Transactions with Unconsolidated Joint Ventures

6 Months Ended

Jun. 30, 2020

Equity Method Investments and Joint Ventures [Abstract]

Transactions with Unconsolidated Joint Ventures

Transactions with Unconsolidated Joint Ventures

The Company has a management fee arrangement for marketing services with a joint venture partner. For the three months ended June 30, 2020 and 2019, fees earned and payroll costs reimbursed under this arrangement totaled $0.1 million and $0.6 million, respectively. For the six months ended June 30, 2020 and 2019, fees earned and payroll costs reimbursed under this arrangement totaled $0.5 million and $0.9 million, respectively.

The Company has entered into franchise agreements with certain of the unconsolidated joint ventures discussed in Note 4. Pursuant to these franchise agreements, for the three months ended June 30, 2020 and 2019, the Company recorded royalty and marketing reservation system fees of approximately $2.2 million and $7.0 million, respectively. For the six months ended June 30, 2020 and 2019, the Company recorded royalty and marketing reservation system fees of approximately $6.8 million and $11.6 million, respectively. The Company recorded $1.8 million and $1.4 million as a receivable due from these joint ventures as of June 30, 2020 and December 31, 2019, respectively. In addition, the Company paid commissions of $12 thousand and $0.1 million for three months ended June 30, 2020 and 2019, respectively, and $49 thousand and $0.1 million for the six months ended June 30, 2020 and 2019, respectively, to an on-line travel agent for which the Company is a joint venture member.