Point ground leases). Most of our ground leases require us to make payments for all charges, costs, expenses, assessments and liabilities, including real property taxes and utilities. Furthermore, these ground leases generally require us to obtain and maintain insurance covering the subject property. Ground rent expense was $11.6 million , $10.2 million and $12.7 million for the years ended December 31, 2018 , 2017 and 2016 , respectively. Cash paid for ground rent was $4.7 million , $4.1 million and $7.0 million for the years ended December 31, 2018 , 2017 and 2016 , respectively. The following table reflects the current and future annual rents under our ground leases: Property Term (1) Annual Rent Bethesda Marriott Suites Through 4/2087 $781,366 (2) Courtyard Manhattan/Fifth Avenue (3) 10/2007 - 9/2017 $906,000 10/2017 - 9/2027 $1,132,812 10/2027 - 9/2037 $1,416,015 10/2037 - 9/2047 $1,770,019 10/2047 - 9/2057 $2,212,524 10/2057 - 9/2067 $2,765,655 10/2067 - 9/2077 $3,457,069 10/2077 - 9/2085 $4,321,336 Salt Lake City Marriott Downtown (Ground lease for hotel) (4) Through 12/2056 Greater of $132,000 or 2.6% of annual gross room sales Salt Lake City Marriott Downtown (Ground lease for extension) 1/2013 - 12/2016 $11,305 1/2017 - 12/2017 $13,000 1/2018 - 12/2056 (5) $13,500 Westin Boston Waterfront Hotel (6) (Base rent) 1/2016 - 12/2020 $750,000 1/2021 - 12/2025 $1,000,000 1/2026 - 12/2030 $1,500,000 1/2031 - 12/2035 $1,750,000 1/2036 - 5/2099 No base rent Westin Boston Waterfront Hotel (Percentage rent) Through 5/2015 0% of annual gross revenue 6/2016 - 5/2026 1.0% of annual gross revenue 6/2026 - 5/2036 1.5% of annual gross revenue 6/2036 - 5/2046 2.75% of annual gross revenue 6/2046 - 5/2056 3.0% of annual gross revenue 6/2056 - 5/2066 3.25% of annual gross revenue 6/2066 - 5/2099 3.5% of annual gross revenue JW Marriott Denver at Cherry Creek 1/2015 - 12/2020 $50,000 1/2021 - 12/2025 $55,000 1/2026 - 12/2030 (7) $60,000 Shorebreak Hotel Through 4/2016 $115,542 5/2016 - 4/2021 (8) $126,649 Orchards Inn Sedona Through 6/2018 $117,780 7/2018 - 12/2070 $121,078 (9) Hotel Palomar Phoenix (Base Rent) Through 3/2020 $16,875 4/2020 - 3/2021 $33,750 4/2021 - 3/2085 $34,594 (10) Hotel Palomar Phoenix (Government Property Lease Excise Tax) (11) 1/2022 - 12/2023 $390,000 1/2024 - 12/2033 $312,000 1/2034 - 12/2043 $234,000 1/2044 - 12/2053 $156,000 1/2054 - 12/2063 $78,000 1/2064 - 3/2085 $— Cavallo Point (Base Rent) Through 12/2018 $1 1/2019 - 12/2066 $67,034 (12) Cavallo Point (13) (Percentage Rent) Through 12/2018 1.0% of adjusted gross revenue over threshold 1/2019 - 12/2023 2.0% of adjusted gross revenue over threshold 1/2024 - 12/2028 3.0% of adjusted gross revenue over threshold 1/2029 - 12/2033 4.0% of adjusted gross revenue over threshold 1/2034 - 12/2066 5.0% of adjusted gross revenue over threshold Cavallo Point (14) (Participation Rent) Through 12/2066 10.0% of adjusted gross revenue over threshold Property Term (1) Annual Rent Renaissance Worthington garage ground lease 8/2013 - 7/2022 $40,400 8/2022 - 7/2037 $46,081 8/2037 - 7/2052 $51,763 8/2052 - 7/2067 $57,444 __________ (1) These terms assume our exercise of all renewal options. (2) Represents rent for the year ended December 31, 2018. Rent increases annually by 5.5%. (3) The total annual rent includes the fixed rent noted in the table plus a percentage rent equal to 5% of gross receipts for each lease year, but only to the extent that 5% of gross receipts exceeds the minimum fixed rent in such lease year. There was no such percentage rent earned during the year ended December 31, 2018. (4) We own a 21% interest in the land underlying the hotel and, as a result, 21% of the annual rent under the ground lease is paid to us by the hotel. (5) Rent will increase from the prior year's rent based on a Consumer Price Index calculation on each January 1, beginning January 1, 2019 and through the end of the lease. (6) Total annual rent under the ground lease is capped at 2.5% of hotel gross revenues during the initial 30 years of the ground lease. (7) Beginning January 2031, we have the right to renew the ground lease in one-year increments at the prior year's annual rent plus 3%. (8) Rent will increase on May 1, 2021 and every five years thereafter based on a Consumer Price Index calculation. (9) Represents rent from July 2018 through June 2019. On July 1, 2018, rent increased based on a Consumer Price Index calculation, and will continue to do so annually through the end of the lease. (10) Represents rent from April 2021 through March 2022. Rent increases annually each April by 2.5%. (11) As lessee of government property, the hotel is subject to a Government Property Lease Excise Tax ("GPLET") under Arizona state statute with payments beginning in 2022. (12) Base rent increases in January 2019 and resets every five years based on the average of the previous three years of adjusted gross revenues, as defined in the ground lease, multiplied by 75%. (13) Percentage rent is applied to annual adjusted gross revenues, as defined in the ground lease, between $30 million and the participation rent threshold. Base rent is deducted from the percentage rent. (14) Participation rent is applied to annual adjusted gross revenues, as defined in the ground lease, over $40 million in 2018, $42 million in 2019, and $42 million plus an annual increase based on a Consumer Price Index calculation for 2020 and every year thereafter through the end of the lease term. Future minimum annual rental commitments under all non-cancelable operating leases as of December 31, 2018 are as follows (in thousands): 2019 $ 5,232 2020 4,866 2021 6,132 2022 5,122 2023 5,096 Thereafter 636,770 $ 663,218 |
Fair Value of Financial Instrum
Fair Value of Financial Instruments | 12 Months Ended |
Dec. 31, 2018 | |
Fair Value Disclosures [Abstract] | |
Fair Value of Financial Instruments | Fair Value of Financial Instruments The fair value of certain financial assets and liabilities and other financial instruments as of December 31, 2018 and 2017 , in thousands, are as follows: December 31, 2018 December 31, 2017 Carrying Amount (1) Fair Value Carrying Amount (1) Fair Value Debt $ 977,966 $ 960,447 $ 937,792 $ 942,529 _______________ (1) The carrying amount of debt is net of unamortized debt issuance costs. The fair value of our mortgage debt is a Level 2 measurement under the fair value hierarchy (see Note 2). We estimate the fair value of our mortgage debt by discounting the future cash flows of each instrument at estimated market rates. The carrying value of our other financial instruments approximate fair value due to the short-term nature of these financial instruments. |
Quarterly Operating Results (Un
Quarterly Operating Results (Unaudited) | 12 Months Ended |
Dec. 31, 2018 | |
Quarterly Financial Data [Abstract] | |
Quarterly Operating Results (Unaudited) | Quarterly Operating Results (Unaudited) 2018 Quarter Ended March 31 June 30 September 30 December 31 (In thousands, except per share data) Total revenue $ 181,530 $ 237,949 $ 220,818 $ 223,407 Total operating expenses 168,011 200,012 176,589 189,031 Operating income $ 13,519 $ 37,937 $ 44,229 $ 34,376 Net income $ 4,338 $ 28,009 $ 31,443 $ 24,006 Net income attributable to common stockholders $ 4,338 $ 28,009 $ 31,443 $ 23,994 Net income per share available to common stockholders—basic $ 0.02 $ 0.14 $ 0.15 $ 0.12 Net income per share available to common stockholders—diluted $ 0.02 $ 0.14 $ 0.15 $ 0.12 2017 Quarter Ended March 31 June 30 September 30 December 31 (In thousands, except per share data) Total revenue $ 196,210 $ 243,272 $ 223,486 $ 207,037 Total operating expenses 176,914 192,621 189,168 171,519 Operating income $ 19,296 $ 50,651 $ 34,318 $ 35,518 Net income $ 8,887 $ 36,595 $ 21,623 $ 24,772 Net income attributable to common stockholders $ 8,887 $ 36,595 $ 21,623 $ 24,772 Net income per share available to common stockholders—basic $ 0.04 $ 0.18 $ 0.11 $ 0.12 Net income per share available to common stockholders—diluted $ 0.04 $ 0.18 $ 0.11 $ 0.12 |
Schedule III - Real Estate and
Schedule III - Real Estate and Accumulated Depreciation | 12 Months Ended |
Dec. 31, 2018 | |
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation Disclosure [Abstract] | |
Schedule III - Real Estate and Accumulated Depreciation | DiamondRock Hospitality Company Schedule III - Real Estate and Accumulated Depreciation As of December 31, 2018 (in thousands) Costs Initial Cost Capitalized Gross Amount at End of Year Building and Subsequent to Building and Accumulated Net Book Year of Depreciation Description Encumbrances Land Improvements Acquisition Land Improvements Total Depreciation Value Acquisition Life Atlanta Alpharetta Marriott $ — $ 3,623 $ 33,503 $ 2,534 $ 3,623 $ 36,037 $ 39,660 $ (11,696 ) $ 27,964 2005 40 Years Bethesda Marriott Suites — — 45,656 5,345 — 51,001 51,001 (16,740 ) 34,261 2004 40 Years Boston Westin Waterfront (194,466 ) — 273,696 26,091 — 299,787 299,787 (88,210 ) 211,577 2007 40 Years Cavallo Point — — 123,100 — — 123,100 123,100 (308 ) 122,792 2018 40 Years Chicago Marriott Downtown — 36,900 347,921 93,281 36,900 441,202 478,102 (121,187 ) 356,915 2006 40 Years The Gwen Chicago — 31,650 76,961 22,243 31,650 99,204 130,854 (25,029 ) 105,825 2006 40 Years Courtyard Denver — 9,400 36,180 2,978 9,400 39,158 48,558 (7,003 ) 41,555 2011 40 Years Courtyard Manhattan/Fifth Avenue — — 34,685 4,485 — 39,170 39,170 (13,359 ) 25,811 2004 40 Years Courtyard Manhattan/Midtown East (82,620 ) 16,500 54,812 5,199 16,500 60,011 76,511 (20,284 ) 56,227 2004 40 Years Frenchman's Reef & Morning Star Beach Resort — 17,713 50,697 17,949 17,713 68,646 86,359 (15,230 ) 71,129 2005 40 Years Havana Cabana Key West — 32,888 13,371 5,513 32,888 18,884 51,772 (1,491 ) 50,281 2014 40 Years Hilton Boston Downtown — 23,262 128,628 12,877 23,262 141,505 164,767 (22,112 ) 142,655 2012 40 Years Hilton Burlington — 9,197 40,644 2,006 9,197 42,650 51,847 (6,954 ) 44,893 2012 40 Years Hilton Garden Inn/New York Times Square Central — 60,300 88,896 472 60,300 89,368 149,668 (9,702 ) 139,966 2014 40 Years Hotel Emblem — 7,856 21,085 (36 ) 7,856 21,049 28,905 (3,231 ) 25,674 2012 40 Years Hotel Palomar Phoenix (2,943 ) — 59,703 (171 ) — 59,532 59,532 (1,281 ) 58,251 2018 40 Years JW Marriott Denver (62,411 ) 9,200 63,183 1,488 9,200 64,671 73,871 (12,250 ) 61,621 2011 40 Years The Landing at Lake Tahoe — 14,816 24,351 (241 ) 14,816 24,110 38,926 (531 ) 38,395 2018 40 Years L'Auberge de Sedona — 39,384 22,204 293 39,384 22,497 61,881 (1,592 ) 60,289 2017 40 Years Lexington Hotel New York — 92,000 229,368 22,796 92,000 252,164 344,164 (45,686 ) 298,478 2011 40 Years Orchards Inn Sedona — 9,726 10,180 102 9,726 10,282 20,008 (511 ) 19,497 2017 40 Years Renaissance Charleston — 5,900 32,511 5,208 5,900 37,719 43,619 (7,135 ) 36,484 2010 40 Years Renaissance Worthington (82,540 ) 15,500 63,428 18,037 15,500 81,465 96,965 (23,086 ) 73,879 2005 40 Years Salt Lake City Marriott Downtown (55,032 ) — 45,815 5,701 855 50,661 51,516 (16,944 ) 34,572 2004 40 Years Sheraton Suites Key West — 49,592 42,958 742 49,592 43,700 93,292 (3,996 ) 89,296 2015 40 Years Shorebreak Hotel — 19,908 37,525 3,332 19,908 40,857 60,765 (3,847 ) 56,918 2015 40 Years The Lodge at Sonoma, a Renaissance Resort and Spa (27,633 ) 3,951 22,720 8,601 3,951 31,321 35,272 (12,233 ) 23,039 2004 40 Years Vail Marriott Mountain Resort & Spa — 5,800 52,463 17,335 5,800 69,798 75,598 (18,695 ) 56,903 2005 40 Years Westin Fort Lauderdale Beach Resort — 54,293 83,227 8,767 54,293 91,994 146,287 (8,929 ) 137,358 2014 40 Years Westin San Diego (63,385 ) 22,902 95,617 9,123 22,902 104,740 127,642 (16,454 ) 111,188 2012 40 Years Westin Washington, D.C City Center (62,734 ) 24,579 122,229 11,802 24,579 134,031 158,610 (21,162 ) 137,448 2012 40 Years Total $ (633,764 ) $ 616,840 $ 2,377,317 $ 313,852 $ 617,695 $ 2,690,314 $ 3,308,009 $ (556,868 ) $ 2,751,141 Notes: A) The change in total cost of properties for the fiscal years ended December 31, 2018 , 2017 and 2016 is as follows (in thousands): Balance at December 31, 2015 $ 3,125,051 Additions: Acquisitions — Capital expenditures 61,823 Deductions: Dispositions and other (269,240 ) Balance at December 31, 2016 2,917,634 Additions: Acquisitions 81,494 Capital expenditures $ 68,573 Deductions: Dispositions and other (42,612 ) Balance at December 31, 2017 3,025,089 Additions: Acquisitions 221,970 Capital expenditures 60,950 Deductions: Dispositions and other — Balance at December 31, 2018 $ 3,308,009 B) The change in accumulated depreciation of real estate assets for the fiscal years ended December 31, 2018 , 2017 and 2016 is as follows (in thousands): Balance at December 31, 2015 $ 419,309 Depreciation and amortization 65,490 Dispositions and other (42,847 ) Balance at December 31, 2016 441,952 Depreciation and amortization 60,023 Dispositions and other (9,104 ) Balance at December 31, 2017 492,871 Depreciation and amortization 63,997 Dispositions and other — Balance at December 31, 2018 $ 556,868 C) The aggregate cost of properties for Federal income tax purposes (in thousands) is approximately $3,151,650 as of December 31, 2018 . |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2018 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation Our financial statements include all of the accounts of the Company and its subsidiaries in accordance with U.S. GAAP. All intercompany accounts and transactions have been eliminated in consolidation. If the Company determines that it has an interest in a variable interest entity within the meaning of the Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) 810, Consolidation , the Company will consolidate the entity when it is determined to be the primary beneficiary of the entity. Our operating partnership meets the criteria of a variable interest entity. The Company is the primary beneficiary and, accordingly, we consolidate our operating partnership. The Company’s sole significant asset is its investment in its operating partnership, and consequently, substantially all of the Company’s assets and liabilities represent those assets and liabilities of its operating partnership. In addition, all of the Company's debt is an obligation of its operating partnership. |
Use of Estimates | Use of Estimates The preparation of the financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. |
Risks and Uncertainties; Accounting for Impacts of Natural Disasters | Accounting for Impacts of Natural Disasters Assets destroyed or damaged as a result of natural disasters or other involuntary events are written off or reduced in carrying value to their salvage value. When recovery of all or a portion of the amount of property damage loss or other covered expenses through insurance proceeds is demonstrated to be probable, a receivable is recorded and offsets the loss or expense up to the amount of the total loss or expense. No gain is recorded until all contingencies related to the insurance claim have been resolved. Income resulting from business interruption insurance is not recognized until all contingencies related to the insurance recoveries are resolved. Risks and Uncertainties The state of the overall economy can significantly impact hotel operational performance and thus, impact our financial position. Should any of our hotels experience a significant decline in operational performance, it may affect our ability to make distributions to our stockholders and service debt or meet other financial obligations. |
Fair Value Measurements | Fair Value Measurements In evaluating fair value, U.S. GAAP outlines a valuation framework and creates a fair value hierarchy that distinguishes between market assumptions based on market data (observable inputs) and a reporting entity’s own assumptions about market data (unobservable inputs). The hierarchy ranks the quality and reliability of inputs used to determine fair value, which are then classified and disclosed in one of the three categories. The three levels are as follows: • Level 1 - Inputs are quoted prices (unadjusted) in active markets for identical assets or liabilities • Level 2 - Inputs include quoted prices in active markets for similar assets and liabilities, quoted prices for identical or similar assets in markets that are not active and model-derived valuations whose inputs are observable • Level 3 - Model-derived valuations with unobservable inputs |
Property and Equipment | Property and Equipment Following the adoption of FASB Accounting Standards Update (“ASU”) No. 2017-01, investments in hotel properties, including related land, land improvements, building and furniture, fixtures and equipment and identifiable intangible assets are generally accounted for as asset acquisitions, which are recorded at total cost and allocated based on relative fair value. Direct acquisition-related costs are capitalized as a component of the acquired assets. Property and equipment purchased after the hotel acquisition date is recorded at cost. Replacements and improvements are capitalized, while repairs and maintenance are expensed as incurred. Upon the sale or retirement of a fixed asset, the cost and related accumulated depreciation are removed from the Company’s accounts and any resulting gain or loss is included in the statements of operations. Depreciation is computed using the straight-line method over the estimated useful lives of the assets, generally 5 to 40 years for buildings, land improvements and building improvements and 1 to 10 years for furniture, fixtures and equipment. Leasehold improvements are amortized over the shorter of the lease term or the useful lives of the related assets. We review our investments in hotel properties for impairment whenever events or changes in circumstances indicate that the carrying value of the hotel properties may not be recoverable. Events or circumstances that may cause a review include, but are not limited to, adverse changes in the demand for lodging at the properties due to declining national or local economic conditions and/or new hotel construction in markets where the hotels are located. When such conditions exist, management performs an analysis to determine if the estimated undiscounted future cash flows from operations and the proceeds from the ultimate disposition of a hotel property and related assets exceed the carrying value. If the estimated undiscounted future cash flows are less than the carrying amount of the asset, an adjustment to reduce the carrying amount to the related hotel property's estimated fair market value is recorded and an impairment loss is recognized. We classify a hotel as held for sale in the period that we have made the decision to dispose of the hotel, a binding agreement to purchase the property has been signed under which the buyer has committed a significant amount of nonrefundable cash and no significant financing or other contingencies exist which could cause the transaction to not be completed in a timely manner. If these criteria are met, we record an impairment loss if the fair value less costs to sell is lower than the carrying amount of the hotel and related assets and cease recording depreciation expense, and classify the assets and related liabilities as held for sale on the balance sheet. |
Cash and Cash Equivalents | Cash and Cash Equivalents We consider all highly liquid investments with an original maturity of three months or less to be cash equivalents. |
Revenue Recognition | Revenue Recognition Revenues from operations of the hotels are recognized when the goods or services are provided. Revenues consist of room sales, food and beverage sales, and other hotel department revenues, such as telephone, parking, gift shop sales and resort fees. Rooms revenue is recognized over the length of stay that the hotel room is occupied by the customer. Food and beverage revenue is recognized at the point in time in which the goods and/or services are rendered to the customer, such as for restaurant dining services or banquet services. Other revenues are recognized at the point in time or over the time period that goods or services are provided to the customer. Certain ancillary services are provided by third parties and we assess whether we are the principal or agent in these arrangements. If we are the agent, revenue is recognized based upon the commission earned from the third party. If we are the principal, we recognize revenue based upon the gross sales price. Advance deposits are recorded as liabilities when a customer or group of customers provides a deposit for a future stay or banquet event at our hotels. Advance deposits are converted to revenue when the services are provided to the customer or when a customer with a noncancelable reservation fails to arrive for part or all of the reservation. Conversely, advance deposits are generally refundable upon guest cancellation of the related reservation within an established period of time prior to the reservation. Certain of our hotels have retail spaces, restaurants or other spaces which we lease to third parties. Lease revenue is recognized on a straight-line basis over the life of the lease and included in other operating revenues in our consolidated statements of operations. |
Income Taxes | Income Taxes We account for income taxes using the asset and liability method. Deferred tax assets and liabilities are recognized for the estimated future tax consequences attributable to the differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases. Deferred tax assets and liabilities are measured using enacted tax rates in effect for the year in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities from a change in tax rates is recognized in earnings during the period in which the new rate is enacted. However, deferred tax assets are recognized only to the extent that it is more likely than not that they will be realized based on consideration of all available evidence, including the future reversals of existing taxable temporary differences, future projected taxable income and tax planning strategies. Valuation allowances are provided if, based upon the weight of the available evidence, it is more likely than not that some or all of the deferred tax assets will not be realized. We have elected to be treated as a REIT under the provisions of the Internal Revenue Code, which requires that we distribute at least 90% of our taxable income annually to our stockholders and comply with certain other requirements. In addition to paying federal and state taxes on any retained income, we may be subject to taxes on “built-in gains” on sales of certain assets. Our taxable REIT subsidiaries will generally be subject to federal, state, local and/or foreign income taxes. In order for the income from our hotel property investments to constitute “rents from real properties” for purposes of the gross income tests required for REIT qualification, the income we earn cannot be derived from the operation of any of our hotels. Therefore, we lease each of our hotel properties to a wholly owned subsidiary of Bloodstone TRS, Inc., our existing taxable REIT subsidiary, or TRS, except for Frenchman’s Reef, which is owned by a Virgin Islands corporation, which we have elected to be treated as a TRS, and Cavallo Point, The Lodge at the Golden Gate ("Cavallo Point"), which is leased to a wholly owned subsidiary of the Company, which we have elected to be treated as a TRS. |
Intangible Assets and Liabilities | Intangible Assets and Liabilities Intangible assets or liabilities are recorded on non-market contracts assumed as part of the acquisition of certain hotels. We review the terms of agreements assumed in conjunction with the purchase of a hotel to determine if the terms are favorable or unfavorable compared to an estimated market agreement at the acquisition date. Favorable contract assets or unfavorable contract liabilities are recorded at the acquisition date and amortized using the straight-line method over the term of the agreement. We do not amortize intangible assets with indefinite useful lives, but we review these assets for impairment annually or at interim periods if events or circumstances indicate that the asset may be impaired. |
Earnings Per Share | Earnings Per Share Basic earnings per share is calculated by dividing net income by the weighted-average number of common shares outstanding during the period. Diluted earnings per share is calculated by dividing net income by the weighted-average number of common shares outstanding during the period plus other potentially dilutive securities such as stock grants or shares issuable in the event of conversion of operating partnership units. No adjustment is made for shares that are anti-dilutive during a period. |
Stock-based Compensation | Stock-Based Compensation We account for stock-based employee compensation using the fair value based method of accounting. We record the cost of awards with service or market conditions based on the grant-date fair value of the award. That cost is recognized over the period during which an employee is required to provide service in exchange for the award. No compensation cost is recognized for equity instruments for which employees do not render the requisite service. |
Comprehensive Income | Comprehensive Income We do not have any comprehensive income other than net income. If we have any comprehensive income in future periods, such that a statement of comprehensive income would be necessary, such statement will be reported as one statement with the consolidated statement of operations. |
Noncontrolling Interests | Noncontrolling Interests The noncontrolling interest is the portion of equity in our consolidated operating partnership not attributable, directly or indirectly, to the Company. Such noncontrolling interests are reported on the consolidated balance sheets within equity, separately from the Company’s equity. On the consolidated statements of operations, revenues, expenses and net income or loss from our less-than-wholly-owned operating partnership are reported within the consolidated amounts, including both the amounts attributable to the Company and noncontrolling interests. Income or loss is allocated to noncontrolling interests based on their weighted average ownership percentage for the applicable period. Consolidated statements of equity include beginning balances, activity for the period and ending balances for stockholders’ equity, noncontrolling interests and total equity. |
Restricted Cash | Restricted Cash Restricted cash primarily consists of reserves for replacement of furniture and fixtures generally held by our hotel managers and cash held in escrow pursuant to lender requirements. |
Deferred Financing Costs | Deferred Financing Costs Financing costs are recorded at cost as a component of the debt carrying amount and consist of loan fees and other costs incurred in connection with the issuance of debt. Amortization of deferred financing costs is computed using a method that approximates the effective interest method over the remaining life of the debt and is included in interest expense in the accompanying consolidated statements of operations. |
Due to/from Hotel Managers | Due to/from Hotel Managers The due from hotel managers consists of hotel level accounts receivable, periodic hotel operating distributions receivable from managers and prepaid and other assets held by the hotel managers on our behalf. The due to hotel managers represents liabilities incurred by the hotel on behalf of us in conjunction with the operation of our hotels which are legal obligations of the Company. |
Key Money | Key Money Key money received in conjunction with entering into hotel management or franchise agreements or completing specific capital projects is deferred and amortized over the term of the hotel management agreement, the term of the franchise agreement, or other systematic and rational period, if appropriate. Deferred key money is classified as deferred income in the accompanying consolidated balance sheets and amortized as an offset to management fees or franchise fees. |
Rental Income and Expense | Rental Income and Expense We record rental income and expense on leases that provide for minimum rental payments that increase in pre-established amounts over the remaining term of the lease on a straight-line basis. |
Concentration of Credit Risk | Concentration of Credit Risk Financial instruments that potentially subject the Company to significant concentrations of credit risk consist principally of our cash and cash equivalents. We maintain cash and cash equivalents with various financial institutions. We perform periodic evaluations of the relative credit standing of these financial institutions and limit the amount of credit exposure with any one institution. |
Segment Reporting | Segment Reporting Each one of our hotels is an operating segment. We evaluate each of our properties on an individual basis to assess performance, the level of capital expenditures, and acquisition or disposition transactions. Our evaluation of individual properties is not focused on property type (e.g. urban, suburban, or resort), brand, geographic location, or industry classification. We aggregate our operating segments using the criteria established by U.S. GAAP, including the similarities of our product offering, types of customers and method of providing service. All of our properties react similarly to economic stimulus, such as business investment, changes in Gross Domestic Product, and changes in travel patterns. As such, all our operating segments meet the aggregation criteria, resulting in a single reportable segment represented by our consolidated financial results. |
Recently Issued Accounting Pronouncements | Recently Issued Accounting Pronouncements In January 2017, the FASB issued ASU No. 2017-01, Business Combinations (Topic 805): Clarifying the Definition of a Business , which clarifies the definition of a business to assist entities with evaluating whether transactions should be accounted for as acquisitions of assets or business combinations. As a result of the standard, we anticipate that the majority of our hotel acquisitions will be considered asset purchases as opposed to business combinations. However, the determination will be made on a transaction-by-transaction basis and we do not expect the determination to materially change the recognition of the assets and liabilities acquired. This standard will be applied on a prospective basis and, therefore, it does not affect the accounting for any of our previous transactions. This standard is effective for annual periods beginning after December 15, 2017. We adopted ASU No. 2017-01 effective January 1, 2018. This standard does not affect the accounting for any of our transactions prior to January 1, 2018. Refer to Note 10 for more information about our three hotel property acquisitions during the year ended December 31, 2018 , which were all accounted for as asset purchases. In November 2016, the FASB issued ASU No. 2016-18, Statement of Cash Flows (Topic 230): Restricted Cash , which requires that the statement of cash flows explain the change during the period in the total cash, cash equivalents, and amounts generally described as restricted cash or restricted cash equivalents. This standard is effective for annual periods beginning after December 15, 2017. We adopted ASU No. 2016-18 effective January 1, 2018. The adoption of ASU No. 2016-18 changed the presentation of the statement of cash flows for the Company and we utilized a retrospective transition method for each period presented within financial statements for periods subsequent to the date of adoption. Restricted cash reserves are included with cash and cash equivalents on our consolidated statements of cash flows for all periods presented. There was no impact to the consolidated statements of income or the consolidated balance sheets. In August 2016, the FASB issued ASU No. 2016-15, Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments , which clarifies and provides specific guidance on eight cash flow classification issues with an objective to reduce the current diversity in practice. This standard is effective for annual periods beginning after December 15, 2017. We adopted ASU No. 2016-15 effective January 1, 2018 and it did not have a material impact on our consolidated financial statements. In February 2016, the FASB issued ASU No. 2016-02, Leases (Topic 842) , which primarily changes the lessee's accounting for operating leases by requiring recognition of lease right-of-use assets and lease liabilities. This standard is effective for annual reporting periods beginning after December 15, 2018. The primary impact of the new standard will be to the treatment of our ground leases, which represent a majority of all of our operating lease payments. We intend to adopt ASU No. 2016-02, along with its related clarifications and amendments, as of the effective date of January 1, 2019. We are finalizing our evaluation of the changes from adopting this standard to our future financial reporting and disclosures, as well as designing and implementing related processes and controls. We also intend to elect all of the new standard’s available transition practical expedients. We expect the standard to result in an increase to both total assets and total liabilities of between $95 million and $125 million , before adjusting for existing deferred rent and favorable and unfavorable lease intangible amounts included on our balance sheet as of December 31, 2018. Any changes to discount rates, lease terms or other variables may have a significant effect on the calculation of this recorded amount. We do not expect the adoption of the standard to result in a cumulative effect adjustment, or that the adoption of the standard will have a material impact to our results of operations, cash flows, or liquidity. In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers (Topic 606) . The new standard sets forth five prescribed steps to determine the timing and amount of revenue to be recognized to appropriately depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. In August 2015, the FASB issued ASU No. 2015-14, Revenue from Contracts with Customers (Topic 606): Deferral of the Effective Date , which deferred the effectiveness of ASU No. 2014-09 to reporting periods beginning after December 15, 2017. We adopted the new standard effective January 1, 2018, under the cumulative effect transition method. No adjustment was recorded to the our opening balance of retained earnings on January 1, 2018, as there was no impact to net income for the Company. |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Accounting Policies [Abstract] | |
Schedule of gain on business interruption | The following table summarizes the business interruption insurance income by impacted hotel property (in thousands): Year Ended December 31, 2018 2017 Frenchman's Reef $ 16,090 $ 3,128 Havana Cabana Key West 2,137 923 The Lodge at Sonoma 1,152 — Total $ 19,379 $ 4,051 |
Property and Equipment (Tables)
Property and Equipment (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Property, Plant and Equipment [Abstract] | |
Property and Equipment | Property and equipment as of December 31, 2018 and 2017 consists of the following (in thousands): 2018 2017 Land $ 617,695 $ 602,879 Land improvements 7,994 7,994 Buildings 2,682,320 2,414,216 Furniture, fixtures and equipment 491,421 423,987 Construction in progress 38,623 31,906 3,838,053 3,480,982 Less: accumulated depreciation (893,436 ) (788,696 ) $ 2,944,617 $ 2,692,286 |
Favorable Lease Assets (Tables)
Favorable Lease Assets (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Finite-Lived Intangible Assets by Major Class | Our favorable lease assets, net of accumulated amortization of $3.4 million and $2.7 million as of December 31, 2018 and 2017 , respectively, consist of the following (in thousands): 2018 2017 Cavallo Point Ground Lease $ 17,908 $ — Hotel Palomar Phoenix Ground Lease 19,763 — — Westin Boston Waterfront Hotel Ground Lease 17,426 17,643 Orchards Inn Sedona Annex Sublease 8,757 8,925 Lexington Hotel Tenant Leases 91 122 $ 63,945 $ 26,690 |
Equity (Tables)
Equity (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Equity [Abstract] | |
Schedule of Dividends Payable | We have paid the following dividends to holders of our common stock for the years ended December 31, 2018 and 2017 , and through the date of this report: Payment Date Record Date Dividend per Share April 12, 2017 March 31, 2017 $0.125 July 12, 2017 June 30, 2017 $0.125 October 12, 2017 September 29, 2017 $0.125 January 12, 2018 December 29, 2017 $0.125 April 12, 2018 March 29, 2018 $0.125 July 12, 2018 June 29, 2018 $0.125 October 12, 2018 September 28, 2018 $0.125 January 14, 2019 January 4, 2019 $0.125 |
Stock Incentive Plans (Tables)
Stock Incentive Plans (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Schedule of Share Based Compensation Restricted Stock Activity | A summary of our restricted stock awards from January 1, 2016 to December 31, 2018 is as follows: Number of Shares Weighted- Average Grant Date Fair Value Unvested balance at January 1, 2016 474,567 $ 12.72 Granted 461,281 8.94 Forfeited (126,610 ) 10.08 Vested (241,698 ) 11.83 Unvested balance at December 31, 2016 567,540 10.62 Granted 324,502 11.19 Forfeited (16,669 ) 10.80 Vested (244,411 ) 11.29 Unvested balance at December 31, 2017 630,962 10.66 Granted 349,091 10.19 Forfeited (51,061 ) 10.44 Vested (287,148 ) 11.02 Unvested balance at December 31, 2018 641,844 $ 10.25 |
Performance Stock Units | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Fair Value Valuation Assumptions | The determination of the grant-date fair values of outstanding awards based on our relative total stockholder return included the following assumptions: Award Grant Date Volatility Risk-Free Rate Fair Value at Grant Date February 26, 2016 24.3 % 0.93 % $ 8.42 February 26, 2017 26.7 % 1.46 % $ 10.89 March 2, 2018 26.9 % 2.40 % $ 9.52 April 2, 2018 26.9 % 2.37 % $ 9.00 |
Schedule of Nonvested Performance-based Units Activity | A summary of our PSUs from January 1, 2016 to December 31, 2018 is as follows: Number of Units Weighted- Average Grant Date Fair Value Unvested balance at January 1, 2016 676,359 $ 11.41 Granted 310,398 8.54 Additional units from dividends 38,324 9.37 Vested (1) (242,096 ) 9.85 Forfeited (96,301 ) 10.74 Unvested balance at December 31, 2016 686,684 10.65 Granted 266,009 11.04 Additional units from dividends 33,478 11.17 Vested (2) (200,374 ) 12.15 Unvested balance at December 31, 2017 785,797 10.42 Granted 293,111 9.82 Additional units from dividends 35,197 11.24 Vested (3) (218,514 ) 11.98 Forfeited (113,668 ) 9.86 Unvested balance at December 31, 2018 781,923 $ 11.19 ______________________ (1) The number of shares of common stock earned for the PSUs vested in 2016 was equal to 89.5% of the PSU Target Award. (2) There was no payout of shares of our common stock for PSUs that vested on February 27, 2017, as our total stockholder return fell below the 30 th percentile of the total stockholder returns of the peer group over the three -year performance period. (3) The number of shares of common stock earned for the PSUs vested in 2018 was equal to 51.75% of the PSU Target Award. |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Earnings Per Share [Abstract] | |
Schedule of Earnings Per Share, Basic and Diluted | The following is a reconciliation of the calculation of basic and diluted earnings per share (in thousands, except share and per-share data): Years Ended December 31, 2018 2017 2016 Numerator: Net income attributable to common stockholders $ 87,784 $ 91,877 $ 114,796 Denominator: Weighted-average number of common shares outstanding—basic 205,462,911 200,784,450 201,079,573 Effect of dilutive securities: Unvested restricted common stock 215,655 188,759 47,468 Shares related to unvested PSUs 452,584 548,259 549,217 Weighted-average number of common shares outstanding—diluted 206,131,150 201,521,468 201,676,258 Earnings per share: Net income per share available to common stockholders—basic $ 0.43 $ 0.46 $ 0.57 Net income per share available to common stockholders—diluted $ 0.43 $ 0.46 $ 0.57 |
Debt (Tables)
Debt (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Debt Disclosure [Abstract] | |
Summary of Long Term Debt | The following table sets forth information regarding the Company’s debt as of December 31, 2018 (dollars in thousands): Principal Balance as of December 31, Loan Interest Rate Maturity Date 2018 2017 Salt Lake City Marriott Downtown mortgage loan 4.25 % November 2020 $ 55,032 $ 56,717 Westin Washington D.C. City Center mortgage loan 3.99 % January 2023 62,734 64,833 The Lodge at Sonoma, a Renaissance Resort & Spa mortgage loan 3.96 % April 2023 27,633 28,277 Westin San Diego mortgage loan 3.94 % April 2023 63,385 64,859 Courtyard Manhattan / Midtown East mortgage loan 4.40 % August 2024 82,620 84,067 Renaissance Worthington mortgage loan 3.66 % May 2025 82,540 84,116 JW Marriott Denver at Cherry Creek mortgage loan 4.33 % July 2025 62,411 63,519 Boston Westin mortgage loan 4.36 % November 2025 194,466 198,046 New Market Tax Credit loan (1) 5.17 % December 2020 2,943 — Unamortized debt issuance costs (4,017 ) (4,795 ) Total mortgage and other debt, net of unamortized debt issuance costs 629,747 639,639 Unsecured term loan LIBOR + 1.45% (2) May 2021 100,000 100,000 Unsecured term loan LIBOR + 1.45% (2) April 2022 200,000 200,000 Unsecured term loan LIBOR + 1.45% (3) October 2023 50,000 — Unamortized debt issuance costs (1,781 ) (1,847 ) Unsecured term loans, net of unamortized debt issuance costs 348,219 298,153 Senior unsecured credit facility LIBOR + 1.50% May 2020 (4) — — Total debt, net of unamortized debt issuance costs $ 977,966 $ 937,792 Weighted-Average Interest Rate 4.01% _____________ (1) Assumed in connection with the acquisition of the Hotel Palomar Phoenix on March 1, 2018 . (2) The interest rate at December 31, 2018 was 3.80% . (3) The interest rate at December 31, 2018 was 3.78% . We entered into an interest rate swap agreement in January 2019 to fix LIBOR at 2.41% through October 2023 . (4) The credit facility may be extended for an additional year upon the payment of applicable fees and the satisfaction of certain customary conditions. |
Schedule of Maturities of Long-Term Debt | The aggregate debt maturities as of December 31, 2018 are as follows (in thousands): 2019 14,195 2020 66,174 2021 116,461 2022 214,095 2023 194,649 Thereafter 378,190 $ 983,764 |
Summary of the Most Restrictive Covenants for Senior Unsecured Credit Facility | The facility also contains various corporate financial covenants. A summary of the most restrictive covenants is as follows: Actual at Covenant December 31, Maximum leverage ratio (1) 60% 27.5% Minimum fixed charge coverage ratio (2) 1.50x 4.17x Minimum tangible net worth (3) $1.98 billion $2.72 billion Secured recourse indebtedness Less than 45% of Total Asset Value 18.9% _____________________________ (1) Leverage ratio is net indebtedness, as defined in the credit agreement, divided by total asset value, defined in the credit agreement as the value of our owned hotels based on hotel net operating income divided by a defined capitalization rate. (2) Fixed charge coverage ratio is Adjusted EBITDA, generally defined in the credit agreement as EBITDA less FF&E reserves, for the most recently ending 12 months, to fixed charges, which is defined in the credit agreement as interest expense, all regularly scheduled principal payments and payments on capitalized lease obligations, for the same most recently ending 12-month period. (3) Tangible net worth, as defined in the credit agreement, is (i) total gross book value of all assets, exclusive of depreciation and amortization, less intangible assets, total indebtedness, and all other liabilities, plus (ii) 75% of net proceeds from future equity issuances. |
Summary of Leverage and Applicable Margin | The interest rate on the facility is based upon LIBOR, plus an applicable margin based upon the Company's leverage ratio, as follows: Leverage Ratio Applicable Margin Less than or equal to 35% 1.50% Greater than 35% but less than or equal to 45% 1.65% Greater than 45% but less than or equal to 50% 1.80% Greater than 50% but less than or equal to 55% 2.00% Greater than 55% 2.25% The interest rate on the term loans is based on a pricing grid ranging from 140 to 220 basis points over LIBOR, based on the Company’s leverage ratio, as follows: Applicable Margins Leverage Ratio $100 Million and $200 Million Term Loans $50 Million Term Loan Less than or equal to 25% 1.45% 1.40% Greater than 25% but less than or equal to 35% 1.45% 1.45% Greater than 35% but less than or equal to 45% 1.60% 1.55% Greater than 45% but less than or equal to 50% 1.75% 1.75% Greater than 50% but less than or equal to 55% 1.95% 1.95% Greater than 55% 2.20% 2.20% |
Dispositions (Tables)
Dispositions (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Discontinued Operations and Disposal Groups [Abstract] | |
Pre-tax Income/(Loss) From Hotel Properties Sold | Our consolidated statements of operations include the following pre-tax income (loss), inclusive of the gains and losses on sale, from the hotel properties sold during 2016 (in thousands): 2018 2017 2016 Orlando Airport Marriott $ — $ — $ 8,225 Hilton Minneapolis — (764 ) 4,872 Hilton Garden Inn Chelsea/New York City — — 3,107 Total pre-tax (loss) income $ — $ (764 ) $ 16,204 |
Acquisitions (Tables)
Acquisitions (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Business Combinations [Abstract] | |
Pro Forma Operating Information | The following pro forma financial information for the years ended December 31, 2017 , and 2016 , present our results of operations (in thousands, except per share data) as if the hotels acquired in 2017 and accounted for a business combinations were acquired on January 1, 2016 . The hotels acquired in 2018 are accounted for as asset acquisitions and are not included in the information presented below. The pro forma information is not necessarily indicative of the results that actually would have occurred nor does it indicate future operating results. Year Ended December 31, 2017 2016 (unaudited) (unaudited) Revenues $ 873,427 $ 924,806 Net income $ 91,602 $ 118,232 Earnings per share: Net income per share available to common stockholders—basic $ 0.46 $ 0.59 Net income per share available to common stockholders—diluted $ 0.45 $ 0.59 |
Schedule of Acquired Assets and Liabilities | The following table summarizes the assets acquired and liabilities assumed in our 2017 and 2018 acquisitions (in thousands): Cavallo Point Landing Resort & Spa Hotel Palomar Phoenix L'Auberge de Sedona Orchards Inn Sedona Land $ — $ 14,816 $ — $ 39,384 $ 9,726 Building and improvements 123,100 24,351 59,703 22,204 10,180 Furniture, fixtures and equipment 10,470 3,346 5,207 4,376 1,982 Construction in progress 1,734 — — — — Total fixed assets 135,304 42,513 64,910 65,964 21,888 Favorable lease asset 17,907 — 20,012 — 9,065 Unfavorable lease liability — — (4,644 ) — — New Market Tax Credit loan assumption — — (2,943 ) — — Other assets and liabilities, net (5,083 ) (658 ) 497 (2,710 ) (412 ) Total $ 148,128 $ 41,855 $ 77,832 $ 63,254 $ 30,541 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Income Tax Disclosure [Abstract] | |
Schedule of Components of Income Tax Expense (Benefit) | Our provision for income taxes consists of the following (in thousands): Year Ended December 31, 2018 2017 2016 Current - Federal $ 66 $ 622 $ — State 984 1,221 1,297 Foreign 460 662 697 1,510 2,505 1,994 Deferred - Federal 1,857 6,432 9,779 State 178 425 1,324 Foreign (444 ) 845 (698 ) 1,591 7,702 10,405 Income tax provision $ 3,101 $ 10,207 $ 12,399 |
Schedule of Effective Income Tax Rate Reconciliation | A reconciliation of the statutory federal tax provision to our income tax provision is as follows (in thousands): Year Ended December 31, 2018 2017 2016 Statutory federal tax provision (1) $ 19,089 $ 35,729 $ 44,518 Tax impact of REIT election (14,439 ) (22,277 ) (31,101 ) State income tax provision, net of federal tax benefit 705 1,652 1,703 Foreign income tax benefit (2,927 ) (430 ) (3,080 ) Tax reform impact on U.S. taxes — (2,143 ) — Tax reform impact on foreign taxes — (2,076 ) — Other 673 (248 ) 359 Income tax provision $ 3,101 $ 10,207 $ 12,399 _____________________________ (1) Beginning January 1, 2018, the U.S. federal income tax rate decreased from 35% to 21% . |
Schedule of Deferred Tax Assets and Liabilities | The total deferred tax assets and liabilities are as follows (in thousands): 2018 2017 Federal Net operating loss carryforwards $ 1,983 $ 3,099 Deferred income related to key money 2,465 2,549 Alternative minimum tax credit carryforwards 103 169 Other 326 355 Depreciation and amortization (9,188 ) (8,889 ) Federal - Deferred tax (liabilities) assets, net $ (4,311 ) $ (2,717 ) State Net operating loss carryforwards $ 2,975 $ 3,126 Deferred income related to key money 780 801 Alternative minimum tax credit carryforwards 80 81 Other 103 111 Depreciation and amortization (2,906 ) (2,803 ) Less: Valuation allowance (700 ) (400 ) State - Deferred tax assets, net $ 332 $ 916 Foreign (USVI) Deferred income related to key money $ — $ 95 Depreciation and amortization (255 ) (796 ) Other — 1 Land basis recorded in purchase accounting (2,617 ) (2,617 ) Foreign - Deferred tax liabilities, net $ (2,872 ) $ (3,317 ) |
Relationships with Managers a_2
Relationships with Managers and Franchisors (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Relationships With Managers [Abstract] | |
Summary of Management Fees from Continuing Operations | The following is a summary of management fees for the years ended December 31, 2018 , 2017 and 2016 (in thousands): Year Ended December 31, 2018 2017 2016 Base management fees $ 20,467 $ 22,265 $ 24,480 Incentive management fees 5,805 6,259 7,810 Amortization of deferred income related to key money (2,398 ) (4,840 ) (432 ) Amortization of unfavorable contract liabilities (1,715 ) (1,715 ) (1,715 ) Total management fees, net $ 22,159 $ 21,969 $ 30,143 |
Schedule of franchise fees | The following is a summary of franchise fees for the years ended December 31, 2018 , 2017 and 2016 (in thousands): Year Ended December 31, 2018 2017 2016 Franchise fees $ 26,348 $ 24,890 $ 24,237 Amortization of deferred income related to key money (170 ) (920 ) (2,420 ) Total franchise fees, net $ 26,178 $ 23,970 $ 21,817 |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Commitments and Contingencies Disclosure [Abstract] | |
Schedule of Current and Future Minimum Rental Payments for Ground Leases | The following table reflects the current and future annual rents under our ground leases: Property Term (1) Annual Rent Bethesda Marriott Suites Through 4/2087 $781,366 (2) Courtyard Manhattan/Fifth Avenue (3) 10/2007 - 9/2017 $906,000 10/2017 - 9/2027 $1,132,812 10/2027 - 9/2037 $1,416,015 10/2037 - 9/2047 $1,770,019 10/2047 - 9/2057 $2,212,524 10/2057 - 9/2067 $2,765,655 10/2067 - 9/2077 $3,457,069 10/2077 - 9/2085 $4,321,336 Salt Lake City Marriott Downtown (Ground lease for hotel) (4) Through 12/2056 Greater of $132,000 or 2.6% of annual gross room sales Salt Lake City Marriott Downtown (Ground lease for extension) 1/2013 - 12/2016 $11,305 1/2017 - 12/2017 $13,000 1/2018 - 12/2056 (5) $13,500 Westin Boston Waterfront Hotel (6) (Base rent) 1/2016 - 12/2020 $750,000 1/2021 - 12/2025 $1,000,000 1/2026 - 12/2030 $1,500,000 1/2031 - 12/2035 $1,750,000 1/2036 - 5/2099 No base rent Westin Boston Waterfront Hotel (Percentage rent) Through 5/2015 0% of annual gross revenue 6/2016 - 5/2026 1.0% of annual gross revenue 6/2026 - 5/2036 1.5% of annual gross revenue 6/2036 - 5/2046 2.75% of annual gross revenue 6/2046 - 5/2056 3.0% of annual gross revenue 6/2056 - 5/2066 3.25% of annual gross revenue 6/2066 - 5/2099 3.5% of annual gross revenue JW Marriott Denver at Cherry Creek 1/2015 - 12/2020 $50,000 1/2021 - 12/2025 $55,000 1/2026 - 12/2030 (7) $60,000 Shorebreak Hotel Through 4/2016 $115,542 5/2016 - 4/2021 (8) $126,649 Orchards Inn Sedona Through 6/2018 $117,780 7/2018 - 12/2070 $121,078 (9) Hotel Palomar Phoenix (Base Rent) Through 3/2020 $16,875 4/2020 - 3/2021 $33,750 4/2021 - 3/2085 $34,594 (10) Hotel Palomar Phoenix (Government Property Lease Excise Tax) (11) 1/2022 - 12/2023 $390,000 1/2024 - 12/2033 $312,000 1/2034 - 12/2043 $234,000 1/2044 - 12/2053 $156,000 1/2054 - 12/2063 $78,000 1/2064 - 3/2085 $— Cavallo Point (Base Rent) Through 12/2018 $1 1/2019 - 12/2066 $67,034 (12) Cavallo Point (13) (Percentage Rent) Through 12/2018 1.0% of adjusted gross revenue over threshold 1/2019 - 12/2023 2.0% of adjusted gross revenue over threshold 1/2024 - 12/2028 3.0% of adjusted gross revenue over threshold 1/2029 - 12/2033 4.0% of adjusted gross revenue over threshold 1/2034 - 12/2066 5.0% of adjusted gross revenue over threshold Cavallo Point (14) (Participation Rent) Through 12/2066 10.0% of adjusted gross revenue over threshold Property Term (1) Annual Rent Renaissance Worthington garage ground lease 8/2013 - 7/2022 $40,400 8/2022 - 7/2037 $46,081 8/2037 - 7/2052 $51,763 8/2052 - 7/2067 $57,444 __________ (1) These terms assume our exercise of all renewal options. (2) Represents rent for the year ended December 31, 2018. Rent increases annually by 5.5%. (3) The total annual rent includes the fixed rent noted in the table plus a percentage rent equal to 5% of gross receipts for each lease year, but only to the extent that 5% of gross receipts exceeds the minimum fixed rent in such lease year. There was no such percentage rent earned during the year ended December 31, 2018. (4) We own a 21% interest in the land underlying the hotel and, as a result, 21% of the annual rent under the ground lease is paid to us by the hotel. (5) Rent will increase from the prior year's rent based on a Consumer Price Index calculation on each January 1, beginning January 1, 2019 and through the end of the lease. (6) Total annual rent under the ground lease is capped at 2.5% of hotel gross revenues during the initial 30 years of the ground lease. (7) Beginning January 2031, we have the right to renew the ground lease in one-year increments at the prior year's annual rent plus 3%. (8) Rent will increase on May 1, 2021 and every five years thereafter based on a Consumer Price Index calculation. (9) Represents rent from July 2018 through June 2019. On July 1, 2018, rent increased based on a Consumer Price Index calculation, and will continue to do so annually through the end of the lease. (10) Represents rent from April 2021 through March 2022. Rent increases annually each April by 2.5%. (11) As lessee of government property, the hotel is subject to a Government Property Lease Excise Tax ("GPLET") under Arizona state statute with payments beginning in 2022. (12) Base rent increases in January 2019 and resets every five years based on the average of the previous three years of adjusted gross revenues, as defined in the ground lease, multiplied by 75%. (13) Percentage rent is applied to annual adjusted gross revenues, as defined in the ground lease, between $30 million and the participation rent threshold. Base rent is deducted from the percentage rent. (14) Participation rent is applied to annual adjusted gross revenues, as defined in the ground lease, over $40 million in 2018, $42 million in 2019, and $42 million plus an annual increase based on a Consumer Price Index calculation for 2020 and every year thereafter through the end of the lease term. |
Schedule of Future Minimum Rental Commitments under Non-cancelable Operating Leases | Future minimum annual rental commitments under all non-cancelable operating leases as of December 31, 2018 are as follows (in thousands): 2019 $ 5,232 2020 4,866 2021 6,132 2022 5,122 2023 5,096 Thereafter 636,770 $ 663,218 |
Fair Value of Financial Instr_2
Fair Value of Financial Instruments (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Fair Value Disclosures [Abstract] | |
Fair Value of Certain Financial Assets and Liabilities and Other Financial Instruments | The fair value of certain financial assets and liabilities and other financial instruments as of December 31, 2018 and 2017 , in thousands, are as follows: December 31, 2018 December 31, 2017 Carrying Amount (1) Fair Value Carrying Amount (1) Fair Value Debt $ 977,966 $ 960,447 $ 937,792 $ 942,529 _______________ (1) The carrying amount of debt is net of unamortized debt issuance costs. |
Quarterly Operating Results (_2
Quarterly Operating Results (Unaudited) (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Quarterly Financial Data [Abstract] | |
Schedule of Quarterly Financial Information | 2018 Quarter Ended March 31 June 30 September 30 December 31 (In thousands, except per share data) Total revenue $ 181,530 $ 237,949 $ 220,818 $ 223,407 Total operating expenses 168,011 200,012 176,589 189,031 Operating income $ 13,519 $ 37,937 $ 44,229 $ 34,376 Net income $ 4,338 $ 28,009 $ 31,443 $ 24,006 Net income attributable to common stockholders $ 4,338 $ 28,009 $ 31,443 $ 23,994 Net income per share available to common stockholders—basic $ 0.02 $ 0.14 $ 0.15 $ 0.12 Net income per share available to common stockholders—diluted $ 0.02 $ 0.14 $ 0.15 $ 0.12 2017 Quarter Ended March 31 June 30 September 30 December 31 (In thousands, except per share data) Total revenue $ 196,210 $ 243,272 $ 223,486 $ 207,037 Total operating expenses 176,914 192,621 189,168 171,519 Operating income $ 19,296 $ 50,651 $ 34,318 $ 35,518 Net income $ 8,887 $ 36,595 $ 21,623 $ 24,772 Net income attributable to common stockholders $ 8,887 $ 36,595 $ 21,623 $ 24,772 Net income per share available to common stockholders—basic $ 0.04 $ 0.18 $ 0.11 $ 0.12 Net income per share available to common stockholders—diluted $ 0.04 $ 0.18 $ 0.11 $ 0.12 |
Organization - Narrative (Detai
Organization - Narrative (Details) | 12 Months Ended |
Dec. 31, 2018hotelroom | |
Real Estate Properties [Line Items] | |
Number of hotels (in hotels) | 31 |
Number of rooms in hotels, resorts and senior loan secured facility (in rooms) | room | 10,091 |
Atlanta, Georgia | |
Real Estate Properties [Line Items] | |
Number of hotels (in hotels) | 1 |
Boston, Massachusetts | |
Real Estate Properties [Line Items] | |
Number of hotels (in hotels) | 2 |
Burlington, Vermont | |
Real Estate Properties [Line Items] | |
Number of hotels (in hotels) | 1 |
Charleston, South Carolina | |
Real Estate Properties [Line Items] | |
Number of hotels (in hotels) | 1 |
Chicago, Illinois | |
Real Estate Properties [Line Items] | |
Number of hotels (in hotels) | 2 |
Denver, Colorado | |
Real Estate Properties [Line Items] | |
Number of hotels (in hotels) | 2 |
Fort Lauderdale, Florida | |
Real Estate Properties [Line Items] | |
Number of hotels (in hotels) | 1 |
Fort Worth, Texas | |
Real Estate Properties [Line Items] | |
Number of hotels (in hotels) | 1 |
Huntington Beach, California | |
Real Estate Properties [Line Items] | |
Number of hotels (in hotels) | 1 |
Key West, Florida | |
Real Estate Properties [Line Items] | |
Number of hotels (in hotels) | 2 |
New York, New York | |
Real Estate Properties [Line Items] | |
Number of hotels (in hotels) | 4 |
Phoenix, Arizona | |
Real Estate Properties [Line Items] | |
Number of hotels (in hotels) | 1 |
Salt Lake City, Utah | |
Real Estate Properties [Line Items] | |
Number of hotels (in hotels) | 1 |
San Diego, California | |
Real Estate Properties [Line Items] | |
Number of hotels (in hotels) | 1 |
San Francisco, California | |
Real Estate Properties [Line Items] | |
Number of hotels (in hotels) | 2 |
Sedona, Arizona | |
Real Estate Properties [Line Items] | |
Number of hotels (in hotels) | 2 |
Sonoma, California | |
Real Estate Properties [Line Items] | |
Number of hotels (in hotels) | 1 |
South Lake Tahoe, California | |
Real Estate Properties [Line Items] | |
Number of hotels (in hotels) | 1 |
Washington D.C. | |
Real Estate Properties [Line Items] | |
Number of hotels (in hotels) | 2 |
St. Thomas, U.S. Virgin Islands | |
Real Estate Properties [Line Items] | |
Number of hotels (in hotels) | 1 |
Vail, Colorado | |
Real Estate Properties [Line Items] | |
Number of hotels (in hotels) | 1 |
DiamondRock Hospitality Limited Partnership | |
Real Estate Properties [Line Items] | |
Ownership interest | 99.60% |
Limited partner, ownership interest | 0.40% |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies - Narrative (Details) | 3 Months Ended | 12 Months Ended | |||
Sep. 30, 2018USD ($) | Dec. 31, 2018USD ($)Hotel | Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) | Jan. 01, 2019USD ($) | |
Property, Plant and Equipment [Line Items] | |||||
Proceeds from insurance settlement, property and business interruption | $ 85,000,000 | $ 10,000,000 | |||
Gain on business interruption insurance | 19,379,000 | 4,051,000 | $ 0 | ||
Estimated recovery of impairment losses from insurance | 0 | 40,784,000 | 0 | ||
Insured event, gain | $ 1,724,000 | 0 | $ 0 | ||
Number of properties acquired | Hotel | 3 | ||||
Income Tax Uncertainties [Abstract] | |||||
Unrecognized tax benefits | $ 0 | 0 | |||
Assets | 3,197,580,000 | 3,100,858,000 | |||
Liabilities | $ 1,306,987,000 | 1,267,213,000 | |||
Minimum | Buildings, Land Improvements, and Building Improvements | |||||
Property, Plant and Equipment [Line Items] | |||||
Property, plant and equipment, useful life (in years) | 5 years | ||||
Minimum | Furniture, Fixtures and Equipment | |||||
Property, Plant and Equipment [Line Items] | |||||
Property, plant and equipment, useful life (in years) | 1 year | ||||
Maximum | Buildings, Land Improvements, and Building Improvements | |||||
Property, Plant and Equipment [Line Items] | |||||
Property, plant and equipment, useful life (in years) | 40 years | ||||
Maximum | Furniture, Fixtures and Equipment | |||||
Property, Plant and Equipment [Line Items] | |||||
Property, plant and equipment, useful life (in years) | 10 years | ||||
Havana Cabana Key West | |||||
Property, Plant and Equipment [Line Items] | |||||
Proceeds from insurance settlement, property and business interruption | $ 8,300,000 | ||||
Gain on business interruption insurance | $ 2,137,000 | 923,000 | |||
Insured event, gain | 1,700,000 | ||||
The Lodge at Sonoma | |||||
Property, Plant and Equipment [Line Items] | |||||
Proceeds from insurance settlement, business interruption | $ 1,300,000 | ||||
Gain on business interruption insurance | $ 1,152,000 | $ 0 | |||
Subsequent Event | Scenario, Forecast | Accounting Standards Update 2016-02 | Minimum | |||||
Income Tax Uncertainties [Abstract] | |||||
Assets | $ 95,000,000 | ||||
Liabilities | 95,000,000 | ||||
Subsequent Event | Scenario, Forecast | Accounting Standards Update 2016-02 | Maximum | |||||
Income Tax Uncertainties [Abstract] | |||||
Assets | 125,000,000 | ||||
Liabilities | $ 125,000,000 |
Summary of Significant Accoun_5
Summary of Significant Accounting Policies - Schedule of Gain on Business Interruption (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Business Interruption Loss [Line Items] | |||
Gain on business interruption insurance | $ 19,379 | $ 4,051 | $ 0 |
Frenchman's Reef | |||
Business Interruption Loss [Line Items] | |||
Gain on business interruption insurance | 16,090 | 3,128 | |
Havana Cabana Key West | |||
Business Interruption Loss [Line Items] | |||
Gain on business interruption insurance | 2,137 | 923 | |
The Lodge at Sonoma | |||
Business Interruption Loss [Line Items] | |||
Gain on business interruption insurance | $ 1,152 | $ 0 |
Property and Equipment - Schedu
Property and Equipment - Schedule of Property and Equipment (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Property and Equipment | ||
Property and equipment, at cost | $ 3,838,053 | $ 3,480,982 |
Less: accumulated depreciation | (893,436) | (788,696) |
Property and equipment, net | 2,944,617 | 2,692,286 |
Land | ||
Property and Equipment | ||
Property and equipment, at cost | 617,695 | 602,879 |
Land improvements | ||
Property and Equipment | ||
Property and equipment, at cost | 7,994 | 7,994 |
Buildings | ||
Property and Equipment | ||
Property and equipment, at cost | 2,682,320 | 2,414,216 |
Furniture, fixtures and equipment | ||
Property and Equipment | ||
Property and equipment, at cost | 491,421 | 423,987 |
Construction in progress | ||
Property and Equipment | ||
Property and equipment, at cost | $ 38,623 | $ 31,906 |
Property and Equipment - Narrat
Property and Equipment - Narrative (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
Property, Plant and Equipment [Line Items] | ||
Accrued capital expenditures | $ 12.4 | $ 11.7 |
Construction in progress | ||
Property, Plant and Equipment [Line Items] | ||
Impairment loss | 1.8 | |
Hotel | ||
Property, Plant and Equipment [Line Items] | ||
Book value written on impaired asset | $ 41.7 | |
Insurance settlements receivable | $ 40.8 |
Favorable Lease Assets - Narrat
Favorable Lease Assets - Narrative (Details) - USD ($) $ in Thousands | 12 Months Ended | |||||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 12, 2018 | Mar. 01, 2018 | Feb. 28, 2017 | |
Indefinite-lived Intangible Assets by Major Class [Line Items] | ||||||
Amortization of intangible assets | $ 700 | $ 400 | $ 300 | |||
Amortization in 2019 | 1,100 | |||||
Amortization in 2020 | 1,100 | |||||
Amortization in 2021 | 1,100 | |||||
Amortization in 2022 | 1,100 | |||||
Amortization in 2023 | 1,100 | |||||
Orchards Inn Sedona Annex Sublease | ||||||
Indefinite-lived Intangible Assets by Major Class [Line Items] | ||||||
Favorable lease asset | $ 9,065 | |||||
Hotel Palomar Phoenix | ||||||
Indefinite-lived Intangible Assets by Major Class [Line Items] | ||||||
Favorable lease asset | $ 20,000 | |||||
Favorable lease asset | $ 20,012 | |||||
Cavallo Point Ground Lease | ||||||
Indefinite-lived Intangible Assets by Major Class [Line Items] | ||||||
Favorable lease asset | $ 17,907 | |||||
Off-Market Favorable Lease | ||||||
Indefinite-lived Intangible Assets by Major Class [Line Items] | ||||||
Accumulated amortization | 3,400 | $ 2,700 | ||||
Off-Market Favorable Lease | Orchards Inn Sedona Annex Sublease | ||||||
Indefinite-lived Intangible Assets by Major Class [Line Items] | ||||||
Carrying amount of the lease right | $ 9,100 | $ 9,100 |
Favorable Lease Assets - Schedu
Favorable Lease Assets - Schedule of Favorable Lease Assets (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Finite-Lived Intangible Assets [Line Items] | ||
Favorable lease assets, net | $ 63,945 | $ 26,690 |
Cavallo Point Ground Lease | Above Market Leases Ground | ||
Finite-Lived Intangible Assets [Line Items] | ||
Carrying amount of the lease | 17,908 | 0 |
Hotel Palomar Phoenix Ground Lease | Above Market Leases Ground | ||
Finite-Lived Intangible Assets [Line Items] | ||
Carrying amount of the lease | 19,763 | 0 |
Boston Westin Waterfront | Above Market Leases Ground | ||
Finite-Lived Intangible Assets [Line Items] | ||
Carrying amount of the lease | 17,426 | 17,643 |
Orchards Inn Sedona Annex Sublease | Above Market Leases Ground | ||
Finite-Lived Intangible Assets [Line Items] | ||
Carrying amount of the lease | 8,757 | 8,925 |
Lexington Hotel Tenant Leases | Above Market Leases Ground | ||
Finite-Lived Intangible Assets [Line Items] | ||
Carrying amount of the lease | $ 91 | $ 122 |
Equity - Narrative (Details)
Equity - Narrative (Details) | 2 Months Ended | 12 Months Ended | ||||
Feb. 26, 2019USD ($)$ / sharesshares | Dec. 31, 2018USD ($)vote$ / sharesshares | Dec. 31, 2017USD ($)$ / sharesshares | Dec. 31, 2016USD ($) | Nov. 02, 2018USD ($) | Nov. 01, 2018USD ($) | |
Dividends Payable [Line Items] | ||||||
Common stock, shares authorized (in shares) | shares | 400,000,000 | 400,000,000 | ||||
Common stock, par value (in dollars per share) | $ / shares | $ 0.01 | $ 0.01 | ||||
Common stock votes | vote | 1 | |||||
Repurchase of common stock | $ 33,113,000 | $ 537,000 | $ 7,197,000 | |||
Common stock repurchased and retired | $ 32,182,000 | |||||
Preferred stock, shares authorized (in shares) | shares | 10,000,000 | 10,000,000 | ||||
Preferred stock, par value (in dollars per share) | $ / shares | $ 0.01 | $ 0.01 | ||||
Preferred stock, shares outstanding (in shares) | shares | 0 | 0 | ||||
Operating partnership units option to redeem for common stock | 1 | |||||
Distribution per unit (in dollars per share) | $ / shares | $ 11.76 | |||||
Unaffiliated Third Parties | ||||||
Dividends Payable [Line Items] | ||||||
Units of partnership interest, amount (in shares) | shares | 796,684 | 0 | ||||
Common Stock | ||||||
Dividends Payable [Line Items] | ||||||
Aggregate offering price | $ 200,000,000 | $ 200,000,000 | ||||
Number of shares of stock sold (in shares) | shares | 7,472,946 | |||||
Price per share of stock sold (in dollars per share) | $ / shares | $ 12.56 | |||||
Proceeds from sale of stock | $ 92,900,000 | |||||
Amount authorized to be repurchased | $ 250,000,000 | $ 150,000,000 | ||||
Shares repurchased during period (in shares) | shares | 3,384,359 | |||||
Average cost per share (in dollars per share) | $ / shares | $ 9.49 | |||||
Repurchase of common stock | $ 32,200,000 | |||||
Common stock repurchased and retired | $ 34,000 | |||||
Subsequent Event | ||||||
Dividends Payable [Line Items] | ||||||
Value amount of shares authorized to be repurchased (up to) | $ 188,000,000 | |||||
Subsequent Event | Common Stock | ||||||
Dividends Payable [Line Items] | ||||||
Shares repurchased during period (in shares) | shares | 3,143,922 | |||||
Average cost per share (in dollars per share) | $ / shares | $ 9.52 | |||||
Common stock repurchased and retired | $ 30,000,000 |
Equity - Schedule of Dividends
Equity - Schedule of Dividends Payable (Details) - $ / shares | Jan. 14, 2019 | Oct. 12, 2018 | Jul. 12, 2018 | Apr. 12, 2018 | Jan. 12, 2018 | Oct. 12, 2017 | Jul. 12, 2017 | Apr. 12, 2017 |
Dividends Payable [Line Items] | ||||||||
Payment Date | Oct. 12, 2018 | Jul. 12, 2018 | Apr. 12, 2018 | Jan. 12, 2018 | Oct. 12, 2017 | Jul. 12, 2017 | Apr. 12, 2017 | |
Record Date | Sep. 28, 2018 | Jun. 29, 2018 | Mar. 29, 2018 | Dec. 29, 2017 | Sep. 29, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | |
Dividends per share (in dollars per share) | $ 0.1250 | $ 0.1250 | $ 0.1250 | $ 0.125 | $ 0.1250 | $ 0.1250 | $ 0.125 | |
Subsequent Event | ||||||||
Dividends Payable [Line Items] | ||||||||
Payment Date | Jan. 14, 2019 | |||||||
Record Date | Jan. 4, 2019 | |||||||
Dividends per share (in dollars per share) | $ 0.1250 |
Stock Incentive Plans - Narrati
Stock Incentive Plans - Narrative (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Issued In 2016 | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Performance period | 3 years | ||
Restricted Stock | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Share based payment, vesting period (years) | 3 years | ||
Expected to vest one year from balance sheet date (in shares) | 310,117 | ||
Expected to vest two years from balance sheet date (in shares) | 215,368 | ||
Expected to vest three years from balance sheet date (in shares) | 116,359 | ||
Unrecognized compensation cost | $ 4 | ||
Unrecognized compensation expense related to compensation awards, period for recognition (in months) | 21 months | ||
Compensation expense (in dollars) | $ 3.1 | $ 3.1 | $ 2.8 |
Performance Stock Units | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Share based payment, vesting period (years) | 3 years | 3 years | |
Expected to vest one year from balance sheet date (in shares) | 247,949 | ||
Expected to vest two years from balance sheet date (in shares) | 231,221 | ||
Expected to vest three years from balance sheet date (in shares) | 302,753 | ||
Unrecognized compensation cost | $ 3.1 | ||
Unrecognized compensation expense related to compensation awards, period for recognition (in months) | 22 months | ||
Compensation expense (in dollars) | $ 1.9 | $ 2.5 | 2 |
Performance period | 3 years | ||
Percentage of total stockholder return for payout of shares (as a percent) | 30.00% | 30.00% | |
Maximum possible payout to executive officer as a percentage of the target award (as a percent) | 150.00% | ||
Percentage based on improvement in market share of hotels (as a percent) | 25.00% | ||
Compensation expense, forfeitures | $ 0.4 | ||
Performance Stock Units | Chief Financial Officer | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Compensation expense (in dollars) | $ (1) | ||
Performance Stock Units | Executive Officer | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Percentage of total stockholder return for payout of shares (as a percent) | 75.00% | ||
Performance Stock Units | Issued In 2017 | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Share based payment, vesting period (years) | 3 years | ||
Percentage of payout based on improving market share | 50.00% | ||
Performance Stock Units | Issued In 2017 | Executive Officer | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Percentage of total stockholder return for payout of shares (as a percent) | 50.00% | ||
2016 Equity Incentive Plan | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Stock option and Incentive plan, shares authorized (in shares) | 6,082,664 | ||
Number of shares issued or committed to issue (in shares) | 846,517 |
Stock Incentive Plans - Restric
Stock Incentive Plans - Restricted Stock Awards (Details) - Restricted Stock - $ / shares | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Number of Units | |||
Number of shares, Beginning Balance (in shares) | 630,962 | 567,540 | 474,567 |
Number of shares, Granted (in shares) | 349,091 | 324,502 | 461,281 |
Number of shares, Forfeited (in shares) | (51,061) | (16,669) | (126,610) |
Number of shares, Vested (in shares) | (287,148) | (244,411) | (241,698) |
Number of shares, Ending Balance (in shares) | 641,844 | 630,962 | 567,540 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Exercise Price [Abstract] | |||
Weighted-average grant date fair value, Beginning balance (in dollars per share) | $ 10.66 | $ 10.62 | $ 12.72 |
Weighted-average grant date fair value, Granted (in dollars per share) | 10.19 | 11.19 | 8.94 |
Weighted-average grant date fair value, Forfeited (in dollars per share) | 10.44 | 10.80 | 10.08 |
Weighted-average grant date fair value, Vested (in dollars per share) | 11.02 | 11.29 | 11.83 |
Weighted-average grant date fair value, Ending balance (in dollars per share) | $ 10.25 | $ 10.66 | $ 10.62 |
Stock Incentive Plans - Fair Va
Stock Incentive Plans - Fair Value Valuation Assumptions (Details) - Performance Stock Units - $ / shares | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Fair Value at Grant Date (in dollars per share) | $ 9.82 | $ 11.04 | $ 8.54 |
February 26, 2016 Award | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Volatility | 24.30% | ||
Risk-Free Rate | 0.93% | ||
Fair Value at Grant Date (in dollars per share) | $ 8.42 | ||
February 26, 2017 Award | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Volatility | 26.70% | ||
Risk-Free Rate | 1.46% | ||
Fair Value at Grant Date (in dollars per share) | $ 10.89 | ||
March 2, 2018 Award | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Volatility | 26.90% | ||
Risk-Free Rate | 2.40% | ||
Fair Value at Grant Date (in dollars per share) | $ 9.52 | ||
April 2, 2018 Award | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Volatility | 26.90% | ||
Risk-Free Rate | 2.37% | ||
Fair Value at Grant Date (in dollars per share) | $ 9 |
Stock Incentive Plans - Perform
Stock Incentive Plans - Performance Stock Units (Details) - Performance Stock Units - $ / shares | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Number of Units | |||
Number of shares, Beginning Balance (in shares) | 785,797 | 686,684 | 676,359 |
Number of shares, Granted (in shares) | 293,111 | 266,009 | 310,398 |
Number of shares, Additional units from dividends | 35,197 | 33,478 | 38,324 |
Number of shares, Vested (in shares) | (218,514) | (200,374) | (242,096) |
Number of shares, Forfeited (in shares) | (113,668) | (96,301) | |
Number of shares, Ending Balance (in shares) | 781,923 | 785,797 | 686,684 |
Weighted- Average Grant Date Fair Value | |||
Weighted-average grant date fair value, Beginning balance (in dollars per share) | $ 10.42 | $ 10.65 | $ 11.41 |
Weighted-average grant date fair value, Granted (in dollars per share) | 9.82 | 11.04 | 8.54 |
Weighted-average grant date fair value, Additional shares from dividends (in dollars per share) | 11.24 | 11.17 | 9.37 |
Weighted-average grant date fair value, Vested (in dollars per share) | 11.98 | 12.15 | 9.85 |
Weighted-average grant date fair value, Forfeited (in dollars per share) | 9.86 | 10.74 | |
Weighted-average grant date fair value, Ending balance (in dollars per share) | $ 11.19 | $ 10.42 | $ 10.65 |
Stock of common stock earned for the PSUs vested in 2016 (as a percent) | 51.75% | 89.50% | |
Percentage of total stockholder return for payout of shares (as a percent) | 30.00% | 30.00% | |
Share based payment, vesting period (years) | 3 years | 3 years |
Earnings Per Share - Calculatio
Earnings Per Share - Calculation of EPS (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Numerator: | |||||||||||
Net income | $ 24,006 | $ 31,443 | $ 28,009 | $ 4,338 | $ 24,772 | $ 21,623 | $ 36,595 | $ 8,887 | $ 87,784 | $ 91,877 | $ 114,796 |
Denominator: | |||||||||||
Weighted-average number of common shares outstanding—basic (in shares) | 205,462,911 | 200,784,450 | 201,079,573 | ||||||||
Effect of dilutive securities: | |||||||||||
Unvested restricted common stock (in shares) | 215,655 | 188,759 | 47,468 | ||||||||
Shares related to unvested PSUs (in shares) | 452,584 | 548,259 | 549,217 | ||||||||
Weighted-average number of common shares outstanding—diluted (in shares) | 206,131,150 | 201,521,468 | 201,676,258 | ||||||||
Net income per share available to common stockholders - basic (in dollars per share) | $ 0.12 | $ 0.15 | $ 0.14 | $ 0.02 | $ 0.12 | $ 0.11 | $ 0.18 | $ 0.04 | $ 0.43 | $ 0.46 | $ 0.57 |
Net income per share available to common stockholders - diluted (in dollars per share) | $ 0.12 | $ 0.15 | $ 0.14 | $ 0.02 | $ 0.12 | $ 0.11 | $ 0.18 | $ 0.04 | $ 0.43 | $ 0.46 | $ 0.57 |
Debt - Schedule of Long Term De
Debt - Schedule of Long Term Debt (Details) - USD ($) | 12 Months Ended | ||||
Dec. 31, 2018 | Feb. 28, 2019 | Jan. 31, 2019 | Oct. 18, 2018 | Dec. 31, 2017 | |
Debt Instrument [Line Items] | |||||
Principal Balance | $ 983,764,000 | ||||
Total mortgage and other debt, net of unamortized debt issuance costs | 629,747,000 | $ 639,639,000 | |||
Senior unsecured credit facility | 0 | ||||
Total debt | $ 977,966,000 | 937,792,000 | |||
Weighted-Average Interest Rate | 4.01% | ||||
Unsecured Term Loan Due May 2021 | |||||
Debt Instrument [Line Items] | |||||
Interest rate at period end | 3.80% | ||||
Unsecured Term Loan Due October 2023 | |||||
Debt Instrument [Line Items] | |||||
Interest rate at period end | 3.78% | ||||
Mortgages | |||||
Debt Instrument [Line Items] | |||||
Unamortized debt issuance costs | $ (4,017,000) | (4,795,000) | |||
Total mortgage and other debt, net of unamortized debt issuance costs | 629,747,000 | 639,639,000 | |||
Unsecured term loan | |||||
Debt Instrument [Line Items] | |||||
Unamortized debt issuance costs | (1,781,000) | (1,847,000) | |||
Total debt | $ 348,219,000 | 298,153,000 | |||
Unsecured term loan | Unsecured Term Loan Due May 2021 | |||||
Debt Instrument [Line Items] | |||||
Interest rate description | LIBOR + 1.45% (2) | ||||
Principal Balance | $ 100,000,000 | 100,000,000 | |||
Unsecured term loan | Unsecured Term Loan Due May 2021 | LIBOR | |||||
Debt Instrument [Line Items] | |||||
Basis spread on variable rate | 1.45% | ||||
Unsecured term loan | Unsecured Term Loan Due April 2022 | |||||
Debt Instrument [Line Items] | |||||
Interest rate description | LIBOR + 1.45% (2) | ||||
Principal Balance | $ 200,000,000 | ||||
Unsecured term loan | Unsecured Term Loan Due April 2022 | LIBOR | |||||
Debt Instrument [Line Items] | |||||
Basis spread on variable rate | 1.45% | ||||
Unsecured term loan | Unsecured Term Loan Due October 2023 | |||||
Debt Instrument [Line Items] | |||||
Interest rate description | LIBOR + 1.45% (3) | ||||
Principal Balance | $ 50,000,000 | 0 | |||
Unsecured term loan | Unsecured Term Loan Due October 2023 | LIBOR | |||||
Debt Instrument [Line Items] | |||||
Basis spread on variable rate | 1.45% | ||||
Senior unsecured credit facility | |||||
Debt Instrument [Line Items] | |||||
Interest rate description | LIBOR + 1.50% | ||||
Senior unsecured credit facility | $ 0 | 0 | |||
Senior unsecured credit facility | LIBOR | |||||
Debt Instrument [Line Items] | |||||
Basis spread on variable rate | 1.50% | ||||
Salt Lake City Marriott Downtown mortgage loan | Mortgages | |||||
Debt Instrument [Line Items] | |||||
Interest Rate | 4.25% | ||||
Principal Balance | $ 55,032,000 | 56,717,000 | |||
Westin Washington D.C. City Center mortgage loan | Mortgages | |||||
Debt Instrument [Line Items] | |||||
Interest Rate | 3.99% | ||||
Principal Balance | $ 62,734,000 | 64,833,000 | |||
The Lodge at Sonoma, a Renaissance Resort & Spa mortgage loan | Mortgages | |||||
Debt Instrument [Line Items] | |||||
Interest Rate | 3.96% | ||||
Principal Balance | $ 27,633,000 | 28,277,000 | |||
Westin San Diego mortgage loan | Mortgages | |||||
Debt Instrument [Line Items] | |||||
Interest Rate | 3.94% | ||||
Principal Balance | $ 63,385,000 | 64,859,000 | |||
Courtyard Manhattan / Midtown East mortgage loan | Mortgages | |||||
Debt Instrument [Line Items] | |||||
Interest Rate | 4.40% | ||||
Principal Balance | $ 82,620,000 | 84,067,000 | |||
Renaissance Worthington | Mortgages | |||||
Debt Instrument [Line Items] | |||||
Interest Rate | 3.66% | ||||
Principal Balance | $ 82,540,000 | 84,116,000 | |||
JW Marriott Denver at Cherry Creek | Mortgages | |||||
Debt Instrument [Line Items] | |||||
Interest Rate | 4.33% | ||||
Principal Balance | $ 62,411,000 | 63,519,000 | |||
Boston Westin mortgage loan | Mortgages | |||||
Debt Instrument [Line Items] | |||||
Interest Rate | 4.36% | ||||
Principal Balance | $ 194,466,000 | 198,046,000 | |||
New Market Tax Credit loan | Mortgages | |||||
Debt Instrument [Line Items] | |||||
Interest Rate | 5.17% | ||||
Principal Balance | $ 0 | ||||
Subsequent Event | |||||
Debt Instrument [Line Items] | |||||
Senior unsecured credit facility | $ 45,000,000 | ||||
Subsequent Event | Unsecured Term Loan Due October 2023 | LIBOR | |||||
Debt Instrument [Line Items] | |||||
Interest rate at period end | 2.41% |
Debt - Schedule of Maturities o
Debt - Schedule of Maturities of Long Term Debt (Details) $ in Thousands | Dec. 31, 2018USD ($) |
Debt Disclosure [Abstract] | |
2,019 | $ 14,195 |
2,020 | 66,174 |
2,021 | 116,461 |
2,022 | 214,095 |
2,023 | 194,649 |
Thereafter | 378,190 |
Total debt | $ 983,764 |
Debt - Mortgage Debt (Details)
Debt - Mortgage Debt (Details) $ in Thousands | Apr. 26, 2017USD ($) | Dec. 31, 2018USD ($)hotel | Mar. 01, 2018USD ($) | Dec. 31, 2017USD ($) |
Debt Instrument [Line Items] | ||||
Number of hotel properties secured by mortgage debt | hotel | 8 | |||
Number of hotels (in hotels) | hotel | 31 | |||
Principal Balance | $ 983,764 | |||
Mortgages | Lexington Hotel Tenant Leases | ||||
Debt Instrument [Line Items] | ||||
Extinguishment of debt | $ 170,400 | |||
Hotel Palomar Phoenix | ||||
Debt Instrument [Line Items] | ||||
Principal Balance | $ 2,943 | |||
Mortgages | New Market Tax Credit loan | ||||
Debt Instrument [Line Items] | ||||
Principal Balance | $ 0 | |||
Interest Rate | 5.17% |
Debt - Senior Unsecured Credit
Debt - Senior Unsecured Credit Facility (Details) | 12 Months Ended | |||
Dec. 31, 2018USD ($) | Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) | Feb. 28, 2019USD ($) | |
Line of Credit Facility [Line Items] | ||||
Increase in credit facility | $ 600,000,000 | |||
Percent of unused portion, line of credit facility, triggering lower commitment fee percentage | 50.00% | |||
Senior unsecured credit facility | $ 0 | |||
Unsecured term loan | LIBOR | ||||
Line of Credit Facility [Line Items] | ||||
Interest and unused credit facility fees | 1,200,000 | $ 1,000,000 | $ 1,300,000 | |
Senior unsecured credit facility | ||||
Line of Credit Facility [Line Items] | ||||
Maximum borrowing capacity | 300,000,000 | |||
Senior unsecured credit facility | $ 0 | $ 0 | ||
Senior unsecured credit facility | LIBOR | ||||
Line of Credit Facility [Line Items] | ||||
Basis spread on variable rate | 1.50% | |||
Minimum | ||||
Line of Credit Facility [Line Items] | ||||
Commitment fee on unused percentage | 0.20% | |||
Maximum | ||||
Line of Credit Facility [Line Items] | ||||
Commitment fee on unused percentage | 0.30% | |||
Line Of Credit Facility Covenant Actual Results | ||||
Line of Credit Facility [Line Items] | ||||
Maximum leverage ratio | 0.275 | |||
Subsequent Event | ||||
Line of Credit Facility [Line Items] | ||||
Senior unsecured credit facility | $ 45,000,000 |
Debt - Schedule of Ratio of Net
Debt - Schedule of Ratio of Net Indebtedness (Details) - Line of Credit | 12 Months Ended |
Dec. 31, 2018 | |
Less than or equal to 35% | Maximum | |
Line Of Credit Facility Leverage Range [Line Items] | |
Leverage Ratio | 0.35 |
Greater than 35% but less than or equal to 45% | Minimum | |
Line Of Credit Facility Leverage Range [Line Items] | |
Leverage Ratio | 0.35 |
Greater than 35% but less than or equal to 45% | Maximum | |
Line Of Credit Facility Leverage Range [Line Items] | |
Leverage Ratio | 0.45 |
Greater than 45% but less than or equal to 50% | Minimum | |
Line Of Credit Facility Leverage Range [Line Items] | |
Leverage Ratio | 0.45 |
Greater than 45% but less than or equal to 50% | Maximum | |
Line Of Credit Facility Leverage Range [Line Items] | |
Leverage Ratio | 0.5 |
Greater than 50% but less than or equal to 55% | Minimum | |
Line Of Credit Facility Leverage Range [Line Items] | |
Leverage Ratio | 0.5 |
Greater than 50% but less than or equal to 55% | Maximum | |
Line Of Credit Facility Leverage Range [Line Items] | |
Leverage Ratio | 0.55 |
Greater than 55% | Minimum | |
Line Of Credit Facility Leverage Range [Line Items] | |
Leverage Ratio | 0.55 |
LIBOR | |
Line Of Credit Facility Leverage Range [Line Items] | |
Applicable Margin | 1.50% |
LIBOR | Less than or equal to 35% | |
Line Of Credit Facility Leverage Range [Line Items] | |
Applicable Margin | 1.50% |
LIBOR | Greater than 35% but less than or equal to 45% | |
Line Of Credit Facility Leverage Range [Line Items] | |
Applicable Margin | 1.65% |
LIBOR | Greater than 45% but less than or equal to 50% | |
Line Of Credit Facility Leverage Range [Line Items] | |
Applicable Margin | 1.80% |
LIBOR | Greater than 50% but less than or equal to 55% | |
Line Of Credit Facility Leverage Range [Line Items] | |
Applicable Margin | 2.00% |
LIBOR | Greater than 55% | |
Line Of Credit Facility Leverage Range [Line Items] | |
Applicable Margin | 2.25% |
Debt - Schedule of Debt Covenan
Debt - Schedule of Debt Covenants (Details) $ in Millions | 12 Months Ended |
Dec. 31, 2018USD ($) | |
Line of Credit Facility [Line Items] | |
Percent of net proceeds from future equity issuances | 75.00% |
Line Of Credit Facility Covenant | |
Line of Credit Facility [Line Items] | |
Maximum leverage ratio | 0.60 |
Minimum fixed charge coverage ratio | 1.50 |
Minimum tangible net worth | $ 1,980 |
Secured recourse indebtedness | 45.00% |
Line Of Credit Facility Covenant Actual Results | |
Line of Credit Facility [Line Items] | |
Maximum leverage ratio | 0.275 |
Minimum fixed charge coverage ratio | 4.17 |
Minimum tangible net worth | $ 2,720 |
Secured recourse indebtedness | 18.90% |
Debt - Senior Unsecured Term Lo
Debt - Senior Unsecured Term Loan (Details) $ in Thousands | 12 Months Ended | ||||
Dec. 31, 2018USD ($)loan | Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) | Jan. 31, 2019 | Oct. 18, 2018USD ($) | |
Line Of Credit Facility Leverage Range [Line Items] | |||||
Outstanding principal balance | $ 983,764 | ||||
Unsecured Term Loan Due May 2021 | |||||
Line Of Credit Facility Leverage Range [Line Items] | |||||
Interest rate at period end | 3.80% | ||||
Unsecured Term Loan Due October 2023 | |||||
Line Of Credit Facility Leverage Range [Line Items] | |||||
Interest rate at period end | 3.78% | ||||
Less than or equal to 25% | LIBOR | Unsecured Term Loan Due October 2023 | |||||
Line Of Credit Facility Leverage Range [Line Items] | |||||
Basis spread on variable rate | 1.40% | ||||
Greater than 25% but less than or equal to 35% | LIBOR | Unsecured Term Loan Due October 2023 | |||||
Line Of Credit Facility Leverage Range [Line Items] | |||||
Basis spread on variable rate | 1.45% | ||||
Greater than 25% but less than or equal to 35% | LIBOR | $100 Million and $200 Million Term Loans | |||||
Line Of Credit Facility Leverage Range [Line Items] | |||||
Basis spread on variable rate | 1.45% | ||||
Greater than 35% but less than or equal to 45% | LIBOR | Unsecured Term Loan Due October 2023 | |||||
Line Of Credit Facility Leverage Range [Line Items] | |||||
Basis spread on variable rate | 1.55% | ||||
Greater than 35% but less than or equal to 45% | LIBOR | $100 Million and $200 Million Term Loans | |||||
Line Of Credit Facility Leverage Range [Line Items] | |||||
Basis spread on variable rate | 1.60% | ||||
Greater than 45% but less than or equal to 50% | LIBOR | Unsecured Term Loan Due October 2023 | |||||
Line Of Credit Facility Leverage Range [Line Items] | |||||
Basis spread on variable rate | 1.75% | ||||
Greater than 45% but less than or equal to 50% | LIBOR | $100 Million and $200 Million Term Loans | |||||
Line Of Credit Facility Leverage Range [Line Items] | |||||
Basis spread on variable rate | 1.75% | ||||
Greater than 50% but less than or equal to 55% | LIBOR | Unsecured Term Loan Due October 2023 | |||||
Line Of Credit Facility Leverage Range [Line Items] | |||||
Basis spread on variable rate | 1.95% | ||||
Greater than 50% but less than or equal to 55% | LIBOR | $100 Million and $200 Million Term Loans | |||||
Line Of Credit Facility Leverage Range [Line Items] | |||||
Basis spread on variable rate | 1.95% | ||||
Greater than 55% | LIBOR | Unsecured Term Loan Due October 2023 | |||||
Line Of Credit Facility Leverage Range [Line Items] | |||||
Basis spread on variable rate | 2.20% | ||||
Greater than 55% | LIBOR | $100 Million and $200 Million Term Loans | |||||
Line Of Credit Facility Leverage Range [Line Items] | |||||
Basis spread on variable rate | 2.20% | ||||
Line Of Credit Facility Covenant Actual Results | |||||
Line Of Credit Facility Leverage Range [Line Items] | |||||
Maximum leverage ratio | 0.275 | ||||
Unsecured term loan | Unsecured Term Loan Due May 2021 | |||||
Line Of Credit Facility Leverage Range [Line Items] | |||||
Debt instrument, term (in years) | 5 years | ||||
Outstanding principal balance | $ 100,000 | $ 100,000 | |||
Unsecured term loan | Unsecured Term Loan Due April 2022 | |||||
Line Of Credit Facility Leverage Range [Line Items] | |||||
Debt instrument, term (in years) | 5 years | ||||
Outstanding principal balance | $ 200,000 | ||||
Number of term loans | loan | 3 | ||||
Unsecured term loan | Unsecured Term Loan Due October 2023 | |||||
Line Of Credit Facility Leverage Range [Line Items] | |||||
Debt instrument, term (in years) | 5 years | ||||
Outstanding principal balance | 0 | $ 50,000 | |||
Unsecured term loan | LIBOR | |||||
Line Of Credit Facility Leverage Range [Line Items] | |||||
Interest incurred on the facility | $ 10,600 | $ 6,200 | $ 1,300 | ||
Unsecured term loan | LIBOR | Unsecured Term Loan Due May 2021 | |||||
Line Of Credit Facility Leverage Range [Line Items] | |||||
Basis spread on variable rate | 1.45% | ||||
Unsecured term loan | LIBOR | Unsecured Term Loan Due April 2022 | |||||
Line Of Credit Facility Leverage Range [Line Items] | |||||
Basis spread on variable rate | 1.45% | ||||
Unsecured term loan | LIBOR | Unsecured Term Loan Due October 2023 | |||||
Line Of Credit Facility Leverage Range [Line Items] | |||||
Basis spread on variable rate | 1.45% | ||||
Minimum | Greater than 25% but less than or equal to 35% | Unsecured Term Loan Due October 2023 | |||||
Line Of Credit Facility Leverage Range [Line Items] | |||||
Leverage Ratio | 0.25 | ||||
Minimum | Greater than 35% but less than or equal to 45% | Unsecured Term Loan Due October 2023 | |||||
Line Of Credit Facility Leverage Range [Line Items] | |||||
Leverage Ratio | 0.35 | ||||
Minimum | Greater than 45% but less than or equal to 50% | Unsecured Term Loan Due October 2023 | |||||
Line Of Credit Facility Leverage Range [Line Items] | |||||
Leverage Ratio | 0.45 | ||||
Minimum | Greater than 50% but less than or equal to 55% | Unsecured Term Loan Due October 2023 | |||||
Line Of Credit Facility Leverage Range [Line Items] | |||||
Leverage Ratio | 0.50 | ||||
Minimum | Greater than 55% | Unsecured Term Loan Due October 2023 | |||||
Line Of Credit Facility Leverage Range [Line Items] | |||||
Leverage Ratio | 0.55 | ||||
Minimum | Unsecured term loan | LIBOR | |||||
Line Of Credit Facility Leverage Range [Line Items] | |||||
Basis spread on variable rate | 1.40% | ||||
Maximum | Less than or equal to 25% | Unsecured Term Loan Due October 2023 | |||||
Line Of Credit Facility Leverage Range [Line Items] | |||||
Leverage Ratio | 0.25 | ||||
Maximum | Greater than 25% but less than or equal to 35% | Unsecured Term Loan Due October 2023 | |||||
Line Of Credit Facility Leverage Range [Line Items] | |||||
Leverage Ratio | 0.35 | ||||
Maximum | Greater than 35% but less than or equal to 45% | Unsecured Term Loan Due October 2023 | |||||
Line Of Credit Facility Leverage Range [Line Items] | |||||
Leverage Ratio | 0.45 | ||||
Maximum | Greater than 45% but less than or equal to 50% | Unsecured Term Loan Due October 2023 | |||||
Line Of Credit Facility Leverage Range [Line Items] | |||||
Leverage Ratio | 0.50 | ||||
Maximum | Greater than 50% but less than or equal to 55% | Unsecured Term Loan Due October 2023 | |||||
Line Of Credit Facility Leverage Range [Line Items] | |||||
Leverage Ratio | 0.55 | ||||
Maximum | Unsecured term loan | LIBOR | |||||
Line Of Credit Facility Leverage Range [Line Items] | |||||
Basis spread on variable rate | 2.20% | ||||
Subsequent Event | LIBOR | Unsecured Term Loan Due October 2023 | |||||
Line Of Credit Facility Leverage Range [Line Items] | |||||
Interest rate at period end | 2.41% |
Dispositions - Narrative (Detai
Dispositions - Narrative (Details) | Jul. 07, 2016USD ($)room | Jun. 30, 2016USD ($)room | Jun. 08, 2016USD ($)room | Dec. 31, 2018USD ($) | Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||
Contractual sales price | $ 0 | $ 0 | ||||
Gain (loss) on sale of hotel property | 0 | (764,000) | $ 10,698,000 | |||
Mortgage debt | 629,747,000 | 639,639,000 | ||||
Orlando, Florida | Orlando Airport Marriott | ||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||
Number of hotel rooms sold | room | 485 | |||||
Contractual sales price | $ 63,000,000 | |||||
Proceeds from sale of properties, net | 65,800,000 | |||||
Gain (loss) on sale of hotel property | $ 3,700,000 | |||||
Minneapolis, Minnesota | Hilton Minneapolis | ||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||
Number of hotel rooms sold | room | 821 | |||||
Contractual sales price | $ 140,000,000 | |||||
Proceeds from sale of properties, net | 54,800,000 | |||||
Gain (loss) on sale of hotel property | (800,000) | $ 4,900,000 | ||||
New York, New York | Hilton Garden Inn Chelsea/New York City | ||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||
Number of hotel rooms sold | room | 169 | |||||
Contractual sales price | $ 65,000,000 | |||||
Proceeds from sale of properties, net | 63,300,000 | |||||
Gain (loss) on sale of hotel property | $ 2,000,000 | |||||
Mortgages | ||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||
Mortgage debt | $ 629,747,000 | $ 639,639,000 | ||||
Mortgages | Minneapolis, Minnesota | Hilton Minneapolis | ||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||
Mortgage debt | $ 89,500,000 |
Dispositions - Schedule of Pre-
Dispositions - Schedule of Pre-tax Income/(Loss) From Hotel Properties Sold (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||
Total pre-tax (loss) income | $ 0 | $ (764) | $ 16,204 |
Orlando, Florida | Orlando Airport Marriott | |||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||
Total pre-tax (loss) income | 0 | 0 | 8,225 |
Minneapolis, Minnesota | Hilton Minneapolis | |||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||
Total pre-tax (loss) income | 0 | (764) | 4,872 |
New York, New York | Hilton Garden Inn Chelsea/New York City | |||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||
Total pre-tax (loss) income | $ 0 | $ 0 | $ 3,107 |
Acquisitions - Narrative (Detai
Acquisitions - Narrative (Details) $ in Thousands | Dec. 12, 2018USD ($)room | Mar. 01, 2018USD ($)room | Feb. 28, 2017USD ($)room | Dec. 31, 2018USD ($) | Dec. 31, 2017USD ($) | Oct. 18, 2018USD ($) |
Business Acquisition [Line Items] | ||||||
Outstanding principal balance | $ 983,764 | |||||
Unfavorable off-market lease | (73,151) | $ (70,734) | ||||
Revenue related to acquisitions | 34,700 | 29,300 | ||||
Net income related to acquisitions | 6,900 | 5,900 | ||||
Landing Resort & Spa | ||||||
Business Acquisition [Line Items] | ||||||
Number of rooms acquired (in rooms) | room | 77 | |||||
Purchase price | $ 42,000 | |||||
Favorable lease asset | $ 0 | |||||
Hotel Palomar Phoenix | ||||||
Business Acquisition [Line Items] | ||||||
Number of rooms acquired (in rooms) | room | 242 | |||||
Purchase price | $ 80,000 | |||||
Outstanding principal balance | 2,943 | |||||
Favorable lease asset | 20,012 | |||||
Favorable lease asset | $ 20,000 | |||||
Percentage of lease payments | 50.00% | |||||
Unfavorable off-market lease | $ (4,600) | |||||
Cavallo Point | ||||||
Business Acquisition [Line Items] | ||||||
Number of rooms acquired (in rooms) | room | 142 | |||||
Purchase price | $ 152,000 | |||||
Favorable lease asset | $ 17,907 | |||||
L'Auberge de Sedona | ||||||
Business Acquisition [Line Items] | ||||||
Number of rooms acquired (in rooms) | room | 88 | |||||
Favorable lease asset | $ 0 | |||||
Orchards Inn Sedona Annex Sublease | ||||||
Business Acquisition [Line Items] | ||||||
Number of rooms acquired (in rooms) | room | 70 | |||||
Favorable lease asset | $ 9,065 | |||||
Number of rooms | room | 28 | |||||
L'Auberge de Sedona & Orchards Inn | ||||||
Business Acquisition [Line Items] | ||||||
Purchase price | $ 97,000 | |||||
Off-Market Favorable Lease | Orchards Inn Sedona Annex Sublease | ||||||
Business Acquisition [Line Items] | ||||||
Carrying amount of the lease right | $ 9,100 | $ 9,100 | ||||
Unsecured term loan | Unsecured Term Loan Due October 2023 | ||||||
Business Acquisition [Line Items] | ||||||
Outstanding principal balance | $ 0 | $ 50,000 |
Acquisitions - Pro Forma Inform
Acquisitions - Pro Forma Information (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
Business Combinations [Abstract] | ||
Revenues | $ 873,427 | $ 924,806 |
Net income | $ 91,602 | $ 118,232 |
Earnings per share: | ||
Net income per share available to common stockholders - basic (in dollars per share) | $ 0.46 | $ 0.59 |
Net income per share available to common stockholders - diluted (in dollars per share) | $ 0.45 | $ 0.59 |
Acquisitions - Allocation of Fa
Acquisitions - Allocation of Fair Value (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 12, 2018 | Mar. 01, 2018 | Dec. 31, 2017 | Feb. 28, 2017 |
Schedule of Acquired Assets and Liabilities | |||||
New Market Tax Credit loan assumption | $ (977,966) | $ (937,792) | |||
Cavallo Point | |||||
Schedule of Acquired Assets and Liabilities | |||||
Land | $ 0 | ||||
Building and improvements | 123,100 | ||||
Furniture, fixtures and equipment | 10,470 | ||||
Construction in progress | 1,734 | ||||
Total fixed assets | 135,304 | ||||
Favorable lease asset | 17,907 | ||||
Unfavorable lease liability | 0 | ||||
New Market Tax Credit loan assumption | 0 | ||||
Other assets and liabilities, net | (5,083) | ||||
Total | $ 148,128 | ||||
Landing Resort & Spa | |||||
Schedule of Acquired Assets and Liabilities | |||||
Land | $ 14,816 | ||||
Building and improvements | 24,351 | ||||
Furniture, fixtures and equipment | 3,346 | ||||
Construction in progress | 0 | ||||
Total fixed assets | 42,513 | ||||
Favorable lease asset | 0 | ||||
Unfavorable lease liability | 0 | ||||
New Market Tax Credit loan assumption | 0 | ||||
Other assets and liabilities, net | (658) | ||||
Total | 41,855 | ||||
Hotel Palomar Phoenix | |||||
Schedule of Acquired Assets and Liabilities | |||||
Land | 0 | ||||
Building and improvements | 59,703 | ||||
Furniture, fixtures and equipment | 5,207 | ||||
Construction in progress | 0 | ||||
Total fixed assets | 64,910 | ||||
Favorable lease asset | 20,012 | ||||
Unfavorable lease liability | (4,644) | ||||
New Market Tax Credit loan assumption | (2,943) | ||||
Other assets and liabilities, net | 497 | ||||
Total | $ 77,832 | ||||
L'Auberge de Sedona | |||||
Schedule of Acquired Assets and Liabilities | |||||
Land | $ 39,384 | ||||
Building and improvements | 22,204 | ||||
Furniture, fixtures and equipment | 4,376 | ||||
Construction in progress | 0 | ||||
Total fixed assets | 65,964 | ||||
Favorable lease asset | 0 | ||||
Unfavorable lease liability | 0 | ||||
New Market Tax Credit loan assumption | 0 | ||||
Other assets and liabilities, net | (2,710) | ||||
Total | 63,254 | ||||
Orchards Inn Sedona Annex Sublease | |||||
Schedule of Acquired Assets and Liabilities | |||||
Land | 9,726 | ||||
Building and improvements | 10,180 | ||||
Furniture, fixtures and equipment | 1,982 | ||||
Construction in progress | 0 | ||||
Total fixed assets | 21,888 | ||||
Favorable lease asset | 9,065 | ||||
Unfavorable lease liability | 0 | ||||
New Market Tax Credit loan assumption | 0 | ||||
Other assets and liabilities, net | (412) | ||||
Total | $ 30,541 |
Income Taxes - Income Tax Expen
Income Taxes - Income Tax Expense (Benefit), Continuing Operations (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Current Income Tax Expense (Benefit) | |||
Federal | $ 66 | $ 622 | $ 0 |
State | 984 | 1,221 | 1,297 |
Foreign | 460 | 662 | 697 |
Current Income Tax Expense (Benefit) | 1,510 | 2,505 | 1,994 |
Deferred Income Tax Expense (Benefit) | |||
Federal | 1,857 | 6,432 | 9,779 |
State | 178 | 425 | 1,324 |
Foreign | (444) | 845 | (698) |
Deferred Income Tax Expense (Benefit) | 1,591 | 7,702 | 10,405 |
Income tax provision | $ 3,101 | $ 10,207 | $ 12,399 |
Income Taxes - Reconciliation o
Income Taxes - Reconciliation of the Statutory Federal Tax Provision to Income Tax (Benefit) Provision (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Effective Income Tax Rate Reconciliation, Amount [Abstract] | |||
Statutory federal tax provision (1) | $ 19,089 | $ 35,729 | $ 44,518 |
Tax impact of REIT election | (14,439) | (22,277) | (31,101) |
State income tax provision, net of federal tax benefit | 705 | 1,652 | 1,703 |
Foreign income tax benefit | (2,927) | (430) | (3,080) |
Tax reform impact on U.S. taxes | 0 | (2,143) | 0 |
Tax reform impact on foreign taxes | 0 | (2,076) | 0 |
Other | 673 | (248) | 359 |
Income tax provision | $ 3,101 | $ 10,207 | $ 12,399 |
Statutory federal tax provision (as a percent) | 35.00% | 35.00% | 35.00% |
Income Taxes - Narrative (Detai
Income Taxes - Narrative (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Income Tax Contingency [Line Items] | |||
Tax Cuts and Jobs Act of 2017, decrease to deferred income tax provisions | $ 4,200 | ||
Tax Cuts and Jobs Act of 2017, transition tax obligation | 17,800 | ||
Tax Cuts and Jobs Act of 2017, increase in taxable income | 1,500 | ||
Franchise tax expense | $ 400 | 400 | $ 400 |
Net operating loss carryforwards | 5,000 | ||
Deferred tax assets expected to be recovered against reversing taxable temporary differences | $ 3,900 | ||
Frenchman's Reef & Morning Star Marriott Beach | |||
Income Tax Contingency [Line Items] | |||
New adjusted tax rate after the reduction (as a percent) | 7.00% | ||
Federal | |||
Income Tax Contingency [Line Items] | |||
Net operating loss carryforwards | $ 1,983 | 3,099 | |
State | |||
Income Tax Contingency [Line Items] | |||
Net operating loss carryforwards | 2,975 | 3,126 | |
Valuation allowance | $ 700 | $ 400 |
Income Taxes - Total Deferred T
Income Taxes - Total Deferred Tax Assets and Liabilities (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Operating Loss Carryforwards [Line Items] | ||
Net operating loss carryforwards | $ 5,000 | |
Federal | ||
Operating Loss Carryforwards [Line Items] | ||
Net operating loss carryforwards | 1,983 | $ 3,099 |
Deferred income related to key money | 2,465 | 2,549 |
Alternative minimum tax credit carryforwards | 103 | 169 |
Other | 326 | 355 |
Depreciation and amortization | (9,188) | (8,889) |
Deferred tax liabilities, net | (4,311) | (2,717) |
State | ||
Operating Loss Carryforwards [Line Items] | ||
Net operating loss carryforwards | 2,975 | 3,126 |
Deferred income related to key money | 780 | 801 |
Alternative minimum tax credit carryforwards | 80 | 81 |
Other | 103 | 111 |
Depreciation and amortization | (2,906) | (2,803) |
Less: Valuation allowance | (700) | (400) |
Deferred tax assets, net | 332 | 916 |
Foreign (USVI) | ||
Operating Loss Carryforwards [Line Items] | ||
Deferred income related to key money | 0 | 95 |
Other | 0 | 1 |
Depreciation and amortization | (255) | (796) |
Land basis recorded in purchase accounting | (2,617) | (2,617) |
Deferred tax liabilities, net | $ (2,872) | $ (3,317) |
Relationships with Managers a_3
Relationships with Managers and Franchisors - Schedule of Management Fees (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Capitalized Contract Cost [Line Items] | |||
Base management fees | $ 20,467 | $ 22,265 | $ 24,480 |
Incentive management fees | 5,805 | 6,259 | 7,810 |
Amortization of deferred income related to key money | (2,398) | (4,840) | (432) |
Amortization of unfavorable contract liabilities | (1,715) | (1,715) | (1,715) |
Management fees | |||
Capitalized Contract Cost [Line Items] | |||
Operating expenses | $ 22,159 | $ 21,969 | $ 30,143 |
Relationships with Managers a_4
Relationships with Managers and Franchisors - Narrative (Details) $ in Thousands | 3 Months Ended | 12 Months Ended | |||
Mar. 31, 2018USD ($) | Dec. 31, 2018USD ($)hotel | Dec. 31, 2017USD ($)hotel | Dec. 31, 2016USD ($)hotel | Dec. 31, 2015USD ($) | |
Real Estate Properties [Line Items] | |||||
Number of hotels that earned incentive management fees | hotel | 9 | 10 | 9 | ||
Amortization | $ 2,568 | $ 5,760 | $ 2,851 | ||
Number of franchised hotels | hotel | 13 | ||||
Key Money | |||||
Real Estate Properties [Line Items] | |||||
Amortization | $ 2,600 | 5,800 | $ 2,900 | ||
Key Money | The Gwen Chicago | |||||
Real Estate Properties [Line Items] | |||||
Amortization | $ 3,000 | ||||
Key Money | Courtyard Manhattan / Midtown East mortgage loan | |||||
Real Estate Properties [Line Items] | |||||
Amortization | $ 1,900 | ||||
Key Money | Frenchman's Reef & Morning Star Marriott Beach | |||||
Real Estate Properties [Line Items] | |||||
Amortization | $ 2,200 | $ 2,600 |
Relationships with Managers a_5
Relationships with Managers and Franchisors - Franchise Fees (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Capitalized Contract Cost [Line Items] | |||
Amortization of deferred income related to key money | $ (170) | $ (920) | $ (2,420) |
Total franchise fees, net | 26,178 | 23,970 | 21,817 |
Franchise | |||
Capitalized Contract Cost [Line Items] | |||
Franchise fees | $ 26,348 | $ 24,890 | $ 24,237 |
Commitments and Contingencies -
Commitments and Contingencies - Narrative (Details) $ in Thousands | Feb. 28, 2017room | Dec. 31, 2018USD ($)ft²hotelrenewal_termground_lease | Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) | |
Real Estate Properties [Line Items] | |||||
Restricted cash | $ | [1] | $ 47,735 | $ 40,204 | $ 46,069 | |
Number of properties subject to ground leases (in hotels) | hotel | 7 | ||||
Ground rent expense | $ | $ 11,600 | 10,200 | 12,700 | ||
Cash paid for ground rent | $ | $ 4,700 | $ 4,100 | $ 7,000 | ||
Bethesda Marriott Suites | |||||
Real Estate Properties [Line Items] | |||||
Number of renewal periods (in ones) | 0 | ||||
Courtyard Manhattan / Fifth Avenue | |||||
Real Estate Properties [Line Items] | |||||
Number of renewal periods (in ones) | 1 | ||||
Ground leases renewal option (in years) | 49 years | ||||
Salt Lake City Marriott Downtown mortgage loan | |||||
Real Estate Properties [Line Items] | |||||
Number of properties subject to ground leases (in hotels) | ground_lease | 2 | ||||
Interest in land under hotel (as a percent of ownership) | 21.00% | ||||
Boston Westin mortgage loan | |||||
Real Estate Properties [Line Items] | |||||
Number of renewal periods (in ones) | 0 | ||||
Cavallo Point | |||||
Real Estate Properties [Line Items] | |||||
Number of renewal periods (in ones) | 0 | ||||
Renaissance Worthington | |||||
Real Estate Properties [Line Items] | |||||
Number of properties subject to ground leases (in hotels) | ground_lease | 3 | ||||
Number of renewal periods (in ones) | 3 | ||||
Ground leases renewal option (in years) | 15 years | ||||
Percentage of land on which the parking garage is constructed | 25.00% | ||||
JW Marriott Denver at Cherry Creek | |||||
Real Estate Properties [Line Items] | |||||
Number of renewal periods (in ones) | 2 | ||||
Ground leases renewal option (in years) | 5 years | ||||
Area of real estate property | ft² | 5,500 | ||||
Incremental renewal option (in years) | 1 year | ||||
First Set of Renewal Options | Shorebreak Hotel | |||||
Real Estate Properties [Line Items] | |||||
Number of renewal periods (in ones) | 2 | ||||
Ground leases renewal option (in years) | 25 years | ||||
First Set of Renewal Options | Hotel Palomar Phoenix | |||||
Real Estate Properties [Line Items] | |||||
Number of renewal periods (in ones) | 3 | ||||
Ground leases renewal option (in years) | 5 years | ||||
Second Set of Renewal Options | Shorebreak Hotel | |||||
Real Estate Properties [Line Items] | |||||
Number of renewal periods (in ones) | 1 | ||||
Ground leases renewal option (in years) | 24 years | ||||
Orchards Inn Sedona | |||||
Real Estate Properties [Line Items] | |||||
Number of rooms | room | 28 | ||||
Number of rooms acquired (in rooms) | room | 70 | ||||
Long-Term Ground Lease | Shorebreak Hotel | |||||
Real Estate Properties [Line Items] | |||||
Ownership of undivided interest (as a percent of ownership) | 95.50% | ||||
Land Underlying the Hotel and Lease | Shorebreak Hotel | |||||
Real Estate Properties [Line Items] | |||||
Interest in land under hotel (as a percent of ownership) | 4.50% | ||||
[1] | Restricted cash primarily consists of reserves for replacement of furniture and fixtures held by our hotel managers and cash held in escrow pursuant to lender requirements. |
Commitments and Contingencies_2
Commitments and Contingencies - Ground Leases Annual Rent (Details) - USD ($) | May 01, 2021 | Jan. 31, 2031 | Jan. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2020 | Dec. 31, 2019 |
Bethesda Marriott Suites | ||||||
Schedule of Ground Leased Assets [Line Items] | ||||||
Annual increase in rent | 5.50% | |||||
Courtyard Manhattan / Fifth Avenue | ||||||
Schedule of Ground Leased Assets [Line Items] | ||||||
Ground leases renewal option (in years) | 49 years | |||||
Courtyard Manhattan / Fifth Avenue | Maximum | ||||||
Schedule of Ground Leased Assets [Line Items] | ||||||
Annual rent (as a percentage of gross revenue) | 5.00% | |||||
Salt Lake City Marriott Downtown | ||||||
Schedule of Ground Leased Assets [Line Items] | ||||||
Ownership percentage of hotel land | 21.00% | |||||
Annual rent reimbursed by hotel | 21.00% | |||||
Boston Westin mortgage loan | ||||||
Schedule of Ground Leased Assets [Line Items] | ||||||
Term | 30 years | |||||
Boston Westin mortgage loan | Maximum | ||||||
Schedule of Ground Leased Assets [Line Items] | ||||||
Annual rent (as a percentage of gross revenue) | 2.50% | |||||
JW Marriott Denver at Cherry Creek | ||||||
Schedule of Ground Leased Assets [Line Items] | ||||||
Ground leases renewal option (in years) | 5 years | |||||
Hotel Palomar Phoenix | ||||||
Schedule of Ground Leased Assets [Line Items] | ||||||
Annual increase in rent | 2.50% | |||||
Cavallo Point | ||||||
Schedule of Ground Leased Assets [Line Items] | ||||||
Percentage rent | $ 30,000,000 | |||||
Participation rent | $ 40,000,000 | |||||
Renaissance Worthington | ||||||
Schedule of Ground Leased Assets [Line Items] | ||||||
Ground leases renewal option (in years) | 15 years | |||||
Through 4/2087 | Bethesda Marriott Suites | ||||||
Schedule of Ground Leased Assets [Line Items] | ||||||
Annual rent | $ 740,632 | |||||
10/2007 - 9/2017 | Courtyard Manhattan / Fifth Avenue | ||||||
Schedule of Ground Leased Assets [Line Items] | ||||||
Annual rent | 906,000 | |||||
10/2017 - 9/2027 | Courtyard Manhattan / Fifth Avenue | ||||||
Schedule of Ground Leased Assets [Line Items] | ||||||
Annual rent | 1,132,812 | |||||
10/2027 - 9/2037 | Courtyard Manhattan / Fifth Avenue | ||||||
Schedule of Ground Leased Assets [Line Items] | ||||||
Annual rent | 1,416,015 | |||||
10/2037 - 9/2047 | Courtyard Manhattan / Fifth Avenue | ||||||
Schedule of Ground Leased Assets [Line Items] | ||||||
Annual rent | 1,770,019 | |||||
10/2047 - 9/2057 | Courtyard Manhattan / Fifth Avenue | ||||||
Schedule of Ground Leased Assets [Line Items] | ||||||
Annual rent | 2,212,524 | |||||
10/2057 - 9/2067 | Courtyard Manhattan / Fifth Avenue | ||||||
Schedule of Ground Leased Assets [Line Items] | ||||||
Annual rent | 2,765,655 | |||||
10/2067 - 9/2077 | Courtyard Manhattan / Fifth Avenue | ||||||
Schedule of Ground Leased Assets [Line Items] | ||||||
Annual rent | 3,457,069 | |||||
10/2077 - 9/2085 | Courtyard Manhattan / Fifth Avenue | ||||||
Schedule of Ground Leased Assets [Line Items] | ||||||
Annual rent | 4,321,336 | |||||
Through 12/2056 | Salt Lake City Marriott Downtown | ||||||
Schedule of Ground Leased Assets [Line Items] | ||||||
Annual rent | $ 132,000 | |||||
Annual rent expense (as a percentage of gross room sales) | 2.60% | |||||
1/2013 - 12/2016 | Salt Lake City Marriott Downtown | ||||||
Schedule of Ground Leased Assets [Line Items] | ||||||
Annual rent | $ 11,305 | |||||
1/2017 - 12/2017 | Salt Lake City Marriott Downtown | ||||||
Schedule of Ground Leased Assets [Line Items] | ||||||
Annual rent | 13,000 | |||||
1/2018 - 12/2056 | Salt Lake City Marriott Downtown | ||||||
Schedule of Ground Leased Assets [Line Items] | ||||||
Annual rent | 13,500 | |||||
1/2016 - 12/2020 | Boston Westin mortgage loan | ||||||
Schedule of Ground Leased Assets [Line Items] | ||||||
Annual rent | 750,000 | |||||
1/2021 - 12/2025 | Boston Westin mortgage loan | ||||||
Schedule of Ground Leased Assets [Line Items] | ||||||
Annual rent | 1,000,000 | |||||
1/2021 - 12/2025 | JW Marriott Denver at Cherry Creek | ||||||
Schedule of Ground Leased Assets [Line Items] | ||||||
Annual rent | 55,000 | |||||
1/2026 - 12/2030 | Boston Westin mortgage loan | ||||||
Schedule of Ground Leased Assets [Line Items] | ||||||
Annual rent | 1,500,000 | |||||
1/2026 - 12/2030 | JW Marriott Denver at Cherry Creek | ||||||
Schedule of Ground Leased Assets [Line Items] | ||||||
Annual rent | 60,000 | |||||
1/2031 - 12/2035 | Boston Westin mortgage loan | ||||||
Schedule of Ground Leased Assets [Line Items] | ||||||
Annual rent | 1,750,000 | |||||
1/2036 - 5/2099 | Boston Westin mortgage loan | ||||||
Schedule of Ground Leased Assets [Line Items] | ||||||
Annual rent | $ 0 | |||||
Through 05/2015 | Boston Westin mortgage loan | ||||||
Schedule of Ground Leased Assets [Line Items] | ||||||
Annual rent (as a percentage of gross revenue) | 0.00% | |||||
6/2016 - 5/2026 | Boston Westin mortgage loan | ||||||
Schedule of Ground Leased Assets [Line Items] | ||||||
Annual rent (as a percentage of gross revenue) | 1.00% | |||||
6/2026 - 5/2036 | Boston Westin mortgage loan | ||||||
Schedule of Ground Leased Assets [Line Items] | ||||||
Annual rent (as a percentage of gross revenue) | 1.50% | |||||
6/2036 - 5/2046 | Boston Westin mortgage loan | ||||||
Schedule of Ground Leased Assets [Line Items] | ||||||
Annual rent (as a percentage of gross revenue) | 2.75% | |||||
6/2046 - 5/2056 | Boston Westin mortgage loan | ||||||
Schedule of Ground Leased Assets [Line Items] | ||||||
Annual rent (as a percentage of gross revenue) | 3.00% | |||||
6/2056 - 5/2066 | Boston Westin mortgage loan | ||||||
Schedule of Ground Leased Assets [Line Items] | ||||||
Annual rent (as a percentage of gross revenue) | 3.25% | |||||
6/2066 - 5/2099 | Boston Westin mortgage loan | ||||||
Schedule of Ground Leased Assets [Line Items] | ||||||
Annual rent (as a percentage of gross revenue) | 3.50% | |||||
1/2015 - 12/2020 | JW Marriott Denver at Cherry Creek | ||||||
Schedule of Ground Leased Assets [Line Items] | ||||||
Annual rent | $ 50,000 | |||||
Through 4/2016 | Shorebreak Hotel | ||||||
Schedule of Ground Leased Assets [Line Items] | ||||||
Annual rent | 115,542 | |||||
5/2016 - 4/2021 | Shorebreak Hotel | ||||||
Schedule of Ground Leased Assets [Line Items] | ||||||
Annual rent | 126,649 | |||||
Through 6/2018 | Orchards Inn Sedona | ||||||
Schedule of Ground Leased Assets [Line Items] | ||||||
Annual rent | 117,780 | |||||
7/2018 - 12/2070 | Orchards Inn Sedona | ||||||
Schedule of Ground Leased Assets [Line Items] | ||||||
Annual rent | 121,078 | |||||
Through 3/2020 | Hotel Palomar Phoenix | ||||||
Schedule of Ground Leased Assets [Line Items] | ||||||
Annual rent | 16,875 | |||||
4/2020 - 3/2021 | Hotel Palomar Phoenix | ||||||
Schedule of Ground Leased Assets [Line Items] | ||||||
Annual rent | 33,750 | |||||
4/2021 - 3/2085 | Hotel Palomar Phoenix | ||||||
Schedule of Ground Leased Assets [Line Items] | ||||||
Annual rent | 34,594 | |||||
1/2022 - 12/2023 | Hotel Palomar Phoenix | ||||||
Schedule of Ground Leased Assets [Line Items] | ||||||
Annual rent | 390,000 | |||||
1/2024 - 12/2033 | Hotel Palomar Phoenix | ||||||
Schedule of Ground Leased Assets [Line Items] | ||||||
Annual rent | 312,000 | |||||
1/2034 - 12/2043 | Hotel Palomar Phoenix | ||||||
Schedule of Ground Leased Assets [Line Items] | ||||||
Annual rent | 234,000 | |||||
1/2044 - 12/2053 | Hotel Palomar Phoenix | ||||||
Schedule of Ground Leased Assets [Line Items] | ||||||
Annual rent | 156,000 | |||||
1/2054 - 12/2063 | Hotel Palomar Phoenix | ||||||
Schedule of Ground Leased Assets [Line Items] | ||||||
Annual rent | 78,000 | |||||
1/2064 - 3/2085 | Hotel Palomar Phoenix | ||||||
Schedule of Ground Leased Assets [Line Items] | ||||||
Annual rent | 0 | |||||
1/2019 - 12/2066 | Cavallo Point | ||||||
Schedule of Ground Leased Assets [Line Items] | ||||||
Annual rent | 67,034 | |||||
Through 12/2018 | Cavallo Point | ||||||
Schedule of Ground Leased Assets [Line Items] | ||||||
Annual rent | $ 1 | |||||
Annual rent (as a percentage of gross revenue) | 1.00% | |||||
1/2019 - 12/2023 | Cavallo Point | ||||||
Schedule of Ground Leased Assets [Line Items] | ||||||
Annual rent (as a percentage of gross revenue) | 2.00% | |||||
1/2024 - 12/2028 | Cavallo Point | ||||||
Schedule of Ground Leased Assets [Line Items] | ||||||
Annual rent (as a percentage of gross revenue) | 3.00% | |||||
1/2029 - 12/2033 | Cavallo Point | ||||||
Schedule of Ground Leased Assets [Line Items] | ||||||
Annual rent (as a percentage of gross revenue) | 4.00% | |||||
1/2034 - 12/2066 | Cavallo Point | ||||||
Schedule of Ground Leased Assets [Line Items] | ||||||
Annual rent (as a percentage of gross revenue) | 5.00% | |||||
Through 12/2066 | Cavallo Point | ||||||
Schedule of Ground Leased Assets [Line Items] | ||||||
Annual rent (as a percentage of gross revenue) | 10.00% | |||||
8/2013 - 7/2022 | Renaissance Worthington | ||||||
Schedule of Ground Leased Assets [Line Items] | ||||||
Annual rent | $ 40,400 | |||||
8/2022 - 7/2037 | Renaissance Worthington | ||||||
Schedule of Ground Leased Assets [Line Items] | ||||||
Annual rent | 46,081 | |||||
8/2037 - 7/2052 | Renaissance Worthington | ||||||
Schedule of Ground Leased Assets [Line Items] | ||||||
Annual rent | 51,763 | |||||
8/2052 - 7/2067 | Renaissance Worthington | ||||||
Schedule of Ground Leased Assets [Line Items] | ||||||
Annual rent | $ 57,444 | |||||
Scenario, Forecast | JW Marriott Denver at Cherry Creek | ||||||
Schedule of Ground Leased Assets [Line Items] | ||||||
Annual increase in rent | 3.00% | |||||
Rent increase (in years) | 1 year | |||||
Scenario, Forecast | Cavallo Point | ||||||
Schedule of Ground Leased Assets [Line Items] | ||||||
Participation rent | $ 42,000,000 | $ 42,000,000 | ||||
Scenario, Forecast | 1/2026 - 12/2030 | Shorebreak Hotel | ||||||
Schedule of Ground Leased Assets [Line Items] | ||||||
Rent increase (in years) | 5 years | |||||
Scenario, Forecast | 1/2019 - 12/2066 | Cavallo Point | ||||||
Schedule of Ground Leased Assets [Line Items] | ||||||
Rent increase (in years) | 5 years | |||||
Average adjusted gross revenues, period | 3 years | |||||
Adjusted gross revenues, multiplying percentage | 75.00% |
Commitments and Contingencies_3
Commitments and Contingencies - Schedule Of Future Minimum Rental Commitments under Non-cancelable Operating Leases (Details) $ in Thousands | Dec. 31, 2018USD ($) |
Commitments and Contingencies Disclosure [Abstract] | |
2,019 | $ 5,232 |
2,020 | 4,866 |
2,021 | 6,132 |
2,022 | 5,122 |
2,023 | 5,096 |
Thereafter | 636,770 |
Total | $ 663,219 |
Fair Value of Financial Instr_3
Fair Value of Financial Instruments - Fair Value of Certain Financial Assets and Liabilities and Other Financial Liabilities (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Carrying value | $ 977,966 | $ 937,792 |
Carrying Amount | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Carrying value | 977,966 | 937,792 |
Fair Value | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Fair value | $ 960,447 | $ 942,529 |
Quarterly Operating Results (_3
Quarterly Operating Results (Unaudited) (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Quarterly Financial Data [Abstract] | |||||||||||
Total revenue | $ 223,407 | $ 220,818 | $ 237,949 | $ 181,530 | $ 207,037 | $ 223,486 | $ 243,272 | $ 196,210 | $ 863,704 | $ 870,005 | $ 896,558 |
Total operating expenses | 189,031 | 176,589 | 200,012 | 168,011 | 171,519 | 189,168 | 192,621 | 176,914 | 733,643 | 730,222 | 739,088 |
Operating income | 34,376 | 44,229 | 37,937 | 13,519 | 35,518 | 34,318 | 50,651 | 19,296 | |||
Net income | 24,006 | 31,443 | 28,009 | 4,338 | 24,772 | 21,623 | 36,595 | 8,887 | $ 87,784 | $ 91,877 | $ 114,796 |
Net income attributable to common stockholders | $ 23,994 | $ 31,443 | $ 28,009 | $ 4,338 | $ 24,772 | $ 21,623 | $ 36,595 | $ 8,887 | |||
Net income per share available to common stockholders - basic (in dollars per share) | $ 0.12 | $ 0.15 | $ 0.14 | $ 0.02 | $ 0.12 | $ 0.11 | $ 0.18 | $ 0.04 | $ 0.43 | $ 0.46 | $ 0.57 |
Net income per share available to common stockholders - diluted (in dollars per share) | $ 0.12 | $ 0.15 | $ 0.14 | $ 0.02 | $ 0.12 | $ 0.11 | $ 0.18 | $ 0.04 | $ 0.43 | $ 0.46 | $ 0.57 |
Schedule III - Real Estate an_2
Schedule III - Real Estate and Accumulated Depreciation (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2018 | |
Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | $ (633,764) | |||
Initial Cost - Land | 616,840 | |||
Initial Cost - Buildings and Improvements | 2,377,317 | |||
Costs Capitalized Subsequent to Acquisition | 313,852 | |||
Gross Amount at End of Year - Land | 617,695 | |||
Gross Amount at End of Year - Buildings and Improvements | 2,690,314 | |||
Gross Amount at End of Year - Total | $ 3,025,089 | $ 2,917,634 | $ 3,125,051 | 3,308,009 |
Accumulated Depreciation | (492,871) | (441,952) | (419,309) | (556,868) |
Net Book Value | 2,751,141 | |||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate [Roll Forward] | ||||
Balance at beginning of period | 3,025,089 | 2,917,634 | 3,125,051 | |
Acquisitions | ||||
Acquisitions | 221,970 | 81,494 | 0 | |
Capital expenditures | 60,950 | 68,573 | 61,823 | |
Deductions: | ||||
Dispositions and other | 0 | (42,612) | (269,240) | |
Balance at end of period | 3,308,009 | 3,025,089 | 2,917,634 | |
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate, Accumulated Depreciation [Roll Forward] | ||||
Balance at beginning of period | 492,871 | 441,952 | 419,309 | |
Depreciation and amortization | 63,997 | 60,023 | 65,490 | |
Dispositions and other | 0 | (9,104) | (42,847) | |
Balance at end of period | 556,868 | $ 492,871 | $ 441,952 | |
Aggregate cost of properties for Federal income tax purposes | 2,988,637 | |||
Atlanta Alpharetta Marriott | ||||
Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 0 | |||
Initial Cost - Land | 3,623 | |||
Initial Cost - Buildings and Improvements | 33,503 | |||
Costs Capitalized Subsequent to Acquisition | 2,534 | |||
Gross Amount at End of Year - Land | 3,623 | |||
Gross Amount at End of Year - Buildings and Improvements | 36,037 | |||
Gross Amount at End of Year - Total | 39,660 | 39,660 | ||
Accumulated Depreciation | $ (11,696) | (11,696) | ||
Net Book Value | 27,964 | |||
Depreciation Life (in years) | 40 years | |||
Deductions: | ||||
Balance at end of period | $ 39,660 | |||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate, Accumulated Depreciation [Roll Forward] | ||||
Balance at end of period | 11,696 | |||
Bethesda Marriott Suites | ||||
Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 0 | |||
Initial Cost - Land | 0 | |||
Initial Cost - Buildings and Improvements | 45,656 | |||
Costs Capitalized Subsequent to Acquisition | 5,345 | |||
Gross Amount at End of Year - Land | 0 | |||
Gross Amount at End of Year - Buildings and Improvements | 51,001 | |||
Gross Amount at End of Year - Total | 51,001 | 51,001 | ||
Accumulated Depreciation | $ (16,740) | (16,740) | ||
Net Book Value | 34,261 | |||
Depreciation Life (in years) | 40 years | |||
Deductions: | ||||
Balance at end of period | $ 51,001 | |||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate, Accumulated Depreciation [Roll Forward] | ||||
Balance at end of period | 16,740 | |||
Boston Westin Waterfront | ||||
Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | (194,466) | |||
Initial Cost - Land | 0 | |||
Initial Cost - Buildings and Improvements | 273,696 | |||
Costs Capitalized Subsequent to Acquisition | 26,091 | |||
Gross Amount at End of Year - Land | 0 | |||
Gross Amount at End of Year - Buildings and Improvements | 299,787 | |||
Gross Amount at End of Year - Total | 299,787 | 299,787 | ||
Accumulated Depreciation | $ (88,210) | (88,210) | ||
Net Book Value | 211,577 | |||
Depreciation Life (in years) | 40 years | |||
Deductions: | ||||
Balance at end of period | $ 299,787 | |||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate, Accumulated Depreciation [Roll Forward] | ||||
Balance at end of period | 88,210 | |||
Cavallo Point | ||||
Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 0 | |||
Initial Cost - Land | 0 | |||
Initial Cost - Buildings and Improvements | 123,100 | |||
Costs Capitalized Subsequent to Acquisition | 0 | |||
Gross Amount at End of Year - Land | 0 | |||
Gross Amount at End of Year - Buildings and Improvements | 123,100 | |||
Gross Amount at End of Year - Total | 123,100 | 123,100 | ||
Accumulated Depreciation | $ (308) | (308) | ||
Net Book Value | 122,792 | |||
Depreciation Life (in years) | 40 years | |||
Deductions: | ||||
Balance at end of period | $ 123,100 | |||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate, Accumulated Depreciation [Roll Forward] | ||||
Balance at end of period | 308 | |||
Chicago Marriott Downtown | ||||
Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 0 | |||
Initial Cost - Land | 36,900 | |||
Initial Cost - Buildings and Improvements | 347,921 | |||
Costs Capitalized Subsequent to Acquisition | 93,281 | |||
Gross Amount at End of Year - Land | 36,900 | |||
Gross Amount at End of Year - Buildings and Improvements | 441,202 | |||
Gross Amount at End of Year - Total | 478,102 | 478,102 | ||
Accumulated Depreciation | $ (121,187) | (121,187) | ||
Net Book Value | 356,915 | |||
Depreciation Life (in years) | 40 years | |||
Deductions: | ||||
Balance at end of period | $ 478,102 | |||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate, Accumulated Depreciation [Roll Forward] | ||||
Balance at end of period | 121,187 | |||
The Gwen Chicago | ||||
Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 0 | |||
Initial Cost - Land | 31,650 | |||
Initial Cost - Buildings and Improvements | 76,961 | |||
Costs Capitalized Subsequent to Acquisition | 22,243 | |||
Gross Amount at End of Year - Land | 31,650 | |||
Gross Amount at End of Year - Buildings and Improvements | 99,204 | |||
Gross Amount at End of Year - Total | 130,854 | 130,854 | ||
Accumulated Depreciation | $ (25,029) | (25,029) | ||
Net Book Value | 105,825 | |||
Depreciation Life (in years) | 40 years | |||
Deductions: | ||||
Balance at end of period | $ 130,854 | |||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate, Accumulated Depreciation [Roll Forward] | ||||
Balance at end of period | 25,029 | |||
Courtyard Denver | ||||
Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 0 | |||
Initial Cost - Land | 9,400 | |||
Initial Cost - Buildings and Improvements | 36,180 | |||
Costs Capitalized Subsequent to Acquisition | 2,978 | |||
Gross Amount at End of Year - Land | 9,400 | |||
Gross Amount at End of Year - Buildings and Improvements | 39,158 | |||
Gross Amount at End of Year - Total | 48,558 | 48,558 | ||
Accumulated Depreciation | $ (7,003) | (7,003) | ||
Net Book Value | 41,555 | |||
Depreciation Life (in years) | 40 years | |||
Deductions: | ||||
Balance at end of period | $ 48,558 | |||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate, Accumulated Depreciation [Roll Forward] | ||||
Balance at end of period | 7,003 | |||
Courtyard Manhattan / Fifth Avenue | ||||
Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 0 | |||
Initial Cost - Land | 0 | |||
Initial Cost - Buildings and Improvements | 34,685 | |||
Costs Capitalized Subsequent to Acquisition | 4,485 | |||
Gross Amount at End of Year - Land | 0 | |||
Gross Amount at End of Year - Buildings and Improvements | 39,170 | |||
Gross Amount at End of Year - Total | 39,170 | 39,170 | ||
Accumulated Depreciation | $ (13,359) | (13,359) | ||
Net Book Value | 25,811 | |||
Depreciation Life (in years) | 40 years | |||
Deductions: | ||||
Balance at end of period | $ 39,170 | |||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate, Accumulated Depreciation [Roll Forward] | ||||
Balance at end of period | 13,359 | |||
Courtyard Manhattan / Midtown East mortgage loan | ||||
Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | (82,620) | |||
Initial Cost - Land | 16,500 | |||
Initial Cost - Buildings and Improvements | 54,812 | |||
Costs Capitalized Subsequent to Acquisition | 5,199 | |||
Gross Amount at End of Year - Land | 16,500 | |||
Gross Amount at End of Year - Buildings and Improvements | 60,011 | |||
Gross Amount at End of Year - Total | 76,511 | 76,511 | ||
Accumulated Depreciation | $ (20,284) | (20,284) | ||
Net Book Value | 56,227 | |||
Depreciation Life (in years) | 40 years | |||
Deductions: | ||||
Balance at end of period | $ 76,511 | |||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate, Accumulated Depreciation [Roll Forward] | ||||
Balance at end of period | 20,284 | |||
Frenchman's Reef & Morning Star Marriott Beach | ||||
Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 0 | |||
Initial Cost - Land | 17,713 | |||
Initial Cost - Buildings and Improvements | 50,697 | |||
Costs Capitalized Subsequent to Acquisition | 17,949 | |||
Gross Amount at End of Year - Land | 17,713 | |||
Gross Amount at End of Year - Buildings and Improvements | 68,646 | |||
Gross Amount at End of Year - Total | 86,359 | 86,359 | ||
Accumulated Depreciation | $ (15,230) | (15,230) | ||
Net Book Value | 71,129 | |||
Depreciation Life (in years) | 40 years | |||
Deductions: | ||||
Balance at end of period | $ 86,359 | |||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate, Accumulated Depreciation [Roll Forward] | ||||
Balance at end of period | 15,230 | |||
Havana Cabana Key West | ||||
Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 0 | |||
Initial Cost - Land | 32,888 | |||
Initial Cost - Buildings and Improvements | 13,371 | |||
Costs Capitalized Subsequent to Acquisition | 5,513 | |||
Gross Amount at End of Year - Land | 32,888 | |||
Gross Amount at End of Year - Buildings and Improvements | 18,884 | |||
Gross Amount at End of Year - Total | 51,772 | 51,772 | ||
Accumulated Depreciation | $ (1,491) | (1,491) | ||
Net Book Value | 50,281 | |||
Depreciation Life (in years) | 40 years | |||
Deductions: | ||||
Balance at end of period | $ 51,772 | |||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate, Accumulated Depreciation [Roll Forward] | ||||
Balance at end of period | 1,491 | |||
Hilton Boston Downtown | ||||
Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 0 | |||
Initial Cost - Land | 23,262 | |||
Initial Cost - Buildings and Improvements | 128,628 | |||
Costs Capitalized Subsequent to Acquisition | 12,877 | |||
Gross Amount at End of Year - Land | 23,262 | |||
Gross Amount at End of Year - Buildings and Improvements | 141,505 | |||
Gross Amount at End of Year - Total | 164,767 | 164,767 | ||
Accumulated Depreciation | $ (22,112) | (22,112) | ||
Net Book Value | 142,655 | |||
Depreciation Life (in years) | 40 years | |||
Deductions: | ||||
Balance at end of period | $ 164,767 | |||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate, Accumulated Depreciation [Roll Forward] | ||||
Balance at end of period | 22,112 | |||
Hilton Burlington | ||||
Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 0 | |||
Initial Cost - Land | 9,197 | |||
Initial Cost - Buildings and Improvements | 40,644 | |||
Costs Capitalized Subsequent to Acquisition | 2,006 | |||
Gross Amount at End of Year - Land | 9,197 | |||
Gross Amount at End of Year - Buildings and Improvements | 42,650 | |||
Gross Amount at End of Year - Total | 51,847 | 51,847 | ||
Accumulated Depreciation | $ (6,954) | (6,954) | ||
Net Book Value | 44,893 | |||
Depreciation Life (in years) | 40 years | |||
Deductions: | ||||
Balance at end of period | $ 51,847 | |||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate, Accumulated Depreciation [Roll Forward] | ||||
Balance at end of period | 6,954 | |||
Hilton Garden Inn New York City/Times Square Central | ||||
Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 0 | |||
Initial Cost - Land | 60,300 | |||
Initial Cost - Buildings and Improvements | 88,896 | |||
Costs Capitalized Subsequent to Acquisition | 472 | |||
Gross Amount at End of Year - Land | 60,300 | |||
Gross Amount at End of Year - Buildings and Improvements | 89,368 | |||
Gross Amount at End of Year - Total | 149,668 | 149,668 | ||
Accumulated Depreciation | $ (9,702) | (9,702) | ||
Net Book Value | 139,966 | |||
Depreciation Life (in years) | 40 years | |||
Deductions: | ||||
Balance at end of period | $ 149,668 | |||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate, Accumulated Depreciation [Roll Forward] | ||||
Balance at end of period | 9,702 | |||
Hotel Emblem | ||||
Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 0 | |||
Initial Cost - Land | 7,856 | |||
Initial Cost - Buildings and Improvements | 21,085 | |||
Costs Capitalized Subsequent to Acquisition | (36) | |||
Gross Amount at End of Year - Land | 7,856 | |||
Gross Amount at End of Year - Buildings and Improvements | 21,049 | |||
Gross Amount at End of Year - Total | 28,905 | 28,905 | ||
Accumulated Depreciation | $ (3,231) | (3,231) | ||
Net Book Value | 25,674 | |||
Depreciation Life (in years) | 40 years | |||
Deductions: | ||||
Balance at end of period | $ 28,905 | |||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate, Accumulated Depreciation [Roll Forward] | ||||
Balance at end of period | 3,231 | |||
Hotel Palomar Phoenix | ||||
Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | (2,943) | |||
Initial Cost - Land | 0 | |||
Initial Cost - Buildings and Improvements | 59,703 | |||
Costs Capitalized Subsequent to Acquisition | (171) | |||
Gross Amount at End of Year - Land | 0 | |||
Gross Amount at End of Year - Buildings and Improvements | 59,532 | |||
Gross Amount at End of Year - Total | 59,532 | 59,532 | ||
Accumulated Depreciation | $ (1,281) | (1,281) | ||
Net Book Value | 58,251 | |||
Depreciation Life (in years) | 40 years | |||
Deductions: | ||||
Balance at end of period | $ 59,532 | |||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate, Accumulated Depreciation [Roll Forward] | ||||
Balance at end of period | 1,281 | |||
JW Marriott Denver at Cherry Creek | ||||
Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | (62,411) | |||
Initial Cost - Land | 9,200 | |||
Initial Cost - Buildings and Improvements | 63,183 | |||
Costs Capitalized Subsequent to Acquisition | 1,488 | |||
Gross Amount at End of Year - Land | 9,200 | |||
Gross Amount at End of Year - Buildings and Improvements | 64,671 | |||
Gross Amount at End of Year - Total | 73,871 | 73,871 | ||
Accumulated Depreciation | $ (12,250) | (12,250) | ||
Net Book Value | 61,621 | |||
Depreciation Life (in years) | 40 years | |||
Deductions: | ||||
Balance at end of period | $ 73,871 | |||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate, Accumulated Depreciation [Roll Forward] | ||||
Balance at end of period | 12,250 | |||
The Landing at Lake Tahoe | ||||
Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 0 | |||
Initial Cost - Land | 14,816 | |||
Initial Cost - Buildings and Improvements | 24,351 | |||
Costs Capitalized Subsequent to Acquisition | (241) | |||
Gross Amount at End of Year - Land | 14,816 | |||
Gross Amount at End of Year - Buildings and Improvements | 24,110 | |||
Gross Amount at End of Year - Total | 38,926 | 38,926 | ||
Accumulated Depreciation | $ (531) | (531) | ||
Net Book Value | 38,395 | |||
Depreciation Life (in years) | 40 years | |||
Deductions: | ||||
Balance at end of period | $ 38,926 | |||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate, Accumulated Depreciation [Roll Forward] | ||||
Balance at end of period | 531 | |||
L'Auberge de Sedona | ||||
Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 0 | |||
Initial Cost - Land | 39,384 | |||
Initial Cost - Buildings and Improvements | 22,204 | |||
Costs Capitalized Subsequent to Acquisition | 293 | |||
Gross Amount at End of Year - Land | 39,384 | |||
Gross Amount at End of Year - Buildings and Improvements | 22,497 | |||
Gross Amount at End of Year - Total | 61,881 | 61,881 | ||
Accumulated Depreciation | $ (1,592) | (1,592) | ||
Net Book Value | 60,289 | |||
Depreciation Life (in years) | 40 years | |||
Deductions: | ||||
Balance at end of period | $ 61,881 | |||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate, Accumulated Depreciation [Roll Forward] | ||||
Balance at end of period | 1,592 | |||
Lexington Hotel New York | ||||
Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 0 | |||
Initial Cost - Land | 92,000 | |||
Initial Cost - Buildings and Improvements | 229,368 | |||
Costs Capitalized Subsequent to Acquisition | 22,796 | |||
Gross Amount at End of Year - Land | 92,000 | |||
Gross Amount at End of Year - Buildings and Improvements | 252,164 | |||
Gross Amount at End of Year - Total | 344,164 | 344,164 | ||
Accumulated Depreciation | $ (45,686) | (45,686) | ||
Net Book Value | 298,478 | |||
Depreciation Life (in years) | 40 years | |||
Deductions: | ||||
Balance at end of period | $ 344,164 | |||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate, Accumulated Depreciation [Roll Forward] | ||||
Balance at end of period | 45,686 | |||
Orchards Inn Sedona | ||||
Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 0 | |||
Initial Cost - Land | 9,726 | |||
Initial Cost - Buildings and Improvements | 10,180 | |||
Costs Capitalized Subsequent to Acquisition | 102 | |||
Gross Amount at End of Year - Land | 9,726 | |||
Gross Amount at End of Year - Buildings and Improvements | 10,282 | |||
Gross Amount at End of Year - Total | 20,008 | 20,008 | ||
Accumulated Depreciation | $ (511) | (511) | ||
Net Book Value | 19,497 | |||
Depreciation Life (in years) | 40 years | |||
Deductions: | ||||
Balance at end of period | $ 20,008 | |||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate, Accumulated Depreciation [Roll Forward] | ||||
Balance at end of period | 511 | |||
Renaissance Charleston | ||||
Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 0 | |||
Initial Cost - Land | 5,900 | |||
Initial Cost - Buildings and Improvements | 32,511 | |||
Costs Capitalized Subsequent to Acquisition | 5,208 | |||
Gross Amount at End of Year - Land | 5,900 | |||
Gross Amount at End of Year - Buildings and Improvements | 37,719 | |||
Gross Amount at End of Year - Total | 43,619 | 43,619 | ||
Accumulated Depreciation | $ (7,135) | (7,135) | ||
Net Book Value | 36,484 | |||
Depreciation Life (in years) | 40 years | |||
Deductions: | ||||
Balance at end of period | $ 43,619 | |||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate, Accumulated Depreciation [Roll Forward] | ||||
Balance at end of period | 7,135 | |||
Renaissance Worthington | ||||
Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | (82,540) | |||
Initial Cost - Land | 15,500 | |||
Initial Cost - Buildings and Improvements | 63,428 | |||
Costs Capitalized Subsequent to Acquisition | 18,037 | |||
Gross Amount at End of Year - Land | 15,500 | |||
Gross Amount at End of Year - Buildings and Improvements | 81,465 | |||
Gross Amount at End of Year - Total | 96,965 | 96,965 | ||
Accumulated Depreciation | $ (23,086) | (23,086) | ||
Net Book Value | 73,879 | |||
Depreciation Life (in years) | 40 years | |||
Deductions: | ||||
Balance at end of period | $ 96,965 | |||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate, Accumulated Depreciation [Roll Forward] | ||||
Balance at end of period | 23,086 | |||
Salt Lake City Marriott Downtown | ||||
Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | (55,032) | |||
Initial Cost - Land | 0 | |||
Initial Cost - Buildings and Improvements | 45,815 | |||
Costs Capitalized Subsequent to Acquisition | 5,701 | |||
Gross Amount at End of Year - Land | 855 | |||
Gross Amount at End of Year - Buildings and Improvements | 50,661 | |||
Gross Amount at End of Year - Total | 51,516 | 51,516 | ||
Accumulated Depreciation | $ (16,944) | (16,944) | ||
Net Book Value | 34,572 | |||
Depreciation Life (in years) | 40 years | |||
Deductions: | ||||
Balance at end of period | $ 51,516 | |||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate, Accumulated Depreciation [Roll Forward] | ||||
Balance at end of period | 16,944 | |||
Sheraton Suites Key West | ||||
Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 0 | |||
Initial Cost - Land | 49,592 | |||
Initial Cost - Buildings and Improvements | 42,958 | |||
Costs Capitalized Subsequent to Acquisition | 742 | |||
Gross Amount at End of Year - Land | 49,592 | |||
Gross Amount at End of Year - Buildings and Improvements | 43,700 | |||
Gross Amount at End of Year - Total | 93,292 | 93,292 | ||
Accumulated Depreciation | $ (3,996) | (3,996) | ||
Net Book Value | 89,296 | |||
Depreciation Life (in years) | 40 years | |||
Deductions: | ||||
Balance at end of period | $ 93,292 | |||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate, Accumulated Depreciation [Roll Forward] | ||||
Balance at end of period | 3,996 | |||
Shorebreak Hotel | ||||
Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 0 | |||
Initial Cost - Land | 19,908 | |||
Initial Cost - Buildings and Improvements | 37,525 | |||
Costs Capitalized Subsequent to Acquisition | 3,332 | |||
Gross Amount at End of Year - Land | 19,908 | |||
Gross Amount at End of Year - Buildings and Improvements | 40,857 | |||
Gross Amount at End of Year - Total | 60,765 | 60,765 | ||
Accumulated Depreciation | $ (3,847) | (3,847) | ||
Net Book Value | 56,918 | |||
Depreciation Life (in years) | 40 years | |||
Deductions: | ||||
Balance at end of period | $ 60,765 | |||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate, Accumulated Depreciation [Roll Forward] | ||||
Balance at end of period | 3,847 | |||
The Lodge at Sonoma, a Renaissance Resort & Spa mortgage loan | ||||
Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | (27,633) | |||
Initial Cost - Land | 3,951 | |||
Initial Cost - Buildings and Improvements | 22,720 | |||
Costs Capitalized Subsequent to Acquisition | 8,601 | |||
Gross Amount at End of Year - Land | 3,951 | |||
Gross Amount at End of Year - Buildings and Improvements | 31,321 | |||
Gross Amount at End of Year - Total | 35,272 | 35,272 | ||
Accumulated Depreciation | $ (12,233) | (12,233) | ||
Net Book Value | 23,039 | |||
Depreciation Life (in years) | 40 years | |||
Deductions: | ||||
Balance at end of period | $ 35,272 | |||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate, Accumulated Depreciation [Roll Forward] | ||||
Balance at end of period | 12,233 | |||
Vail Marriott Mountain Resort & Spa | ||||
Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 0 | |||
Initial Cost - Land | 5,800 | |||
Initial Cost - Buildings and Improvements | 52,463 | |||
Costs Capitalized Subsequent to Acquisition | 17,335 | |||
Gross Amount at End of Year - Land | 5,800 | |||
Gross Amount at End of Year - Buildings and Improvements | 69,798 | |||
Gross Amount at End of Year - Total | 75,598 | 75,598 | ||
Accumulated Depreciation | $ (18,695) | (18,695) | ||
Net Book Value | 56,903 | |||
Depreciation Life (in years) | 40 years | |||
Deductions: | ||||
Balance at end of period | $ 75,598 | |||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate, Accumulated Depreciation [Roll Forward] | ||||
Balance at end of period | 18,695 | |||
Westin Fort Lauderdale Beach Resort | ||||
Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | 0 | |||
Initial Cost - Land | 54,293 | |||
Initial Cost - Buildings and Improvements | 83,227 | |||
Costs Capitalized Subsequent to Acquisition | 8,767 | |||
Gross Amount at End of Year - Land | 54,293 | |||
Gross Amount at End of Year - Buildings and Improvements | 91,994 | |||
Gross Amount at End of Year - Total | 146,287 | 146,287 | ||
Accumulated Depreciation | $ (8,929) | (8,929) | ||
Net Book Value | 137,358 | |||
Depreciation Life (in years) | 40 years | |||
Deductions: | ||||
Balance at end of period | $ 146,287 | |||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate, Accumulated Depreciation [Roll Forward] | ||||
Balance at end of period | 8,929 | |||
Westin San Diego | ||||
Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | (63,385) | |||
Initial Cost - Land | 22,902 | |||
Initial Cost - Buildings and Improvements | 95,617 | |||
Costs Capitalized Subsequent to Acquisition | 9,123 | |||
Gross Amount at End of Year - Land | 22,902 | |||
Gross Amount at End of Year - Buildings and Improvements | 104,740 | |||
Gross Amount at End of Year - Total | 127,642 | 127,642 | ||
Accumulated Depreciation | $ (16,454) | (16,454) | ||
Net Book Value | 111,188 | |||
Depreciation Life (in years) | 40 years | |||
Deductions: | ||||
Balance at end of period | $ 127,642 | |||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate, Accumulated Depreciation [Roll Forward] | ||||
Balance at end of period | 16,454 | |||
Westin Washington, D.C City Center | ||||
Real Estate and Accumulated Depreciation [Line Items] | ||||
Encumbrances | (62,734) | |||
Initial Cost - Land | 24,579 | |||
Initial Cost - Buildings and Improvements | 122,229 | |||
Costs Capitalized Subsequent to Acquisition | 11,802 | |||
Gross Amount at End of Year - Land | 24,579 | |||
Gross Amount at End of Year - Buildings and Improvements | 134,031 | |||
Gross Amount at End of Year - Total | 158,610 | 158,610 | ||
Accumulated Depreciation | $ (21,162) | (21,162) | ||
Net Book Value | $ 137,448 | |||
Depreciation Life (in years) | 40 years | |||
Deductions: | ||||
Balance at end of period | $ 158,610 | |||
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate, Accumulated Depreciation [Roll Forward] | ||||
Balance at end of period | $ 21,162 |