Investments in Affiliates |
9 Months Ended |
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Sep. 30, 2024 | |
Equity Method Investments and Joint Ventures [Abstract] | |
Investments in Affiliates | Investments in Affiliates The Company has equity method investments in affiliates primarily related to the Company's program to offer equity support to qualified franchisees to develop and operate Cambria Hotels and Everhome Suites in strategic markets. As of September 30, 2024 and December 31, 2023, the Company had total investments in affiliates in the consolidated balance sheets of $109.7 million and $70.6 million, respectively, which included investments in affiliates that represent VIEs of $96.8 million and $59.4 million, respectively. The Company has determined that it is not the primary beneficiary of any of these VIEs, however the Company does exercise significant influence through its equity ownership and as a result, the investments in these affiliates are accounted for under the equity method of accounting. During the three months ended September 30, 2024 and 2023, the Company recognized losses totaling $0.6 million and $0.9 million, respectively, from these investments that represent VIEs. During the nine months ended September 30, 2024 and 2023, the Company recognized gains totaling $5.0 million and losses totaling $3.2 million, respectively, from these investments that represent VIEs. The Company's maximum exposure to losses related to its investments in the VIEs is limited to the total of its respective equity investment as well as certain limited payment guaranties, which are described in Note 12 to these consolidated financial statements. On May 24, 2024, one of the Company's unconsolidated affiliates sold its underlying assets. The Company received a distribution from the unconsolidated affiliate and recognized a gain of $7.2 million, which was recognized in equity in net gain of affiliates in the consolidated statements of income for the nine months ended September 30, 2024. During the three and nine months ended September 30, 2024 and 2023, the Company recognized no impairment charges related to its equity method investments.
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