Document and Entity Information
Document and Entity Information - shares | 6 Months Ended | |
Jun. 30, 2022 | Jul. 29, 2022 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Jun. 30, 2022 | |
Document Transition Report | false | |
Entity File Number | 001-35169 | |
Entity Registrant Name | RLJ LODGING TRUST | |
Entity Incorporation, State or Country Code | MD | |
Entity Tax Identification Number | 27-4706509 | |
Entity Address, Address Line One | 3 Bethesda Metro Center, Suite 1000 | |
Entity Address, City or Town | Bethesda, | |
Entity Address, State or Province | MD | |
Entity Address, Postal Zip Code | 20814 | |
City Area Code | 301 | |
Local Phone Number | 280-7777 | |
Title of 12(b) Security | Common Shares of beneficial interest, par value $0.01 per share | |
Trading Symbol | RLJ | |
Security Exchange Name | NYSE | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Large Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 162,749,444 | |
Entity Central Index Key | 0001511337 | |
Current Fiscal Year End Date | --12-31 | |
Document Fiscal Year Focus | 2022 | |
Document Fiscal Period Focus | Q2 | |
Amendment Flag | false |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Assets | ||
Investment in hotel properties, net | $ 4,127,290 | $ 4,219,116 |
Investments in and Advance to Affiliates, Subsidiaries, Associates, and Joint Ventures | 6,927 | 6,522 |
Cash and cash equivalents | 511,481 | 665,341 |
Restricted cash reserves | 44,281 | 48,528 |
Hotel and other receivables, net of allowance of $332 and $274, respectively | 40,938 | 31,091 |
Operating Lease, Right-of-Use Asset | 142,213 | 144,988 |
Prepaid expense and other assets | 60,096 | 33,390 |
Total assets | 4,933,226 | 5,148,976 |
Liabilities and Equity | ||
Debt, net | 2,211,735 | 2,409,438 |
Accounts payable and other liabilities | 139,115 | 155,136 |
Contract with Customer, Liability | 18,583 | 20,047 |
Operating Lease, Liability | 121,609 | 123,031 |
Accrued interest | 18,617 | 19,110 |
Distributions payable | 7,995 | 8,347 |
Total liabilities | 2,517,654 | 2,735,109 |
Commitments and Contingencies (Note 10) | ||
Shareholders’ equity: | ||
Series A Cumulative Convertible Preferred Shares, $0.01 par value, 12,950,000 shares authorized; 12,879,475 shares issued and outstanding, liquidation value of $328,266, at June 30, 2022 and December 31, 2021 | 366,936 | 366,936 |
Common shares of beneficial interest, $0.01 par value, 450,000,000 shares authorized; 162,981,820 and 166,503,062 shares issued and outstanding at June 30, 2022 and December 31, 2021, respectively | 1,630 | 1,665 |
Additional paid-in capital | 3,053,345 | 3,092,883 |
Accumulated other comprehensive income (loss) | 24,594 | (17,113) |
Retained Earnings | (1,044,726) | (1,046,739) |
Total shareholders’ equity | 2,401,779 | 2,397,632 |
Noncontrolling interests: | ||
Noncontrolling interest in consolidated joint ventures | 7,468 | 9,919 |
Noncontrolling interest in the Operating Partnership | 6,325 | 6,316 |
Total noncontrolling interests | 13,793 | 16,235 |
Total equity | 2,415,572 | 2,413,867 |
Total liabilities and equity | $ 4,933,226 | $ 5,148,976 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Hotel and other receivables, allowance | $ 332 | $ 274 |
Preferred Stock, Par or Stated Value Per Share | $ 0.01 | $ 0.01 |
Preferred shares of beneficial interest, shares authorized | 50,000,000 | 50,000,000 |
Preferred Stock, Liquidation Preference, Value | $ 328,266 | $ 328,266 |
Common shares of beneficial interest, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common shares of beneficial interest, shares authorized | 450,000,000 | 450,000,000 |
Common shares of beneficial interest, shares issued | 162,981,820 | 166,503,062 |
Common shares of beneficial interest, shares outstanding | 162,981,820 | 166,503,062 |
Series A Cumulative Preferred Stock [Member] | ||
Preferred Stock, Par or Stated Value Per Share | $ 0.01 | $ 0.01 |
Preferred shares of beneficial interest, shares authorized | 12,950,000 | 12,950,000 |
Preferred shares of beneficial interest, shares issued | 12,879,475 | 12,879,475 |
Preferred shares of beneficial interest, shares outstanding | 12,879,475 | 12,879,475 |
Consolidated Statements of Oper
Consolidated Statements of Operations and Comprehensive Income - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Revenues | ||||
Total revenues | $ 330,501,000 | $ 194,254,000 | $ 573,400,000 | $ 313,806,000 |
Expenses | ||||
Operating Costs and Expenses | 349,558,000 | 209,584,000 | ||
Depreciation and amortization | 46,922,000 | 46,915,000 | 93,787,000 | 93,858,000 |
Impairment losses | 0 | 0 | 0 | 5,946,000 |
Property tax, insurance and other | 22,949,000 | 24,048,000 | 45,462,000 | 44,129,000 |
General and administrative | 13,348,000 | 12,133,000 | 27,482,000 | 22,934,000 |
Transaction costs | 136,000 | 195,000 | 198,000 | 255,000 |
Total operating expenses | 273,873,000 | 204,411,000 | 516,487,000 | 376,706,000 |
Other income (expense), net | 721,000 | (9,720,000) | 8,006,000 | (9,255,000) |
Interest income | 347,000 | 220,000 | 519,000 | 604,000 |
Interest expense | (23,855,000) | (26,366,000) | (48,416,000) | (54,261,000) |
(Loss) gain on sale of hotel properties, net | (364,000) | 103,000 | 1,053,000 | 1,186,000 |
Loss on extinguishment of indebtedness, net | 0 | (6,207,000) | 0 | (6,207,000) |
Income (loss) before equity in income (loss) from unconsolidated joint ventures | 33,477,000 | (52,127,000) | 18,075,000 | (130,833,000) |
Equity in income (loss) from unconsolidated joint ventures | 283,000 | 60,000 | 405,000 | (238,000) |
Income (loss) before income tax expense | 33,760,000 | (52,067,000) | 18,480,000 | (131,071,000) |
Income tax expense | (558,000) | (154,000) | (748,000) | (268,000) |
Net income (loss) | 33,202,000 | (52,221,000) | 17,732,000 | (131,339,000) |
Net (income) loss attributable to noncontrolling interests: | ||||
Noncontrolling interest in the Operating Partnership | (125,000) | 268,000 | (21,000) | 664,000 |
Noncontrolling interest in consolidated joint ventures | (111,000) | 506,000 | 7,000 | 1,242,000 |
Net income (loss) attributable to RLJ | 32,966,000 | (51,447,000) | 17,718,000 | (129,433,000) |
Preferred dividends | (6,279,000) | (6,279,000) | (12,557,000) | (12,557,000) |
Net income (loss) attributable to common shareholders | $ 26,687,000 | $ (57,726,000) | $ 5,161,000 | $ (141,990,000) |
Basic per common share data: | ||||
Net income per share attributable to common shareholders - basic (in dollars per share) | $ 0.16 | $ (0.35) | $ 0.03 | $ (0.87) |
Weighted-average number of common shares - basic (in shares) | 163,539,446 | 163,996,003 | 163,857,785 | 163,911,475 |
Comprehensive income (loss): | ||||
Net Income (Loss), Including Portion Attributable to Noncontrolling Interest | $ 33,202,000 | $ (52,221,000) | $ 17,732,000 | $ (131,339,000) |
Unrealized gain (loss) on interest rate derivatives | 13,380,000 | 5,375,000 | 47,573,000 | 22,095,000 |
Reclassification of unrealized losses (gains) on discontinued cash flow hedges to other income (expense), net | 10,658,000 | (5,866,000) | 10,658,000 | |
Comprehensive income (loss) | 46,582,000 | (36,188,000) | 59,439,000 | (98,586,000) |
Noncontrolling interest in consolidated joint ventures | (111,000) | 506,000 | 7,000 | 1,242,000 |
Noncontrolling interest in the Operating Partnership | (125,000) | 268,000 | (21,000) | 664,000 |
Comprehensive income (loss) attributable to RLJ | 46,346,000 | (35,414,000) | 59,425,000 | (96,680,000) |
Accumulated Other Comprehensive Income | ||||
Comprehensive income (loss): | ||||
Unrealized gain (loss) on interest rate derivatives | 13,380,000 | 5,375,000 | 47,573,000 | 22,095,000 |
Reclassification of unrealized losses (gains) on discontinued cash flow hedges to other income (expense), net | 0 | 10,658,000 | (5,866,000) | 10,658,000 |
Room Revenue | ||||
Revenues | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 280,676,000 | 166,554,000 | 486,455,000 | 269,326,000 |
Expenses | ||||
Operating Costs and Expenses | 65,793,000 | 42,898,000 | 119,621,000 | 72,325,000 |
Food and Beverage Revenue | ||||
Revenues | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 31,154,000 | 12,983,000 | 52,055,000 | 19,225,000 |
Expenses | ||||
Operating Costs and Expenses | 21,770,000 | 8,709,000 | 37,939,000 | 13,265,000 |
Other Revenue | ||||
Revenues | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 18,671,000 | 14,717,000 | 34,890,000 | 25,255,000 |
Expenses | ||||
Operating Costs and Expenses | 76,888,000 | 56,883,000 | 145,542,000 | 106,003,000 |
Management And Franchise Fee Expense | ||||
Expenses | ||||
Operating Costs and Expenses | 26,067,000 | 12,630,000 | $ 46,456,000 | $ 17,991,000 |
Hotel [Member] | ||||
Expenses | ||||
Operating Costs and Expenses | $ 190,518,000 | $ 121,120,000 |
Consolidated Statements of Chan
Consolidated Statements of Changes in Equity - USD ($) $ in Thousands | Total | Series A Cumulative Preferred Stock [Member] | Common Stock [Member] | Additional Paid-in-Capital | Retained Earnings (Distributions in excess of net earnings) | Accumulated Other Comprehensive Income | Operating Partnership | Consolidated Joint Venture |
Balance (in shares) at Dec. 31, 2020 | 12,879,475 | 165,002,752 | ||||||
Balance at Dec. 31, 2020 | $ 2,687,388 | $ 366,936 | $ 1,650 | $ 3,077,142 | $ (710,161) | $ (69,050) | $ 7,869 | $ 13,002 |
Increase (Decrease) in Owners' Equity | ||||||||
Net Income (Loss) Attributable to Parent | (129,433) | |||||||
Net income (loss) | (131,339) | (129,433) | (664) | (1,242) | ||||
Unrealized gain (loss) on interest rate derivatives | 22,095 | 22,095 | ||||||
Reclassification of unrealized losses (gains) on discontinued cash flow hedges to other income (expense), net | 10,658 | 10,658 | ||||||
Contributions from consolidated joint venture partners | 589 | 589 | ||||||
Share grants to trustees | 0 | $ 17 | (17) | |||||
Share grants to trustees (in shares) | 1,759,193 | |||||||
Amortization of share-based compensation | 8,124 | 8,124 | ||||||
Shares acquired to satisfy minimum required federal and state tax withholding on vesting restricted stock (in shares) | (133,767) | |||||||
Shares acquired to satisfy minimum required federal and state tax withholding on vesting restricted stock | (2,075) | $ (1) | (2,074) | |||||
Forfeiture of restricted stock (in shares) | (1,382) | |||||||
Dividends, Preferred Stock | (12,557) | (12,557) | ||||||
Distributions on common shares and units | (2,965) | (2,955) | (10) | |||||
Balance (in shares) at Jun. 30, 2021 | 12,879,475 | 166,626,796 | ||||||
Balance at Jun. 30, 2021 | 2,579,918 | $ 366,936 | $ 1,666 | 3,083,175 | (855,106) | (36,297) | 7,195 | 12,349 |
Balance (in shares) at Mar. 31, 2021 | 12,879,475 | 164,918,126 | ||||||
Balance at Mar. 31, 2021 | 2,619,208 | $ 366,936 | $ 1,649 | 3,078,824 | (795,706) | (52,330) | 7,470 | 12,365 |
Increase (Decrease) in Owners' Equity | ||||||||
Net Income (Loss) Attributable to Parent | (51,447) | (51,447) | ||||||
Net income (loss) | (52,221) | (268) | (506) | |||||
Unrealized gain (loss) on interest rate derivatives | 5,375 | 5,375 | ||||||
Reclassification of unrealized losses (gains) on discontinued cash flow hedges to other income (expense), net | 10,658 | 10,658 | ||||||
Contributions from consolidated joint venture partners | 490 | 490 | ||||||
Share grants to trustees | 0 | $ 17 | (17) | |||||
Share grants to trustees (in shares) | 1,759,193 | |||||||
Amortization of share-based compensation | 5,180 | 5,180 | ||||||
Shares acquired to satisfy minimum required federal and state tax withholding on vesting restricted stock (in shares) | (50,523) | |||||||
Shares acquired to satisfy minimum required federal and state tax withholding on vesting restricted stock | (812) | (812) | ||||||
Dividends, Preferred Stock | (6,279) | (6,279) | ||||||
Distributions on common shares and units | (1,681) | (1,674) | (7) | |||||
Balance (in shares) at Jun. 30, 2021 | 12,879,475 | 166,626,796 | ||||||
Balance at Jun. 30, 2021 | 2,579,918 | $ 366,936 | $ 1,666 | 3,083,175 | (855,106) | (36,297) | 7,195 | 12,349 |
Balance (in shares) at Dec. 31, 2021 | 12,879,475 | 166,503,062 | ||||||
Balance at Dec. 31, 2021 | 2,413,867 | $ 366,936 | $ 1,665 | 3,092,883 | (1,046,739) | (17,113) | 6,316 | 9,919 |
Increase (Decrease) in Owners' Equity | ||||||||
Net Income (Loss) Attributable to Parent | 17,718 | 17,718 | ||||||
Net income (loss) | 17,732 | 17,718 | 21 | (7) | ||||
Unrealized gain (loss) on interest rate derivatives | 47,573 | 47,573 | ||||||
Reclassification of unrealized losses (gains) on discontinued cash flow hedges to other income (expense), net | (5,866) | (5,866) | ||||||
Contributions from consolidated joint venture partners | 156 | 156 | ||||||
Distribution to consolidated joint venture partners | (2,600) | (2,600) | ||||||
Issuance of restricted stock (in shares) | 702,993 | |||||||
Issuance of restricted stock | 0 | $ 7 | (7) | |||||
Amortization of share-based compensation | 11,462 | 11,462 | ||||||
Shares acquired to satisfy minimum required federal and state tax withholding on vesting restricted stock (in shares) | (260,187) | |||||||
Shares acquired to satisfy minimum required federal and state tax withholding on vesting restricted stock | (3,589) | $ (3) | (3,586) | |||||
Shares acquired as part of a share repurchase program | (47,446) | $ (39) | (47,407) | |||||
Shares acquired as part of a share repurchase program (in shares) | (3,957,983) | |||||||
Forfeiture of restricted stock (in shares) | (6,065) | |||||||
Dividends, Preferred Stock | (12,557) | (12,557) | ||||||
Distributions on common shares and units | (3,160) | (3,148) | (12) | |||||
Balance (in shares) at Jun. 30, 2022 | 12,879,475 | 162,981,820 | ||||||
Balance at Jun. 30, 2022 | 2,415,572 | $ 366,936 | $ 1,630 | 3,053,345 | (1,044,726) | 24,594 | 6,325 | 7,468 |
Balance (in shares) at Mar. 31, 2022 | 12,879,475 | 166,843,586 | ||||||
Balance at Mar. 31, 2022 | 2,420,792 | $ 366,936 | $ 1,668 | 3,097,166 | (1,069,769) | 11,214 | 6,209 | 7,368 |
Increase (Decrease) in Owners' Equity | ||||||||
Net Income (Loss) Attributable to Parent | 32,966 | |||||||
Net income (loss) | 33,202 | 125 | 111 | |||||
Unrealized gain (loss) on interest rate derivatives | 13,380 | 13,380 | ||||||
Reclassification of unrealized losses (gains) on discontinued cash flow hedges to other income (expense), net | 0 | |||||||
Distribution to consolidated joint venture partners | (11) | (11) | ||||||
Issuance of restricted stock (in shares) | 270,214 | |||||||
Issuance of restricted stock | 0 | $ 3 | (3) | |||||
Amortization of share-based compensation | 5,907 | 5,907 | ||||||
Shares acquired to satisfy minimum required federal and state tax withholding on vesting restricted stock (in shares) | (172,561) | |||||||
Shares acquired to satisfy minimum required federal and state tax withholding on vesting restricted stock | (2,320) | $ (2) | (2,318) | |||||
Shares acquired as part of a share repurchase program | (47,446) | $ (39) | (47,407) | |||||
Shares acquired as part of a share repurchase program (in shares) | (3,957,983) | |||||||
Forfeiture of restricted stock (in shares) | (1,436) | |||||||
Dividends, Preferred Stock | (6,279) | (6,279) | ||||||
Distributions on common shares and units | (1,653) | (1,644) | (9) | |||||
Balance (in shares) at Jun. 30, 2022 | 12,879,475 | 162,981,820 | ||||||
Balance at Jun. 30, 2022 | $ 2,415,572 | $ 366,936 | $ 1,630 | $ 3,053,345 | $ (1,044,726) | $ 24,594 | $ 6,325 | $ 7,468 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) | 6 Months Ended | |
Jun. 30, 2022 | Jun. 30, 2021 | |
Cash flows from operating activities | ||
Net income (loss) | $ 17,732,000 | $ (131,339,000) |
Adjustments to reconcile net income (loss) to cash flow provided by (used in) operating activities: | ||
Gain on sale of hotel properties, net | (1,053,000) | (1,186,000) |
Loss on extinguishment of indebtedness, net | 0 | 6,207,000 |
Depreciation and amortization | 93,787,000 | 93,858,000 |
Amortization of deferred financing costs | 3,101,000 | 2,685,000 |
Other amortization | 1,136,000 | (1,177,000) |
Reclassification of unrealized (gains) losses on discontinued cash flow hedges to other income (expense), net | (5,866,000) | 10,658,000 |
Equity in (income) loss from unconsolidated joint ventures | (405,000) | 238,000 |
Impairment losses | 0 | 5,946,000 |
Amortization of share-based compensation | 10,654,000 | 7,600,000 |
Changes in assets and liabilities: | ||
Hotel and other receivables, net | (10,018,000) | (12,071,000) |
Prepaid expense and other assets | 1,450,000 | 1,969,000 |
Accounts payable and other liabilities | 7,680,000 | 2,058,000 |
Advance deposits and deferred revenue | (1,401,000) | (9,399,000) |
Accrued interest | (493,000) | (66,000) |
Net cash flow provided by (used in) operating activities | 116,304,000 | (24,019,000) |
Cash flows from investing activities | ||
Proceeds from sales of hotel properties, net | 48,073,000 | 16,268,000 |
Improvements and additions to hotel properties | (51,406,000) | (25,087,000) |
Purchase deposits | (1,500,000) | (1,500,000) |
Contributions to unconsolidated joint ventures | 0 | (331,000) |
Net cash flow used in investing activities | (4,833,000) | (10,650,000) |
Cash flows from financing activities | ||
Repayment of Revolver | (200,000,000) | (200,000,000) |
Proceeds from issuance of $500.0 million senior notes due 2026 | 0 | 500,000,000 |
Scheduled mortgage loan principal payments | 0 | (1,488,000) |
Repayments of Term Loans | 0 | (356,338,000) |
Repayments of mortgage loans | 0 | (120,469,000) |
Repurchase of common shares under a share repurchase program | (47,446,000) | 0 |
Repurchase of common shares to satisfy employee tax withholding requirements | (3,589,000) | (2,075,000) |
Distributions on preferred shares | (12,557,000) | (12,557,000) |
Distributions on common shares | (3,522,000) | (3,369,000) |
Distributions on Operating Partnership units | (10,000) | (10,000) |
Payments of deferred financing costs | (10,000) | (7,670,000) |
Contributions from consolidated joint venture partners | 156,000 | 589,000 |
Distribution to consolidated joint venture partners | (2,600,000) | 0 |
Net cash flow used in financing activities | (269,578,000) | (203,387,000) |
Net change in cash, cash equivalents, and restricted cash reserves | (158,107,000) | (238,056,000) |
Cash, cash equivalents, and restricted cash reserves, beginning of year | 713,869,000 | 934,790,000 |
Cash, cash equivalents, and restricted cash reserves, end of period | $ 555,762,000 | $ 696,734,000 |
General
General | 6 Months Ended |
Jun. 30, 2022 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
General | General Organization RLJ Lodging Trust (the "Company") was formed as a Maryland real estate investment trust ("REIT") on January 31, 2011. The Company is a self-advised and self-administered REIT that owns primarily premium-branded, high-margin, focused-service and compact full-service hotels. The Company elected to be taxed as a REIT, for U.S. federal income tax purposes, commencing with its taxable year ended December 31, 2011. Substantially all of the Company’s assets and liabilities are held by, and all of its operations are conducted through, RLJ Lodging Trust, L.P. (the "Operating Partnership"). The Company is the sole general partner of the Operating Partnership. As of June 30, 2022, there were 163,753,651 units of limited partnership interest in the Operating Partnership ("OP units") outstanding and the Company owned, through a combination of direct and indirect interests, 99.5% of the outstanding OP units. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 6 Months Ended |
Jun. 30, 2022 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | Summary of Significant Accounting Policies The Company's Annual Report on Form 10-K for the year ended December 31, 2021, filed with the Securities and Exchange Commission ("SEC") on February 24, 2022 (the "Annual Report"), contains a discussion of the Company's significant accounting policies. Other than noted below, there have been no significant changes to the Company's significant accounting policies since December 31, 2021. Basis of Presentation and Principles of Consolidation The unaudited consolidated financial statements and related notes have been prepared on the accrual basis of accounting in accordance with accounting principles generally accepted in the United States of America ("GAAP") and in conformity with the rules and regulations of the SEC applicable to financial information. The unaudited financial statements include all adjustments of a normal recurring nature that are necessary, in the opinion of management, to fairly state the consolidated balance sheets, statements of operations and comprehensive income (loss), statements of changes in equity and statements of cash flows. The unaudited consolidated financial statements should be read in conjunction with the consolidated financial statements and notes thereto as of and for the year ended December 31, 2021, included in the Annual Report. The consolidated financial statements include the accounts of the Company, the Operating Partnership and its wholly-owned subsidiaries, and joint ventures in which the Company has a majority voting interest and control. For the controlled subsidiaries that are not wholly-owned, the third-party ownership interest represents a noncontrolling interest, which is presented separately in the consolidated financial statements. The Company also records the real estate interest in one hotel property in which it holds a 50% non-controlling interest using the equity method of accounting. All intercompany balances and transactions have been eliminated in consolidation. Reclassifications Certain prior year amounts in these financial statements have been reclassified to conform to the current year presentation with no impact to net income (loss) and comprehensive income (loss), shareholders’ equity or cash flows. Use of Estimates The preparation of the Company’s financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of certain assets and liabilities and the amounts of contingent assets and liabilities at the balance sheet date and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Recently Issued Accounting Pronouncements In March 2020, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") 2020-04, Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting. |
Investment in Hotel Properties
Investment in Hotel Properties | 6 Months Ended |
Jun. 30, 2022 | |
Property, Plant and Equipment [Abstract] | |
Investment in Hotel Properties | Investment in Hotel Properties Investment in hotel properties consisted of the following (in thousands): June 30, 2022 December 31, 2021 Land and improvements $ 970,821 $ 975,688 Buildings and improvements 3,959,957 4,001,875 Furniture, fixtures and equipment 704,311 691,057 5,635,089 5,668,620 Accumulated depreciation (1,507,799) (1,449,504) Investment in hotel properties, net $ 4,127,290 $ 4,219,116 For the three and six months ended June 30, 2022, the Company recognized depreciation expense related to its investment in hotel properties of approximately $46.8 million and $93.5 million, respectively. For the three and six months ended June 30, 2021 the Company recognized depreciation expense related to its investment in hotel properties of approximately $46.8 million and $93.6 million, respectively. Impairments |
Sale of Hotel Properties
Sale of Hotel Properties | 6 Months Ended |
Jun. 30, 2022 | |
Discontinued Operations and Disposal Groups [Abstract] | |
Sale of Hotel Properties | Sale of Hotel Properties In connection with the sale of hotel properties for the six months ended June 30, 2022 and 2021, the Company recorded a net gain of $1.1 million and $1.2 million, respectively. During the six months ended June 30, 2022, the Company sold the following hotel properties in two separate transactions for combined sales prices of approximately $49.9 million: Hotel Property Name Location Sale Date Rooms Marriott Denver Airport Gateway Park Aurora, CO March 8, 2022 238 SpringHill Suites Denver North Westminster Westminster, CO April 19, 2022 164 Total 402 During the six months ended June 30, 2021, the Company sold the following hotel properties in three separate transactions for a combined sales price of approximately $17.7 million: Hotel Property Name Location Sale Date Rooms Courtyard Houston Sugarland Stafford, TX January 21, 2021 112 Residence Inn Indianapolis Fishers Indianapolis, IN May 10, 2021 78 Residence Inn Chicago Naperville Warrenville, IL May 12, 2021 130 Total 320 |
Revenue
Revenue | 6 Months Ended |
Jun. 30, 2022 | |
Revenue from Contract with Customer [Abstract] | |
Revenue | Revenue The Company recognized revenue from the following geographic markets (in thousands): For the three months ended June 30, 2022 For the three months ended June 30, 2021 Room Revenue Food and Beverage Revenue Other Revenue Total Revenue Room Revenue Food and Beverage Revenue Other Revenue Total Revenue Northern California $ 36,589 $ 2,773 $ 1,698 $ 41,060 $ 14,563 $ 428 $ 1,043 $ 16,034 South Florida 29,537 4,953 2,270 36,760 28,175 3,483 2,177 33,835 Southern California 31,101 2,161 2,615 35,877 22,560 1,384 2,524 26,468 New York City 16,134 2,855 701 19,690 6,622 266 273 7,161 Chicago 15,104 2,343 737 18,184 12,131 1,681 573 14,385 Washington, DC 15,171 364 661 16,196 5,944 60 476 6,480 Louisville 10,929 3,166 876 14,971 3,551 942 667 5,160 Boston 13,000 1,051 389 14,440 2,863 91 55 3,009 Austin 11,119 873 810 12,802 5,952 317 709 6,978 Atlanta 10,275 666 992 11,933 4,501 83 605 5,189 Houston 10,029 792 1,032 11,853 7,248 167 769 8,184 New Orleans 10,638 262 742 11,642 4,657 29 658 5,344 Pittsburgh 8,351 2,291 400 11,042 5,440 706 204 6,350 Denver 8,405 1,894 359 10,658 5,519 899 227 6,645 Charleston 8,452 1,435 396 10,283 8,520 1,161 541 10,222 Other 45,842 3,275 3,993 53,110 28,308 1,286 3,216 32,810 Total $ 280,676 $ 31,154 $ 18,671 $ 330,501 $ 166,554 $ 12,983 $ 14,717 $ 194,254 For the six months ended June 30, 2022 For the six months ended June 30, 2021 Room Revenue Food and Beverage Revenue Other Revenue Total Revenue Room Revenue Food and Beverage Revenue Other Revenue Total Revenue South Florida $ 66,948 $ 9,692 $ 4,493 $ 81,133 $ 49,003 $ 5,848 $ 3,933 $ 58,784 Northern California 56,797 4,386 2,735 63,918 23,407 645 1,743 25,795 Southern California 54,692 3,822 4,772 63,286 34,465 1,722 3,931 40,118 Chicago 24,064 3,966 1,197 29,227 18,522 2,365 931 21,818 New York City 23,796 3,644 1,174 28,614 9,860 283 402 10,545 Washington DC 23,496 481 1,251 25,228 10,079 89 760 10,928 Louisville 15,773 5,159 1,755 22,687 5,332 1,310 1,022 7,664 Austin 19,501 1,544 1,550 22,595 9,559 539 1,188 11,286 Houston 18,557 1,361 1,899 21,817 12,571 265 1,437 14,273 Atlanta 17,960 1,052 1,816 20,828 7,649 151 1,098 8,898 New Orleans 18,494 425 1,439 20,358 7,007 29 1,041 8,077 Boston 17,671 1,547 621 19,839 4,654 111 105 4,870 Denver 14,957 3,621 679 19,257 7,720 1,297 557 9,574 Charleston 15,190 2,631 899 18,720 11,698 1,461 942 14,101 Pittsburgh 12,481 3,198 721 16,400 10,070 943 374 11,387 Other 86,078 5,526 7,889 99,493 47,730 2,167 5,791 55,688 Total $ 486,455 $ 52,055 $ 34,890 $ 573,400 $ 269,326 $ 19,225 $ 25,255 $ 313,806 |
Debt
Debt | 6 Months Ended |
Jun. 30, 2022 | |
Debt Disclosure [Abstract] | |
Debt | 150.0% Yes Incurrence Covenants Consolidated Indebtedness less than Adjusted Total Assets < .65x Yes Consolidated Secured Indebtedness less than Adjusted Total Assets < .45x Yes Interest Coverage Ratio > 1.5x Yes As of June 30, 2022 and December 31, 2021, the Company was in compliance with all covenants associated with the Senior Notes. Revolver and Term Loans The Company has the following credit agreements in place: • $600.0 million revolving credit facility with a scheduled maturity date of May 18, 2024 and a one year extension option if certain conditions are satisfied (the "Revolver"); • $400.0 million term loan with a scheduled maturity date (excluding the available extension option) of January 25, 2023 (the "$400 Million Term Loan Maturing 2023"); • $225.0 million term loan with a scheduled maturity date (excluding the available extension option) of January 25, 2023 (the "$225 Million Term Loan Maturing 2023"); • $150.0 million term loan with a scheduled maturity date (excluding the available extension option) of June 10, 2023 (the "$150 Million Term Loan Maturing 2023"); and • $400.0 million term loan with a scheduled maturity date of May 18, 2025 (the "$400 Million Term Loan Maturing 2025"). The $400 Million Term Loan Maturing 2023, the $225 Million Term Loan Maturing 2023, the $150 Million Term Loan Maturing 2023, and the $400 Million Term Loan Maturing 2025 are collectively the "Term Loans." The Company's credit agreements consisted of the following (dollars in thousands): Carrying Value at Interest Rate at June 30, 2022 (1) Maturity Date June 30, 2022 December 31, 2021 Revolver (2) 4.29% May 2024 $ — $ 200,000 $400 Million Term Loan Maturing 2023 4.69% January 2023 (4) 203,944 203,944 $225 Million Term Loan Maturing 2023 4.27% January 2023 (5) 114,718 114,718 $150 Million Term Loan Maturing 2023 4.18% June 2023 (6) 100,000 100,000 $400 Million Term Loan Maturing 2025 4.00% May 2025 400,000 400,000 818,662 1,018,662 Deferred financing costs, net (3) (2,785) (3,658) Total Revolver and Term Loans, net $ 815,877 $ 1,015,004 (1) Interest rate at June 30, 2022 gives effect to interest rate hedges. (2) At June 30, 2022 and December 31, 2021, there was $600.0 million and $400.0 million of remaining capacity on the Revolver, respectively. The Company also has the ability to extend the maturity date for an additional one year period ending May 2025 if certain conditions are satisfied. (3) Excludes $2.3 million and $2.9 million as of June 30, 2022 and December 31, 2021, respectively, related to deferred financing costs on the Revolver, which are included in prepaid expense and other assets in the accompanying consolidated balance sheets. (4) This term loan includes a one-year extension option for approximately $151.7 million of the principal balance. The exercise of the one-year extension option will be at the Company's discretion, subject to certain conditions. (5) This term loan includes a one-year extension option for approximately $73.0 million of the principal balance. The exercise of the one-year extension option will be at the Company's discretion, subject to certain conditions. (6) The Company has the option to extend the maturity one The Revolver and Term Loans are subject to various financial covenants. A summary of the most restrictive covenants is as follows: Original Covenant Modified Covenant (3) Compliance Leverage ratio (1) <= 7.00x <= 8.50x Yes Fixed charge coverage ratio (2) >= 1.50x >= 1.50x Yes Secured indebtedness ratio <= 45.0% <= 45.0% Yes Unencumbered indebtedness ratio <= 60.0% <= 65.0% Yes Unencumbered debt service coverage ratio >= 2.00x >= 1.50x Yes Maintain minimum liquidity level N/A >= $225.0 million Yes (1) Leverage ratio is net indebtedness, as defined in the Revolver and Term Loan agreements, to corporate earnings before interest, taxes, depreciation, and amortization ("EBITDA"), as defined in the Revolver and Term Loan agreements. (2) Fixed charge coverage ratio is Adjusted EBITDA, generally defined in the Revolver and Term Loan agreements as EBITDA less furniture, fixtures and equipment ("FF&E") reserves, to fixed charges, which is generally defined in the Revolver and Term Loan agreements as interest expense, all regularly scheduled principal payments, preferred dividends paid, and cash taxes paid. (3) During the year ended December 31, 2021, the Company amended its Revolver and Term Loans. The amendments suspended the testing of all existing financial maintenance covenants for all periods through and including the quarter ending March 31, 2022 (the “Covenant Relief Period”). During the quarter ended June 30, 2022, the Company exited the Covenant Relief Period. In addition, for periods following the Covenant Relief Period, the amendments modified certain covenant thresholds, including the leverage ratio, through the fifth quarter following the Covenant Relief Period (the "Leverage Relief Period"). In April 2022, the Company also amended the Revolver and Term Loans to allow for repurchases of the Company's shares up to $50.0 million with either cash on hand, cash from operations, or disposition proceeds. In August 2022, the Company exited the Leverage Relief Period under its Revolver and Term Loan agreements. The impact of these exits includes the reinstatement of financial covenants, the elimination of the minimum liquidity financial covenant, the elimination of limitations on share repurchases and the reinstatement of the original leverage-based pricing grid. Mortgage Loans The Company's mortgage loans consisted of the following (dollars in thousands): Carrying Value at Number of Assets Encumbered Interest Rate at June 30, 2022 Maturity Date June 30, 2022 December 31, 2021 Mortgage loan (1) 7 3.30% (3) April 2023 (4) $ 200,000 $ 200,000 Mortgage loan (1) 3 2.53% (3) April 2024 (5) 96,000 96,000 Mortgage loan (1) 4 3.43% (3) April 2024 (5) 85,000 85,000 Mortgage loan (2) 1 5.06% January 2029 27,373 27,554 15 408,373 408,554 Deferred financing costs, net (640) (1,062) Total mortgage loans, net $ 407,733 $ 407,492 (1) The hotels encumbered by the mortgage loan are cross-collateralized. Requires payments of interest only through maturity. (2) Includes $2.4 million and $2.6 million at June 30, 2022 and December 31, 2021, respectively, related to a fair value adjustment on this mortgage loan. (3) Interest rate at June 30, 2022 gives effect to interest rate hedges. (4) The mortgage loan provides a one year extension option. (5) The mortgage loan provides two one year extension options. Certain mortgage agreements are subject to various maintenance covenants requiring the Company to maintain a minimum debt yield or debt service coverage ratio ("DSCR"). Failure to meet the debt yield or DSCR thresholds is not an event of default, but instead triggers a cash trap event. During the cash trap event, the lender or servicer of the mortgage loan controls cash outflows until the loan is covenant compliant. In addition certain mortgage loans have other requirements including continued operation and maintenance of the hotel property. At June 30, 2022 and December 31, 2021, one and two mortgage loans, respectively, were in cash trap events. In addition, the DSCR covenant for one mortgage loan has been waived through December 31, 2022. At June 30, 2022 and December 31, 2021, there was approximately $12.3 million and $22.4 million, respectively, of restricted cash held by lenders due to cash trap events. Interest Expense The components of the Company's interest expense consisted of the following (in thousands): For the three months ended June 30, For the six months ended June 30, 2022 2021 2022 2021 Senior Notes $ 9,688 $ 6,685 $ 19,431 $ 12,627 Revolver and Term Loans 9,136 14,023 19,104 31,201 Mortgage loans 3,329 4,294 6,539 7,748 Amortization of deferred financing costs 1,417 1,364 3,101 2,685 Non-cash interest expense related to interest rate hedges 285 — 241 — Total interest expense $ 23,855 $ 26,366 $ 48,416 $ 54,261 " id="sjs-B4" xml:space="preserve">Debt The Company's debt consisted of the following (in thousands): June 30, 2022 December 31, 2021 Senior Notes, net $ 988,125 $ 986,942 Revolver — 200,000 Term Loans, net 815,877 815,004 Mortgage loans, net 407,733 407,492 Debt, net $ 2,211,735 $ 2,409,438 Senior Notes As of June 30, 2022 and December 31, 2021, respectively, the Company's Senior Notes (collectively, the "Senior Notes") consisted of the following (dollars in thousands): Carrying Value at Interest Rate Maturity Date June 30, 2022 December 31, 2021 Senior Notes due 2029 4.00% September 2029 $ 500,000 $ 500,000 Senior Notes due 2026 3.75% July 2026 500,000 500,000 1,000,000 1,000,000 Deferred financing costs, net (11,875) (13,058) Total senior notes, net $ 988,125 $ 986,942 The indentures governing the Senior Notes contain customary covenants that will limit the Operating Partnership’s ability and, in certain instances, the ability of its subsidiaries, to incur additional debt, create liens on assets, make distributions and pay dividends, make certain types of investments, issue guarantees of indebtedness, and make certain restricted payments. These limitations are subject to a number of exceptions and qualifications set forth in the indentures. A summary of the various restrictive covenants for the Senior Notes are as follows: Covenant Compliance Maintenance Covenant Unencumbered Asset to Unencumbered Debt Ratio > 150.0% Yes Incurrence Covenants Consolidated Indebtedness less than Adjusted Total Assets < .65x Yes Consolidated Secured Indebtedness less than Adjusted Total Assets < .45x Yes Interest Coverage Ratio > 1.5x Yes As of June 30, 2022 and December 31, 2021, the Company was in compliance with all covenants associated with the Senior Notes. Revolver and Term Loans The Company has the following credit agreements in place: • $600.0 million revolving credit facility with a scheduled maturity date of May 18, 2024 and a one year extension option if certain conditions are satisfied (the "Revolver"); • $400.0 million term loan with a scheduled maturity date (excluding the available extension option) of January 25, 2023 (the "$400 Million Term Loan Maturing 2023"); • $225.0 million term loan with a scheduled maturity date (excluding the available extension option) of January 25, 2023 (the "$225 Million Term Loan Maturing 2023"); • $150.0 million term loan with a scheduled maturity date (excluding the available extension option) of June 10, 2023 (the "$150 Million Term Loan Maturing 2023"); and • $400.0 million term loan with a scheduled maturity date of May 18, 2025 (the "$400 Million Term Loan Maturing 2025"). The $400 Million Term Loan Maturing 2023, the $225 Million Term Loan Maturing 2023, the $150 Million Term Loan Maturing 2023, and the $400 Million Term Loan Maturing 2025 are collectively the "Term Loans." The Company's credit agreements consisted of the following (dollars in thousands): Carrying Value at Interest Rate at June 30, 2022 (1) Maturity Date June 30, 2022 December 31, 2021 Revolver (2) 4.29% May 2024 $ — $ 200,000 $400 Million Term Loan Maturing 2023 4.69% January 2023 (4) 203,944 203,944 $225 Million Term Loan Maturing 2023 4.27% January 2023 (5) 114,718 114,718 $150 Million Term Loan Maturing 2023 4.18% June 2023 (6) 100,000 100,000 $400 Million Term Loan Maturing 2025 4.00% May 2025 400,000 400,000 818,662 1,018,662 Deferred financing costs, net (3) (2,785) (3,658) Total Revolver and Term Loans, net $ 815,877 $ 1,015,004 (1) Interest rate at June 30, 2022 gives effect to interest rate hedges. (2) At June 30, 2022 and December 31, 2021, there was $600.0 million and $400.0 million of remaining capacity on the Revolver, respectively. The Company also has the ability to extend the maturity date for an additional one year period ending May 2025 if certain conditions are satisfied. (3) Excludes $2.3 million and $2.9 million as of June 30, 2022 and December 31, 2021, respectively, related to deferred financing costs on the Revolver, which are included in prepaid expense and other assets in the accompanying consolidated balance sheets. (4) This term loan includes a one-year extension option for approximately $151.7 million of the principal balance. The exercise of the one-year extension option will be at the Company's discretion, subject to certain conditions. (5) This term loan includes a one-year extension option for approximately $73.0 million of the principal balance. The exercise of the one-year extension option will be at the Company's discretion, subject to certain conditions. (6) The Company has the option to extend the maturity one The Revolver and Term Loans are subject to various financial covenants. A summary of the most restrictive covenants is as follows: Original Covenant Modified Covenant (3) Compliance Leverage ratio (1) <= 7.00x <= 8.50x Yes Fixed charge coverage ratio (2) >= 1.50x >= 1.50x Yes Secured indebtedness ratio <= 45.0% <= 45.0% Yes Unencumbered indebtedness ratio <= 60.0% <= 65.0% Yes Unencumbered debt service coverage ratio >= 2.00x >= 1.50x Yes Maintain minimum liquidity level N/A >= $225.0 million Yes (1) Leverage ratio is net indebtedness, as defined in the Revolver and Term Loan agreements, to corporate earnings before interest, taxes, depreciation, and amortization ("EBITDA"), as defined in the Revolver and Term Loan agreements. (2) Fixed charge coverage ratio is Adjusted EBITDA, generally defined in the Revolver and Term Loan agreements as EBITDA less furniture, fixtures and equipment ("FF&E") reserves, to fixed charges, which is generally defined in the Revolver and Term Loan agreements as interest expense, all regularly scheduled principal payments, preferred dividends paid, and cash taxes paid. (3) During the year ended December 31, 2021, the Company amended its Revolver and Term Loans. The amendments suspended the testing of all existing financial maintenance covenants for all periods through and including the quarter ending March 31, 2022 (the “Covenant Relief Period”). During the quarter ended June 30, 2022, the Company exited the Covenant Relief Period. In addition, for periods following the Covenant Relief Period, the amendments modified certain covenant thresholds, including the leverage ratio, through the fifth quarter following the Covenant Relief Period (the "Leverage Relief Period"). In April 2022, the Company also amended the Revolver and Term Loans to allow for repurchases of the Company's shares up to $50.0 million with either cash on hand, cash from operations, or disposition proceeds. In August 2022, the Company exited the Leverage Relief Period under its Revolver and Term Loan agreements. The impact of these exits includes the reinstatement of financial covenants, the elimination of the minimum liquidity financial covenant, the elimination of limitations on share repurchases and the reinstatement of the original leverage-based pricing grid. Mortgage Loans The Company's mortgage loans consisted of the following (dollars in thousands): Carrying Value at Number of Assets Encumbered Interest Rate at June 30, 2022 Maturity Date June 30, 2022 December 31, 2021 Mortgage loan (1) 7 3.30% (3) April 2023 (4) $ 200,000 $ 200,000 Mortgage loan (1) 3 2.53% (3) April 2024 (5) 96,000 96,000 Mortgage loan (1) 4 3.43% (3) April 2024 (5) 85,000 85,000 Mortgage loan (2) 1 5.06% January 2029 27,373 27,554 15 408,373 408,554 Deferred financing costs, net (640) (1,062) Total mortgage loans, net $ 407,733 $ 407,492 (1) The hotels encumbered by the mortgage loan are cross-collateralized. Requires payments of interest only through maturity. (2) Includes $2.4 million and $2.6 million at June 30, 2022 and December 31, 2021, respectively, related to a fair value adjustment on this mortgage loan. (3) Interest rate at June 30, 2022 gives effect to interest rate hedges. (4) The mortgage loan provides a one year extension option. (5) The mortgage loan provides two one year extension options. Certain mortgage agreements are subject to various maintenance covenants requiring the Company to maintain a minimum debt yield or debt service coverage ratio ("DSCR"). Failure to meet the debt yield or DSCR thresholds is not an event of default, but instead triggers a cash trap event. During the cash trap event, the lender or servicer of the mortgage loan controls cash outflows until the loan is covenant compliant. In addition certain mortgage loans have other requirements including continued operation and maintenance of the hotel property. At June 30, 2022 and December 31, 2021, one and two mortgage loans, respectively, were in cash trap events. In addition, the DSCR covenant for one mortgage loan has been waived through December 31, 2022. At June 30, 2022 and December 31, 2021, there was approximately $12.3 million and $22.4 million, respectively, of restricted cash held by lenders due to cash trap events. Interest Expense The components of the Company's interest expense consisted of the following (in thousands): For the three months ended June 30, For the six months ended June 30, 2022 2021 2022 2021 Senior Notes $ 9,688 $ 6,685 $ 19,431 $ 12,627 Revolver and Term Loans 9,136 14,023 19,104 31,201 Mortgage loans 3,329 4,294 6,539 7,748 Amortization of deferred financing costs 1,417 1,364 3,101 2,685 Non-cash interest expense related to interest rate hedges 285 — 241 — Total interest expense $ 23,855 $ 26,366 $ 48,416 $ 54,261 |
Derivatives and Hedging Activit
Derivatives and Hedging Activities | 6 Months Ended |
Jun. 30, 2022 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivatives and Hedging Activities | Derivatives and Hedging Activities The following interest rate swaps have been designated as cash flow hedges (in thousands): Notional value at Fair value at Hedge type Interest Maturity June 30, 2022 December 31, 2021 June 30, 2022 December 31, 2021 Swap-cash flow (1) 2.29% December 2022 $ 200,000 $ 200,000 $ 159 $ (4,077) Swap-cash flow (1) 2.29% December 2022 125,000 125,000 101 (2,545) Swap-cash flow (2) 2.38% December 2022 — 87,780 — (1,879) Swap-cash flow (2) 2.38% December 2022 — 36,875 — (789) Swap-cash flow 2.39% December 2023 75,000 75,000 718 (2,504) Swap-cash flow 2.51% December 2023 75,000 75,000 577 (2,692) Swap-cash flow 2.75% November 2023 100,000 100,000 343 (3,893) Swap-cash flow (3) 1.28% September 2022 24,662 100,000 26 (759) Swap-cash flow 1.24% September 2025 150,000 150,000 7,601 (860) Swap-cash flow 1.16% April 2024 50,000 50,000 1,701 (338) Swap-cash flow 1.20% April 2024 50,000 50,000 1,663 (387) Swap-cash flow 1.15% April 2024 50,000 50,000 1,710 (327) Swap-cash flow 1.10% April 2024 50,000 50,000 1,757 (267) Swap-cash flow 0.98% April 2024 25,000 25,000 934 (61) Swap-cash flow 0.95% April 2024 25,000 25,000 948 (43) Swap-cash flow (4) 0.93% April 2024 25,000 25,000 958 (31) Swap-cash flow (4) 0.90% April 2024 25,000 25,000 972 (13) Swap-cash flow (4) 0.85% December 2024 50,000 50,000 2,532 221 Swap-cash flow (4) 0.75% December 2024 50,000 50,000 2,655 372 Swap-cash flow (4) 0.65% January 2026 50,000 50,000 3,775 955 $ 1,199,662 $ 1,399,655 $ 29,130 $ (19,917) (1) In June 2021, the Company dedesignated a portion of the original notional value of these swaps as the hedged forecasted transactions were no longer probable of occurring. Therefore, the Company reclassified a total of $4.4 million of unrealized losses included in other comprehensive income (loss) to other income, net, in the consolidated statements of operations and comprehensive income (loss). The portion of the swaps that were dedesignated were subsequently redesignated and the amounts related to the initial fair values of $4.4 million that were recorded in other comprehensive income (loss) during the new hedging relationship will be reclassified to earnings on a straight line basis over the remaining life of these swaps. (2) In June 2021, the Company terminated a portion of the original notional value of these swaps as the hedged forecasted transactions were no longer probable of occurring and paid approximately $6.2 million to terminate a portion of these swaps. In February 2022, the Company paid a total of approximately $1.5 million to terminate these swaps and will reclassify the unrealized losses included in other comprehensive income (loss) to earnings on a straight line basis over the remaining life of these swaps. (3) In February 2022, the Company terminated approximately $75.3 million of the original $100.0 million notional value of this swap as the hedged forecasted transactions were no longer probable of occurring. As part of the swap termination, the Company paid approximately $0.2 million to terminate a portion of this swap. The Company will reclassify the unrealized losses included in other comprehensive income (loss) to earnings on a straight line basis over the remaining life of the swap. (4) In February 2022, the Company dedesignated these swaps as the hedged forecasted transactions were no longer probable of occurring. Therefore, the Company reclassified a total of approximately $5.9 million of unrealized gains included in other comprehensive income (loss) to other income, net, in the consolidated statements of operations and comprehensive income (loss). These swaps were subsequently redesignated and the amounts related to the initial fair value of $5.9 million that are recorded in other comprehensive income (loss) during the new hedging relationship will be reclassified to earnings on a straight line basis over the remaining life of these swaps. As of June 30, 2022 and December 31, 2021, the aggregate fair value of the interest rate swap assets of $29.1 million and $1.5 million, respectively, was included in prepaid expense and other assets in the accompanying consolidated balance sheets. As of December 31, 2021, the aggregate fair value of the interest rate swap liabilities of $21.5 million was included in accounts payable and other liabilities in the accompanying consolidated balance sheet. |
Fair Value
Fair Value | 6 Months Ended |
Jun. 30, 2022 | |
Fair Value Disclosures [Abstract] | |
Fair Value | Fair Value Fair Value Measurement Fair value is defined as the price that would be received upon the sale of an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date in the principal or most advantageous market. The fair value hierarchy has three levels of inputs, both observable and unobservable: • Level 1 — Inputs include quoted market prices in an active market for identical assets or liabilities. • Level 2 — Inputs are market data, other than Level 1, that are observable either directly or indirectly. Level 2 inputs include quoted market prices for similar assets or liabilities, quoted market prices in an inactive market, and other observable information that can be corroborated by market data. • Level 3 — Inputs are unobservable and corroborated by little or no market data. Fair Value of Financial Instruments The Company used the following market assumptions and/or estimation methods: • Cash and cash equivalents, restricted cash reserves, hotel and other receivables, accounts payable and other liabilities — The carrying amounts reported in the consolidated balance sheets for these financial instruments approximate fair value because of their short term maturities. • Debt — The Company estimated the fair value of the Senior Notes by using publicly available trading prices, which are Level 1 inputs in the fair value hierarchy. The Company estimated the fair value of the Revolver and Term Loans by using a discounted cash flow model and incorporating various inputs and assumptions for the effective borrowing rates for debt with similar terms, which are Level 2 and Level 3 inputs in the fair value hierarchy. The Company estimated the fair value of the mortgage loans by using a discounted cash flow model and incorporating various inputs and assumptions for the effective borrowing rates for debt with similar terms and the loan to estimated fair value of the collateral, which are Level 3 inputs in the fair value hierarchy. The fair value of the Company's debt was as follows (in thousands): June 30, 2022 December 31, 2021 Carrying Value Fair Value Carrying Value Fair Value Senior Notes, net $ 988,125 $ 854,850 $ 986,942 $ 999,060 Revolver and Term Loans, net 815,877 799,993 1,015,004 1,006,647 Mortgage loans, net 407,733 399,671 407,492 401,387 Debt, net $ 2,211,735 $ 2,054,514 $ 2,409,438 $ 2,407,094 Recurring Fair Value Measurements The following table presents the Company’s fair value hierarchy for those financial assets and liabilities measured at fair value on a recurring basis as of June 30, 2022 (in thousands): Fair Value at June 30, 2022 Level 1 Level 2 Level 3 Total Interest rate swap asset $ — $ 29,130 $ — $ 29,130 Total $ — $ 29,130 $ — $ 29,130 The following table presents the Company’s fair value hierarchy for those financial assets and liabilities measured at fair value on a recurring basis as of December 31, 2021 (in thousands): Fair Value at December 31, 2021 Level 1 Level 2 Level 3 Total Interest rate swap asset $ — $ 1,548 $ — $ 1,548 Interest rate swap liability — (21,465) — (21,465) Total $ — $ (19,917) $ — $ (19,917) The fair values of the derivative financial instruments are determined using widely accepted valuation techniques including a discounted cash flow analysis on the expected cash flows for each derivative. The Company determined that the significant inputs, such as interest yield curves and discount rates, used to value its derivatives fall within Level 2 of the fair value hierarchy and that the credit valuation adjustments associated with the Company’s counterparties and its own credit risk utilize Level 3 inputs, such as estimates of current credit spreads to evaluate the likelihood of default by itself and its counterparties. As of June 30, 2022, the Company assessed the significance of the impact of the credit valuation adjustments on the overall valuation of its derivative positions and determined that the credit valuation adjustments were not significant to the overall valuation of its derivatives. As a result, the Company determined that its derivative valuations in their entirety are classified in Level 2 of the fair value hierarchy. |
Income Taxes
Income Taxes | 6 Months Ended |
Jun. 30, 2022 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes The Company accounts for income taxes using the asset and liability method. Under this 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 income tax bases, and for net operating loss, capital loss and tax credit carryforwards. The deferred tax assets and liabilities are measured using the enacted income tax rates in effect for the year in which those temporary differences are expected to be realized or settled. The effect on the deferred tax assets and liabilities from a change in tax rates is recognized in earnings in the period when 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. The Company is still continuing to provide a full valuation allowance against the deferred tax assets. The Company had no accruals for tax uncertainties as of June 30, 2022 and December 31, 2021. |
Commitments and Contingencies
Commitments and Contingencies | 6 Months Ended |
Jun. 30, 2022 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies Restricted Cash Reserves The Company is obligated to maintain cash reserve funds for future capital expenditures at the hotels (including the periodic replacement or refurbishment of FF&E as determined pursuant to the management agreements, franchise agreements and/or mortgage loan documents). The management agreements, franchise agreements and/or mortgage loan documents require the Company to reserve cash ranging typically from 3.0% to 5.0% of the individual hotel’s revenues. Any unexpended amounts will remain the property of the Company upon termination of the management agreements, franchise agreements or mortgage loan documents. As of June 30, 2022 and December 31, 2021, approximately $44.3 million and $48.5 million, respectively, was available in the restricted cash reserves for future capital expenditures, real estate taxes, insurance and debt obligations where certain lenders held restricted cash due to a cash trap event. Litigation Neither the Company nor any of its subsidiaries is currently involved in any regulatory or legal proceedings that management believes will have a material and adverse effect on the Company's financial position, results of operations or cash flows. Management Agreements As of June 30, 2022, 95 of the Company's consolidated hotel properties were operated pursuant to management agreements with initial terms ranging from one Management fees are included in management and franchise fee expense in the accompanying consolidated statements of operations and comprehensive income (loss). For the three and six months ended June 30, 2022, the Company incurred management fee expense of approximately $10.7 million and $18.6 million, respectively. For the three and six months ended June 30, 2021, the Company incurred management fee expense of approximately $6.2 million and $9.4 million, respectively. Franchise Agreements As of June 30, 2022, 60 of the Company’s hotel properties were operated under franchise agreements with initial terms ranging from one Franchise fees are included in management and franchise fee expense in the accompanying consolidated statements of operations and comprehensive income (loss). For the three and six months ended June 30, 2022, the Company incurred franchise fee expense of approximately $16.4 million and $30.0 million, respectively. For the three and six months ended June 30, 2021, the Company incurred franchise fee expense of approximately $11.0 million and $17.6 million, respectively. Wyndham Agreements |
Equity
Equity | 6 Months Ended |
Jun. 30, 2022 | |
Equity [Abstract] | |
Equity | Equity Common Shares of Beneficial Interest During the six months ended June 30, 2022 and 2021, the Company declared a cash dividend of $0.01 per common share in each of the first and second quarters of 2022 and 2021. On April 29, 2022, the Company's board of trustees approved a new share repurchase program to acquire up to an aggregate of $250.0 million of common and preferred shares from May 9, 2022 to May 8, 2023 (the "2022 Share Repurchase Program"). During the six months ended June 30, 2022, the Company repurchased and retired approximately 4.0 million common shares for approximately $47.4 million. In July 2022, the Company repurchased and retired approximately 0.2 million common shares for approximately $2.6 million. As of August 5, 2022, the 2022 Share Repurchase Program had a remaining capacity of $200.0 million. Series A Preferred Shares During the six months ended June 30, 2022 and 2021, the Company declared a cash dividend of $0.4875 on each Series A Preferred Share in each of the first and second quarters of 2022 and 2021. Noncontrolling Interest in Consolidated Joint Ventures The Company consolidates the joint venture that owns The Knickerbocker, which has a third-party partner that owns a noncontrolling 5% ownership interest in the joint venture. The third-party ownership interests are included in the noncontrolling interest in consolidated joint ventures on the consolidated balance sheets. Noncontrolling Interest in the Operating Partnership The Company consolidates the Operating Partnership, which is a majority-owned limited partnership that has a noncontrolling interest. The outstanding OP units held by the limited partners are redeemable for cash, or at the option of the Company, for a like number of common shares. As of June 30, 2022, 771,831 outstanding OP units were held by the limited partners. The noncontrolling interest is included in the noncontrolling interest in the Operating Partnership on the consolidated balance sheets. |
Equity Incentive Plan
Equity Incentive Plan | 6 Months Ended |
Jun. 30, 2022 | |
Share-based Payment Arrangement [Abstract] | |
Equity Incentive Plan | Equity Incentive Plan The Company may issue share-based awards to officers, employees, non-employee trustees and other eligible persons under the RLJ Lodging Trust 2021 Equity Incentive Plan (the "2021 Plan"). The 2021 Plan provides for a maximum of 6,828,527 common shares to be issued in the form of share options, share appreciation rights, restricted share awards, unrestricted share awards, share units, dividend equivalent rights, long-term incentive units, other equity-based awards and cash bonus awards. Share Awards From time to time, the Company may award unvested restricted shares as compensation to officers, employees and non-employee trustees. The issued shares vest over a period of time as determined by the board of trustees at the date of grant. The Company recognizes compensation expense for time-based unvested restricted shares on a straight-line basis over the vesting period based upon the fair market value of the shares on the date of issuance, adjusted for forfeitures. Non-employee trustees may also elect to receive unrestricted shares as compensation that would otherwise be paid in cash for their services. The shares issued to non-employee trustees in lieu of cash compensation are unrestricted and include no vesting conditions. The Company recognizes compensation expense for the unrestricted shares issued in lieu of cash compensation on the date of issuance based upon the fair market value of the shares on that date. A summary of the unvested restricted shares as of June 30, 2022 is as follows: 2022 Number of Weighted-Average Unvested at January 1, 2022 2,380,283 $ 15.43 Granted 569,600 15.10 Vested (619,285) 15.69 Forfeited (6,065) 13.56 Unvested at June 30, 2022 2,324,533 $ 15.28 For the three and six months ended June 30, 2022, the Company recognized approximately $3.6 million and $7.1 million, respectively, of share-based compensation expense related to restricted share awards. For the three and six months ended June 30, 2021, the Company recognized approximately $3.0 million and $4.9 million, respectively, of share-based compensation expense related to restricted share awards. As of June 30, 2022, there was $27.8 million of total unrecognized compensation costs related to unvested restricted share awards and these costs are expected to be recognized over a weighted-average period of 2.0 years. The total fair value of the shares vested (calculated as the number of shares multiplied by the vesting date share price) during the six months ended June 30, 2022 and 2021 was approximately $8.7 million and $6.3 million, respectively. Performance Units From time to time, the Company may award performance units as compensation to officers and employees. The performance units granted prior to 2021 vest over a four year period, including three years of performance-based vesting (the “performance units measurement period”) plus an additional one year of time-based vesting. These performance units may convert into restricted shares at a range of 0% to 200% of the number of performance units granted contingent upon the Company achieving an absolute total shareholder return (40% of award) and a relative total shareholder return (60% of award) over the measurement period at specified percentiles of the peer group, as defined by the awards. If at the end of the performance units measurement period the target criterion is met, then 50% of the performance units that are earned will vest at the end of the measurement period. The remaining 50% convert to restricted shares that will vest on the one year anniversary of the end of the measurement period. For any restricted shares issued upon conversion, the award recipient will be entitled to receive payment of an amount equal to all dividends that would have been paid if such restricted shares had been issued at the beginning of the performance units measurement period. The fair value of the performance units is determined using a Monte Carlo simulation, and an expected term equal to the requisite service period for the awards of four years. The Company estimates the compensation expense for the performance units on a straight-line basis using a calculation that recognizes 50% of the grant date fair value over three years and 50% of the grant date fair value over four years. The performance units granted in 2021 and 2022 vest at the end of a three year period. These performance units may convert into restricted shares at a range of 0% to 200% of the number of performance units granted contingent upon the Company achieving an absolute total shareholder return (25% of award) and a relative shareholder return (75% of award) over the measurement period at specified percentiles of the peer group, as defined by the awards. At the end of the performance units measurement period the target criterion is met, 100% of the performance units that are earned will vest immediately. The award recipients will not be entitled to receive any dividends prior to the date of conversion. For any restricted shares issued upon conversion, the award recipient will be entitled to receive payment of an amount equal to all dividends that would have been paid if such restricted shares had been issued at the beginning of the performance units measurement period. For performance units granted in 2021 and 2022, the Company estimates the compensation expense for the performance units on a straight-line basis using a calculation that recognizes 100% of the grant date fair value over three years. A summary of the performance unit awards is as follows: Date of Award Number of Grant Date Fair Conversion Range Risk Free Interest Rate Volatility February 2019 (1) 260,000 $19.16 0% to 200% 2.52% 27.19% February 2020 489,000 $11.59 0% to 200% 1.08% 23.46% February 2021 431,151 $20.90 0% to 200% 0.23% 69.47% February 2022 407,024 $21.96 0% to 200% 1.7% 70.15% (1) In February 2022, following the end of the measurement period, the Company met certain threshold criterion and the performance units converted into approximately 133,000 restricted shares. Half of the restricted shares vested immediately with the remaining half vesting in February 2023. As of June 30, 2022, there were approximately 67,000 unvested restricted shares related to the conversion of the performance units. The total fair value of the vested shares related to the conversion of the performance units (calculated as the number of vested shares multiplied by the vesting date share price) during the six months ended June 30, 2022 was approximately $0.8 million. For the three and six months ended June 30, 2022, the Company recognized approximately $1.9 million and $3.5 million, respectively, of share-based compensation expense related to the performance unit awards. For the three and six months ended June 30, 2021, the Company recognized approximately $1.8 million and $2.7 million, respectively, of share-based compensation expense related to the performance unit awards. As of June 30, 2022, there was $14.5 million of total unrecognized compensation costs related to the performance unit awards and these costs are expected to be recognized over a weighted-average period of 2.1 years. |
Earnings per Common Share
Earnings per Common Share | 6 Months Ended |
Jun. 30, 2022 | |
Earnings Per Share [Abstract] | |
Earnings per Common Share | Earnings per Common Share Basic earnings per common share is calculated by dividing net income attributable to common shareholders by the weighted-average number of common shares outstanding during the period excluding the weighted-average number of unvested restricted shares outstanding during the period. Diluted earnings per common share is calculated by dividing net income attributable to common shareholders by the weighted-average number of common shares outstanding during the period, plus any shares that could potentially be outstanding during the period. The potential shares consist of the unvested restricted share grants and unvested performance units, calculated using the treasury stock method. Any anti-dilutive shares have been excluded from the diluted earnings per share calculation. Unvested share-based payment awards that contain non-forfeitable rights to dividends or dividend equivalents (whether paid or unpaid) are participating shares and are considered in the computation of earnings per share pursuant to the two-class method. If there were any undistributed earnings allocable to the participating shares, they would be deducted from net income attributable to common shareholders used in the basic and diluted earnings per share calculations. The limited partners’ outstanding OP units (which may be redeemed for common shares under certain circumstances) have been excluded from the diluted earnings per share calculation as there was no effect on the amounts for the three and six months ended June 30, 2022 and 2021, since the limited partners’ share of income would also be added back to net income attributable to common shareholders. The computation of basic and diluted earnings per common share is as follows (in thousands, except share and per share data): For the three months ended June 30, For the six months ended June 30, 2022 2021 2022 2021 Numerator: Net income (loss) attributable to RLJ $ 32,966 $ (51,447) $ 17,718 $ (129,433) Less: Preferred dividends (6,279) (6,279) (12,557) (12,557) Less: Dividends paid on unvested restricted shares (24) (26) (50) (36) Less: Undistributed earnings attributable to unvested restricted shares (368) — (27) — Net income (loss) attributable to common shareholders excluding amounts attributable to unvested restricted shares $ 26,295 $ (57,752) $ 5,084 $ (142,026) Denominator: Weighted-average number of common shares - basic 163,539,446 163,996,003 163,857,785 163,911,475 Unvested restricted shares 245,127 — 359,365 — Weighted-average number of common shares - diluted 163,784,573 163,996,003 164,217,150 163,911,475 Net income (loss) per share attributable to common shareholders - basic $ 0.16 $ (0.35) $ 0.03 $ (0.87) Net income (loss) per share attributable to common shareholders - diluted $ 0.16 $ (0.35) $ 0.03 $ (0.87) |
Supplemental Information to Sta
Supplemental Information to Statements of Cash Flows | 6 Months Ended |
Jun. 30, 2022 | |
Supplemental Cash Flow Elements [Abstract] | |
Supplemental Information to Statements of Cash Flows | Supplemental Information to Statements of Cash Flows (in thousands) For the six months ended June 30, 2022 2021 Reconciliation of cash, cash equivalents, and restricted cash reserves Cash and cash equivalents $ 511,481 $ 657,892 Restricted cash reserves 44,281 38,842 Cash, cash equivalents, and restricted cash reserves $ 555,762 $ 696,734 Interest paid $ 45,747 $ 54,603 Income taxes paid $ 677 $ 154 Operating cash flow lease payments for operating leases $ 7,667 $ 5,718 Supplemental investing and financing transactions In connection with the sale of hotel properties, the Company recorded the following: Sales price $ 49,900 $ 17,677 Transaction costs (836) (980) Operating prorations (991) (429) Proceeds from the sale of hotel properties, net $ 48,073 $ 16,268 Supplemental non-cash transactions Accrued capital expenditures $ 7,405 $ 6,065 |
Subsequent Events
Subsequent Events | 6 Months Ended |
Jun. 30, 2022 | |
Subsequent Events [Abstract] | |
Subsequent Events | Subsequent Events In July 2022, the Company acquired the 124-room 21c Museum Hotel in Nashville, Tennessee for $59.0 million. In July 2022, the Company's board of trustees declared a quarterly cash dividend of $0.05 per common share payable on October 17, 2022 to shareholders of record as of September, 30, 2022. In addition, the Company's board of trustees declared a cash dividend of $0.4875 on each Series A Preferred Share payable on October 31, 2022 to shareholders of record as of September 30, 2022. |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 6 Months Ended |
Jun. 30, 2022 | |
Accounting Policies [Abstract] | |
Basis of Presentation and Principles of Consolidation | Basis of Presentation and Principles of Consolidation The unaudited consolidated financial statements and related notes have been prepared on the accrual basis of accounting in accordance with accounting principles generally accepted in the United States of America ("GAAP") and in conformity with the rules and regulations of the SEC applicable to financial information. The unaudited financial statements include all adjustments of a normal recurring nature that are necessary, in the opinion of management, to fairly state the consolidated balance sheets, statements of operations and comprehensive income (loss), statements of changes in equity and statements of cash flows. The unaudited consolidated financial statements should be read in conjunction with the consolidated financial statements and notes thereto as of and for the year ended December 31, 2021, included in the Annual Report. The consolidated financial statements include the accounts of the Company, the Operating Partnership and its wholly-owned subsidiaries, and joint ventures in which the Company has a majority voting interest and control. For the controlled subsidiaries that are not wholly-owned, the third-party ownership interest represents a noncontrolling interest, which is presented separately in the consolidated financial statements. The Company also records the real estate interest in one hotel property in which it holds a 50% non-controlling interest using the equity method of accounting. All intercompany balances and transactions have been eliminated in consolidation. |
Use of Estimates | Use of Estimates The preparation of the Company’s financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of certain assets and liabilities and the amounts of contingent assets and liabilities at the balance sheet date and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. |
Recently Issued Accounting Pronouncements | Recently Issued Accounting Pronouncements In March 2020, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") 2020-04, Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting. |
Management Agreements | Management Agreements As of June 30, 2022, 95 of the Company's consolidated hotel properties were operated pursuant to management agreements with initial terms ranging from one |
Franchise Agreements | Franchise Agreements As of June 30, 2022, 60 of the Company’s hotel properties were operated under franchise agreements with initial terms ranging from one |
Share-Based Compensation | Share Awards From time to time, the Company may award unvested restricted shares as compensation to officers, employees and non-employee trustees. The issued shares vest over a period of time as determined by the board of trustees at the date of grant. The Company recognizes compensation expense for time-based unvested restricted shares on a straight-line basis over the vesting period based upon the fair market value of the shares on the date of issuance, adjusted for forfeitures. Non-employee trustees may also elect to receive unrestricted shares as compensation that would otherwise be paid in cash for their services. The shares issued to non-employee trustees in lieu of cash compensation are unrestricted and include no vesting conditions. The Company recognizes compensation expense for the unrestricted shares issued in lieu of cash compensation on the date of issuance based upon the fair market value of the shares on that date. |
Earnings Per Share | Basic earnings per common share is calculated by dividing net income attributable to common shareholders by the weighted-average number of common shares outstanding during the period excluding the weighted-average number of unvested restricted shares outstanding during the period. Diluted earnings per common share is calculated by dividing net income attributable to common shareholders by the weighted-average number of common shares outstanding during the period, plus any shares that could potentially be outstanding during the period. The potential shares consist of the unvested restricted share grants and unvested performance units, calculated using the treasury stock method. Any anti-dilutive shares have been excluded from the diluted earnings per share calculation. Unvested share-based payment awards that contain non-forfeitable rights to dividends or dividend equivalents (whether paid or unpaid) are participating shares and are considered in the computation of earnings per share pursuant to the two-class method. If there were any undistributed earnings allocable to the participating shares, they would be deducted from net income attributable to common shareholders used in the basic and diluted earnings per share calculations. The limited partners’ outstanding OP units (which may be redeemed for common shares under certain circumstances) have been excluded from the diluted earnings per share calculation as there was no effect on the amounts for the three and six months ended June 30, 2022 and 2021, since the limited partners’ share of income would also be added back to net income attributable to common shareholders. |
Reclassifications | Reclassifications Certain prior year amounts in these financial statements have been reclassified to conform to the current year presentation with no impact to net income (loss) and comprehensive income (loss), shareholders’ equity or cash flows. |
Investment in Hotel Properties
Investment in Hotel Properties (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Property, Plant and Equipment [Abstract] | |
Schedule of investment in hotel properties | Investment in hotel properties consisted of the following (in thousands): June 30, 2022 December 31, 2021 Land and improvements $ 970,821 $ 975,688 Buildings and improvements 3,959,957 4,001,875 Furniture, fixtures and equipment 704,311 691,057 5,635,089 5,668,620 Accumulated depreciation (1,507,799) (1,449,504) Investment in hotel properties, net $ 4,127,290 $ 4,219,116 |
Sale of Hotel Properties (Table
Sale of Hotel Properties (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Discontinued Operations and Disposal Groups [Abstract] | |
Schedule of property disposed of during period | During the six months ended June 30, 2022, the Company sold the following hotel properties in two separate transactions for combined sales prices of approximately $49.9 million: Hotel Property Name Location Sale Date Rooms Marriott Denver Airport Gateway Park Aurora, CO March 8, 2022 238 SpringHill Suites Denver North Westminster Westminster, CO April 19, 2022 164 Total 402 During the six months ended June 30, 2021, the Company sold the following hotel properties in three separate transactions for a combined sales price of approximately $17.7 million: Hotel Property Name Location Sale Date Rooms Courtyard Houston Sugarland Stafford, TX January 21, 2021 112 Residence Inn Indianapolis Fishers Indianapolis, IN May 10, 2021 78 Residence Inn Chicago Naperville Warrenville, IL May 12, 2021 130 Total 320 |
Revenue (Tables)
Revenue (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Revenue from Contract with Customer [Abstract] | |
Disaggregation of Revenue | The Company recognized revenue from the following geographic markets (in thousands): For the three months ended June 30, 2022 For the three months ended June 30, 2021 Room Revenue Food and Beverage Revenue Other Revenue Total Revenue Room Revenue Food and Beverage Revenue Other Revenue Total Revenue Northern California $ 36,589 $ 2,773 $ 1,698 $ 41,060 $ 14,563 $ 428 $ 1,043 $ 16,034 South Florida 29,537 4,953 2,270 36,760 28,175 3,483 2,177 33,835 Southern California 31,101 2,161 2,615 35,877 22,560 1,384 2,524 26,468 New York City 16,134 2,855 701 19,690 6,622 266 273 7,161 Chicago 15,104 2,343 737 18,184 12,131 1,681 573 14,385 Washington, DC 15,171 364 661 16,196 5,944 60 476 6,480 Louisville 10,929 3,166 876 14,971 3,551 942 667 5,160 Boston 13,000 1,051 389 14,440 2,863 91 55 3,009 Austin 11,119 873 810 12,802 5,952 317 709 6,978 Atlanta 10,275 666 992 11,933 4,501 83 605 5,189 Houston 10,029 792 1,032 11,853 7,248 167 769 8,184 New Orleans 10,638 262 742 11,642 4,657 29 658 5,344 Pittsburgh 8,351 2,291 400 11,042 5,440 706 204 6,350 Denver 8,405 1,894 359 10,658 5,519 899 227 6,645 Charleston 8,452 1,435 396 10,283 8,520 1,161 541 10,222 Other 45,842 3,275 3,993 53,110 28,308 1,286 3,216 32,810 Total $ 280,676 $ 31,154 $ 18,671 $ 330,501 $ 166,554 $ 12,983 $ 14,717 $ 194,254 For the six months ended June 30, 2022 For the six months ended June 30, 2021 Room Revenue Food and Beverage Revenue Other Revenue Total Revenue Room Revenue Food and Beverage Revenue Other Revenue Total Revenue South Florida $ 66,948 $ 9,692 $ 4,493 $ 81,133 $ 49,003 $ 5,848 $ 3,933 $ 58,784 Northern California 56,797 4,386 2,735 63,918 23,407 645 1,743 25,795 Southern California 54,692 3,822 4,772 63,286 34,465 1,722 3,931 40,118 Chicago 24,064 3,966 1,197 29,227 18,522 2,365 931 21,818 New York City 23,796 3,644 1,174 28,614 9,860 283 402 10,545 Washington DC 23,496 481 1,251 25,228 10,079 89 760 10,928 Louisville 15,773 5,159 1,755 22,687 5,332 1,310 1,022 7,664 Austin 19,501 1,544 1,550 22,595 9,559 539 1,188 11,286 Houston 18,557 1,361 1,899 21,817 12,571 265 1,437 14,273 Atlanta 17,960 1,052 1,816 20,828 7,649 151 1,098 8,898 New Orleans 18,494 425 1,439 20,358 7,007 29 1,041 8,077 Boston 17,671 1,547 621 19,839 4,654 111 105 4,870 Denver 14,957 3,621 679 19,257 7,720 1,297 557 9,574 Charleston 15,190 2,631 899 18,720 11,698 1,461 942 14,101 Pittsburgh 12,481 3,198 721 16,400 10,070 943 374 11,387 Other 86,078 5,526 7,889 99,493 47,730 2,167 5,791 55,688 Total $ 486,455 $ 52,055 $ 34,890 $ 573,400 $ 269,326 $ 19,225 $ 25,255 $ 313,806 |
Debt (Tables)
Debt (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Debt Disclosure [Abstract] | |
Schedule of Debt | The Company's debt consisted of the following (in thousands): June 30, 2022 December 31, 2021 Senior Notes, net $ 988,125 $ 986,942 Revolver — 200,000 Term Loans, net 815,877 815,004 Mortgage loans, net 407,733 407,492 Debt, net $ 2,211,735 $ 2,409,438 |
Schedule of Senior Notes | 150.0% Yes Incurrence Covenants Consolidated Indebtedness less than Adjusted Total Assets < .65x Yes Consolidated Secured Indebtedness less than Adjusted Total Assets < .45x Yes Interest Coverage Ratio > 1.5x Yes" id="sjs-B5">As of June 30, 2022 and December 31, 2021, respectively, the Company's Senior Notes (collectively, the "Senior Notes") consisted of the following (dollars in thousands): Carrying Value at Interest Rate Maturity Date June 30, 2022 December 31, 2021 Senior Notes due 2029 4.00% September 2029 $ 500,000 $ 500,000 Senior Notes due 2026 3.75% July 2026 500,000 500,000 1,000,000 1,000,000 Deferred financing costs, net (11,875) (13,058) Total senior notes, net $ 988,125 $ 986,942 The indentures governing the Senior Notes contain customary covenants that will limit the Operating Partnership’s ability and, in certain instances, the ability of its subsidiaries, to incur additional debt, create liens on assets, make distributions and pay dividends, make certain types of investments, issue guarantees of indebtedness, and make certain restricted payments. These limitations are subject to a number of exceptions and qualifications set forth in the indentures. A summary of the various restrictive covenants for the Senior Notes are as follows: Covenant Compliance Maintenance Covenant Unencumbered Asset to Unencumbered Debt Ratio > 150.0% Yes Incurrence Covenants Consolidated Indebtedness less than Adjusted Total Assets < .65x Yes Consolidated Secured Indebtedness less than Adjusted Total Assets < .45x Yes Interest Coverage Ratio > 1.5x Yes |
Schedule of Revolver and Term Loans | The Company's credit agreements consisted of the following (dollars in thousands): Carrying Value at Interest Rate at June 30, 2022 (1) Maturity Date June 30, 2022 December 31, 2021 Revolver (2) 4.29% May 2024 $ — $ 200,000 $400 Million Term Loan Maturing 2023 4.69% January 2023 (4) 203,944 203,944 $225 Million Term Loan Maturing 2023 4.27% January 2023 (5) 114,718 114,718 $150 Million Term Loan Maturing 2023 4.18% June 2023 (6) 100,000 100,000 $400 Million Term Loan Maturing 2025 4.00% May 2025 400,000 400,000 818,662 1,018,662 Deferred financing costs, net (3) (2,785) (3,658) Total Revolver and Term Loans, net $ 815,877 $ 1,015,004 (1) Interest rate at June 30, 2022 gives effect to interest rate hedges. (2) At June 30, 2022 and December 31, 2021, there was $600.0 million and $400.0 million of remaining capacity on the Revolver, respectively. The Company also has the ability to extend the maturity date for an additional one year period ending May 2025 if certain conditions are satisfied. (3) Excludes $2.3 million and $2.9 million as of June 30, 2022 and December 31, 2021, respectively, related to deferred financing costs on the Revolver, which are included in prepaid expense and other assets in the accompanying consolidated balance sheets. (4) This term loan includes a one-year extension option for approximately $151.7 million of the principal balance. The exercise of the one-year extension option will be at the Company's discretion, subject to certain conditions. (5) This term loan includes a one-year extension option for approximately $73.0 million of the principal balance. The exercise of the one-year extension option will be at the Company's discretion, subject to certain conditions. one |
Schedule Of Debt Instrument Covenants | The Revolver and Term Loans are subject to various financial covenants. A summary of the most restrictive covenants is as follows: Original Covenant Modified Covenant (3) Compliance Leverage ratio (1) <= 7.00x <= 8.50x Yes Fixed charge coverage ratio (2) >= 1.50x >= 1.50x Yes Secured indebtedness ratio <= 45.0% <= 45.0% Yes Unencumbered indebtedness ratio <= 60.0% <= 65.0% Yes Unencumbered debt service coverage ratio >= 2.00x >= 1.50x Yes Maintain minimum liquidity level N/A >= $225.0 million Yes (1) Leverage ratio is net indebtedness, as defined in the Revolver and Term Loan agreements, to corporate earnings before interest, taxes, depreciation, and amortization ("EBITDA"), as defined in the Revolver and Term Loan agreements. (2) Fixed charge coverage ratio is Adjusted EBITDA, generally defined in the Revolver and Term Loan agreements as EBITDA less furniture, fixtures and equipment ("FF&E") reserves, to fixed charges, which is generally defined in the Revolver and Term Loan agreements as interest expense, all regularly scheduled principal payments, preferred dividends paid, and cash taxes paid. |
Schedule of mortgage loans | The Company's mortgage loans consisted of the following (dollars in thousands): Carrying Value at Number of Assets Encumbered Interest Rate at June 30, 2022 Maturity Date June 30, 2022 December 31, 2021 Mortgage loan (1) 7 3.30% (3) April 2023 (4) $ 200,000 $ 200,000 Mortgage loan (1) 3 2.53% (3) April 2024 (5) 96,000 96,000 Mortgage loan (1) 4 3.43% (3) April 2024 (5) 85,000 85,000 Mortgage loan (2) 1 5.06% January 2029 27,373 27,554 15 408,373 408,554 Deferred financing costs, net (640) (1,062) Total mortgage loans, net $ 407,733 $ 407,492 (1) The hotels encumbered by the mortgage loan are cross-collateralized. Requires payments of interest only through maturity. (2) Includes $2.4 million and $2.6 million at June 30, 2022 and December 31, 2021, respectively, related to a fair value adjustment on this mortgage loan. (3) Interest rate at June 30, 2022 gives effect to interest rate hedges. (4) The mortgage loan provides a one year extension option. (5) The mortgage loan provides two one year extension options. |
Schedule of Interest Expense Components | The components of the Company's interest expense consisted of the following (in thousands): For the three months ended June 30, For the six months ended June 30, 2022 2021 2022 2021 Senior Notes $ 9,688 $ 6,685 $ 19,431 $ 12,627 Revolver and Term Loans 9,136 14,023 19,104 31,201 Mortgage loans 3,329 4,294 6,539 7,748 Amortization of deferred financing costs 1,417 1,364 3,101 2,685 Non-cash interest expense related to interest rate hedges 285 — 241 — Total interest expense $ 23,855 $ 26,366 $ 48,416 $ 54,261 |
Derivatives and Hedging Activ_2
Derivatives and Hedging Activities (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Schedule of interest rate swaps | The following interest rate swaps have been designated as cash flow hedges (in thousands): Notional value at Fair value at Hedge type Interest Maturity June 30, 2022 December 31, 2021 June 30, 2022 December 31, 2021 Swap-cash flow (1) 2.29% December 2022 $ 200,000 $ 200,000 $ 159 $ (4,077) Swap-cash flow (1) 2.29% December 2022 125,000 125,000 101 (2,545) Swap-cash flow (2) 2.38% December 2022 — 87,780 — (1,879) Swap-cash flow (2) 2.38% December 2022 — 36,875 — (789) Swap-cash flow 2.39% December 2023 75,000 75,000 718 (2,504) Swap-cash flow 2.51% December 2023 75,000 75,000 577 (2,692) Swap-cash flow 2.75% November 2023 100,000 100,000 343 (3,893) Swap-cash flow (3) 1.28% September 2022 24,662 100,000 26 (759) Swap-cash flow 1.24% September 2025 150,000 150,000 7,601 (860) Swap-cash flow 1.16% April 2024 50,000 50,000 1,701 (338) Swap-cash flow 1.20% April 2024 50,000 50,000 1,663 (387) Swap-cash flow 1.15% April 2024 50,000 50,000 1,710 (327) Swap-cash flow 1.10% April 2024 50,000 50,000 1,757 (267) Swap-cash flow 0.98% April 2024 25,000 25,000 934 (61) Swap-cash flow 0.95% April 2024 25,000 25,000 948 (43) Swap-cash flow (4) 0.93% April 2024 25,000 25,000 958 (31) Swap-cash flow (4) 0.90% April 2024 25,000 25,000 972 (13) Swap-cash flow (4) 0.85% December 2024 50,000 50,000 2,532 221 Swap-cash flow (4) 0.75% December 2024 50,000 50,000 2,655 372 Swap-cash flow (4) 0.65% January 2026 50,000 50,000 3,775 955 $ 1,199,662 $ 1,399,655 $ 29,130 $ (19,917) (1) In June 2021, the Company dedesignated a portion of the original notional value of these swaps as the hedged forecasted transactions were no longer probable of occurring. Therefore, the Company reclassified a total of $4.4 million of unrealized losses included in other comprehensive income (loss) to other income, net, in the consolidated statements of operations and comprehensive income (loss). The portion of the swaps that were dedesignated were subsequently redesignated and the amounts related to the initial fair values of $4.4 million that were recorded in other comprehensive income (loss) during the new hedging relationship will be reclassified to earnings on a straight line basis over the remaining life of these swaps. (2) In June 2021, the Company terminated a portion of the original notional value of these swaps as the hedged forecasted transactions were no longer probable of occurring and paid approximately $6.2 million to terminate a portion of these swaps. In February 2022, the Company paid a total of approximately $1.5 million to terminate these swaps and will reclassify the unrealized losses included in other comprehensive income (loss) to earnings on a straight line basis over the remaining life of these swaps. (3) In February 2022, the Company terminated approximately $75.3 million of the original $100.0 million notional value of this swap as the hedged forecasted transactions were no longer probable of occurring. As part of the swap termination, the Company paid approximately $0.2 million to terminate a portion of this swap. The Company will reclassify the unrealized losses included in other comprehensive income (loss) to earnings on a straight line basis over the remaining life of the swap. (4) In February 2022, the Company dedesignated these swaps as the hedged forecasted transactions were no longer probable of occurring. Therefore, the Company reclassified a total of approximately $5.9 million of unrealized gains included in other comprehensive income (loss) to other income, net, in the consolidated statements of operations and comprehensive income (loss). These swaps were subsequently redesignated and the amounts related to the initial fair value of $5.9 million that are recorded in other comprehensive income (loss) during the new hedging relationship will be reclassified to earnings on a straight line basis over the remaining life of these swaps. |
Fair Value (Tables)
Fair Value (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Fair Value Disclosures [Abstract] | |
Schedule of Carrying Values and Estimated Fair Values of Debt Instruments | The fair value of the Company's debt was as follows (in thousands): June 30, 2022 December 31, 2021 Carrying Value Fair Value Carrying Value Fair Value Senior Notes, net $ 988,125 $ 854,850 $ 986,942 $ 999,060 Revolver and Term Loans, net 815,877 799,993 1,015,004 1,006,647 Mortgage loans, net 407,733 399,671 407,492 401,387 Debt, net $ 2,211,735 $ 2,054,514 $ 2,409,438 $ 2,407,094 |
Schedule of fair value hierarchy for financial assets and liabilities measured at fair value on a recurring basis | The following table presents the Company’s fair value hierarchy for those financial assets and liabilities measured at fair value on a recurring basis as of June 30, 2022 (in thousands): Fair Value at June 30, 2022 Level 1 Level 2 Level 3 Total Interest rate swap asset $ — $ 29,130 $ — $ 29,130 Total $ — $ 29,130 $ — $ 29,130 The following table presents the Company’s fair value hierarchy for those financial assets and liabilities measured at fair value on a recurring basis as of December 31, 2021 (in thousands): Fair Value at December 31, 2021 Level 1 Level 2 Level 3 Total Interest rate swap asset $ — $ 1,548 $ — $ 1,548 Interest rate swap liability — (21,465) — (21,465) Total $ — $ (19,917) $ — $ (19,917) |
Equity Incentive Plan (Tables)
Equity Incentive Plan (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Equity Incentive Plan | |
Share-based Compensation Arrangements by Share-based Payment Award, Performance-Based Units, Vested and Expected to Vest [Table Text Block] | A summary of the performance unit awards is as follows: Date of Award Number of Grant Date Fair Conversion Range Risk Free Interest Rate Volatility February 2019 (1) 260,000 $19.16 0% to 200% 2.52% 27.19% February 2020 489,000 $11.59 0% to 200% 1.08% 23.46% February 2021 431,151 $20.90 0% to 200% 0.23% 69.47% February 2022 407,024 $21.96 0% to 200% 1.7% 70.15% (1) In February 2022, following the end of the measurement period, the Company met certain threshold criterion and the performance units converted into approximately 133,000 restricted shares. Half of the restricted shares vested immediately with the remaining half vesting in February 2023. As of June 30, 2022, there were approximately 67,000 unvested restricted shares related to the conversion of the performance units. The total fair value of the vested shares related to the conversion of the performance units (calculated as the number of vested shares multiplied by the vesting date share price) during the six months ended June 30, 2022 was approximately $0.8 million. |
Restricted share awards | |
Equity Incentive Plan | |
Summary of the unvested restricted shares | A summary of the unvested restricted shares as of June 30, 2022 is as follows: 2022 Number of Weighted-Average Unvested at January 1, 2022 2,380,283 $ 15.43 Granted 569,600 15.10 Vested (619,285) 15.69 Forfeited (6,065) 13.56 Unvested at June 30, 2022 2,324,533 $ 15.28 |
Earnings per Common Share (Tabl
Earnings per Common Share (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Earnings Per Share [Abstract] | |
Schedule of computation of basic and diluted earnings per common share | The computation of basic and diluted earnings per common share is as follows (in thousands, except share and per share data): For the three months ended June 30, For the six months ended June 30, 2022 2021 2022 2021 Numerator: Net income (loss) attributable to RLJ $ 32,966 $ (51,447) $ 17,718 $ (129,433) Less: Preferred dividends (6,279) (6,279) (12,557) (12,557) Less: Dividends paid on unvested restricted shares (24) (26) (50) (36) Less: Undistributed earnings attributable to unvested restricted shares (368) — (27) — Net income (loss) attributable to common shareholders excluding amounts attributable to unvested restricted shares $ 26,295 $ (57,752) $ 5,084 $ (142,026) Denominator: Weighted-average number of common shares - basic 163,539,446 163,996,003 163,857,785 163,911,475 Unvested restricted shares 245,127 — 359,365 — Weighted-average number of common shares - diluted 163,784,573 163,996,003 164,217,150 163,911,475 Net income (loss) per share attributable to common shareholders - basic $ 0.16 $ (0.35) $ 0.03 $ (0.87) Net income (loss) per share attributable to common shareholders - diluted $ 0.16 $ (0.35) $ 0.03 $ (0.87) |
Supplemental Information to S_2
Supplemental Information to Statements of Cash Flows (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Supplemental Cash Flow Elements [Abstract] | |
Schedule of supplemental information to statements of cash flows | For the six months ended June 30, 2022 2021 Reconciliation of cash, cash equivalents, and restricted cash reserves Cash and cash equivalents $ 511,481 $ 657,892 Restricted cash reserves 44,281 38,842 Cash, cash equivalents, and restricted cash reserves $ 555,762 $ 696,734 Interest paid $ 45,747 $ 54,603 Income taxes paid $ 677 $ 154 Operating cash flow lease payments for operating leases $ 7,667 $ 5,718 Supplemental investing and financing transactions In connection with the sale of hotel properties, the Company recorded the following: Sales price $ 49,900 $ 17,677 Transaction costs (836) (980) Operating prorations (991) (429) Proceeds from the sale of hotel properties, net $ 48,073 $ 16,268 Supplemental non-cash transactions Accrued capital expenditures $ 7,405 $ 6,065 |
General (Details)
General (Details) | 3 Months Ended | 6 Months Ended | ||||||
Jun. 30, 2022 USD ($) property room state $ / shares shares | Mar. 31, 2022 $ / shares | Jun. 30, 2021 USD ($) $ / shares | Mar. 31, 2021 $ / shares | Jun. 30, 2022 USD ($) property room state shares | Dec. 31, 2021 USD ($) | Dec. 31, 2020 USD ($) | Sep. 30, 2018 hotel | |
Sale of Stock | ||||||||
OP units outstanding (in units) | shares | 163,753,651 | 163,753,651 | ||||||
Company's Ownership interest in OP units through a combination of direct and indirect interests (as a percent) | 99.50% | |||||||
Number of Real Estate Properties | 96 | 96 | 34 | |||||
Number of hotel rooms owned | room | 21,300 | 21,300 | ||||||
Number of states in which hotels owned by the entity are located | state | 22 | 22 | ||||||
Equity Method Investment, Ownership Percentage | 50% | 50% | ||||||
Dividends | $ / shares | $ 0.01 | $ 0.01 | $ 0.01 | $ 0.01 | ||||
Cash and cash equivalents | $ | $ 511,481,000 | $ 657,892,000 | $ 511,481,000 | $ 665,341,000 | ||||
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents | $ | $ 555,762,000 | $ 696,734,000 | $ 555,762,000 | $ 713,869,000 | $ 934,790,000 | |||
Wholly Owned Properties [Member] | ||||||||
Sale of Stock | ||||||||
Number of Real Estate Properties | 94 | 94 | ||||||
Hotel property ownership interest (as a percent) | 100% | |||||||
Consolidated Properties [Member] | ||||||||
Sale of Stock | ||||||||
Number of Real Estate Properties | 95 | 95 | ||||||
Unconsolidated Properties [Member] | ||||||||
Sale of Stock | ||||||||
Number of Real Estate Properties | 1 | 1 | ||||||
Equity Method Investment, Ownership Percentage | 50% | 50% | ||||||
Leased Hotel Properties [Member] | ||||||||
Sale of Stock | ||||||||
Number of Real Estate Properties | 95 | 95 | ||||||
Ninety Five Percent Owned [Member] | Partially Owned Properties [Member] | ||||||||
Sale of Stock | ||||||||
Hotel property ownership interest (as a percent) | 95% | |||||||
Fifty Percent Owned [Member] | Partially Owned Properties [Member] | ||||||||
Sale of Stock | ||||||||
Hotel property ownership interest (as a percent) | 50% | |||||||
Line of Credit | The Revolver | ||||||||
Sale of Stock | ||||||||
Line of Credit Facility, Maximum Borrowing Capacity | $ | $ 600,000,000 | $ 600,000,000 |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Details) $ in Thousands | Jun. 30, 2022 USD ($) joint_venture | Dec. 31, 2021 USD ($) |
Accounting Policies [Abstract] | ||
Real Estate Interests, Number of Joint Ventures | joint_venture | 1 | |
Equity Method Investment, Ownership Percentage | 50% | |
Operating Lease, Right-of-Use Asset | $ 142,213 | $ 144,988 |
Accounts payable and other liabilities | 139,115 | 155,136 |
Operating Lease, Liability | $ 121,609 | $ 123,031 |
Investment in Hotel Propertie_2
Investment in Hotel Properties (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | Dec. 31, 2021 | |
Property, Plant and Equipment [Abstract] | |||||
Land and improvements | $ 970,821 | $ 970,821 | $ 975,688 | ||
Buildings and improvements | 3,959,957 | 3,959,957 | 4,001,875 | ||
Furniture, fixtures and equipment | 704,311 | 704,311 | 691,057 | ||
Investment in hotel properties, gross | 5,635,089 | 5,635,089 | 5,668,620 | ||
Accumulated depreciation | (1,507,799) | (1,507,799) | (1,449,504) | ||
Investment in hotel properties, net | 4,127,290 | 4,127,290 | $ 4,219,116 | ||
Real Estate Depreciation Expense, Excluding Discontinued Operations Expense | $ 46,800 | $ 46,800 | $ 93,500 | $ 93,600 | |
Impairment of Real Estate | $ 5,900 |
Sale of Hotel Properties (Narra
Sale of Hotel Properties (Narrative) (Details) $ in Thousands | 6 Months Ended | |
Jun. 30, 2022 USD ($) loan | Jun. 30, 2021 USD ($) loan | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||
Hotel properties sold, Number | loan | 2 | 3 |
Proceeds from the sale of hotel properties, net | $ 48,073 | $ 16,268 |
Disposals 2021 | ||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||
Proceeds from the sale of hotel properties, net | $ 17,700 | |
Disposals 2022 | ||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||
Proceeds from the sale of hotel properties, net | $ 49,900 |
Sale of Hotel Properties (Sched
Sale of Hotel Properties (Schedule of Properties Disposed) (Details) $ in Thousands | 6 Months Ended | |
Jun. 30, 2022 USD ($) room | Jun. 30, 2021 USD ($) room | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||
Proceeds from the sale of hotel properties, net | $ | $ 48,073 | $ 16,268 |
Courtyard Houston Sugarland | ||
Discontinued Operations and Disposal Groups [Abstract] | ||
Property disposed, number of rooms | 112 | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||
Property disposed, number of rooms | 112 | |
Marriott Denver Airport | ||
Discontinued Operations and Disposal Groups [Abstract] | ||
Property disposed, number of rooms | 238 | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||
Property disposed, number of rooms | 238 | |
Disposals 2022 | ||
Discontinued Operations and Disposal Groups [Abstract] | ||
Property disposed, number of rooms | 402 | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||
Property disposed, number of rooms | 402 | |
Proceeds from the sale of hotel properties, net | $ | $ 49,900 | |
SpringHill Suites Westminster | ||
Discontinued Operations and Disposal Groups [Abstract] | ||
Property disposed, number of rooms | 164 | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||
Property disposed, number of rooms | 164 | |
Disposals 2021 | ||
Discontinued Operations and Disposal Groups [Abstract] | ||
Property disposed, number of rooms | 320 | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||
Property disposed, number of rooms | 320 | |
Proceeds from the sale of hotel properties, net | $ | $ 17,700 | |
Residence Inn Indianapolis Fishers | ||
Discontinued Operations and Disposal Groups [Abstract] | ||
Property disposed, number of rooms | 78 | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||
Property disposed, number of rooms | 78 | |
Residence Inn Chicago Naperville | ||
Discontinued Operations and Disposal Groups [Abstract] | ||
Property disposed, number of rooms | 130 | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||
Property disposed, number of rooms | 130 |
Revenue (Details)
Revenue (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Disaggregation of Revenue [Line Items] | ||||
Revenues | $ 330,501 | $ 194,254 | $ 573,400 | $ 313,806 |
Southern California | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 35,877 | 26,468 | 63,286 | 40,118 |
South Florida | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 36,760 | 33,835 | 81,133 | 58,784 |
Northern California | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 41,060 | 16,034 | 63,918 | 25,795 |
Chicago, Illinois | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 18,184 | 14,385 | 29,227 | 21,818 |
Washington, D.C. | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 16,196 | 6,480 | 25,228 | 10,928 |
New York City | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 19,690 | 7,161 | 28,614 | 10,545 |
Denver, Colorado | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 10,658 | 6,645 | 19,257 | 9,574 |
Houston, Texas | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 11,853 | 8,184 | 21,817 | 14,273 |
Austin, Texas | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 12,802 | 6,978 | 22,595 | 11,286 |
Louisville, Kentucky | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 14,971 | 5,160 | 22,687 | 7,664 |
Other Markets | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 53,110 | 32,810 | 99,493 | 55,688 |
Pittsburgh, Pennsylvannia | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 11,042 | 6,350 | 16,400 | 11,387 |
Charleston, South Carolina | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 10,283 | 10,222 | 18,720 | 14,101 |
Atlanta, Georgia | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 11,933 | 5,189 | 20,828 | 8,898 |
New Orleans | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 11,642 | 5,344 | 20,358 | 8,077 |
Boston, MA | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 14,440 | 3,009 | 19,839 | 4,870 |
Room Revenue | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 280,676 | 166,554 | 486,455 | 269,326 |
Room Revenue | Southern California | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 31,101 | 22,560 | 54,692 | 34,465 |
Room Revenue | South Florida | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 29,537 | 28,175 | 66,948 | 49,003 |
Room Revenue | Northern California | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 36,589 | 14,563 | 56,797 | 23,407 |
Room Revenue | Chicago, Illinois | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 15,104 | 12,131 | 24,064 | 18,522 |
Room Revenue | Washington, D.C. | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 15,171 | 5,944 | 23,496 | 10,079 |
Room Revenue | New York City | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 16,134 | 6,622 | 23,796 | 9,860 |
Room Revenue | Denver, Colorado | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 8,405 | 5,519 | 14,957 | 7,720 |
Room Revenue | Houston, Texas | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 10,029 | 7,248 | 18,557 | 12,571 |
Room Revenue | Austin, Texas | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 11,119 | 5,952 | 19,501 | 9,559 |
Room Revenue | Louisville, Kentucky | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 10,929 | 3,551 | 15,773 | 5,332 |
Room Revenue | Other Markets | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 45,842 | 28,308 | 86,078 | 47,730 |
Room Revenue | Pittsburgh, Pennsylvannia | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 8,351 | 5,440 | 12,481 | 10,070 |
Room Revenue | Charleston, South Carolina | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 8,452 | 8,520 | 15,190 | 11,698 |
Room Revenue | Atlanta, Georgia | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 10,275 | 4,501 | 17,960 | 7,649 |
Room Revenue | New Orleans | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 10,638 | 4,657 | 18,494 | 7,007 |
Room Revenue | Boston, MA | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 13,000 | 2,863 | 17,671 | 4,654 |
Food and Beverage Revenue | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 31,154 | 12,983 | 52,055 | 19,225 |
Food and Beverage Revenue | Southern California | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 2,161 | 1,384 | 3,822 | 1,722 |
Food and Beverage Revenue | South Florida | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 4,953 | 3,483 | 9,692 | 5,848 |
Food and Beverage Revenue | Northern California | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 2,773 | 428 | 4,386 | 645 |
Food and Beverage Revenue | Chicago, Illinois | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 2,343 | 1,681 | 3,966 | 2,365 |
Food and Beverage Revenue | Washington, D.C. | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 364 | 60 | 481 | 89 |
Food and Beverage Revenue | New York City | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 2,855 | 266 | 3,644 | 283 |
Food and Beverage Revenue | Denver, Colorado | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 1,894 | 899 | 3,621 | 1,297 |
Food and Beverage Revenue | Houston, Texas | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 792 | 167 | 1,361 | 265 |
Food and Beverage Revenue | Austin, Texas | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 873 | 317 | 1,544 | 539 |
Food and Beverage Revenue | Louisville, Kentucky | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 3,166 | 942 | 5,159 | 1,310 |
Food and Beverage Revenue | Other Markets | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 3,275 | 1,286 | 5,526 | 2,167 |
Food and Beverage Revenue | Pittsburgh, Pennsylvannia | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 2,291 | 706 | 3,198 | 943 |
Food and Beverage Revenue | Charleston, South Carolina | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 1,435 | 1,161 | 2,631 | 1,461 |
Food and Beverage Revenue | Atlanta, Georgia | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 666 | 83 | 1,052 | 151 |
Food and Beverage Revenue | New Orleans | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 262 | 29 | 425 | 29 |
Food and Beverage Revenue | Boston, MA | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 1,051 | 91 | 1,547 | 111 |
Other Revenue | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 18,671 | 14,717 | 34,890 | 25,255 |
Other Revenue | Southern California | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 2,615 | 2,524 | 4,772 | 3,931 |
Other Revenue | South Florida | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 2,270 | 2,177 | 4,493 | 3,933 |
Other Revenue | Northern California | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 1,698 | 1,043 | 2,735 | 1,743 |
Other Revenue | Chicago, Illinois | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 737 | 573 | 1,197 | 931 |
Other Revenue | Washington, D.C. | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 661 | 476 | 1,251 | 760 |
Other Revenue | New York City | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 701 | 273 | 1,174 | 402 |
Other Revenue | Denver, Colorado | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 359 | 227 | 679 | 557 |
Other Revenue | Houston, Texas | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 1,032 | 769 | 1,899 | 1,437 |
Other Revenue | Austin, Texas | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 810 | 709 | 1,550 | 1,188 |
Other Revenue | Louisville, Kentucky | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 876 | 667 | 1,755 | 1,022 |
Other Revenue | Other Markets | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 3,993 | 3,216 | 7,889 | 5,791 |
Other Revenue | Pittsburgh, Pennsylvannia | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 400 | 204 | 721 | 374 |
Other Revenue | Charleston, South Carolina | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 396 | 541 | 899 | 942 |
Other Revenue | Atlanta, Georgia | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 992 | 605 | 1,816 | 1,098 |
Other Revenue | New Orleans | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 742 | 658 | 1,439 | 1,041 |
Other Revenue | Boston, MA | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | $ 389 | $ 55 | $ 621 | $ 105 |
Debt (Senior Notes, Term Loans,
Debt (Senior Notes, Term Loans, and Revolver) (Details) | 1 Months Ended | 3 Months Ended | 6 Months Ended | ||||
Sep. 30, 2021 USD ($) | Jun. 30, 2022 USD ($) asset | Jun. 30, 2021 USD ($) | Jun. 30, 2022 USD ($) asset | Jun. 30, 2021 USD ($) | Apr. 30, 2022 USD ($) | Dec. 31, 2021 USD ($) | |
Debt | |||||||
unamortized debt issuance costs on bonds | $ (11,875,000) | $ (11,875,000) | $ (13,058,000) | ||||
Debt, net | 2,211,735,000 | 2,211,735,000 | 2,409,438,000 | ||||
Unsecured Debt, Gross | 818,662,000 | 818,662,000 | 1,018,662,000 | ||||
Unamortized debt issuance costs on term loans | (2,785,000) | (2,785,000) | (3,658,000) | ||||
Amortization of deferred financing costs | $ 1,417,000 | $ 1,364,000 | $ 3,101,000 | $ 2,685,000 | |||
Secured Debt [Member] | |||||||
Debt | |||||||
Number of Assets Encumbered | asset | 15 | 15 | |||||
The Revolver | Line of Credit | |||||||
Debt | |||||||
Maximum borrowing capacity | $ 600,000,000 | $ 600,000,000 | |||||
Additional maturity term | 1 year | ||||||
Unsecured Debt | $ 0 | $ 0 | 200,000,000 | ||||
Interest Rate | 4.29% | 4.29% | |||||
Remaining borrowing capacity | $ 600,000,000 | $ 600,000,000 | 400,000,000 | ||||
$400 Million Term Loan Maturing 2023 | Unsecured Debt [Member] | |||||||
Debt | |||||||
Maximum borrowing capacity | 400,000,000 | 400,000,000 | |||||
Unsecured Debt | $ 203,944,000 | $ 203,944,000 | 203,944,000 | ||||
Interest Rate | 4.69% | 4.69% | |||||
Extension Option | $ 151,700,000 | ||||||
Extension period | 1 year | ||||||
$225 Million Term Loan Maturing 2023 | Unsecured Debt [Member] | |||||||
Debt | |||||||
Maximum borrowing capacity | $ 225,000,000 | $ 225,000,000 | |||||
Unsecured Debt | $ 114,718,000 | $ 114,718,000 | 114,718,000 | ||||
Interest Rate | 4.27% | 4.27% | |||||
Extension Option | $ 73,000,000 | ||||||
Extension period | 1 year | ||||||
$150 Million Term Loan Maturing 2023 | Unsecured Debt [Member] | |||||||
Debt | |||||||
Maximum borrowing capacity | $ 150,000,000 | $ 150,000,000 | |||||
Unsecured Debt | $ 100,000,000 | $ 100,000,000 | 100,000,000 | ||||
Interest Rate | 4.18% | 4.18% | |||||
Extension period | 1 year | ||||||
$400 Million Term Loan Maturing 2025 [Member] | Unsecured Debt [Member] | |||||||
Debt | |||||||
Maximum borrowing capacity | $ 400,000,000 | $ 400,000,000 | |||||
Unsecured Debt | $ 400,000,000 | $ 400,000,000 | 400,000,000 | ||||
Interest Rate | 4% | 4% | |||||
Conventional Mortgage Loan | |||||||
Debt | |||||||
Unsecured Debt | $ 815,877,000 | $ 815,877,000 | 815,004,000 | ||||
$500 Million Senior Notes Due 2026 | Unsecured Debt [Member] | |||||||
Debt | |||||||
Debt Instrument, Interest Rate, Stated Percentage | 3.75% | 3.75% | |||||
Senior Notes [Member] | |||||||
Debt | |||||||
Long-term Debt, Gross | $ 988,125,000 | $ 988,125,000 | 986,942,000 | ||||
$500 Million Senior Notes Due 2029 | Unsecured Debt [Member] | |||||||
Debt | |||||||
Debt Instrument, Interest Rate, Stated Percentage | 4% | 4% | |||||
Revolver And Term Loan Amendment | Line of Credit | |||||||
Debt | |||||||
Maximum borrowing capacity | $ 50,000,000 | ||||||
Prepaid expenses and other assets | |||||||
Debt | |||||||
Deferred financing costs | $ 2,300,000 | $ 2,300,000 | 2,900,000 | ||||
Fair Value, Inputs, Level 3 [Member] | Secured Debt [Member] | |||||||
Debt | |||||||
Secured Debt | 407,733,000 | 407,733,000 | 407,492,000 | ||||
Fair Value, Inputs, Level 3 [Member] | Unsecured Debt [Member] | |||||||
Debt | |||||||
Unsecured Debt | 815,877,000 | 815,877,000 | 1,015,004,000 | ||||
Level 1 | Senior Notes [Member] | |||||||
Debt | |||||||
Long-term Debt, Gross | 1,000,000,000 | 1,000,000,000 | 1,000,000,000 | ||||
Level 1 | $500 Million Senior Notes Due 2029 | |||||||
Debt | |||||||
Long-term Debt, Gross | 500,000,000 | 500,000,000 | 500,000,000 | ||||
Level 1 | $500 Million Senior Notes Due 2026 | |||||||
Debt | |||||||
Long-term Debt, Gross | $ 500,000,000 | $ 500,000,000 | $ 500,000,000 |
Debt (Mortgage Loans) (Details)
Debt (Mortgage Loans) (Details) | 1 Months Ended | 6 Months Ended | |
Apr. 30, 2019 increment | Jun. 30, 2022 USD ($) loan asset | Dec. 31, 2021 USD ($) loan | |
Debt | |||
Mortgage loans, gross | $ 408,373,000 | $ 408,554,000 | |
Unamortized debt issuance costs on mortgage loans | $ (640,000) | $ (1,062,000) | |
Mortgage Loan in Cash Trap Event | loan | 1 | 2 | |
Lender | |||
Debt | |||
Restricted Cash | $ 12,300,000 | $ 22,400,000 | |
Secured Debt [Member] | |||
Debt | |||
Number of Assets Encumbered | asset | 15 | ||
Secured Debt [Member] | Wells Fargo 3 | |||
Debt | |||
Number of Assets Encumbered | asset | 1 | ||
Interest Rate | 5.06% | ||
Mortgage loans, net | $ 27,373,000 | 27,554,000 | |
Debt Instrument, Fair Value Adjustment, Net | $ 2,400,000 | 2,600,000 | |
Three Point Four Three Percent Due March 2024 [Member] | Secured Debt [Member] | |||
Debt | |||
Number of Assets Encumbered | asset | 4 | ||
Mortgage loans, net | $ 85,000,000 | 85,000,000 | |
Debt Instrument, Interest Rate, Stated Percentage | 3.43% | ||
Three Point Three Two Percent Due April 2022 [Member] | Secured Debt [Member] | |||
Debt | |||
Number of Assets Encumbered | asset | 7 | ||
Mortgage loans, net | $ 200,000,000 | 200,000,000 | |
Debt Instrument, Interest Rate, Stated Percentage | 3.30% | ||
The Revolver | Line of Credit | |||
Debt | |||
Interest Rate | 4.29% | ||
Unsecured Debt | $ 0 | 200,000,000 | |
Additional maturity term | 1 year | ||
Remaining borrowing capacity | $ 600,000,000 | 400,000,000 | |
Line of Credit Facility, Maximum Borrowing Capacity | $ 600,000,000 | ||
Four Point Zero Zero Percent Due April 2024 [Member] | Secured Debt [Member] | |||
Debt | |||
Number of Assets Encumbered | asset | 3 | ||
Mortgage loans, net | $ 96,000,000 | 96,000,000 | |
Debt Instrument, Interest Rate, Stated Percentage | 2.53% | ||
LIBOR Plus One Point Six Zero Percent [Member] | Secured Debt [Member] | |||
Debt | |||
Additional maturity term | 1 year | ||
Number of additional maturity terms | increment | 2 | ||
$225 Million Term Loan Maturing 2023 | Unsecured Debt [Member] | |||
Debt | |||
Interest Rate | 4.27% | ||
Unsecured Debt | $ 114,718,000 | 114,718,000 | |
Line of Credit Facility, Maximum Borrowing Capacity | $ 225,000,000 | ||
$400 Million Term Loan Maturing 2025 [Member] | Unsecured Debt [Member] | |||
Debt | |||
Interest Rate | 4% | ||
Unsecured Debt | $ 400,000,000 | $ 400,000,000 | |
Line of Credit Facility, Maximum Borrowing Capacity | $ 400,000,000 | ||
$500 Million Senior Notes Due 2026 | Unsecured Debt [Member] | |||
Debt | |||
Debt Instrument, Interest Rate, Stated Percentage | 3.75% |
Debt (Components of Interest Ex
Debt (Components of Interest Expense) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Debt | ||||
Amortization of deferred financing costs | $ 1,417 | $ 1,364 | $ 3,101 | $ 2,685 |
Gain (Loss) on Interest Rate Derivative Instruments Not Designated as Hedging Instruments | 285 | 0 | 241 | 0 |
Total Interest Expense | 23,855 | 26,366 | 48,416 | 54,261 |
Senior Notes [Member] | ||||
Debt | ||||
Interest expense | 9,688 | 6,685 | 19,431 | 12,627 |
Secured Debt [Member] | ||||
Debt | ||||
Interest expense | 3,329 | 4,294 | 6,539 | 7,748 |
Revolver and Term Loans | ||||
Debt | ||||
Interest expense | $ 9,136 | $ 14,023 | $ 19,104 | $ 31,201 |
Debt (Covenants) (Details)
Debt (Covenants) (Details) - USD ($) $ / shares in Units, $ in Millions | 3 Months Ended | |||
Jun. 30, 2022 | Mar. 31, 2022 | Jun. 30, 2021 | Mar. 31, 2021 | |
Debt Instrument Covenant [Abstract] | ||||
Dividends | $ 0.01 | $ 0.01 | $ 0.01 | $ 0.01 |
$500 Million Term Loan Maturing 2026 | Senior Notes [Member] | ||||
Debt Instrument Covenant [Abstract] | ||||
Debt Instrument, Covenant, Maximum, Secured Indebtedness Ratio | 45% | |||
Debt Instrument, Covenant, Minimum, Unsecured Interest Coverage Ratio | 1.5 | |||
Debt Instrument, Covenant, Maximum, Consolidated Indebtedness Ratio | 0.65 | |||
Debt Instrument, Covenant, Minimum, Unencumbered Asset To Unencumbered Debt Ratio | 150% | |||
Original Covenant | ||||
Debt Instrument Covenant [Abstract] | ||||
Leverage ratio | 0.0700 | |||
Fixed charge coverage ratio | 0.0150 | |||
Debt Instrument, Covenant, Maximum, Secured Indebtedness Ratio | 45% | |||
Debt Instrument, Covenant, Maximum, Unsecured Indebtedness Ratio | 60% | |||
Debt Instrument, Covenant, Minimum, Unsecured Interest Coverage Ratio | 2 | |||
Modified Covenant | ||||
Debt Instrument Covenant [Abstract] | ||||
Leverage ratio | 0.0850 | |||
Fixed charge coverage ratio | 0.0150 | |||
Debt Instrument, Covenant, Maximum, Secured Indebtedness Ratio | 45% | |||
Debt Instrument, Covenant, Maximum, Unsecured Indebtedness Ratio | 65% | |||
Debt Instrument, Covenant, Minimum, Unsecured Interest Coverage Ratio | 1.50 | |||
Debt Instrument, Covenant, Minimum Liquidity Level | $ 225 |
Derivatives and Hedging Activ_3
Derivatives and Hedging Activities (Details) - USD ($) | 1 Months Ended | 3 Months Ended | 6 Months Ended | 9 Months Ended | ||||
Feb. 28, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | Sep. 30, 2021 | Dec. 31, 2021 | |
Interest Rate Derivatives | ||||||||
Notional value | $ 1,199,662,000 | $ 1,199,662,000 | $ 1,399,655,000 | |||||
Interest Rate Cash Flow Hedge Derivative at Fair Value, Net | 29,130,000 | 29,130,000 | (19,917,000) | |||||
Amount of hedge ineffectiveness | 0 | $ 0 | 0 | $ 0 | ||||
Reclassification of unrealized losses (gains) on discontinued cash flow hedges to other income (expense), net | 10,658,000 | (5,866,000) | 10,658,000 | |||||
Net unrealized gains in accumulated other comprehensive income expected to be reclassified into interest expense within the next 12 months | (12,200,000) | (12,200,000) | ||||||
Designated as Hedging Instrument | Interest Rate Swap, 2.29% [Member] | ||||||||
Interest Rate Derivatives | ||||||||
Notional value | 200,000,000 | 200,000,000 | 200,000,000 | |||||
Interest rate swap liability | 4,077,000 | |||||||
Interest Rate Cash Flow Hedge Asset at Fair Value | $ 159,000 | $ 159,000 | ||||||
Interest rate | 2.29% | 2.29% | ||||||
Other Comprehensive Income (Loss), Cash Flow Hedge, Gain (Loss), after Reclassification and Tax | $ 4,400,000 | |||||||
Designated as Hedging Instrument | Interest Rate Swap, 2.290% [Member] | ||||||||
Interest Rate Derivatives | ||||||||
Notional value | $ 125,000,000 | $ 125,000,000 | 125,000,000 | |||||
Interest rate swap liability | 2,545,000 | |||||||
Interest Rate Cash Flow Hedge Asset at Fair Value | $ 101,000 | $ 101,000 | ||||||
Interest rate | 2.29% | 2.29% | ||||||
Designated as Hedging Instrument | Interest Rate Swap, 2.38% [Member] | ||||||||
Interest Rate Derivatives | ||||||||
Notional value | $ 0 | $ 0 | 87,780,000 | |||||
Interest rate swap liability | 1,879,000 | |||||||
Interest Rate Cash Flow Hedge Asset at Fair Value | $ 0 | $ 0 | ||||||
Interest rate | 2.38% | 2.38% | ||||||
Other Comprehensive Income (Loss), Cash Flow Hedge, Gain (Loss), after Reclassification and Tax | $ 1,500,000 | $ 6,200,000 | ||||||
Designated as Hedging Instrument | Interest Rate Swap, 2.380% [Member] | ||||||||
Interest Rate Derivatives | ||||||||
Notional value | $ 0 | 0 | 36,875,000 | |||||
Interest rate swap liability | 789,000 | |||||||
Interest Rate Cash Flow Hedge Asset at Fair Value | $ 0 | $ 0 | ||||||
Interest rate | 2.38% | 2.38% | ||||||
Other Comprehensive Income (Loss), Cash Flow Hedge, Gain (Loss), after Reclassification and Tax | $ 200,000 | |||||||
Derivative Liability, Notional Amount, Terminated Amount | $ 75,300,000 | 75,300,000 | ||||||
Designated as Hedging Instrument | Interest Rate Swap, 2.75% [Member] | ||||||||
Interest Rate Derivatives | ||||||||
Notional value | 100,000,000 | 100,000,000 | 100,000,000 | |||||
Interest rate swap liability | 3,893,000 | |||||||
Interest Rate Cash Flow Hedge Asset at Fair Value | $ 343,000 | $ 343,000 | ||||||
Interest rate | 2.75% | 2.75% | ||||||
Designated as Hedging Instrument | Interest Rate Swap, 2.51% [Member] | ||||||||
Interest Rate Derivatives | ||||||||
Notional value | $ 75,000,000 | $ 75,000,000 | 75,000,000 | |||||
Interest rate swap liability | 2,692,000 | |||||||
Interest Rate Cash Flow Hedge Asset at Fair Value | $ 577,000 | $ 577,000 | ||||||
Interest rate | 2.51% | 2.51% | ||||||
Designated as Hedging Instrument | Interest Rate Swap, 2.39% [Member] | ||||||||
Interest Rate Derivatives | ||||||||
Notional value | $ 75,000,000 | $ 75,000,000 | 75,000,000 | |||||
Interest rate swap liability | 2,504,000 | |||||||
Interest Rate Cash Flow Hedge Asset at Fair Value | $ 718,000 | $ 718,000 | ||||||
Interest rate | 2.39% | 2.39% | ||||||
Designated as Hedging Instrument | Interest Rate Swap, 1.28% [Member] | ||||||||
Interest Rate Derivatives | ||||||||
Notional value | $ 24,662,000 | $ 24,662,000 | 100,000,000 | |||||
Interest rate swap liability | 759,000 | |||||||
Interest Rate Cash Flow Hedge Asset at Fair Value | $ 26,000 | $ 26,000 | ||||||
Interest rate | 1.28% | 1.28% | ||||||
Designated as Hedging Instrument | Interest Rate Swap, 1.24% [Member] | ||||||||
Interest Rate Derivatives | ||||||||
Notional value | $ 150,000,000 | $ 150,000,000 | 150,000,000 | |||||
Interest rate swap liability | 860,000 | |||||||
Interest Rate Cash Flow Hedge Asset at Fair Value | $ 7,601,000 | $ 7,601,000 | ||||||
Interest rate | 1.24% | 1.24% | ||||||
Designated as Hedging Instrument | Interest Rate Swap, 1.16% [Member] | ||||||||
Interest Rate Derivatives | ||||||||
Notional value | $ 50,000,000 | $ 50,000,000 | 50,000,000 | |||||
Interest rate swap liability | 338,000 | |||||||
Interest Rate Cash Flow Hedge Asset at Fair Value | $ 1,701,000 | $ 1,701,000 | ||||||
Interest rate | 1.16% | 1.16% | ||||||
Designated as Hedging Instrument | Interest Rate Swap, 1.200% [Member] | ||||||||
Interest Rate Derivatives | ||||||||
Notional value | $ 50,000,000 | $ 50,000,000 | 50,000,000 | |||||
Interest rate swap liability | 387,000 | |||||||
Interest Rate Cash Flow Hedge Asset at Fair Value | $ 1,663,000 | $ 1,663,000 | ||||||
Interest rate | 1.20% | 1.20% | ||||||
Designated as Hedging Instrument | Interest Rate Swap, 1.150% [Member] | ||||||||
Interest Rate Derivatives | ||||||||
Notional value | $ 50,000,000 | $ 50,000,000 | 50,000,000 | |||||
Interest rate swap liability | 327,000 | |||||||
Interest Rate Cash Flow Hedge Asset at Fair Value | $ 1,710,000 | $ 1,710,000 | ||||||
Interest rate | 1.15% | 1.15% | ||||||
Designated as Hedging Instrument | Interest Rate Swap, 1.10% [Member] | ||||||||
Interest Rate Derivatives | ||||||||
Notional value | $ 50,000,000 | $ 50,000,000 | 50,000,000 | |||||
Interest rate swap liability | 267,000 | |||||||
Interest Rate Cash Flow Hedge Asset at Fair Value | $ 1,757,000 | $ 1,757,000 | ||||||
Interest rate | 1.10% | 1.10% | ||||||
Designated as Hedging Instrument | Interest Rate Swap, 0.98% [Member] | ||||||||
Interest Rate Derivatives | ||||||||
Notional value | $ 25,000,000 | $ 25,000,000 | 25,000,000 | |||||
Interest rate swap liability | 61,000 | |||||||
Interest Rate Cash Flow Hedge Asset at Fair Value | $ 934,000 | $ 934,000 | ||||||
Interest rate | 0.98% | 0.98% | ||||||
Designated as Hedging Instrument | Interest Rate Swap, 0.95% [Member] | ||||||||
Interest Rate Derivatives | ||||||||
Notional value | $ 25,000,000 | $ 25,000,000 | 25,000,000 | |||||
Interest rate swap liability | 43,000 | |||||||
Interest Rate Cash Flow Hedge Asset at Fair Value | $ 948,000 | $ 948,000 | ||||||
Interest rate | 0.95% | 0.95% | ||||||
Designated as Hedging Instrument | Interest Rate Swap, 0.93% [Member] | ||||||||
Interest Rate Derivatives | ||||||||
Notional value | $ 25,000,000 | $ 25,000,000 | 25,000,000 | |||||
Interest rate swap liability | 31,000 | |||||||
Interest Rate Cash Flow Hedge Asset at Fair Value | $ 958,000 | $ 958,000 | ||||||
Interest rate | 0.93% | 0.93% | ||||||
Designated as Hedging Instrument | Interest Rate Swap, 0.90% [Member] | ||||||||
Interest Rate Derivatives | ||||||||
Notional value | $ 25,000,000 | $ 25,000,000 | 25,000,000 | |||||
Interest rate swap liability | 13,000 | |||||||
Interest Rate Cash Flow Hedge Asset at Fair Value | $ 972,000 | $ 972,000 | ||||||
Interest rate | 0.90% | 0.90% | ||||||
Designated as Hedging Instrument | Interest Rate Swap, 0.85% [Member] | ||||||||
Interest Rate Derivatives | ||||||||
Notional value | $ 50,000,000 | $ 50,000,000 | 50,000,000 | |||||
Interest Rate Cash Flow Hedge Asset at Fair Value | $ 2,532,000 | $ 2,532,000 | 221,000 | |||||
Interest rate | 0.85% | 0.85% | ||||||
Designated as Hedging Instrument | Interest Rate Swap, 0.75% [Member] | ||||||||
Interest Rate Derivatives | ||||||||
Notional value | $ 50,000,000 | $ 50,000,000 | 50,000,000 | |||||
Interest Rate Cash Flow Hedge Asset at Fair Value | $ 2,655,000 | $ 2,655,000 | 372,000 | |||||
Interest rate | 0.75% | 0.75% | ||||||
Designated as Hedging Instrument | Interest Rate Swap, 0.65% [Member] | ||||||||
Interest Rate Derivatives | ||||||||
Notional value | $ 50,000,000 | $ 50,000,000 | 50,000,000 | |||||
Interest Rate Cash Flow Hedge Asset at Fair Value | $ 3,775,000 | $ 3,775,000 | 955,000 | |||||
Interest rate | 0.65% | 0.65% | ||||||
Designated as Hedging Instrument | Interest Rate Swap Designated/Redesignated in2022 | ||||||||
Interest Rate Derivatives | ||||||||
Other Comprehensive Income (Loss), Cash Flow Hedge, Gain (Loss), after Reclassification and Tax | $ 5,900,000 | |||||||
Interest Expense | ||||||||
Interest Rate Derivatives | ||||||||
Reclassification of unrealized losses (gains) on discontinued cash flow hedges to other income (expense), net | $ (3,100,000) | $ (6,600,000) | $ (8,100,000) | $ (13,900,000) | ||||
Accounts payable and other liabilities | Interest rate swap | ||||||||
Interest Rate Derivatives | ||||||||
Interest rate swap liability | $ 21,500,000 | |||||||
Prepaid expenses and other assets | Interest rate swap | ||||||||
Interest Rate Derivatives | ||||||||
Interest Rate Cash Flow Hedge Asset at Fair Value | $ 29,100,000 | $ 29,100,000 |
Fair Value (Details)
Fair Value (Details) - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Interest Rate Cash Flow Hedge Derivative at Fair Value, Net | $ 29,130 | $ (19,917) |
Debt, net | 2,211,735 | 2,409,438 |
Fair Value, Inputs, Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Long-term Debt, Fair Value | 2,054,514 | 2,407,094 |
Recurring | Interest rate swap | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Interest rate swap asset | 29,130 | 1,548 |
Interest rate swap liability | (21,465) | |
Interest Rate Cash Flow Hedge Derivative at Fair Value, Net | 29,130 | (19,917) |
Recurring | Level 1 | Interest rate swap | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Interest rate swap asset | 0 | 0 |
Interest rate swap liability | 0 | |
Interest Rate Cash Flow Hedge Derivative at Fair Value, Net | 0 | 0 |
Recurring | Fair Value, Inputs, Level 2 [Member] | Interest rate swap | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Interest rate swap asset | 29,130 | 1,548 |
Interest rate swap liability | (21,465) | |
Interest Rate Cash Flow Hedge Derivative at Fair Value, Net | 29,130 | (19,917) |
Recurring | Fair Value, Inputs, Level 3 [Member] | Interest rate swap | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Interest rate swap asset | 0 | 0 |
Interest rate swap liability | 0 | |
Interest Rate Cash Flow Hedge Derivative at Fair Value, Net | 0 | 0 |
Senior Notes [Member] | Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Long-term Debt, Gross | 1,000,000 | 1,000,000 |
Unsecured Debt [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Long-term Debt, Fair Value | 799,993 | 1,006,647 |
Unsecured Debt | 815,877 | 1,015,004 |
Secured Debt [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Long-term Debt, Fair Value | 399,671 | 401,387 |
Secured Debt | 407,733 | 407,492 |
$500 Million Senior Notes Due 2026 | Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Long-term Debt, Gross | 500,000 | 500,000 |
$500 Million Term Loan Maturing 2029 | Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ||
Long-term Debt, Fair Value | $ 854,850 | $ 999,060 |
Income Taxes (Details)
Income Taxes (Details) - USD ($) | Jun. 30, 2022 | Dec. 31, 2021 |
Income Tax Disclosure [Abstract] | ||
Accruals for tax uncertainties | $ 0 | $ 0 |
Commitments and Contingencies (
Commitments and Contingencies (Details) $ in Thousands | 3 Months Ended | 6 Months Ended | ||||
Jun. 30, 2022 USD ($) property | Jun. 30, 2021 USD ($) | Jun. 30, 2022 USD ($) property | Jun. 30, 2021 USD ($) | Dec. 31, 2021 USD ($) | Sep. 30, 2018 hotel | |
Loss Contingencies [Line Items] | ||||||
Minimum restricted cash reserve escrows to be maintained as a percentage of the hotel's revenue | 3% | |||||
Maximum restricted cash reserve escrows to be maintained as percentage of hotel's revenue | 5% | |||||
Restricted cash reserves for future capital expenditures, real estate taxes and insurance | $ 44,281 | $ 38,842 | $ 44,281 | $ 38,842 | $ 48,528 | |
Number of Real Estate Properties | 96 | 96 | 34 | |||
NOI Guarantee Termination Payment | $ 36,000 | |||||
Reduction of Management Fee Expense | $ 1,000 | $ 4,500 | $ 2,100 | $ 9,100 |
Commitments and Contingencies_2
Commitments and Contingencies (Management Agreements) (Details) $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2022 USD ($) hotel property | Jun. 30, 2021 USD ($) | Jun. 30, 2022 USD ($) hotel property | Jun. 30, 2021 USD ($) | Sep. 30, 2018 hotel | |
Other Commitments | |||||
Number of Hotel Properties Operated under Management Agreements | hotel | 95 | 95 | |||
Number of Real Estate Properties | 96 | 96 | 34 | ||
Minimum | |||||
Other Commitments | |||||
Management Agreement Term | 1 year | ||||
Base Management Fee as Percentage of Hotel Revenues | 1.75% | ||||
Management Agreements which include Franchise Agreement, Base Management Fee as Percentage of Hotel Revenues | 2% | ||||
Maximum | |||||
Other Commitments | |||||
Management Agreement Term | 25 years | ||||
Base Management Fee as Percentage of Hotel Revenues | 3.50% | ||||
Management Agreements which include Franchise Agreement, Base Management Fee as Percentage of Hotel Revenues | 7% | ||||
Management Service [Member] | |||||
Other Commitments | |||||
Cost of Goods and Services Sold | $ | $ 10.7 | $ 6.2 | $ 18.6 | $ 9.4 |
Commitments and Contingencies_3
Commitments and Contingencies (Franchise Agreements) (Details) $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2022 USD ($) property hotel | Jun. 30, 2021 USD ($) | Jun. 30, 2022 USD ($) property hotel | Jun. 30, 2021 USD ($) | Sep. 30, 2018 hotel | |
Other Commitments | |||||
Number of Hotel Properties Operated under Franchise Agreements | hotel | 60 | 60 | |||
Number of Real Estate Properties | 96 | 96 | 34 | ||
Minimum | |||||
Other Commitments | |||||
Franchise Agreements Term | 1 year | ||||
Franchise Agreements, Royalty Fee as Percentage of Room Revenue | 3% | ||||
Franchise Agreements, Additional Fees for Marketing Central Reservation Systems and Other Franchisor Costs as Percentage of Room Revenue | 1% | ||||
Franchise Agreements, Royalty Fee as Percentage of Food and Beverage Revenue | 1.50% | ||||
Maximum | |||||
Other Commitments | |||||
Franchise Agreements Term | 30 years | ||||
Franchise Agreements, Royalty Fee as Percentage of Room Revenue | 6% | ||||
Franchise Agreements, Additional Fees for Marketing Central Reservation Systems and Other Franchisor Costs as Percentage of Room Revenue | 4.30% | ||||
Franchise Agreements, Royalty Fee as Percentage of Food and Beverage Revenue | 3% | ||||
Franchise [Member] | |||||
Other Commitments | |||||
Cost of Goods and Services Sold | $ | $ 16.4 | $ 11 | $ 30 | $ 17.6 |
Equity (Details)
Equity (Details) - USD ($) $ / shares in Units, $ in Thousands | 1 Months Ended | 3 Months Ended | 6 Months Ended | |||||
Jul. 31, 2022 | Jun. 30, 2022 | Mar. 31, 2022 | Jun. 30, 2021 | Mar. 31, 2021 | Jun. 30, 2022 | Aug. 05, 2022 | Apr. 29, 2022 | |
Equity, Class of Treasury Stock | ||||||||
Stock repurchased during the period, Value | $ 47,446 | $ 47,446 | ||||||
Dividends declared per common share | $ 0.01 | $ 0.01 | $ 0.01 | $ 0.01 | ||||
Subsequent Event [Member] | ||||||||
Equity, Class of Treasury Stock | ||||||||
Stock repurchased during the period, Value | $ 2,600 | |||||||
Share repurchase program, remaining authorized amount | $ 200,000 | |||||||
Limited Partners | ||||||||
Equity, Class of Treasury Stock | ||||||||
Remaining limited partner ownership interest in Operating Partnership units (in shares) | 771,831 | 771,831 | ||||||
Series A Cumulative Preferred Stock [Member] | ||||||||
Equity, Class of Treasury Stock | ||||||||
Preferred Stock, Dividends Per Share, Declared | $ 0.4875 | $ 0.4875 | $ 0.4875 | $ 0.4875 | ||||
2022 Share Repurchase Program | ||||||||
Equity, Class of Treasury Stock | ||||||||
Common shares repurchased and retired (in shares) | 4,000,000 | |||||||
Share repurchase program, authorized amount | $ 250,000 | |||||||
2022 Share Repurchase Program | Subsequent Event [Member] | ||||||||
Equity, Class of Treasury Stock | ||||||||
Common shares repurchased and retired (in shares) | 200,000 | |||||||
The Knickerbocker New York [Member] | ||||||||
Equity, Class of Treasury Stock | ||||||||
Noncontrolling Interest, Ownership Percentage by Noncontrolling Owners | 5% | 5% |
Equity Incentive Plan (Details)
Equity Incentive Plan (Details) - USD ($) $ / shares in Units, $ in Millions | 1 Months Ended | 3 Months Ended | 6 Months Ended | ||||
Feb. 28, 2022 | Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2019 | |
Equity Incentive Plan | |||||||
Maximum number of common shares available for issuance (in shares) | 6,828,527 | 6,828,527 | |||||
Restricted share awards | |||||||
Summary of non-vested shares/units | |||||||
Unvested at the beginning of the period (in shares) | 2,380,283 | ||||||
Granted (in shares) | 569,600 | ||||||
Vested (in shares) | (619,285) | ||||||
Forfeited (in shares) | (6,065) | ||||||
Unvested at the end of the period (in shares) | 2,324,533 | 2,324,533 | |||||
Weighted Average Grant Date Fair Value | |||||||
Unvested at the beginning of the period (in dollars per share) | $ 15.43 | ||||||
Granted (in dollars per share) | 15.10 | ||||||
Vested (in dollars per share) | 15.69 | ||||||
Forfeited (in dollars per share) | 13.56 | ||||||
Unvested at the end of the period (in dollars per share) | $ 15.28 | $ 15.28 | |||||
Other Disclosures | |||||||
Share-based compensation expense | $ 3.6 | $ 3 | $ 7.1 | $ 4.9 | |||
Total unrecognized compensation costs | $ 27.8 | $ 27.8 | |||||
Weighted-average period of recognition of unrecognized share-based compensation expense | 2 years | ||||||
Total fair value of shares vested | $ 8.7 | 6.3 | |||||
2015 Share Repurchase Program [Member] | |||||||
Other Disclosures | |||||||
Performance-based vesting period | 3 years | ||||||
Time-based vesting period | 1 year | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Award Requisite Service Period | 4 years | ||||||
Share-Based Compensation Arrangement by Share-Based Payment Award, Contingent on Absolute Total Shareholder Return | 40% | ||||||
Share-Based Compensation Arrangement by Share-Based Payment Award, Contingent on Relative Total Shareholder Return | 60% | ||||||
Vesting percentage upon satisfaction of performance-based vesting period | 50% | ||||||
Vesting percentage upon satisfaction of time-based vesting period | 50% | ||||||
Percentage of grant date fair value to be recognized over three years | 50% | ||||||
Employee service share based compensation cost period of recognition | 3 years | ||||||
Percentage of grant date fair value to be recognized over four years | 50% | ||||||
Employee service share based compensation cost period of recognition | 4 years | ||||||
2019 Performance Shares [Member] | |||||||
Summary of non-vested shares/units | |||||||
Granted (in shares) | 133,000 | 260,000 | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period, Intrinsic Value, Amount Per Share | $ 19.16 | ||||||
Unvested at the end of the period (in shares) | 67,000 | 67,000 | |||||
Other Disclosures | |||||||
Total fair value of shares vested | $ 0.8 | ||||||
Fair value assumptions, risk free interest rate | 2.52% | ||||||
Fair value assumptions, expected volatility rate | 27.19% | ||||||
Performance Units | |||||||
Other Disclosures | |||||||
Share-based compensation expense | $ 1.9 | $ 1.8 | 3.5 | $ 2.7 | |||
Total unrecognized compensation costs | $ 14.5 | $ 14.5 | |||||
Weighted-average period of recognition of unrecognized share-based compensation expense | 2 years 1 month 6 days | ||||||
Performance-based vesting period | 4 years | ||||||
2020 Performance Shares [Member] | |||||||
Summary of non-vested shares/units | |||||||
Granted (in shares) | 489,000 | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period, Intrinsic Value, Amount Per Share | $ 11.59 | ||||||
Other Disclosures | |||||||
Fair value assumptions, risk free interest rate | 1.08% | ||||||
Fair value assumptions, expected volatility rate | 23.46% | ||||||
2021 Performance Shares | |||||||
Summary of non-vested shares/units | |||||||
Granted (in shares) | 431,151 | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period, Intrinsic Value, Amount Per Share | $ 20.90 | ||||||
Other Disclosures | |||||||
Share-Based Compensation Arrangement by Share-Based Payment Award, Contingent on Absolute Total Shareholder Return | 2,500% | ||||||
Share-Based Compensation Arrangement by Share-Based Payment Award, Contingent on Relative Total Shareholder Return | 75% | ||||||
Fair value assumptions, risk free interest rate | 0.23% | ||||||
Fair value assumptions, expected volatility rate | 69.47% | ||||||
Percentage of grant date fair value to be recognized over three years | 100% | ||||||
Employee service share based compensation cost period of recognition | 3 years | ||||||
2022 Performance Shares | |||||||
Summary of non-vested shares/units | |||||||
Granted (in shares) | 407,024 | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period, Intrinsic Value, Amount Per Share | $ 21.96 | ||||||
Other Disclosures | |||||||
Fair value assumptions, risk free interest rate | 1.70% | ||||||
Fair value assumptions, expected volatility rate | 70.15% | ||||||
2021 Share Repurchase Program | |||||||
Other Disclosures | |||||||
Common shares available for future grant (in shares) | 3,531,171 | 3,531,171 | |||||
Minimum | 2015 Share Repurchase Program [Member] | |||||||
Other Disclosures | |||||||
Percentage of performance units that will convert into restricted shares | 0% | ||||||
Minimum | 2019 Performance Shares [Member] | |||||||
Equity Incentive Plan | |||||||
Shared-Based Compensation Arrangement by Share-Based Payment Award, Conversion Percentage Range | 0% | ||||||
Minimum | 2020 Performance Shares [Member] | |||||||
Equity Incentive Plan | |||||||
Shared-Based Compensation Arrangement by Share-Based Payment Award, Conversion Percentage Range | 0% | ||||||
Minimum | 2021 Performance Shares | |||||||
Equity Incentive Plan | |||||||
Shared-Based Compensation Arrangement by Share-Based Payment Award, Conversion Percentage Range | 0% | ||||||
Minimum | 2022 Performance Shares | |||||||
Equity Incentive Plan | |||||||
Shared-Based Compensation Arrangement by Share-Based Payment Award, Conversion Percentage Range | 0% | ||||||
Maximum | 2015 Share Repurchase Program [Member] | |||||||
Other Disclosures | |||||||
Percentage of performance units that will convert into restricted shares | 200% | ||||||
Maximum | 2019 Performance Shares [Member] | |||||||
Equity Incentive Plan | |||||||
Shared-Based Compensation Arrangement by Share-Based Payment Award, Conversion Percentage Range | 200% | ||||||
Maximum | 2020 Performance Shares [Member] | |||||||
Equity Incentive Plan | |||||||
Shared-Based Compensation Arrangement by Share-Based Payment Award, Conversion Percentage Range | 200% | ||||||
Maximum | 2021 Performance Shares | |||||||
Equity Incentive Plan | |||||||
Shared-Based Compensation Arrangement by Share-Based Payment Award, Conversion Percentage Range | 200% | ||||||
Maximum | 2022 Performance Shares | |||||||
Equity Incentive Plan | |||||||
Shared-Based Compensation Arrangement by Share-Based Payment Award, Conversion Percentage Range | 200% |
Earnings per Common Share (Deta
Earnings per Common Share (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Numerator: | ||||
Net Income (Loss) Attributable to Parent | $ 32,966 | $ (51,447) | $ 17,718 | $ (129,433) |
Preferred Stock Dividends, Income Statement Impact | (6,279) | (6,279) | (12,557) | (12,557) |
Less: Dividends paid on unvested restricted shares | (24) | (26) | (50) | (36) |
Less: Undistributed Earnings allocated to unvested restricted shares | (368) | 0 | (27) | 0 |
Net income (loss) attributable to common shareholders excluding amounts attributable to unvested restricted shares | $ 26,295 | $ (57,752) | $ 5,084 | $ (142,026) |
Denominator: | ||||
Weighted-average number of common shares - basic (in shares) | 163,539,446 | 163,996,003 | 163,857,785 | 163,911,475 |
Unvested restricted shares (in shares) | 245,127 | 0 | 359,365 | 0 |
Weighted-average number of common shares - diluted (in shares) | 163,784,573 | 163,996,003 | 164,217,150 | 163,911,475 |
Net income per share attributable to common shareholders - basic (in dollars per share) | $ 0.16 | $ (0.35) | $ 0.03 | $ (0.87) |
Net income per share attributable to common shareholders - diluted (in dollars per share) | $ 0.16 | $ (0.35) | $ 0.03 | $ (0.87) |
Supplemental Information to S_3
Supplemental Information to Statements of Cash Flows (Details) - USD ($) $ in Thousands | 6 Months Ended | |||
Jun. 30, 2022 | Jun. 30, 2021 | Dec. 31, 2021 | Dec. 31, 2020 | |
Supplemental Cash Flow Elements [Abstract] | ||||
Cash and cash equivalents | $ 511,481 | $ 657,892 | $ 665,341 | |
Restricted cash reserves | 44,281 | 38,842 | 48,528 | |
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents | 555,762 | 696,734 | $ 713,869 | $ 934,790 |
Interest paid | 45,747 | 54,603 | ||
Income taxes paid | 677 | 154 | ||
Operating Lease, Payments | 7,667 | 5,718 | ||
In connection with the sale of hotel properties, the Company recorded the following: | ||||
Sales price | 49,900 | 17,677 | ||
Transaction costs | (836) | (980) | ||
Operating prorations | (991) | (429) | ||
Proceeds from the sale of hotel properties, net | 48,073 | 16,268 | ||
Supplemental non-cash transactions | ||||
Accrued capital expenditures | $ 7,405 | $ 6,065 |
Subsequent Events (Details)
Subsequent Events (Details) - Subsequent Event [Member] - TENNESSEE $ in Millions | 1 Months Ended |
Jul. 31, 2022 USD ($) room | |
Subsequent Event [Line Items] | |
Number of rooms | room | 124 |
Payments to Acquire Real Estate | $ | $ 59 |