QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
(State or other jurisdiction of incorporation or organization) | (IRS employer identification number) | |
(Address of principal executive offices) | (Zip code) |
☑ | Accelerated filer | ☐ | |
Non-accelerated filer | ☐ | Smaller reporting company | |
Emerging growth company |
Title of each class | Trading Symbol(s) | Name of each exchange on which registered | ||
Common Stock, $0.01 par value per share | ||
(Class) | Outstanding at August 2, 2019 |
June 30, 2019 | December 31, 2018 | ||||||
ASSETS | |||||||
Investments in hotel properties, net | $ | $ | |||||
Cash and cash equivalents | |||||||
Restricted cash | |||||||
Marketable securities | |||||||
Accounts receivable, net of allowance of $746 and $485, respectively | |||||||
Inventories | |||||||
Investment in unconsolidated entities | |||||||
Deferred costs, net | |||||||
Prepaid expenses | |||||||
Derivative assets, net | |||||||
Operating lease right-of-use assets | |||||||
Other assets | |||||||
Intangible assets, net | |||||||
Due from related party, net | |||||||
Due from third-party hotel managers | |||||||
Assets held for sale | |||||||
Total assets | $ | $ | |||||
LIABILITIES AND EQUITY | |||||||
Liabilities: | |||||||
Indebtedness, net | $ | $ | |||||
Accounts payable and accrued expenses | |||||||
Dividends and distributions payable | |||||||
Due to Ashford Inc., net | |||||||
Due to related party, net | |||||||
Due to third-party hotel managers | |||||||
Intangible liabilities, net | |||||||
Derivative liabilities, net | |||||||
Operating lease liabilities | |||||||
Other liabilities | |||||||
Liabilities related to assets held for sale | |||||||
Total liabilities | |||||||
Commitments and contingencies (note 15) | |||||||
Redeemable noncontrolling interests in operating partnership | |||||||
Equity: | |||||||
Preferred stock, $0.01 par value, 50,000,000 shares authorized: | |||||||
Series D Cumulative Preferred Stock, 2,389,393 shares issued and outstanding at June 30, 2019 and December 31, 2018 | |||||||
Series F Cumulative Preferred Stock, 4,800,000 shares issued and outstanding at June 30, 2019 and December 31, 2018 | |||||||
Series G Cumulative Preferred Stock, 6,200,000 shares issued and outstanding at June 30, 2019 and December 31, 2018 | |||||||
Series H Cumulative Preferred Stock, 3,800,000 shares issued and outstanding at June 30, 2019 and December 31, 2018 | |||||||
Series I Cumulative Preferred Stock, 5,400,000 shares issued and outstanding at June 30, 2019 and December 31, 2018 | |||||||
Common stock, $0.01 par value, 400,000,000 shares authorized, 102,130,683 and 101,035,530 shares issued and outstanding at June 30, 2019 and December 31, 2018, respectively | |||||||
Additional paid-in capital | |||||||
Accumulated deficit | ( | ) | ( | ) | |||
Total stockholders’ equity of the Company | |||||||
Noncontrolling interests in consolidated entities | |||||||
Total equity | |||||||
Total liabilities and equity | $ | $ |
Three Months Ended June 30, | Six Months Ended June 30, | ||||||||||||||
2019 | 2018 | 2019 | 2018 | ||||||||||||
REVENUE | |||||||||||||||
Rooms | $ | $ | $ | $ | |||||||||||
Food and beverage | |||||||||||||||
Other hotel revenue | |||||||||||||||
Total hotel revenue | |||||||||||||||
Other | |||||||||||||||
Total revenue | |||||||||||||||
EXPENSES | |||||||||||||||
Hotel operating expenses: | |||||||||||||||
Rooms | |||||||||||||||
Food and beverage | |||||||||||||||
Other expenses | |||||||||||||||
Management fees | |||||||||||||||
Total hotel expenses | |||||||||||||||
Property taxes, insurance, and other | |||||||||||||||
Depreciation and amortization | |||||||||||||||
Impairment charges | |||||||||||||||
Transaction costs | |||||||||||||||
Advisory services fee | |||||||||||||||
Corporate, general and administrative | |||||||||||||||
Total expenses | |||||||||||||||
Gain (loss) on sale of assets and hotel properties | |||||||||||||||
OPERATING INCOME (LOSS) | |||||||||||||||
Equity in earnings (loss) of unconsolidated entities | ( | ) | ( | ) | |||||||||||
Interest income | |||||||||||||||
Other income (expense) | ( | ) | ( | ) | |||||||||||
Interest expense and amortization of premiums and loan costs | ( | ) | ( | ) | ( | ) | ( | ) | |||||||
Write-off of premiums, loan costs and exit fees | ( | ) | ( | ) | ( | ) | ( | ) | |||||||
Unrealized gain (loss) on marketable securities | ( | ) | ( | ) | |||||||||||
Unrealized gain (loss) on derivatives | ( | ) | ( | ) | ( | ) | |||||||||
INCOME (LOSS) BEFORE INCOME TAXES | ( | ) | ( | ) | ( | ) | ( | ) | |||||||
Income tax (expense) benefit | ( | ) | ( | ) | ( | ) | ( | ) | |||||||
NET INCOME (LOSS) | ( | ) | ( | ) | ( | ) | ( | ) | |||||||
(Income) loss from consolidated entities attributable to noncontrolling interest | ( | ) | ( | ) | |||||||||||
Net (income) loss attributable to redeemable noncontrolling interests in operating partnership | |||||||||||||||
NET INCOME (LOSS) ATTRIBUTABLE TO THE COMPANY | ( | ) | ( | ) | ( | ) | ( | ) | |||||||
Preferred dividends | ( | ) | ( | ) | ( | ) | ( | ) | |||||||
NET INCOME (LOSS) ATTRIBUTABLE TO COMMON STOCKHOLDERS | $ | ( | ) | $ | ( | ) | $ | ( | ) | $ | ( | ) | |||
INCOME (LOSS) PER SHARE - BASIC AND DILUTED | |||||||||||||||
Basic: | |||||||||||||||
Net income (loss) attributable to common stockholders | $ | ( | ) | $ | ( | ) | $ | ( | ) | $ | ( | ) | |||
Weighted average common shares outstanding – basic | |||||||||||||||
Diluted: | |||||||||||||||
Net income (loss) attributable to common stockholders | $ | ( | ) | $ | ( | ) | $ | ( | ) | $ | ( | ) | |||
Weighted average common shares outstanding – diluted |
Three Months Ended June 30, | Six Months Ended June 30, | ||||||||||||||
2019 | 2018 | 2019 | 2018 | ||||||||||||
Net income (loss) | $ | ( | ) | $ | ( | ) | $ | ( | ) | $ | ( | ) | |||
Other comprehensive income (loss), net of tax: | |||||||||||||||
Total other comprehensive income (loss) | |||||||||||||||
Comprehensive income (loss) | ( | ) | ( | ) | ( | ) | ( | ) | |||||||
Less: Comprehensive (income) loss attributable to noncontrolling interest in consolidated entities | ( | ) | ( | ) | |||||||||||
Less: Comprehensive (income) loss attributable to redeemable noncontrolling interests in operating partnership | |||||||||||||||
Comprehensive income (loss) attributable to the Company | $ | ( | ) | $ | ( | ) | $ | ( | ) | $ | ( | ) |
Preferred Stock | Additional Paid-in Capital | Accumulated Deficit | Noncontrolling Interests In Consolidated Entities | Total | Redeemable Noncontrolling Interests in Operating Partnership | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Series D | Series F | Series G | Series H | Series I | Common Stock | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Shares | Amount | Shares | Amount | Shares | Amount | Shares | Amount | Shares | Amount | Shares | Amount | ||||||||||||||||||||||||||||||||||||||||||||||||||
Balance at March 31, 2019 | $ | $ | $ | $ | $ | $ | $ | $ | ( | ) | $ | $ | $ | ||||||||||||||||||||||||||||||||||||||||||||||||
Purchases of common stock | — | — | — | — | — | — | — | — | — | — | ( | ) | — | ( | ) | — | — | ( | ) | — | |||||||||||||||||||||||||||||||||||||||||
Equity-based compensation | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||||||||||||||||||||||||||||||||||||||||||||
Forfeitures of restricted shares | — | — | — | — | — | — | — | — | — | — | ( | ) | ( | ) | — | — | — | ||||||||||||||||||||||||||||||||||||||||||||
Issuance of restricted shares/units | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||||||||||||||||||||||||||||||||||||||||||||
Common stock offering costs | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | ||||||||||||||||||||||||||||||||||||||||||||||
Dividends declared – common stock ($.06/share) | — | — | — | — | — | — | — | — | — | — | — | — | — | ( | ) | — | ( | ) | — | ||||||||||||||||||||||||||||||||||||||||||
Dividends declared – preferred stock - Series D ($.53/share) | — | — | — | — | — | — | — | — | — | — | — | — | — | ( | ) | — | ( | ) | — | ||||||||||||||||||||||||||||||||||||||||||
Dividends declared – preferred stock - Series F ($.46/share) | — | — | — | — | — | — | — | — | — | — | — | — | — | ( | ) | — | ( | ) | — | ||||||||||||||||||||||||||||||||||||||||||
Dividends declared – preferred stock - Series G ($.46/share) | — | — | — | — | — | — | — | — | — | — | — | — | — | ( | ) | — | ( | ) | — | ||||||||||||||||||||||||||||||||||||||||||
Dividends declared – preferred stock - Series H ($.47/share) | — | — | — | — | — | — | — | — | — | — | — | — | — | ( | ) | — | ( | ) | — | ||||||||||||||||||||||||||||||||||||||||||
Dividends declared – preferred stock - Series I ($.47/share) | — | — | — | — | — | — | — | — | — | — | — | — | — | ( | ) | — | ( | ) | — | ||||||||||||||||||||||||||||||||||||||||||
Distributions to noncontrolling interests | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | ( | ) | ||||||||||||||||||||||||||||||||||||||||||||
Redemption value adjustment | — | — | — | — | — | — | — | — | — | — | — | — | — | — | ( | ) | |||||||||||||||||||||||||||||||||||||||||||||
Net income (loss) | — | — | — | — | — | — | — | — | — | — | — | — | — | ( | ) | ( | ) | ( | ) | ||||||||||||||||||||||||||||||||||||||||||
Balance at June 30, 2019 | $ | $ | $ | $ | $ | $ | $ | $ | ( | ) | $ | $ | $ |
Preferred Stock | Additional Paid-in Capital | Accumulated Deficit | Noncontrolling Interests In Consolidated Entities | Total | Redeemable Noncontrolling Interests in Operating Partnership | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Series D | Series F | Series G | Series H | Series I | Common Stock | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Shares | Amount | Shares | Amount | Shares | Amount | Shares | Amount | Shares | Amount | Shares | Amount | ||||||||||||||||||||||||||||||||||||||||||||||||||
Balance at December 31, 2018 | $ | $ | $ | $ | $ | $ | $ | $ | ( | ) | $ | $ | $ | ||||||||||||||||||||||||||||||||||||||||||||||||
Impact of adoption of new accounting standard (1) | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | ||||||||||||||||||||||||||||||||||||||||||||||
Purchases of common stock | — | — | — | — | — | — | — | — | — | — | ( | ) | ( | ) | ( | ) | — | — | ( | ) | — | ||||||||||||||||||||||||||||||||||||||||
Equity-based compensation | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||||||||||||||||||||||||||||||||||||||||||||
Forfeitures of restricted shares | — | — | — | — | — | — | — | — | — | — | ( | ) | ( | ) | — | — | — | ||||||||||||||||||||||||||||||||||||||||||||
Issuance of restricted shares/units | — | — | — | — | — | — | — | — | — | — | ( | ) | — | — | |||||||||||||||||||||||||||||||||||||||||||||||
Issuance of units for hotel acquisition | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||||||||||||||||||||||||||||||||||||||||||
Common stock offering costs | — | — | — | — | — | — | — | — | — | — | — | — | ( | ) | — | — | ( | ) | — | ||||||||||||||||||||||||||||||||||||||||||
Dividends declared – common stock ($.18/share) | — | — | — | — | — | — | — | — | — | — | — | — | — | ( | ) | — | ( | ) | — | ||||||||||||||||||||||||||||||||||||||||||
Dividends declared – preferred stock - Series D ($1.06/share) | — | — | — | — | — | — | — | — | — | — | — | — | — | ( | ) | — | ( | ) | — | ||||||||||||||||||||||||||||||||||||||||||
Dividends declared – preferred stock - Series F ($.92/share) | — | — | — | — | — | — | — | — | — | — | — | — | — | ( | ) | — | ( | ) | — | ||||||||||||||||||||||||||||||||||||||||||
Dividends declared – preferred stock - Series G ($.92/share) | — | — | — | — | — | — | — | — | — | — | — | — | — | ( | ) | — | ( | ) | — | ||||||||||||||||||||||||||||||||||||||||||
Dividends declared – preferred stock - Series H ($.94/share) | — | — | — | — | — | — | — | — | — | — | — | — | — | ( | ) | — | ( | ) | — | ||||||||||||||||||||||||||||||||||||||||||
Dividends declared – preferred stock - Series I ($.94/share) | — | — | — | — | — | — | — | — | — | — | — | — | — | ( | ) | — | ( | ) | — | ||||||||||||||||||||||||||||||||||||||||||
Distributions to noncontrolling interests | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | ( | ) | ||||||||||||||||||||||||||||||||||||||||||||
Redemption value adjustment | — | — | — | — | — | — | — | — | — | — | — | — | — | — | ( | ) | |||||||||||||||||||||||||||||||||||||||||||||
Net income (loss) | — | — | — | — | — | — | — | — | — | — | — | — | — | ( | ) | ( | ) | ( | ) | ( | ) | ||||||||||||||||||||||||||||||||||||||||
Balance at June 30, 2019 | $ | $ | $ | $ | $ | $ | $ | $ | ( | ) | $ | $ | $ |
Preferred Stock | Additional Paid-in Capital | Accumulated Deficit | Noncontrolling Interests In Consolidated Entities | Total | Redeemable Noncontrolling Interests in Operating Partnership | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Series D | Series F | Series G | Series H | Series I | Common Stock | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Shares | Amount | Shares | Amount | Shares | Amount | Shares | Amount | Shares | Amount | Shares | Amount | ||||||||||||||||||||||||||||||||||||||||||||||||||
Balance at March 31, 2018 | $ | $ | $ | $ | $ | $ | $ | $ | ( | ) | $ | $ | $ | ||||||||||||||||||||||||||||||||||||||||||||||||
Purchases of common stock | — | — | — | — | — | — | — | — | — | — | ( | ) | ( | ) | ( | ) | — | — | ( | ) | — | ||||||||||||||||||||||||||||||||||||||||
Equity-based compensation | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||||||||||||||||||||||||||||||||||||||||||||
Forfeitures of restricted shares | — | — | — | — | — | — | — | — | — | — | ( | ) | — | — | — | — | — | ||||||||||||||||||||||||||||||||||||||||||||
Issuance of restricted shares/units | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||||||||||||||||||||||||||||||||||||||||||||
Preferred stock issuance costs | — | — | — | — | — | — | — | — | — | — | — | — | ( | ) | — | — | ( | ) | — | ||||||||||||||||||||||||||||||||||||||||||
Issuance of common stock | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||||||||||||||||||||||||||||||||||||||||||
Dividends declared – common stock ($.12/share) | — | — | — | — | — | — | — | — | — | — | — | — | — | ( | ) | — | ( | ) | — | ||||||||||||||||||||||||||||||||||||||||||
Dividends declared – preferred stock - Series D ($.53/share) | — | — | — | — | — | — | — | — | — | — | — | — | — | ( | ) | — | ( | ) | — | ||||||||||||||||||||||||||||||||||||||||||
Dividends declared – preferred stock - Series F ($.46/share) | — | — | — | — | — | — | — | — | — | — | — | — | — | ( | ) | — | ( | ) | — | ||||||||||||||||||||||||||||||||||||||||||
Dividends declared – preferred stock - Series G ($.46/share) | — | — | — | — | — | — | — | — | — | — | — | — | — | ( | ) | — | ( | ) | — | ||||||||||||||||||||||||||||||||||||||||||
Dividends declared – preferred stock - Series H ($.47/share) | — | — | — | — | — | — | — | — | — | — | — | — | — | ( | ) | — | ( | ) | — | ||||||||||||||||||||||||||||||||||||||||||
Dividends declared – preferred stock - Series I ($.47/share) | — | — | — | — | — | — | — | — | — | — | — | — | — | ( | ) | — | ( | ) | — | ||||||||||||||||||||||||||||||||||||||||||
Distributions to noncontrolling interests | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | ( | ) | ||||||||||||||||||||||||||||||||||||||||||||
Redemption value adjustment | — | — | — | — | — | — | — | — | — | — | — | — | — | ( | ) | — | ( | ) | |||||||||||||||||||||||||||||||||||||||||||
Net income (loss) | — | — | — | — | — | — | — | — | — | — | — | — | — | ( | ) | ( | ) | ( | ) | ||||||||||||||||||||||||||||||||||||||||||
Balance at June 30, 2018 | $ | $ | $ | $ | $ | $ | $ | $ | ( | ) | $ | $ | $ |
Preferred Stock | Additional Paid-in Capital | Accumulated Deficit | Noncontrolling Interests In Consolidated Entities | Total | Redeemable Noncontrolling Interests in Operating Partnership | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Series D | Series F | Series G | Series H | Series I | Common Stock | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Shares | Amount | Shares | Amount | Shares | Amount | Shares | Amount | Shares | Amount | Shares | Amount | ||||||||||||||||||||||||||||||||||||||||||||||||||
Balance at January 1, 2018 | $ | $ | $ | $ | $ | $ | $ | $ | ( | ) | $ | $ | $ | ||||||||||||||||||||||||||||||||||||||||||||||||
Purchases of common stock | — | — | — | — | — | — | — | — | — | — | ( | ) | ( | ) | ( | ) | — | — | ( | ) | — | ||||||||||||||||||||||||||||||||||||||||
Equity-based compensation | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |||||||||||||||||||||||||||||||||||||||||||||||
Forfeitures of restricted shares | — | — | — | — | — | — | — | — | — | — | ( | ) | — | — | — | — | — | ||||||||||||||||||||||||||||||||||||||||||||
Issuance of restricted shares/units | — | — | — | — | — | — | — | — | — | — | — | — | |||||||||||||||||||||||||||||||||||||||||||||||||
Common stock offering costs | — | — | — | — | — | — | — | — | — | — | — | — | ( | ) | — | — | ( | ) | — | ||||||||||||||||||||||||||||||||||||||||||
Dividends declared – common stock ($.24/share) | — | — | — | — | — | — | — | — | — | — | — | — | — | ( | ) | — | ( | ) | — | ||||||||||||||||||||||||||||||||||||||||||
Dividends declared – preferred stock - Series D ($1.06/share) | — | — | — | — | — | — | — | — | — | — | — | — | — | ( | ) | — | ( | ) | — | ||||||||||||||||||||||||||||||||||||||||||
Dividends declared – preferred stock - Series F ($.92/share) | — | — | — | — | — | — | — | — | — | — | — | — | — | ( | ) | — | ( | ) | — | ||||||||||||||||||||||||||||||||||||||||||
Dividends declared – preferred stock - Series G ($.92/share) | — | — | — | — | — | — | — | — | — | — | — | — | — | ( | ) | — | ( | ) | — | ||||||||||||||||||||||||||||||||||||||||||
Dividends declared – preferred stock - Series H ($.94/share) | — | — | — | — | — | — | — | — | — | — | — | — | — | ( | ) | — | ( | ) | — | ||||||||||||||||||||||||||||||||||||||||||
Dividends declared – preferred stock - Series I ($.94/share) | — | — | — | — | — | — | — | — | — | — | — | — | — | ( | ) | — | ( | ) | — | ||||||||||||||||||||||||||||||||||||||||||
Distributions to noncontrolling interests | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | ( | ) | ||||||||||||||||||||||||||||||||||||||||||||
Redemption value adjustment | — | — | — | — | — | — | — | — | — | — | — | — | — | ( | ) | — | ( | ) | |||||||||||||||||||||||||||||||||||||||||||
Net income (loss) | — | — | — | — | — | — | — | — | — | — | — | — | — | ( | ) | ( | ) | ( | ) | ( | ) | ||||||||||||||||||||||||||||||||||||||||
Balance at June 30, 2018 | $ | $ | $ | $ | $ | $ | $ | $ | ( | ) | $ | $ | $ |
Six Months Ended June 30, | |||||||
2019 | 2018 | ||||||
Cash Flows from Operating Activities | |||||||
Net income (loss) | $ | ( | ) | $ | ( | ) | |
Adjustments to reconcile net income (loss) to net cash flow from operating activities: | |||||||
Depreciation and amortization | |||||||
Impairment charges | |||||||
Amortization of intangibles | ( | ) | ( | ) | |||
Recognition of deferred income | ( | ) | ( | ) | |||
Bad debt expense | |||||||
Deferred income tax expense (benefit) | |||||||
Equity in (earnings) loss of unconsolidated entities | ( | ) | |||||
(Gain) loss on sale of assets and hotel properties | ( | ) | ( | ) | |||
Realized and unrealized (gain) loss on marketable securities | ( | ) | |||||
Purchases of marketable securities | ( | ) | ( | ) | |||
Sales of marketable securities | |||||||
Net settlement of trading derivatives | ( | ) | |||||
Realized and unrealized (gain) loss on derivatives | |||||||
Amortization of loan costs and premiums and write-off of premiums, loan costs and exit fees | |||||||
Equity-based compensation | |||||||
Changes in operating assets and liabilities, exclusive of the effect of acquisitions and dispositions of hotel properties: | |||||||
Accounts receivable and inventories | ( | ) | ( | ) | |||
Prepaid expenses and other assets | ( | ) | ( | ) | |||
Operating lease right-of-use asset | ( | ) | |||||
Operating lease liability | |||||||
Accounts payable and accrued expenses | |||||||
Due to/from related party | ( | ) | ( | ) | |||
Due to/from third-party hotel managers | ( | ) | |||||
Due to/from Ashford Inc., net | ( | ) | |||||
Other liabilities | |||||||
Net cash provided by (used in) operating activities | |||||||
Cash Flows from Investing Activities | |||||||
Investment in unconsolidated entity | ( | ) | ( | ) | |||
Proceeds from franchise agreement | |||||||
Acquisition of hotel properties and assets, net of cash and restricted cash acquired | ( | ) | ( | ) | |||
Improvements and additions to hotel properties | ( | ) | ( | ) | |||
Net proceeds from sales of assets and hotel properties | |||||||
Payments for initial franchise fees | ( | ) | ( | ) | |||
Proceeds from property insurance | |||||||
Net cash provided by (used in) investing activities | ( | ) | ( | ) | |||
Cash Flows from Financing Activities | |||||||
Borrowings on indebtedness | |||||||
Repayments of indebtedness | ( | ) | ( | ) | |||
Payments for loan costs and exit fees | ( | ) | ( | ) | |||
Payments for dividends and distributions | ( | ) | ( | ) | |||
Purchases of common stock | ( | ) | ( | ) | |||
Payments for derivatives | ( | ) | ( | ) | |||
Preferred stock offering costs | ( | ) | |||||
Other | |||||||
Net cash provided by (used in) financing activities | |||||||
Net increase (decrease) in cash, cash equivalents and restricted cash | ( | ) | |||||
Cash, cash equivalents and restricted cash at beginning of period | |||||||
Cash, cash equivalents and restricted cash and at end of period | $ | $ |
Six Months Ended June 30, | |||||||
2019 | 2018 | ||||||
Supplemental Cash Flow Information | |||||||
Interest paid | $ | $ | |||||
Income taxes paid (refunded) | ( | ) | |||||
Supplemental Disclosure of Non-Cash Investing and Financing Activity | |||||||
Accrued but unpaid capital expenditures | $ | $ | |||||
Non-cash dividends paid | |||||||
Accrued stock offering costs | |||||||
Common stock purchases accrued but not paid | |||||||
Issuance of units for hotel acquisition | |||||||
Assumption of debt in hotel acquisition | |||||||
Dividends and distributions declared but not paid | |||||||
Supplemental Disclosure of Cash, Cash Equivalents and Restricted Cash | |||||||
Cash and cash equivalents at beginning of period | $ | $ | |||||
Cash and cash equivalents at beginning of period included in assets held for sale | |||||||
Restricted cash at beginning of period | |||||||
Restricted cash at beginning of period included in assets held for sale | |||||||
Cash, cash equivalents and restricted cash at beginning of period | $ | $ | |||||
Cash and cash equivalents at end of period | $ | $ | |||||
Cash and cash equivalents at end of period included in assets held for sale | |||||||
Restricted cash at end of period | |||||||
Restricted cash at end of period included in assets held for sale | |||||||
Cash, cash equivalents and restricted cash at end of period | $ | $ |
• |
• |
• | a |
• | a |
Hotel Property | Location | Type | Date | |||
SpringHill Suites | Glen Allen, VA | Disposition | February 20, 2018 | |||
SpringHill Suites | Centreville, VA | Disposition | May 1, 2018 | |||
Residence Inn | Tampa, FL | Disposition | May 10, 2018 | |||
Hilton Alexandria Old Town | Alexandria, VA | Acquisition | June 29, 2018 | |||
La Posada de Santa Fe | Santa Fe, NM | Acquisition | October 31, 2018 | |||
Embassy Suites New York Manhattan Times Square | New York, NY | Acquisition | January 22, 2019 | |||
Hilton Santa Cruz/Scotts Valley | Santa Cruz, CA | Acquisition | February 26, 2019 |
Three Months Ended June 30, 2019 | |||||||||||||||||||||||
Primary Geographical Market | Number of Hotels | Rooms | Food and Beverage | Other Hotel | Other | Total | |||||||||||||||||
Atlanta, GA Area | $ | $ | $ | $ | $ | ||||||||||||||||||
Boston, MA Area | |||||||||||||||||||||||
Dallas / Ft. Worth Area | |||||||||||||||||||||||
Houston, TX Area | |||||||||||||||||||||||
Los Angeles, CA Metro Area | |||||||||||||||||||||||
Miami, FL Metro Area | |||||||||||||||||||||||
Minneapolis / St. Paul, MN / WI Area | |||||||||||||||||||||||
Nashville, TN Area | |||||||||||||||||||||||
New York / New Jersey Metro Area | |||||||||||||||||||||||
Orlando, FL Area | |||||||||||||||||||||||
Philadelphia, PA Area | |||||||||||||||||||||||
San Diego, CA Area | |||||||||||||||||||||||
San Francisco / Oakland, CA Metro Area | |||||||||||||||||||||||
Tampa, FL Area | |||||||||||||||||||||||
Washington D.C. / MD / VA Area | |||||||||||||||||||||||
Other Areas | |||||||||||||||||||||||
Orlando WorldQuest | |||||||||||||||||||||||
Corporate | |||||||||||||||||||||||
Total | $ | $ | $ | $ | $ |
Three Months Ended June 30, 2018 | |||||||||||||||||||||||
Primary Geographical Market | Number of Hotels | Rooms | Food and Beverage | Other Hotel | Other | Total | |||||||||||||||||
Atlanta, GA Area | $ | $ | $ | $ | $ | ||||||||||||||||||
Boston, MA Area | |||||||||||||||||||||||
Dallas / Ft. Worth Area | |||||||||||||||||||||||
Houston, TX Area | |||||||||||||||||||||||
Los Angeles, CA Metro Area | |||||||||||||||||||||||
Miami, FL Metro Area | |||||||||||||||||||||||
Minneapolis - St. Paul, MN - WI Area | |||||||||||||||||||||||
Nashville, TN Area | |||||||||||||||||||||||
New York / New Jersey Metro Area | |||||||||||||||||||||||
Orlando, FL Area | |||||||||||||||||||||||
Philadelphia, PA Area | |||||||||||||||||||||||
San Diego, CA Area | |||||||||||||||||||||||
San Francisco - Oakland, CA Metro Area | |||||||||||||||||||||||
Tampa, FL Area | |||||||||||||||||||||||
Washington D.C. - MD - VA Area | |||||||||||||||||||||||
Other Areas | |||||||||||||||||||||||
Orlando WorldQuest | |||||||||||||||||||||||
Sold properties | |||||||||||||||||||||||
Corporate | |||||||||||||||||||||||
Total | $ | $ | $ | $ | $ |
Six Months Ended June 30, 2019 | |||||||||||||||||||||||
Primary Geographical Market | Number of Hotels | Rooms | Food and Beverage | Other Hotel | Other | Total | |||||||||||||||||
Atlanta, GA Area | $ | $ | $ | $ | $ | ||||||||||||||||||
Boston, MA Area | |||||||||||||||||||||||
Dallas / Ft. Worth Area | |||||||||||||||||||||||
Houston, TX Area | |||||||||||||||||||||||
Los Angeles, CA Metro Area | |||||||||||||||||||||||
Miami, FL Metro Area | |||||||||||||||||||||||
Minneapolis / St. Paul, MN / WI Area | |||||||||||||||||||||||
Nashville, TN Area | |||||||||||||||||||||||
New York / New Jersey Metro Area | |||||||||||||||||||||||
Orlando, FL Area | |||||||||||||||||||||||
Philadelphia, PA Area | |||||||||||||||||||||||
San Diego, CA Area | |||||||||||||||||||||||
San Francisco / Oakland, CA Metro Area | |||||||||||||||||||||||
Tampa, FL Area | |||||||||||||||||||||||
Washington D.C. / MD / VA Area | |||||||||||||||||||||||
Other Areas | |||||||||||||||||||||||
Orlando WorldQuest | |||||||||||||||||||||||
Corporate | |||||||||||||||||||||||
Total | $ | $ | $ | $ | $ |
Six Months Ended June 30, 2018 | |||||||||||||||||||||||
Primary Geographical Market | Number of Hotels | Rooms | Food and Beverage | Other Hotel | Other | Total | |||||||||||||||||
Atlanta, GA Area | $ | $ | $ | $ | $ | ||||||||||||||||||
Boston, MA Area | |||||||||||||||||||||||
Dallas / Ft. Worth Area | |||||||||||||||||||||||
Houston, TX Area | |||||||||||||||||||||||
Los Angeles, CA Metro Area | |||||||||||||||||||||||
Miami, FL Metro Area | |||||||||||||||||||||||
Minneapolis / St. Paul, MN / WI Area | |||||||||||||||||||||||
Nashville, TN Area | |||||||||||||||||||||||
New York / New Jersey Metro Area | |||||||||||||||||||||||
Orlando, FL Area | |||||||||||||||||||||||
Philadelphia, PA Area | |||||||||||||||||||||||
San Diego, CA Area | |||||||||||||||||||||||
San Francisco / Oakland, CA Metro Area | |||||||||||||||||||||||
Tampa, FL Area | |||||||||||||||||||||||
Washington D.C. / MD / VA Area | |||||||||||||||||||||||
Other Areas | |||||||||||||||||||||||
Orlando WorldQuest | |||||||||||||||||||||||
Sold properties | |||||||||||||||||||||||
Corporate | |||||||||||||||||||||||
Total | $ | $ | $ | $ | $ |
June 30, 2019 | December 31, 2018 | ||||||
Land | $ | $ | |||||
Buildings and improvements | |||||||
Furniture, fixtures, and equipment | |||||||
Construction in progress | |||||||
Condominium properties | |||||||
Total cost | |||||||
Accumulated depreciation | ( | ) | ( | ) | |||
Investments in hotel properties, net | $ | $ |
Land | $ | ||
Buildings and improvements | |||
Furniture, fixtures and equipment (1) | |||
Investments in hotel properties, net | $ | ||
Key money | ( | ) | |
$ | |||
Net other assets (liabilities) | $ |
Three Months Ended June 30, 2019 | Six Months Ended June 30, 2019 | ||||||
Total revenue | $ | $ | |||||
Net income (loss) | ( | ) | ( | ) |
Land | $ | ||
Buildings and improvements | |||
Furniture, fixtures and equipment (1) | |||
Investments in hotel properties, net | $ | ||
Debt discount | |||
$ | |||
Net other assets (liabilities) | $ |
Three Months Ended June 30, 2019 | Six Months Ended June 30, 2019 | ||||||
Total revenue | $ | $ | |||||
Net income (loss) | ( | ) |
June 30, 2019 | |||
Assets | |||
Operating lease right-of-use assets | $ | ||
Liabilities | |||
Operating lease liabilities | $ |
Classification | Three Months Ended June 30, 2019 | Six Months Ended June 30, 2019 | ||||||||
Operating lease cost (1) | Hotel operating expenses - other | $ | $ |
Six Months Ended June 30, | ||||
2019 | ||||
Supplemental Cash Flows Information | ||||
Cash paid for amounts included in the measurement of lease liabilities: | ||||
Operating cash flows from operating leases (in thousands) | $ | |||
Weighted Average Remaining Lease Term | ||||
Operating leases (1) | ||||
Weighted Average Discount Rate | ||||
Operating leases (1) | % |
Operating Leases | ||||
2019 | $ | |||
2020 | ||||
2021 | ||||
2022 | ||||
2023 | ||||
Thereafter | ||||
Total future minimum lease payments | ||||
Less: interest | ( | ) | ||
Present value of lease liabilities | $ |
2019 | $ | ||
2020 | |||
2021 | |||
2022 | |||
2023 | |||
Thereafter | |||
Total | $ |
Three Months Ended June 30, | Six Months Ended June 30, | ||||||
2018 | 2018 | ||||||
Total hotel revenue | $ | $ | |||||
Total hotel operating expenses | ( | ) | ( | ) | |||
Gain (loss) on sale of assets and hotel properties | |||||||
Property taxes, insurance and other | ( | ) | ( | ) | |||
Depreciation and amortization | ( | ) | ( | ) | |||
Impairment charges | ( | ) | |||||
Operating income (loss) | ( | ) | |||||
Interest expense and amortization of premiums and loan costs | ( | ) | ( | ) | |||
Write-off of premiums, loan costs and exit fees | ( | ) | ( | ) | |||
Income (loss) before income taxes | ( | ) | |||||
(Income) loss before income taxes attributable to redeemable noncontrolling interests in operating partnership | ( | ) | |||||
Net income (loss) before income taxes attributable to the Company | $ | $ | ( | ) |
June 30, 2019 | |||
Assets | |||
Investments in hotel properties, net | $ | ||
Cash and cash equivalents | |||
Restricted cash | |||
Accounts receivable, net | |||
Inventories | |||
Prepaid expenses | |||
Operating lease right-of-use assets | |||
Other assets | |||
Assets held for sale | $ | ||
Liabilities | |||
Indebtedness, net | $ | ||
Accounts payable and accrued expenses | |||
Due to related party, net | |||
Due to Ashford Inc., net | |||
Intangible liabilities, net | |||
Operating lease liabilities | |||
Liabilities related to assets held for sale | $ |
June 30, 2019 | December 31, 2018 | ||||||
Total assets | $ | $ | |||||
Total liabilities | $ | $ | |||||
Series B convertible preferred stock | |||||||
Redeemable noncontrolling interests | |||||||
Total stockholders’ equity of Ashford Inc. | |||||||
Noncontrolling interests in consolidated entities | |||||||
Total equity | |||||||
Total liabilities and equity | $ | $ | |||||
Our ownership interest in Ashford Inc. | $ | $ |
Three Months Ended June 30, | Six Months Ended June 30, | ||||||||||||||
2019 | 2018 | 2019 | 2018 | ||||||||||||
Total revenue | $ | $ | $ | $ | |||||||||||
Total operating expenses | ( | ) | ( | ) | ( | ) | ( | ) | |||||||
Operating income (loss) | |||||||||||||||
Equity in earnings (loss) of unconsolidated entities | ( | ) | ( | ) | |||||||||||
Interest expense and loan amortization costs | ( | ) | ( | ) | ( | ) | ( | ) | |||||||
Other income (expense) | ( | ) | ( | ) | ( | ) | ( | ) | |||||||
Income tax (expense) benefit | ( | ) | ( | ) | ( | ) | ( | ) | |||||||
Net income (loss) | ( | ) | |||||||||||||
(Income) loss from consolidated entities attributable to noncontrolling interests | |||||||||||||||
Net (income) loss attributable to redeemable noncontrolling interests | ( | ) | ( | ) | |||||||||||
Net income (loss) attributable to Ashford Inc. | |||||||||||||||
Preferred dividends | ( | ) | ( | ) | |||||||||||
Amortization of preferred stock discount | ( | ) | ( | ) | |||||||||||
Net income attributable to common shareholders | $ | ( | ) | $ | $ | ( | ) | $ | |||||||
Our equity in earnings (loss) of Ashford Inc. | $ | ( | ) | $ | $ | ( | ) | $ |
June 30, 2019 | December 31, 2018 | ||||||
Carrying value of the investment in OpenKey (in thousands) | $ | $ | |||||
Ownership interest in OpenKey | % | % |
Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||
Line Item | 2019 | 2018 | 2019 | 2018 | ||||||||||||
Equity in earnings (loss) of unconsolidated entity | $ | ( | ) | $ | ( | ) | $ | ( | ) | $ | ( | ) |
Indebtedness | Collateral | Maturity | Interest Rate | June 30, 2019 | December 31, 2018 | |||||||||
Secured credit facility (3) | September 2019 | Base Rate (2) + 1.65% or LIBOR (1) + 2.65% | $ | $ | ||||||||||
Mortgage loan (4) | July 2019 | LIBOR (1) + 4.15% | ||||||||||||
Mortgage loan (4) | July 2019 | LIBOR (1) + 4.09% | ||||||||||||
Mortgage loan (5) | July 2019 | |||||||||||||
Mortgage loan (6) | August 2019 | LIBOR (1) + 4.95% | ||||||||||||
Mortgage loan (7) | November 2019 | LIBOR (1) + 3.00% | ||||||||||||
Mortgage loan (7) | February 2020 | LIBOR (1) + 2.92% | ||||||||||||
Mortgage loan (7) (8) | April 2020 | LIBOR (1) + 3.20% | ||||||||||||
Mortgage loan (9) | May 2020 | LIBOR (1) + 2.90% | ||||||||||||
Mortgage loan (10) | June 2020 | LIBOR (1) + 5.10% | ||||||||||||
Mortgage loan (7) | June 2020 | LIBOR (1) + 3.65% | ||||||||||||
Mortgage loan (7) | June 2020 | LIBOR (1) + 3.39% | ||||||||||||
Mortgage loan (7) | June 2020 | LIBOR (1) + 3.73% | ||||||||||||
Mortgage loan (7) | June 2020 | LIBOR (1) + 4.02% | ||||||||||||
Mortgage loan (7) | June 2020 | LIBOR (1) + 2.73% | ||||||||||||
Mortgage loan (7) | June 2020 | LIBOR (1) + 3.68% | ||||||||||||
Mortgage loan | November 2020 | |||||||||||||
Mortgage loan (11) | November 2020 | LIBOR (1) + 2.55% | ||||||||||||
Mortgage loan (12) | March 2021 | LIBOR (1) + 2.75% | ||||||||||||
Mortgage loan (9) | February 2022 | LIBOR (1) + 3.90% | ||||||||||||
Mortgage loan (12) | June 2022 | LIBOR (1) + 3.00% | ||||||||||||
Mortgage loan | November 2022 | LIBOR (1) + 2.00% | ||||||||||||
Mortgage loan | May 2023 | |||||||||||||
Mortgage loan | June 2023 | LIBOR (1) + 2.45% | ||||||||||||
Mortgage loan | January 2024 | |||||||||||||
Mortgage loan | January 2024 | |||||||||||||
Mortgage loan | May 2024 | |||||||||||||
Mortgage loan (5) | June 2024 | LIBOR (1) + 2.00% | ||||||||||||
Mortgage loan | August 2024 | |||||||||||||
Mortgage loan | August 2024 | |||||||||||||
Mortgage loan | August 2024 | |||||||||||||
Mortgage loan | February 2025 | |||||||||||||
Mortgage loan | February 2025 | |||||||||||||
Mortgage loan | March 2025 | |||||||||||||
Premiums, net | ||||||||||||||
Deferred loan costs, net | ( | ) | ( | ) | ||||||||||
Indebtedness, net | $ | $ | ||||||||||||
Indebtedness related to assets held for sale, net (8) | April 2020 | LIBOR (1) + 3.20% | ||||||||||||
Indebtedness, net | $ | $ |
(1) | LIBOR rates were |
(2) | Base Rate, as defined in the secured credit facility agreement, is the greater of (i) the prime rate set by Bank of America, or (ii) federal funds rate + |
(3) | The secured credit facility has borrowing capacity of up to $ |
(4) | This mortgage loan has three one-year extension options, subject to satisfaction of certain conditions. The second one-year extension period began in July 2019. |
(5) | On June 7, 2019, we amended this mortgage loan totaling $ |
(6) | This mortgage loan has two one-year extension options subject to satisfaction of certain conditions. The first one-year extension period began in August 2018. |
(7) | This mortgage loan has five one-year extension options, subject to satisfaction of certain conditions. |
(8) | A portion of this mortgage loan at June 30, 2019 relates to the Marriott San Antonio. See note 6. |
(9) | This mortgage loan has two one-year extension options, subject to satisfaction of certain conditions. |
(10) | This mortgage loan has three one-year extension options, subject to satisfaction of certain conditions. The third one-year extension period began in June 2019. |
(11) | This mortgage loan has three one-year extension options, subject to satisfaction of certain conditions. |
(12) | On March 5, 2019, we refinanced this mortgage loan totaling $ |
Mortgage Loan | Principal Amount (in thousands) | Interest Rate | Secured Hotel Properties | |||
A | $ | LIBOR + 3.65% | Courtyard Columbus Tipton Lakes | |||
Courtyard Scottsdale Old Town | ||||||
Residence Inn Phoenix Airport | ||||||
SpringHill Suites Manhattan Beach | ||||||
SpringHill Suites Plymouth Meeting | ||||||
Residence Inn Las Vegas Hughes Center | ||||||
Residence Inn Newark | ||||||
B | $ | LIBOR + 3.39% | Courtyard Newark | |||
SpringHill Suites BWI | ||||||
Courtyard Oakland Airport | ||||||
Courtyard Plano Legacy | ||||||
Residence Inn Plano | ||||||
TownePlace Suites Manhattan Beach | ||||||
Courtyard Basking Ridge | ||||||
C | $ | LIBOR + 3.73% | Sheraton San Diego Mission Valley | |||
Sheraton Bucks County | ||||||
Hilton Ft. Worth | ||||||
Hyatt Regency Coral Gables | ||||||
Hilton Minneapolis | ||||||
D | $ | LIBOR + 4.02% | Hilton Santa Fe | |||
Embassy Suites Dulles | ||||||
Marriott Beverly Hills | ||||||
One Ocean | ||||||
Marriott Suites Dallas Market Center | ||||||
E (1) | $ | LIBOR + 4.36% | Marriott Memphis East | |||
Embassy Suites Philadelphia Airport | ||||||
Sheraton Anchorage | ||||||
Lakeway Resort & Spa | ||||||
Marriott Fremont | ||||||
F | $ | LIBOR + 3.68% | W Atlanta Downtown | |||
Embassy Suites Flagstaff | ||||||
Embassy Suites Walnut Creek | ||||||
Marriott Bridgewater | ||||||
Marriott Durham Research Triangle Park |
Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||
Line Item | 2019 | 2018 | 2019 | 2018 | ||||||||||||
Interest expense and amortization of premium and loan costs | $ | $ | $ | $ |
Three Months Ended June 30, | Six Months Ended June 30, | ||||||||||||||
2019 | 2018 | 2019 | 2018 | ||||||||||||
Income (loss) allocated to common stockholders - basic and diluted: | |||||||||||||||
Income (loss) attributable to the Company | $ | ( | ) | $ | ( | ) | $ | ( | ) | $ | ( | ) | |||
Less: Dividends on preferred stock | ( | ) | ( | ) | ( | ) | ( | ) | |||||||
Less: Dividends on common stock | ( | ) | ( | ) | ( | ) | ( | ) | |||||||
Less: Dividends on unvested performance stock units | ( | ) | ( | ) | ( | ) | ( | ) | |||||||
Less: Dividends on unvested restricted shares | ( | ) | ( | ) | ( | ) | ( | ) | |||||||
Undistributed income (loss) | ( | ) | ( | ) | ( | ) | ( | ) | |||||||
Add back: Dividends on common stock | |||||||||||||||
Distributed and undistributed income (loss) - basic and diluted | $ | ( | ) | $ | ( | ) | $ | ( | ) | $ | ( | ) | |||
Weighted average shares outstanding: | |||||||||||||||
Weighted average common shares outstanding - basic and diluted | |||||||||||||||
Basic income (loss) per share: | |||||||||||||||
Net income (loss) allocated to common stockholders per share | $ | ( | ) | $ | ( | ) | $ | ( | ) | $ | ( | ) | |||
Diluted income (loss) per share: | |||||||||||||||
Net income (loss) allocated to common stockholders per share | $ | ( | ) | $ | ( | ) | $ | ( | ) | $ | ( | ) |
Three Months Ended June 30, | Six Months Ended June 30, | ||||||||||||||
2019 | 2018 | 2019 | 2018 | ||||||||||||
Income (loss) allocated to common stockholders is not adjusted for: | |||||||||||||||
Income (loss) allocated to unvested restricted shares | $ | $ | $ | $ | |||||||||||
Income (loss) allocated to unvested performance stock units | |||||||||||||||
Income (loss) attributable to noncontrolling interest in operating partnership units | ( | ) | ( | ) | ( | ) | ( | ) | |||||||
Total | $ | ( | ) | $ | ( | ) | $ | ( | ) | $ | ( | ) | |||
Weighted average diluted shares are not adjusted for: | |||||||||||||||
Effect of unvested restricted shares | |||||||||||||||
Effect of unvested performance stock units | |||||||||||||||
Effect of assumed conversion of operating partnership units | |||||||||||||||
Effect of advisory services incentive fee shares | |||||||||||||||
Total |
Six Months Ended June 30, | |||||||
2019 | 2018 | ||||||
Interest rate caps: | |||||||
Notional amount (in thousands) | $ | $ | |||||
Strike rate low end of range | % | % | |||||
Strike rate high end of range | % | % | |||||
Effective date range | January 2019 - June 2019 | January 2018 - June 2018 | |||||
Termination date range | June 2020 - February 2022 | January 2019 - July 2020 | |||||
Total cost (in thousands) | $ | $ | |||||
Interest rate floors: | |||||||
Notional amount (in thousands) | $ | $ | |||||
Strike rate low | % | ||||||
Effective date | January 2019 | n/a | |||||
Termination date | March 2020 | n/a | |||||
Total cost (in thousands) | $ | $ |
June 30, 2019 | December 31, 2018 | |||||||
Interest rate caps: | ||||||||
Notional amount (in thousands) | $ | (1) | $ | (1) | ||||
Strike rate low end of range | % | % | ||||||
Strike rate high end of range | % | % | ||||||
Termination date range | July 2019 - February 2022 | January 2019 - November 2020 | ||||||
Aggregate principle balance on corresponding mortgage loans (in thousands) | $ | $ | ||||||
Interest rate floors: (2) | ||||||||
Notional amount (in thousands) | $ | (1) | $ | (1) | ||||
Strike rate low end of range | ( | )% | ( | )% | ||||
Strike rate high end of range | % | % | ||||||
Termination date range | September 2019 - November 2021 | March 2019 - November 2021 |
(1) | These instruments were not designated as cash flow hedges. |
(2) | Cash collateral is posted by us as well as our counterparties. We offset the fair value of the derivative and the obligation/right to return/reclaim cash collateral. |
• | Level 1: Fair value measurements that are quoted prices (unadjusted) in active markets that we have the ability to access for identical assets or liabilities. Market price data generally is obtained from exchange or dealer markets. |
• | Level 2: Fair value measurements based on inputs other than quoted prices included in Level 1 that are observable for the asset or liability, either directly or indirectly. Level 2 inputs include quoted prices for similar assets and liabilities in active markets and inputs other than quoted prices that are observable for the asset or liability, such as interest rates and yield curves that are observable at commonly quoted intervals. |
• | Level 3: Fair value measurements based on valuation techniques that use significant inputs that are unobservable. The circumstances for using these measurements include those in which there is little, if any, market activity for the asset or liability. |
Quoted Market Prices (Level 1) | Significant Other Observable Inputs (Level 2) | Significant Unobservable Inputs (Level 3) | Counterparty and Cash Collateral Netting(1) | Total | |||||||||||||||||
June 30, 2019: | |||||||||||||||||||||
Assets | |||||||||||||||||||||
Derivative assets: | |||||||||||||||||||||
Interest rate derivatives - floors | $ | $ | $ | $ | ( | ) | $ | (2) | |||||||||||||
Interest rate derivatives - caps | (2) | ||||||||||||||||||||
Credit default swaps | ( | ) | (2) | ||||||||||||||||||
Non-derivative assets: | |||||||||||||||||||||
Equity securities | (3) | ||||||||||||||||||||
Total | $ | $ | $ | $ | $ | ||||||||||||||||
Liabilities | |||||||||||||||||||||
Derivative liabilities: | |||||||||||||||||||||
Credit default swaps | $ | $ | ( | ) | $ | $ | $ | ( | ) | (4) | |||||||||||
Net | $ | $ | $ | $ | $ | ||||||||||||||||
December 31, 2018: | |||||||||||||||||||||
Assets | |||||||||||||||||||||
Derivative assets: | |||||||||||||||||||||
Interest rate derivatives - floors | $ | $ | $ | $ | $ | (2) | |||||||||||||||
Interest rate derivatives - caps | (2) | ||||||||||||||||||||
Credit default swaps | (2) | ||||||||||||||||||||
Non-derivative assets: | |||||||||||||||||||||
Equity securities | (3) | ||||||||||||||||||||
Total | $ | $ | $ | $ | $ | ||||||||||||||||
Liabilities | |||||||||||||||||||||
Derivative liabilities: | |||||||||||||||||||||
Credit default swaps | $ | $ | $ | $ | ( | ) | $ | ( | ) | (4) | |||||||||||
Net | $ | $ | $ | $ | $ |
(1) | Represents net cash collateral posted between us and our counterparties. |
(2) | Reported net as “derivative assets, net” in our consolidated balance sheets. |
(3) | Reported as “marketable securities” in our consolidated balance sheets. |
(4) | Reported net as “derivative liabilities, net” in our consolidated balance sheets. |
Gain (Loss) Recognized in Income | ||||||||
Three Months Ended June 30, | ||||||||
2019 | 2018 | |||||||
Assets | ||||||||
Derivative assets: | ||||||||
Interest rate derivatives - floors | $ | $ | ( | ) | ||||
Interest rate derivatives - caps | ( | ) | ( | ) | ||||
Credit default swaps | ( | ) | (4) | (4) | ||||
( | ) | |||||||
Non-derivative assets: | ||||||||
Equity | ( | ) | ||||||
Total | ( | ) | ||||||
Liabilities | ||||||||
Derivative liabilities: | ||||||||
Credit default swaps | ( | ) | (4) | |||||
Net | $ | $ | ( | ) | ||||
Total combined | ||||||||
Interest rate derivatives - floors | $ | $ | ( | ) | ||||
Interest rate derivatives - caps | ( | ) | ( | ) | ||||
Credit default swaps | ( | ) | ||||||
Unrealized gain (loss) on derivatives | (1) | ( | ) | (1) | ||||
Realized gain (loss) on interest rate floors | ( | ) | (2) | |||||
Unrealized gain (loss) on marketable securities | (3) | ( | ) | (3) | ||||
Realized gain (loss) on marketable securities | (2) | (2) | ||||||
Net | $ | $ | ( | ) |
(1) | Reported as “unrealized gain (loss) on derivatives” in the consolidated statements of operations. |
(2) | Included in “other income (expense)” in the consolidated statements of operations. |
(3) | Reported as “unrealized gain (loss) on marketable securities” in the consolidated statements of operations. |
(4) | Excludes costs of $ |
Gain (Loss) Recognized in Income | ||||||||
Six Months Ended June 30, | ||||||||
2019 | 2018 | |||||||
Assets | ||||||||
Derivative assets: | ||||||||
Interest rate derivatives - floors | $ | $ | ( | ) | ||||
Interest rate derivatives - caps | ( | ) | ( | ) | ||||
Credit default swaps | ( | ) | (4) | (4) | ||||
( | ) | ( | ) | |||||
Non-derivative assets: | ||||||||
Equity | ( | ) | ||||||
Total | ( | ) | ||||||
Liabilities | ||||||||
Derivative liabilities: | ||||||||
Credit default swaps | ( | ) | (4) | (4) | ||||
Net | $ | ( | ) | $ | ( | ) | ||
Total combined | ||||||||
Interest rate derivatives - floors | $ | $ | ( | ) | ||||
Interest rate derivatives - caps | ( | ) | ( | ) | ||||
Credit default swaps | ( | ) | ||||||
Unrealized gain (loss) on derivatives | ( | ) | (1) | ( | ) | (1) | ||
Realized gain (loss) on options on interest rate floors | ( | ) | (2) | (2) | ||||
Unrealized gain (loss) on marketable securities | (3) | ( | ) | (3) | ||||
Realized gain (loss) on marketable securities | (2) | (2) | ||||||
Net | $ | ( | ) | $ | ( | ) |
(1) | Reported as “unrealized gain (loss) on derivatives” in the consolidated statements of operations. |
(2) | Included in “other income (expense)” in the consolidated statements of operations. |
(3) | Reported as “unrealized gain (loss) on marketable securities” in the consolidated statements of operations. |
(4) | Excludes costs of $537 and $537 for the six months ended June 30, 2019 and 2018, respectively, included in “other income (expense)” associated with credit default swaps. |
June 30, 2019 | December 31, 2018 | ||||||||||||||
Carrying Value | Estimated Fair Value | Carrying Value | Estimated Fair Value | ||||||||||||
Financial assets and liabilities measured at fair value: | |||||||||||||||
Marketable securities | $ | $ | $ | $ | |||||||||||
Derivative assets, net | |||||||||||||||
Derivative liabilities, net | |||||||||||||||
Financial assets not measured at fair value: | |||||||||||||||
Cash and cash equivalents (1) | $ | $ | $ | $ | |||||||||||
Restricted cash (1) | |||||||||||||||
Accounts receivable, net (1) | |||||||||||||||
Due from related party, net (1) | |||||||||||||||
Due from third-party hotel managers | |||||||||||||||
Financial liabilities not measured at fair value: | |||||||||||||||
Indebtedness (1) | $ | $3,947,189 to $4,362,687 | $ | $3,773,343 to $4,170,538 | |||||||||||
Accounts payable and accrued expenses (1) | |||||||||||||||
Dividends and distributions payable | |||||||||||||||
Due to Ashford Inc., net (1) | |||||||||||||||
Due to related party, net | |||||||||||||||
Due to third-party hotel managers |
Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||||
Type | Line Item | 2019 | 2018 | 2019 | 2018 | |||||||||||||
Performance LTIP units | Advisory services fee | $ | $ | $ | $ | |||||||||||||
LTIP units | Advisory services fee | |||||||||||||||||
LTIP units - independent directors | Corporate, general and administrative | |||||||||||||||||
$ | $ | $ | $ |
June 30, 2019 | December 31, 2018 | ||||||
Redeemable noncontrolling interests | $ | $ | |||||
Cumulative adjustments to redeemable noncontrolling interests (1) | |||||||
Ownership percentage of operating partnership | % | % |
(1) | Reflects the excess of the redemption value over the accumulated historical costs. |
Three Months Ended June 30, | Six Months Ended June 30, | ||||||||||||||
2019 | 2018 | 2019 | 2018 | ||||||||||||
Allocated net (income) loss to the redeemable noncontrolling interests | $ | $ | $ | $ | |||||||||||
Aggregate cash distributions to holders of common units and LTIP units |
Three Months Ended June 30, | Six Months Ended June 30, | ||||||||||||||
Line Item | 2019 | 2018 | 2019 | 2018 | |||||||||||
Advisory services fee | $ | $ | $ | $ | |||||||||||
Management fees | |||||||||||||||
Corporate, general and administrative - Premier | |||||||||||||||
Corporate, general and administrative - independent directors | |||||||||||||||
$ | $ | $ | $ |
Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||
Line Item | 2019 | 2018 | 2019 | 2018 | ||||||||||||
Advisory services fee | $ | $ | $ | $ |
Three Months Ended June 30, | |||||||
2019 | 2018 | ||||||
8.45% Series D cumulative preferred stock | $ | $ | |||||
7.375% Series F cumulative preferred stock | |||||||
7.375% Series G cumulative preferred stock | |||||||
7.50% Series H cumulative preferred stock | |||||||
7.50% Series I cumulative preferred stock |
June 30, 2019 | |||
Shares issued to date | |||
Gross proceeds of shares issued | $ | ||
Remaining issuances available under the program | $ |
June 30, 2019 | December 31, 2018 | ||||||
Carrying value of noncontrolling interests | $ | $ |
Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||
Line Item | 2019 | 2018 | 2019 | 2018 | ||||||||||||
(Income) loss allocated to noncontrolling interests in consolidated entities | $ | ( | ) | $ | ( | ) | $ | $ |
Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||
Line Item | 2019 | 2018 | 2019 | 2018 | ||||||||||||
Other hotel expenses | $ | $ | $ | $ |
Three Months Ended June 30, | Six Months Ended June 30, | ||||||||||||||
2019 | 2018 | 2019 | 2018 | ||||||||||||
Advisory services fee | |||||||||||||||
Base advisory fee | $ | $ | $ | $ | |||||||||||
Reimbursable expenses (1) | |||||||||||||||
Equity-based compensation (2) | |||||||||||||||
Incentive fee | ( | ) | |||||||||||||
Total advisory services fee | $ | $ | $ | $ |
(1) | Reimbursable expenses include overhead, internal audit, risk management advisory and asset management services. |
(2) | Equity-based compensation is associated with equity grants of Ashford Trust’s common stock, LTIP units and Performance LTIP units awarded to officers and employees of Ashford LLC. |
Three Months Ended June 30, 2019 | ||||||||||||||||||||||||||||||||
Company | Product or Service | Total | Investments in Hotel Properties, net (1) | Indebtedness, net (2) | Other Hotel Revenue | Other Hotel Expenses | Advisory Services Fee | Corporate, General and Administrative | Write-off of Premiums, Loan Costs and Exit Fees | |||||||||||||||||||||||
AIM | Cash management services | $ | $ | — | $ | — | $ | — | $ | — | $ | — | $ | $ | — | |||||||||||||||||
Ashford LLC | Insurance claims services | — | — | — | — | — | — | |||||||||||||||||||||||||
J&S Audio Visual | Audio visual commissions | — | — | — | — | — | ||||||||||||||||||||||||||
Lismore Capital | Debt placement services | — | — | — | — | — | — | |||||||||||||||||||||||||
OpenKey | Mobile key app | — | — | — | — | — | — | |||||||||||||||||||||||||
Premier | Project management services | — | — | — | — | — | ||||||||||||||||||||||||||
Pure Wellness | Hypoallergenic premium rooms | — | — | — | — | — | — |
Six Months Ended June 30, 2019 | ||||||||||||||||||||||||||||||||
Company | Product or Service | Total | Investments in Hotel Properties, net (1) | Indebtedness, net (2) | Other Hotel Revenue | Other Hotel Expenses | Advisory Services Fee | Corporate, General and Administrative | Write-off of Premiums, Loan Costs and Exit Fees | |||||||||||||||||||||||
AIM | Cash management services | $ | $ | — | $ | — | $ | — | $ | — | $ | — | $ | $ | — | |||||||||||||||||
Ashford LLC | Insurance claims services | — | — | — | — | — | — | |||||||||||||||||||||||||
J&S Audio Visual | Audio visual commissions | — | — | — | — | — | ||||||||||||||||||||||||||
Lismore Capital | Debt placement services | — | ( | ) | — | — | — | — | ||||||||||||||||||||||||
OpenKey | Mobile key app | — | — | — | — | — | ||||||||||||||||||||||||||
Premier | Project management services | — | — | — | — | — | ||||||||||||||||||||||||||
Pure Wellness | Hypoallergenic premium rooms | — | — | — | — | — |
Three Months Ended June 30, 2018 | ||||||||||||||||||||||||||||
Company | Product or Service | Total | Investments in Hotel Properties, net (1) | Indebtedness, net (2) | Other Hotel Revenue | Other Hotel Expenses | Advisory Services Fee | Corporate, General and Administrative | ||||||||||||||||||||
AIM | Cash management services | $ | $ | — | $ | — | $ | — | $ | — | $ | — | $ | |||||||||||||||
Ashford LLC | Insurance claims services | — | — | — | — | — | ||||||||||||||||||||||
J&S Audio Visual | Audio visual commissions | — | — | — | — | |||||||||||||||||||||||
Lismore Capital | Debt placement services | — | ( | ) | — | — | — | — | ||||||||||||||||||||
OpenKey | Mobile key app | — | — | — | — | — | ||||||||||||||||||||||
Pure Wellness | Hypoallergenic premium rooms | — | — | — | — |
Six Months Ended June 30, 2018 | ||||||||||||||||||||||||||||
Company | Product or Service | Total | Investments in Hotel Properties, net (1) | Indebtedness, net (2) | Other Hotel Revenue | Other Hotel Expenses | Advisory Services Fee | Corporate, General and Administrative | ||||||||||||||||||||
AIM | Cash management services | $ | $ | — | $ | — | $ | — | $ | — | $ | — | $ | |||||||||||||||
Ashford LLC | Insurance claims services | — | — | — | — | — | ||||||||||||||||||||||
J&S Audio Visual | Audio visual commissions | — | — | — | — | |||||||||||||||||||||||
Lismore Capital | Debt placement services | — | ( | ) | — | — | — | — | ||||||||||||||||||||
OpenKey | Mobile key app | — | — | — | — | — | ||||||||||||||||||||||
Pure Wellness | Hypoallergenic premium rooms | — | — | — | — |
(1) | Recorded in furniture, fixtures and equipment and depreciated over the estimated useful life. |
(2) | Recorded as deferred loan costs, which are included in “indebtedness, net” on our consolidated balance sheets and amortized over the initial term of the applicable loan agreement. |
Due to Ashford Inc. | ||||||||||
Company | Product or Service | June 30, 2019 | December 31, 2018 | |||||||
Ashford LLC (1) | Advisory services | $ | $ | |||||||
Ashford LLC | Deposit on ERFP assets | |||||||||
Ashford LLC | Insurance claims services | |||||||||
AIM | Investment management services | |||||||||
J&S Audio Visual (1) | Audio visual services | |||||||||
OpenKey | Mobile key app | |||||||||
Premier (1) | Project management services | |||||||||
Pure Wellness | Hypoallergenic premium rooms | |||||||||
$ | $ |
Three Months Ended June 30, | Six Months Ended June 30, | ||||||||||||||
2019 | 2018 | 2019 | 2018 | ||||||||||||
Property management fees, including incentive property management fees | $ | $ | $ | $ | |||||||||||
Market service and project management fees | |||||||||||||||
Corporate, general and administrative expenses | |||||||||||||||
Total | $ | $ | $ | $ |
Three Months Ended June 30, | Six Months Ended June 30, | ||||||||||||||
2019 | 2018 | 2019 | 2018 | ||||||||||||
Management fees | $ | $ | $ | $ |
• | our business and investment strategy, including our ability to complete proposed business transactions described herein or the expected benefit of any such transactions; |
• | anticipated or expected purchases or sales of assets; |
• | our projected operating results; |
• | completion of any pending transactions; |
• | our ability to obtain future financing arrangements; |
• | our understanding of our competition; |
• | market trends; |
• | projected capital expenditures; and |
• | the impact of technology on our operations and business. |
• | factors discussed in our Form 10-K for the year ended December 31, 2018, as filed with the Securities and Exchange Commission on March 1, 2019, including those set forth under the sections titled “Risk Factors,” “Management’s Discussion and Analysis of Financial Condition and Results of Operations,” “Business,” and “Properties,” as updated in our subsequent Quarterly Reports on Form 10-Q and other filings under the Exchange Act; |
• | general and economic business conditions affecting the lodging and travel industry; |
• | general volatility of the capital markets and the market price of our common and preferred stock; |
• | changes in our business or investment strategy; |
• | availability, terms, and deployment of capital; |
• | unanticipated increases in financing and other costs, including a rise in interest rates; |
• | availability of qualified personnel to our advisor; |
• | changes in our industry and the market in which we operate, interest rates, or local economic conditions; |
• | the degree and nature of our competition; |
• | actual and potential conflicts of interest with Braemar Hotels & Resorts, Ashford Inc., Ashford LLC, Remington Lodging & Hospitality, LLC, our executive officers and our non-independent directors; |
• | changes in personnel of Ashford LLC or the lack of availability of qualified personnel; |
• | changes in governmental regulations, accounting rules, tax rates and similar matters; |
• | legislative and regulatory changes, including changes to the Internal Revenue Code of 1986, as amended (the “Code”), and related rules, regulations and interpretations governing the taxation of REITs; and |
• | limitations imposed on our business and our ability to satisfy complex rules in order for us to qualify as a REIT for federal income tax purposes. |
• | acquisition of hotel properties to be accretive to our portfolio; |
• | disposition of non-core hotel properties; |
• | pursuing capital market activities to enhance long-term stockholder value; |
• | preserving capital, enhancing liquidity, and continuing current cost-saving measures; |
• | implementing selective capital improvements designed to increase profitability; |
• | implementing effective asset management strategies to minimize operating costs and increase revenues; |
• | financing or refinancing hotels on competitive terms; |
• | utilizing hedges and derivatives to mitigate risks; and |
• | making other investments or divestitures that our board of directors deems appropriate. |
Three Months Ended June 30, | Favorable/ (Unfavorable) Change | Six Months Ended June 30, | Favorable/ (Unfavorable) Change | ||||||||||||||||||||
2019 | 2018 | 2019 | 2018 | ||||||||||||||||||||
Total revenue | $ | 415,148 | $ | 389,164 | $ | 25,984 | $ | 773,866 | $ | 731,371 | $ | 42,495 | |||||||||||
Total hotel operating expenses | (251,693 | ) | (234,995 | ) | (16,698 | ) | (480,179 | ) | (451,666 | ) | (28,513 | ) | |||||||||||
Property taxes, insurance and other | (21,762 | ) | (20,230 | ) | (1,532 | ) | (42,159 | ) | (38,589 | ) | (3,570 | ) | |||||||||||
Depreciation and amortization | (67,511 | ) | (64,566 | ) | (2,945 | ) | (134,689 | ) | (127,613 | ) | (7,076 | ) | |||||||||||
Impairment charges | (6,533 | ) | (19 | ) | (6,514 | ) | (6,533 | ) | (1,679 | ) | (4,854 | ) | |||||||||||
Transaction costs | (2 | ) | (9 | ) | 7 | (2 | ) | (11 | ) | 9 | |||||||||||||
Advisory services fee | (16,281 | ) | (23,079 | ) | 6,798 | (32,585 | ) | (40,156 | ) | 7,571 | |||||||||||||
Corporate, general and administrative | (2,917 | ) | (3,231 | ) | 314 | (5,518 | ) | (5,360 | ) | (158 | ) | ||||||||||||
Gain (loss) on sale of assets and hotel properties | 328 | 412 | (84 | ) | 561 | 403 | 158 | ||||||||||||||||
Operating income (loss) | 48,777 | 43,447 | 5,330 | 72,762 | 66,700 | 6,062 | |||||||||||||||||
Equity in earnings (loss) of unconsolidated entities | (867 | ) | 1,170 | (2,037 | ) | (1,930 | ) | 582 | (2,512 | ) | |||||||||||||
Interest income | 785 | 883 | (98 | ) | 1,566 | 1,629 | (63 | ) | |||||||||||||||
Other income (expense) | (338 | ) | 206 | (544 | ) | (654 | ) | 282 | (936 | ) | |||||||||||||
Interest expense and amortization of loan costs | (67,987 | ) | (58,206 | ) | (9,781 | ) | (134,153 | ) | (112,949 | ) | (21,204 | ) | |||||||||||
Write-off of premiums, loan costs and exit fees | (90 | ) | (5,694 | ) | 5,604 | (2,152 | ) | (7,744 | ) | 5,592 | |||||||||||||
Unrealized gain (loss) on marketable securities | 598 | (268 | ) | 866 | 1,406 | (826 | ) | 2,232 | |||||||||||||||
Unrealized gain (loss) on derivatives | 1,476 | (1,916 | ) | 3,392 | (1,518 | ) | (1,587 | ) | 69 | ||||||||||||||
Income tax (expense) benefit | (3,706 | ) | (2,973 | ) | (733 | ) | (3,301 | ) | (2,087 | ) | (1,214 | ) | |||||||||||
Net income (loss) | (21,352 | ) | (23,351 | ) | 1,999 | (67,974 | ) | (56,000 | ) | (11,974 | ) | ||||||||||||
(Income) loss from consolidated entities attributable to noncontrolling interests | (14 | ) | (20 | ) | 6 | 12 | 18 | (6 | ) | ||||||||||||||
Net (income) loss attributable to redeemable noncontrolling interests in operating partnership | 5,084 | 5,065 | 19 | 13,663 | 11,405 | 2,258 | |||||||||||||||||
Net income (loss) attributable to the Company | $ | (16,282 | ) | $ | (18,306 | ) | $ | 2,024 | $ | (54,299 | ) | $ | (44,577 | ) | $ | (9,722 | ) |
Hotel Property | Location | Type | Date | |||
SpringHill Suites (1) | Glen Allen, VA | Disposition | February 20, 2018 | |||
SpringHill Suites (1) | Centreville, VA | Disposition | May 1, 2018 | |||
Residence Inn Tampa (1) | Tampa, FL | Disposition | May 10, 2018 | |||
Hilton Alexandria Old Town (2) | Alexandria, VA | Acquisition | June 29, 2018 | |||
La Posada de Santa Fe (2) | Santa Fe, NM | Acquisition | October 31, 2018 | |||
Embassy Suites New York Manhattan Times Square (2) | New York, NY | Acquisition | January 22, 2019 | |||
Hilton Santa Cruz/Scotts Valley (2) | Santa Cruz, CA | Acquisition | February 26, 2019 |
(1) | Collectively referred to as “Hotel Dispositions” |
(2) | Collectively referred to as “Hotel Acquisitions” |
Three Months Ended June 30, | Six Months Ended June 30, | ||||||||||||||
2019 | 2018 | 2019 | 2018 | ||||||||||||
RevPAR (revenue per available room) | $ | 139.86 | $ | 136.07 | $ | 130.86 | $ | 127.71 | |||||||
Occupancy | 80.74 | % | 80.66 | % | 76.83 | % | 77.32 | % | |||||||
ADR (average daily rate) | $ | 173.22 | $ | 168.70 | $ | 170.33 | $ | 165.17 |
Three Months Ended June 30, | Six Months Ended June 30, | ||||||||||||||
2019 | 2018 | 2019 | 2018 | ||||||||||||
RevPAR (revenue per available room) | $ | 137.42 | $ | 136.16 | $ | 129.44 | $ | 127.99 | |||||||
Occupancy | 80.37 | % | 80.81 | % | 76.60 | % | 77.40 | % | |||||||
ADR (average daily rate) | $ | 170.99 | $ | 168.81 | $ | 168.97 | $ | 165.35 |
• | the ratio of total funded indebtedness (less unrestricted cash in excess of $15 million) to EBITDA shall not be greater than 9.75 to 1.0. Our ratio was 9.32 at June 30, 2019. |
• | the ratio of EBITDA to fixed charges for the previous 4 consecutive fiscal quarters shall not be less than 1.25 to 1.0. Our ratio was 1.49 at June 30, 2019. |
• | tangible net worth shall not at any time be less than 75% of the consolidated tangible net worth on the closing date of the secured credit facility plus 75% of the net proceeds of all new equity issuances of the consolidated group. |
Three Months Ended June 30, | Six Months Ended June 30, | ||||||||||||||
2019 | 2018 | 2019 | 2018 | ||||||||||||
Net income (loss) | $ | (21,352 | ) | $ | (23,351 | ) | $ | (67,974 | ) | $ | (56,000 | ) | |||
Interest expense and amortization of premiums and loan costs, net | 67,987 | 58,206 | 134,153 | 112,949 | |||||||||||
Depreciation and amortization | 67,511 | 64,566 | 134,689 | 127,613 | |||||||||||
Income tax expense (benefit) | 3,706 | 2,973 | 3,301 | 2,087 | |||||||||||
Equity in (earnings) loss of unconsolidated entities | 867 | (1,170 | ) | 1,930 | (582 | ) | |||||||||
Company’s portion of EBITDA of unconsolidated entities (Ashford Inc.) | 1,703 | 3,551 | 3,577 | 2,566 | |||||||||||
Company’s portion of EBITDA of unconsolidated entities (OpenKey) | (94 | ) | (122 | ) | (209 | ) | (261 | ) | |||||||
EBITDA | 120,328 | 104,653 | 209,467 | 188,372 | |||||||||||
Impairment charges on real estate | 6,533 | 19 | 6,533 | 1,679 | |||||||||||
(Gain) loss on sale of assets and hotel properties | (328 | ) | (412 | ) | (561 | ) | (403 | ) | |||||||
EBITDAre | 126,533 | 104,260 | 215,439 | 189,648 | |||||||||||
Amortization of unfavorable contract liabilities | 117 | (39 | ) | 78 | (78 | ) | |||||||||
Uninsured hurricane related costs | — | (17 | ) | — | (228 | ) | |||||||||
(Gain) loss on insurance settlements | — | — | (36 | ) | — | ||||||||||
Write-off of premiums, loan costs and exit fees | 90 | 5,694 | 2,152 | 7,744 | |||||||||||
Other (income) expense, net | 413 | (206 | ) | 775 | (282 | ) | |||||||||
Transaction, acquisition and management conversion costs | 240 | 121 | 686 | 205 | |||||||||||
Legal judgment and related legal costs | 1,399 | 161 | 1,816 | 927 | |||||||||||
Unrealized (gain) loss on marketable securities | (598 | ) | 268 | (1,406 | ) | 826 | |||||||||
Unrealized (gain) loss on derivatives | (1,476 | ) | 1,916 | 1,518 | 1,587 | ||||||||||
Dead deal costs | 18 | 3 | 50 | 3 | |||||||||||
Non-cash stock/unit-based compensation | 5,368 | 9,801 | 9,958 | 16,803 | |||||||||||
Advisory services incentive fee | (636 | ) | 3,270 | — | 3,457 | ||||||||||
Company’s portion of adjustments to EBITDAre of unconsolidated entities (Ashford Inc.) | 618 | (344 | ) | 1,531 | 2,183 | ||||||||||
Company’s portion of adjustments to EBITDAre of unconsolidated entities (OpenKey) | 14 | 3 | 35 | 8 | |||||||||||
Adjusted EBITDAre | $ | 132,100 | $ | 124,891 | $ | 232,596 | $ | 222,803 |
Three Months Ended June 30, | Six Months Ended June 30, | ||||||||||||||
2019 | 2018 | 2019 | 2018 | ||||||||||||
Net income (loss) | $ | (21,352 | ) | $ | (23,351 | ) | $ | (67,974 | ) | $ | (56,000 | ) | |||
(Income) loss from consolidated entities attributable to noncontrolling interest | (14 | ) | (20 | ) | 12 | 18 | |||||||||
Net (income) loss attributable to redeemable noncontrolling interests in operating partnership | 5,084 | 5,065 | 13,663 | 11,405 | |||||||||||
Preferred dividends | (10,644 | ) | (10,644 | ) | (21,288 | ) | (21,288 | ) | |||||||
Net income (loss) attributable to common stockholders | (26,926 | ) | (28,950 | ) | (75,587 | ) | (65,865 | ) | |||||||
Depreciation and amortization of real estate | 67,452 | 64,509 | 134,573 | 127,498 | |||||||||||
(Gain) loss on sale of assets and hotel properties | (328 | ) | (412 | ) | (561 | ) | (403 | ) | |||||||
Net income (loss) attributable to redeemable noncontrolling interests in operating partnership | (5,084 | ) | (5,065 | ) | (13,663 | ) | (11,405 | ) | |||||||
Equity in (earnings) loss of unconsolidated entities | 867 | (1,170 | ) | 1,930 | (582 | ) | |||||||||
Impairment charges on real estate | 6,533 | 19 | 6,533 | 1,679 | |||||||||||
Company’s portion of FFO of unconsolidated entities (Ashford Inc.) | (767 | ) | 2,552 | (1,402 | ) | 921 | |||||||||
Company’s portion of FFO of unconsolidated entities (OpenKey) | (96 | ) | (125 | ) | (196 | ) | (266 | ) | |||||||
FFO available to common stockholders and OP unitholders | 41,651 | 31,358 | 51,627 | 51,577 | |||||||||||
Write-off of premiums, loan costs and exit fees | 90 | 5,694 | 2,152 | 7,744 | |||||||||||
(Gain) loss on insurance settlements | — | — | (36 | ) | — | ||||||||||
Uninsured hurricane related costs | — | (17 | ) | — | (228 | ) | |||||||||
Other (income) expense | 413 | (206 | ) | 775 | (282 | ) | |||||||||
Transaction, acquisition and management conversion costs | 240 | 121 | 686 | 205 | |||||||||||
Legal judgment and related legal costs | 1,399 | 161 | 1,816 | 927 | |||||||||||
Unrealized (gain) loss on marketable securities | (598 | ) | 268 | (1,406 | ) | 826 | |||||||||
Unrealized (gain) loss on derivatives | (1,476 | ) | 1,916 | 1,518 | 1,587 | ||||||||||
Dead deal costs | 18 | 3 | 50 | 3 | |||||||||||
Non-cash stock/unit-based compensation | 5,368 | 9,801 | 9,958 | 16,803 | |||||||||||
Amortization of loan costs | 7,606 | 5,488 | 14,862 | 7,939 | |||||||||||
Advisory services incentive fee | (636 | ) | 3,270 | — | 3,457 | ||||||||||
Company’s portion of adjustments to FFO of unconsolidated entities (Ashford Inc.) | 2,198 | (344 | ) | 4,640 | 2,183 | ||||||||||
Company’s portion of adjustments to FFO of unconsolidated entities (OpenKey) | 15 | 3 | 37 | 8 | |||||||||||
Adjusted FFO available to common stockholders and OP unitholders | $ | 56,288 | $ | 57,516 | $ | 86,679 | $ | 92,749 |
Hotel Property | Location | Service Type | Total Rooms | % Owned | Owned Rooms | |||||||
Fee Simple Properties | ||||||||||||
Embassy Suites | Austin, TX | Full service | 150 | 100 | 150 | |||||||
Embassy Suites | Dallas, TX | Full service | 150 | 100 | 150 | |||||||
Embassy Suites | Herndon, VA | Full service | 150 | 100 | 150 | |||||||
Embassy Suites | Las Vegas, NV | Full service | 220 | 100 | 220 | |||||||
Embassy Suites | Flagstaff, AZ | Full service | 119 | 100 | 119 | |||||||
Embassy Suites | Houston, TX | Full service | 150 | 100 | 150 | |||||||
Embassy Suites | West Palm Beach, FL | Full service | 160 | 100 | 160 | |||||||
Embassy Suites | Philadelphia, PA | Full service | 263 | 100 | 263 | |||||||
Embassy Suites | Walnut Creek, CA | Full service | 249 | 100 | 249 | |||||||
Embassy Suites | Arlington, VA | Full service | 269 | 100 | 269 | |||||||
Embassy Suites | Portland, OR | Full service | 276 | 100 | 276 | |||||||
Embassy Suites | Santa Clara, CA | Full service | 258 | 100 | 258 | |||||||
Embassy Suites | Orlando, FL | Full service | 174 | 100 | 174 | |||||||
Embassy Suites | New York, NY | Full service | 310 | 100 | 310 | |||||||
Hilton Garden Inn | Jacksonville, FL | Select service | 119 | 100 | 119 | |||||||
Hilton Garden Inn | Austin, TX | Select service | 254 | 100 | 254 | |||||||
Hilton Garden Inn | Baltimore, MD | Select service | 158 | 100 | 158 | |||||||
Hilton Garden Inn | Virginia Beach, VA | Select service | 176 | 100 | 176 | |||||||
Hilton Garden Inn | Wisconsin Dells, WI | Select service | 128 | 100 | 128 | |||||||
Hilton | Houston, TX | Full service | 242 | 100 | 242 | |||||||
Hilton | St. Petersburg, FL | Full service | 333 | 100 | 333 | |||||||
Hilton | Santa Fe, NM | Full service | 158 | 100 | 158 | |||||||
Hilton | Bloomington, MN | Full service | 300 | 100 | 300 | |||||||
Hilton | Costa Mesa, CA | Full service | 486 | 100 | 486 | |||||||
Hilton | Boston, MA | Full service | 390 | 100 | 390 | |||||||
Hilton | Parsippany, NJ | Full service | 353 | 100 | 353 | |||||||
Hilton | Tampa, FL | Full service | 238 | 100 | 238 | |||||||
Hilton | Alexandria, VA | Full service | 252 | 100 | 252 | |||||||
Hilton | Santa Cruz, CA | Full service | 178 | 100 | 178 | |||||||
Hampton Inn | Lawrenceville, GA | Select service | 85 | 100 | 85 | |||||||
Hampton Inn | Evansville, IN | Select service | 140 | 100 | 140 | |||||||
Hampton Inn | Parsippany, NJ | Select service | 152 | 100 | 152 | |||||||
Hampton Inn | Buford, GA | Select service | 92 | 100 | 92 | |||||||
Hampton Inn | Phoenix, AZ | Select service | 106 | 100 | 106 | |||||||
Hampton Inn - Waterfront | Pittsburgh, PA | Select service | 113 | 100 | 113 | |||||||
Hampton Inn - Washington | Pittsburgh, PA | Select service | 103 | 100 | 103 | |||||||
Hampton Inn | Columbus, OH | Select service | 145 | 100 | 145 | |||||||
Marriott | Beverly Hills, CA | Full service | 260 | 100 | 260 | |||||||
Marriott | Durham, NC | Full service | 225 | 100 | 225 | |||||||
Marriott | Arlington, VA | Full service | 701 | 100 | 701 | |||||||
Marriott | Bridgewater, NJ | Full service | 347 | 100 | 347 | |||||||
Marriott | Dallas, TX | Full service | 265 | 100 | 265 | |||||||
Marriott | Fremont, CA | Full service | 357 | 100 | 357 | |||||||
Marriott | Memphis, TN | Full service | 232 | 100 | 232 |
Hotel Property | Location | Service Type | Total Rooms | % Owned | Owned Rooms | |||||||
Marriott | Irving, TX | Full service | 491 | 100 | 491 | |||||||
Marriott | Omaha, NE | Full service | 300 | 100 | 300 | |||||||
Marriott | San Antonio, TX | Full service | 251 | 100 | 251 | |||||||
Marriott | Sugarland, TX | Full service | 300 | 100 | 300 | |||||||
SpringHill Suites by Marriott | Jacksonville, FL | Select service | 102 | 100 | 102 | |||||||
SpringHill Suites by Marriott | Baltimore, MD | Select service | 133 | 100 | 133 | |||||||
SpringHill Suites by Marriott | Kennesaw, GA | Select service | 90 | 100 | 90 | |||||||
SpringHill Suites by Marriott | Buford, GA | Select service | 97 | 100 | 97 | |||||||
SpringHill Suites by Marriott | Charlotte, NC | Select service | 136 | 100 | 136 | |||||||
SpringHill Suites by Marriott | Durham, NC | Select service | 120 | 100 | 120 | |||||||
SpringHill Suites by Marriott | Manhattan Beach, CA | Select service | 164 | 100 | 164 | |||||||
SpringHill Suites by Marriott | Plymouth Meeting, PA | Select service | 199 | 100 | 199 | |||||||
Fairfield Inn by Marriott | Kennesaw, GA | Select service | 86 | 100 | 86 | |||||||
Courtyard by Marriott | Bloomington, IN | Select service | 117 | 100 | 117 | |||||||
Courtyard by Marriott - Tremont | Boston, MA | Select service | 315 | 100 | 315 | |||||||
Courtyard by Marriott | Columbus, IN | Select service | 90 | 100 | 90 | |||||||
Courtyard by Marriott | Denver, CO | Select service | 202 | 100 | 202 | |||||||
Courtyard by Marriott | Louisville, KY | Select service | 150 | 100 | 150 | |||||||
Courtyard by Marriott | Gaithersburg, MD | Select service | 210 | 100 | 210 | |||||||
Courtyard by Marriott | Crystal City, VA | Select service | 272 | 100 | 272 | |||||||
Courtyard by Marriott | Ft. Lauderdale, FL | Select service | 174 | 100 | 174 | |||||||
Courtyard by Marriott | Overland Park, KS | Select service | 168 | 100 | 168 | |||||||
Courtyard by Marriott | Savannah, GA | Select service | 156 | 100 | 156 | |||||||
Courtyard by Marriott | Foothill Ranch, CA | Select service | 156 | 100 | 156 | |||||||
Courtyard by Marriott | Alpharetta, GA | Select service | 154 | 100 | 154 | |||||||
Courtyard by Marriott | Oakland, CA | Select service | 156 | 100 | 156 | |||||||
Courtyard by Marriott | Scottsdale, AZ | Select service | 180 | 100 | 180 | |||||||
Courtyard by Marriott | Plano, TX | Select service | 153 | 100 | 153 | |||||||
Courtyard by Marriott | Newark, CA | Select service | 181 | 100 | 181 | |||||||
Courtyard by Marriott | Manchester, CT | Select service | 90 | 85 | 77 | |||||||
Courtyard by Marriott | Basking Ridge, NJ | Select service | 235 | 100 | 235 | |||||||
Courtyard by Marriott | Wichita, KS | Select service | 128 | 100 | 128 | |||||||
Courtyard by Marriott - Billerica | Boston, MA | Select service | 210 | 100 | 210 | |||||||
Homewood Suites | Pittsburgh, PA | Select service | 148 | 100 | 148 | |||||||
Marriott Residence Inn | Lake Buena Vista, FL | Select service | 210 | 100 | 210 | |||||||
Marriott Residence Inn | Evansville, IN | Select service | 78 | 100 | 78 | |||||||
Marriott Residence Inn | Orlando, FL | Select service | 350 | 100 | 350 | |||||||
Marriott Residence Inn | Falls Church, VA | Select service | 159 | 100 | 159 | |||||||
Marriott Residence Inn | San Diego, CA | Select service | 150 | 100 | 150 | |||||||
Marriott Residence Inn | Salt Lake City, UT | Select service | 144 | 100 | 144 | |||||||
Marriott Residence Inn | Las Vegas, NV | Select service | 256 | 100 | 256 | |||||||
Marriott Residence Inn | Phoenix, AZ | Select service | 200 | 100 | 200 | |||||||
Marriott Residence Inn | Plano, TX | Select service | 126 | 100 | 126 | |||||||
Marriott Residence Inn | Newark, CA | Select service | 168 | 100 | 168 | |||||||
Marriott Residence Inn | Manchester, CT | Select service | 96 | 85 | 82 | |||||||
Marriott Residence Inn | Jacksonville, FL | Select service | 120 | 100 | 120 | |||||||
Marriott Residence Inn | Stillwater, OK | Select service | 101 | 100 | 101 | |||||||
TownePlace Suites by Marriott | Manhattan Beach, CA | Select service | 143 | 100 | 143 | |||||||
One Ocean | Atlantic Beach, FL | Full service | 193 | 100 | 193 |
Hotel Property | Location | Service Type | Total Rooms | % Owned | Owned Rooms | |||||||
Sheraton Hotel | Ann Arbor, MI | Full service | 197 | 100 | 197 | |||||||
Sheraton Hotel | Langhorne, PA | Full service | 186 | 100 | 186 | |||||||
Sheraton Hotel | Minneapolis, MN | Full service | 220 | 100 | 220 | |||||||
Sheraton Hotel | Indianapolis, IN | Full service | 378 | 100 | 378 | |||||||
Sheraton Hotel | Anchorage, AK | Full service | 370 | 100 | 370 | |||||||
Sheraton Hotel | San Diego, CA | Full service | 260 | 100 | 260 | |||||||
Hyatt Regency | Coral Gables, FL | Full service | 254 | 100 | 254 | |||||||
Hyatt Regency | Hauppauge, NY | Full service | 358 | 100 | 358 | |||||||
Hyatt Regency | Savannah, GA | Full service | 351 | 100 | 351 | |||||||
Renaissance | Nashville, TN | Full service | 673 | 100 | 673 | |||||||
Annapolis Historic Inn | Annapolis, MD | Full service | 124 | 100 | 124 | |||||||
Lakeway Resort & Spa | Austin, TX | Full service | 168 | 100 | 168 | |||||||
Silversmith | Chicago, IL | Full service | 144 | 100 | 144 | |||||||
The Churchill | Washington, D.C. | Full service | 173 | 100 | 173 | |||||||
The Melrose | Washington, D.C. | Full service | 240 | 100 | 240 | |||||||
Le Pavillon | New Orleans, LA | Full service | 226 | 100 | 226 | |||||||
The Ashton | Ft. Worth, TX | Full service | 39 | 100 | 39 | |||||||
Westin | Princeton, NJ | Full service | 296 | 100 | 296 | |||||||
W | Atlanta, GA | Full service | 237 | 100 | 237 | |||||||
W | Minneapolis, MN | Full service | 229 | 100 | 229 | |||||||
Le Meridien | Minneapolis, MN | Full service | 60 | 100 | 60 | |||||||
Hotel Indigo | Atlanta, GA | Full service | 141 | 100 | 141 | |||||||
Ritz-Carlton | Atlanta, GA | Full service | 444 | 100 | 444 | |||||||
La Posada de Santa Fe | Santa Fe, NM | Full service | 157 | 100 | 157 | |||||||
Ground Lease Properties | ||||||||||||
Crowne Plaza (1) | Key West, FL | Full service | 160 | 100 | 160 | |||||||
Crowne Plaza (2) | Annapolis, MD | Full service | 196 | 100 | 196 | |||||||
Hilton (3) | Ft. Worth, TX | Full service | 294 | 100 | 294 | |||||||
Renaissance (4) | Palm Springs, CA | Full service | 410 | 100 | 410 | |||||||
Total | 25,579 | 25,552 |
(1) | The ground lease expires in 2084. |
(2) | The ground lease expires in 2114. |
(3) | The ground lease expires in 2040. |
(4) | The ground lease expires in 2059 with one 25-year extension option. |
ITEM 3. | QUANTITATIVE AND QUALITATIVE DISCLOSURE ABOUT MARKET RISK |
ITEM 4. | CONTROLS AND PROCEDURES |
ITEM 1. | LEGAL PROCEEDINGS |
ITEM 1A. | RISK FACTORS |
ITEM 2. | UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS |
Period | Total Number of Shares Purchased | Average Price Paid Per Share | Total Number of Shares Purchased as Part of Publicly Announced Plan (1) | Maximum Dollar Value of Shares That May Yet Be Purchased Under the Plan | ||||||||||
Common stock: | ||||||||||||||
April 1 to April 30 | 30,840 | (2) | $ | 5.40 | (3) | — | $ | 200,000,000 | ||||||
May 1 to May 31 | 13,890 | — | (3) | — | 200,000,000 | |||||||||
June 1 to June 30 | 7,109 | — | (3) | — | 200,000,000 | |||||||||
Total | 51,839 | $ | 5.40 | — |
(1) | On December 5, 2017, the board of directors reapproved a stock repurchase program (the “Repurchase Program”) pursuant to which the board of directors granted a repurchase authorization to acquire shares of the Company’s common stock, par value $0.01 per share (the “Common Stock”) having an aggregate value of up to $200 million. The board of director’s authorization replaced any previous repurchase authorizations. |
(2) | Includes 23,403 shares in April that were purchased from employees of Ashford LLC to satisfy stock vesting tax withholdings. |
(3) | There is no cost associated with the forfeiture of 7,437, 13,890 and 7,109 restricted shares of our common stock in April, May and June, respectively. |
ITEM 3. | DEFAULTS UPON SENIOR SECURITIES |
ITEM 4. | MINE SAFETY DISCLOSURES |
ITEM 5. | OTHER INFORMATION |
ITEM 6. | EXHIBITS |
Exhibit | Description | ||
3.1 | |||
3.2 | |||
3.3 | |||
31.1* | |||
31.2* | |||
32.1* | |||
32.2* | |||
The following materials from the Company’s quarterly report on Form 10-Q for the quarter ended June 30, 2019 are formatted in XBRL (Extensible Business Reporting Language): (i) Consolidated Balance Sheets; (ii) Consolidated Statements of Operations; (iii) Consolidated Statements Comprehensive Income (Loss); (iii) Consolidated Statements of Equity; (iv) Consolidated Statements of Cash Flows; and (v) Notes to the Consolidated Financial Statements. In accordance with Rule 402 of Regulation S-T, the XBRL related information in Exhibit 101 to this Quarterly Report on Form 10-Q shall not be deemed to be “filed” for purposes of Section 18 of the Securities Exchange Act of 1934 (the “Exchange Act”), or otherwise subject to the liability of that section, and shall not be part of any registration statement or other document filed under the Securities Act of 1933 or the Exchange Act, except as shall be expressly set forth by specific reference in such filing. | |||
101.INS | XBRL Instance Document - the instance document does not appear in the Interactive Data File because its XBRL tags are embedded within the Inline XBRL document. | ||
101.SCH | XBRL Taxonomy Extension Schema Document | Submitted electronically with this report. | |
101.CAL | XBRL Taxonomy Extension Calculation Linkbase Document | Submitted electronically with this report. | |
101.DEF | XBRL Taxonomy Extension Definition Linkbase Document | Submitted electronically with this report. | |
101.LAB | XBRL Taxonomy Extension Label Linkbase Document. | Submitted electronically with this report. | |
101.PRE | XBRL Taxonomy Extension Presentation Linkbase Document. | Submitted electronically with this report. |
Date: | August 6, 2019 | By: | /s/ DOUGLAS A. KESSLER | |
Douglas A. Kessler | ||||
President and Chief Executive Officer | ||||
Date: | August 6, 2019 | By: | /s/ DERIC S. EUBANKS | |
Deric S. Eubanks | ||||
Chief Financial Officer |
1. | I have reviewed this Quarterly Report on Form 10-Q of Ashford Hospitality Trust, Inc.; |
2. | Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report; |
3. | Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report; |
4. | The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have: |
(a) | designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared; |
(b) | designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles; |
(c) | evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and |
(d) | disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and |
5. | The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions): |
(a) | all significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and |
(b) | any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting. |
/s/ DOUGLAS A. KESSLER | |
Douglas A. Kessler | |
President and Chief Executive Officer |
1. | I have reviewed this Quarterly Report on Form 10-Q of Ashford Hospitality Trust, Inc.; |
2. | Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report; |
3. | Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report; |
4. | The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have: |
(a) | designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared; |
(b) | designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles; |
(c) | evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and |
(d) | disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and |
5. | The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions): |
(a) | all significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and |
(b) | any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting. |
/s/ DERIC S. EUBANKS | |
Deric S. Eubanks | |
Chief Financial Officer |
(1) | The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934, as amended; and |
(2) | The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company. |
/s/ DOUGLAS A. KESSLER | |
Douglas A. Kessler | |
President and Chief Executive Officer |
(1) | The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934, as amended; and |
(2) | The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company. |
/s/ DERIC S. EUBANKS | |
Deric S. Eubanks | |
Chief Financial Officer |
Consolidated Statements of Comprehensive Income (Loss) - USD ($) $ in Thousands |
3 Months Ended | 6 Months Ended | ||
---|---|---|---|---|
Jun. 30, 2019 |
Jun. 30, 2018 |
Jun. 30, 2019 |
Jun. 30, 2018 |
|
Statement of Comprehensive Income [Abstract] | ||||
Net income (loss) | $ (21,352) | $ (23,351) | $ (67,974) | $ (56,000) |
Other comprehensive income (loss), net of tax: | ||||
Total other comprehensive income (loss) | 0 | 0 | 0 | 0 |
Comprehensive income (loss) | (21,352) | (23,351) | (67,974) | (56,000) |
Less: Comprehensive (income) loss attributable to noncontrolling interest in consolidated entities | (14) | (20) | 12 | 18 |
Less: Comprehensive (income) loss attributable to redeemable noncontrolling interests in operating partnership | 5,084 | 5,065 | 13,663 | 11,405 |
Comprehensive income (loss) attributable to the Company | $ (16,282) | $ (18,306) | $ (54,299) | $ (44,577) |
Consolidated Statements of Equity (Parenthetical) - $ / shares |
3 Months Ended | 6 Months Ended | ||
---|---|---|---|---|
Jun. 30, 2019 |
Jun. 30, 2018 |
Jun. 30, 2019 |
Jun. 30, 2018 |
|
Dividends declared - common stock (in dollars per share) | $ 0.06 | $ 0.12 | ||
Series D Preferred Stock | ||||
Dividends declared - preferred stock (in dollars per share) | 0.5281 | 0.5281 | ||
Series F Preferred Stock | ||||
Dividends declared - preferred stock (in dollars per share) | 0.4609 | 0.4609 | ||
Series G Preferred Stock | ||||
Dividends declared - preferred stock (in dollars per share) | 0.4609 | 0.4609 | ||
Series H Preferred Stock | ||||
Dividends declared - preferred stock (in dollars per share) | 0.4688 | 0.4688 | ||
Series I Preferred Stock | ||||
Dividends declared - preferred stock (in dollars per share) | 0.4688 | 0.4688 | ||
Common Stock | ||||
Dividends declared - common stock (in dollars per share) | 0.06 | 0.12 | $ 0.18 | $ 0.24 |
Preferred Stock | Series D Preferred Stock | ||||
Dividends declared - preferred stock (in dollars per share) | 0.53 | 0.53 | 1.06 | 1.06 |
Preferred Stock | Series F Preferred Stock | ||||
Dividends declared - preferred stock (in dollars per share) | 0.46 | 0.46 | 0.92 | 0.92 |
Preferred Stock | Series G Preferred Stock | ||||
Dividends declared - preferred stock (in dollars per share) | 0.46 | 0.46 | 0.92 | 0.92 |
Preferred Stock | Series H Preferred Stock | ||||
Dividends declared - preferred stock (in dollars per share) | 0.47 | 0.47 | 0.94 | 0.94 |
Preferred Stock | Series I Preferred Stock | ||||
Dividends declared - preferred stock (in dollars per share) | $ 0.47 | $ 0.47 | $ 0.94 | $ 0.94 |
Consolidated Statements of Cash Flows - USD ($) $ in Thousands |
3 Months Ended | 6 Months Ended | 12 Months Ended | ||
---|---|---|---|---|---|
Jun. 30, 2019 |
Jun. 30, 2018 |
Jun. 30, 2019 |
Jun. 30, 2018 |
Dec. 31, 2018 |
|
Cash Flows from Operating Activities | |||||
Net income (loss) | $ (21,352) | $ (23,351) | $ (67,974) | $ (56,000) | |
Adjustments to reconcile net income (loss) to net cash flow from operating activities: | |||||
Depreciation and amortization | 134,689 | 127,613 | |||
Impairment charges | 6,533 | 19 | 6,533 | 1,679 | |
Amortization of intangibles | (119) | (119) | |||
Recognition of deferred income | (466) | (288) | |||
Bad debt expense | 1,669 | 909 | |||
Deferred income tax expense (benefit) | 1,085 | 490 | |||
Equity in (earnings) loss of unconsolidated entities | 867 | (1,170) | 1,930 | (582) | |
(Gain) loss on sale of assets and hotel properties | (328) | (412) | (561) | (403) | |
Realized and unrealized (gain) loss on marketable securities | (1,422) | 677 | |||
Purchases of marketable securities | (3,854) | (11,161) | |||
Sales of marketable securities | 12,829 | 13,338 | |||
Net settlement of trading derivatives | (875) | 309 | |||
Realized and unrealized (gain) loss on derivatives | 1,906 | 1,587 | |||
Amortization of loan costs and premiums and write-off of premiums, loan costs and exit fees | 16,898 | 15,549 | |||
Equity-based compensation | 9,958 | 16,803 | |||
Changes in operating assets and liabilities, exclusive of the effect of acquisitions and dispositions of hotel properties: | |||||
Accounts receivable and inventories | (30,733) | (14,679) | |||
Prepaid expenses and other assets | (9,248) | (7,206) | |||
Operating lease right-of-use asset | (2,272) | 0 | |||
Operating lease liability | 491 | 0 | |||
Accounts payable and accrued expenses | 22,964 | 11,248 | |||
Due to/from related party | (3,696) | (1,686) | |||
Due to/from third-party hotel managers | 3,128 | (3,389) | |||
Due to/from Ashford Inc., net | (1,244) | 2,602 | |||
Other liabilities | 655 | 1,698 | |||
Net cash provided by (used in) operating activities | 92,271 | 98,989 | |||
Cash Flows from Investing Activities | |||||
Investment in unconsolidated entity | (299) | (667) | |||
Proceeds from franchise agreement | 4,000 | 0 | |||
Acquisition of hotel properties and assets, net of cash and restricted cash acquired | (213,073) | (111,777) | |||
Improvements and additions to hotel properties | (81,541) | (117,744) | |||
Net proceeds from sales of assets and hotel properties | 13,089 | 40,938 | |||
Payments for initial franchise fees | (200) | (105) | |||
Proceeds from property insurance | 231 | 651 | |||
Net cash provided by (used in) investing activities | (277,793) | (188,704) | |||
Cash Flows from Financing Activities | |||||
Borrowings on indebtedness | 388,694 | 2,733,201 | |||
Repayments of indebtedness | (181,241) | (2,455,813) | |||
Payments for loan costs and exit fees | (9,107) | (54,438) | |||
Payments for dividends and distributions | (50,260) | (47,837) | |||
Purchases of common stock | (906) | (1,598) | |||
Payments for derivatives | (1,049) | (3,095) | |||
Preferred stock offering costs | 0 | (52) | |||
Other | 28 | 53 | |||
Net cash provided by (used in) financing activities | 146,159 | 170,421 | |||
Net increase (decrease) in cash, cash equivalents and restricted cash | (39,363) | 80,706 | |||
Cash, cash equivalents and restricted cash and at end of period | 400,449 | 552,778 | 400,449 | 552,778 | |
Supplemental Cash Flow Information | |||||
Interest paid | 118,740 | 106,238 | |||
Income taxes paid (refunded) | (1,611) | 1,154 | |||
Supplemental Disclosure of Non-Cash Investing and Financing Activity | |||||
Accrued but unpaid capital expenditures | 22,581 | 15,971 | |||
Non-cash dividends paid | 0 | 123 | |||
Accrued stock offering costs | 90 | 0 | |||
Common stock purchases accrued but not paid | 126 | 0 | |||
Issuance of units for hotel acquisition | 7,854 | 0 | |||
Assumption of debt in hotel acquisition | 24,922 | 0 | |||
Supplemental Disclosure of Cash, Cash Equivalents and Restricted Cash | |||||
Cash and cash equivalents at beginning of period | 319,210 | 354,805 | $ 354,805 | ||
Cash and cash equivalents at beginning of period included in assets held for sale | 0 | 78 | 78 | ||
Restricted cash at beginning of period | 120,602 | 116,787 | 116,787 | ||
Restricted cash at beginning of period included in assets held for sale | 0 | 402 | 402 | ||
Cash, cash equivalents and restricted cash at beginning of period | 439,812 | 472,072 | 472,072 | ||
Cash and cash equivalents at beginning of period | 235,936 | 417,359 | 235,936 | 417,359 | 319,210 |
Cash and cash equivalents at end of period included in assets held for sale | 1,281 | 0 | 1,281 | 0 | 0 |
Restricted cash at end of period | 162,746 | 135,419 | 162,746 | 135,419 | 120,602 |
Restricted cash at end of period included in assets held for sale | 486 | 0 | 486 | 0 | 0 |
Cash, cash equivalents and restricted cash at end of period | 400,449 | 552,778 | 400,449 | 552,778 | 439,812 |
Cash, cash equivalents and restricted cash at end of period | $ 400,449 | $ 552,778 | $ 439,812 | $ 472,072 | $ 439,812 |
Organization and Description of Business |
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Jun. 30, 2019 | |||||||||||||||||
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |||||||||||||||||
Organization and Description of Business | Organization and Description of Business Ashford Hospitality Trust, Inc., together with its subsidiaries (“Ashford Trust”), is a real estate investment trust (“REIT”) focused on investing opportunistically in the hospitality industry with a focus predominantly on full-service upscale and upper upscale hotels in the U.S. that have revenue per available room (“RevPAR”) generally less than twice the U.S. national average, and in all methods including direct real estate, equity, and debt. Future investments will predominantly be in upper upscale hotels. We own our lodging investments and conduct our business through Ashford Hospitality Limited Partnership (“Ashford Trust OP”), our operating partnership. Ashford OP General Partner LLC, a wholly-owned subsidiary of Ashford Trust, serves as the sole general partner of our operating partnership. In this report, terms such as the “Company,” “we,” “us,” or “our” refer to Ashford Hospitality Trust, Inc. and all entities included in its consolidated financial statements. Our hotel properties are primarily branded under the widely recognized upscale and upper upscale brands of Hilton, Hyatt, Marriott, and Intercontinental Hotel Group. As of June 30, 2019, we owned interests in the following assets:
For federal income tax purposes, we have elected to be treated as a REIT, which imposes limitations related to operating hotels. As of June 30, 2019, our 121 hotel properties were leased or owned by our wholly-owned or majority-owned subsidiaries that are treated as taxable REIT subsidiaries for federal income tax purposes (collectively, these subsidiaries are referred to as “Ashford TRS”). Ashford TRS then engages third-party or affiliated hotel management companies to operate the hotels under management contracts. Hotel operating results related to these properties are included in the consolidated statements of operations. We are advised by Ashford Hospitality Advisors LLC (“Ashford LLC”), a subsidiary of Ashford Inc., through an advisory agreement. All of the hotel properties in our portfolio are currently asset-managed by Ashford LLC. We do not have any employees. All of the services that might be provided by employees are provided to us by Ashford LLC. We do not operate any of our hotel properties directly; instead we employ hotel management companies to operate them for us under management contracts. As of June 30, 2019, Remington Lodging & Hospitality, LLC, together with its affiliates (“Remington Lodging”), which is beneficially wholly owned by Mr. Monty J. Bennett, our Chairman, and his father Mr. Archie Bennett, Jr., our Chairman Emeritus, managed 83 of our 121 hotel properties and WorldQuest Resort. Third-party management companies managed the remaining hotel properties. On May 31, 2019, Ashford Inc., the parent company of Ashford LLC, entered into an agreement to acquire the hotel management business of Remington Holdings, L.P. (as amended by the First Amendment thereto dated July 17, 2019, the “Combination Agreement”). Ashford Inc. also provides other products and services to us or our hotel properties through certain entities in which Ashford Inc. has an ownership interest. These products and services include, but are not limited to project management services, debt placement services, audio visual services, real estate advisory services, insurance claims services, hypoallergenic premium rooms, investment management services and mobile key technology.
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Significant Accounting Policies |
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Jun. 30, 2019 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Accounting Policies [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Significant Accounting Policies | Significant Accounting Policies Basis of Presentation—The accompanying unaudited consolidated financial statements have been prepared in accordance with generally accepted accounting principles (“GAAP”) for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by GAAP for complete financial statements. In the opinion of management, all adjustments (consisting of normal recurring accruals) considered necessary for a fair presentation have been included. These consolidated financial statements include the accounts of Ashford Hospitality Trust, Inc., its majority-owned subsidiaries, and its majority-owned joint ventures in which it has a controlling interest. All significant inter-company accounts and transactions between consolidated entities have been eliminated in these consolidated financial statements. We have condensed or omitted certain information and footnote disclosures normally included in financial statements presented in accordance with GAAP in the accompanying unaudited consolidated financial statements. We believe the disclosures made herein are adequate to prevent the information presented from being misleading. However, the financial statements should be read in conjunction with the consolidated financial statements and notes thereto included in our 2018 Annual Report to Stockholders on Form 10-K filed with the Securities and Exchange Commission (“SEC”) on March 1, 2019. Ashford Trust OP is considered to be a variable interest entity (“VIE”), as defined by authoritative accounting guidance. A VIE must be consolidated by a reporting entity if the reporting entity is the primary beneficiary because it has (i) the power to direct the VIE’s activities that most significantly impact the VIE’s economic performance and (ii) the obligation to absorb losses of the VIE or the right to receive benefits from the VIE. All major decisions related to Ashford Trust OP that most significantly impact its economic performance, including but not limited to operating procedures with respect to business affairs and any acquisitions, dispositions, financings, restructurings or other transactions with sellers, purchasers, lenders, brokers, agents and other applicable representatives, are subject to the approval of our wholly-owned subsidiary, Ashford Trust OP General Partner LLC, its general partner. As such, we consolidate Ashford Trust OP. Historical seasonality patterns at some of our hotel properties cause fluctuations in our overall operating results. Consequently, operating results for the three and six months ended June 30, 2019, are not necessarily indicative of the results that may be expected for the year ending December 31, 2019. The following acquisitions and dispositions affect reporting comparability of our consolidated financial statements:
Use of Estimates—The preparation of these consolidated financial statements in accordance with accounting principles generally accepted in the United States requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates. Restricted Cash—Restricted cash includes reserves for debt service, real estate taxes, and insurance, as well as excess cash flow deposits and reserves for furniture, fixtures, and equipment replacements of approximately 4% to 6% of property revenue for certain hotels, as required by certain management or mortgage debt agreement restrictions and provisions. Impairment of Investments in Hotel Properties—Hotel properties are reviewed for impairment whenever events or changes in circumstances indicate that their carrying amounts may not be recoverable. Recoverability of the hotel is measured by comparison of the carrying amount of the hotel to the estimated future undiscounted cash flows, which take into account current market conditions and our intent with respect to holding or disposing of the hotel. If our analysis indicates that the carrying value of the hotel is not recoverable on an undiscounted cash flow basis, we recognize an impairment charge for the amount by which the property’s net book value exceeds its estimated fair value, or fair value, less cost to sell. In evaluating impairment of hotel properties, we make many assumptions and estimates, including projected cash flows, expected holding period, and expected useful life. Fair value is determined through various valuation techniques, including internally developed discounted cash flow models, comparable market transactions and third-party appraisals, where considered necessary. Asset write-downs resulting from property damage are recorded up to the amount of the allocable property insurance deductible in the period that the property damage occurs. See note 6. Investments in Unconsolidated Entities—Investments in entities in which we have ownership interests ranging from 16.6% to 24.2%, at June 30, 2019, are accounted for under the equity method of accounting by recording the initial investment and our percentage of interest in the entities’ net income/loss. We review the investments in our unconsolidated entities for impairment in each reporting period pursuant to the applicable authoritative accounting guidance. An investment is impaired when its estimated fair value is less than the carrying amount of our investment. Any impairment is recorded in equity in earnings (loss) of unconsolidated entities. No such impairment was recorded for the three and six months ended June 30, 2019 and 2018. Our investments in certain unconsolidated entities are considered to be variable interests in the underlying entities. Each VIE, as defined by authoritative accounting guidance, must be consolidated by a reporting entity if the reporting entity is the primary beneficiary because it has (i) the power to direct the VIE’s activities that most significantly impact the VIE’s economic performance, and (ii) the obligation to absorb losses of the VIE or the right to receive benefits from the VIE. Because we do not have the power and financial responsibility to direct the unconsolidated entities’ activities and operations, we are not considered to be the primary beneficiary of these entities on an ongoing basis and therefore such entities should not be consolidated. In evaluating VIEs, our analysis involves considerable management judgment and assumptions. Leases—We determine if an arrangement is a lease at the commencement date. Operating leases, as lessee, are included in operating lease right-of-use (“ROU”) assets and operating lease liabilities on our consolidated balance sheets. We currently do not have any finance leases. Operating lease ROU assets and operating lease liabilities are recognized based on the present value of the future minimum lease payments over the lease term at commencement date. As most of our leases do not provide an implicit rate, we use our incremental borrowing rate based on the information available at commencement date in determining the present value of future payments. The operating lease ROU asset also includes any lease payments made and initial direct costs incurred and excludes lease incentives. The lease terms used to calculate our right-of-use asset may include options to extend or terminate the lease when it is reasonably certain that we will exercise that option. Lease expense for minimum lease payments is recognized on a straight-line basis over the lease term. We have lease agreements with lease and non-lease components, which under the elected practical expedients under ASC 842, we are not accounting for separately. For certain equipment leases, such as office equipment, we account for the lease and non-lease components as a single lease component. Equity-Based Compensation—Prior to the adoption of Accounting Standards Update (“ASU”) 2018-07, Compensation—Stock Compensation (Topic 718): Improvements to Nonemployee Share-Based Payment Accounting (“ASU 2018-07”) in the third quarter of 2018, stock/unit-based compensation for non-employees was accounted for at fair value based on the market price of the shares at period end that resulted in recording expense, included in “advisory services fee” and “management fees,” equal to the fair value of the award in proportion to the requisite service period satisfied during the period. Performance stock units (“PSUs”) and Performance Long-Term Incentive Plan (“Performance LTIP”) units granted to certain executive officers were accounted for at fair value at period end based on a Monte Carlo simulation valuation model that resulted in recording expense, included in “advisory services fee,” equal to the fair value of the award in proportion to the requisite service period satisfied during the period. Stock/unit grants to certain independent directors are recorded at fair value based on the market price of the shares at grant date, which amount is fully expensed as the grants of stock/units are fully vested on the date of grant. After the adoption of ASU 2018-07 in the third quarter of 2018, stock/unit-based compensation for non-employees is measured at the grant date and expensed ratably over the vesting period based on the original measurement as of the grant date. This results in the recording of expense, included in “advisory services fee,” “management fees” and “corporate, general and administrative” expense, equal to the ratable amount of the grant date fair value based on the requisite service period satisfied during the period. PSUs and Performance LTIP units granted to certain executive officers vest based on market conditions and are measured at the grant date fair value based on a Monte Carlo simulation valuation model. The subsequent expense is then ratably recognized over the service period as the service is rendered regardless of when, if ever, the market conditions are satisfied. This results in recording expense, included in “advisory services fee,” equal to the ratable amount of the grant date fair value based on the requisite service period satisfied during the period. Stock/unit grants to certain independent directors are measured at the grant date based on the market price of the shares at grant date, which amount is fully expensed as the grants of stock/units are fully vested on the date of grant. Recently Adopted Accounting Standards—In February 2016, the Financial Accounting Standards Board (“FASB”) issued ASU 2016-02, Leases (“ASU 2016-02”). The new standard establishes a ROU model that requires a lessee to record a ROU asset and a lease liability on the balance sheet for all leases with terms longer than 12 months. Under the new standard, leases are classified as either finance or operating, with classification affecting the pattern of expense recognition in the income statement. In July 2018, the FASB issued ASU 2018-10, Codification Improvements to Topic 842, Leases ("ASU 2018-10") and ASU 2018-11, Leases (Topic 842), Targeted Improvements (“ASU 2018-11”). The amendments in ASU 2018-10 affect only narrow aspects of the guidance issued in the amendments in ASU 2016-02, including but not limited to lease residual value guarantee, rate implicit in the lease, lease term and purchase option. The amendments in ASU 2018-11 provide an optional transition method for adoption of the new standard, which allows entities to continue to apply the legacy guidance in ASC 840, including its disclosure requirements, in the comparative periods presented in the year of adoption. In December 2018, the FASB issued ASU 2018-20, Leases (Topic 842), Narrow-Scope Improvements for Lessors (“ASU 2018-20”). The amendments create a lessor practical expedient applicable to sales and other similar taxes incurred in connection with a lease, and simplify lessor accounting for lessor costs paid by the lessee. We adopted the standard effective January 1, 2019 on a modified retrospective basis and implemented internal controls to enable the preparation of financial information on adoption. We elected the practical expedients which provide us the option to apply the new guidance at its effective date on January 1, 2019 without having to adjust the comparative prior period financial statements. The package of practical expedients also allowed us to carry forward the historical lease classification. Additionally, we elected the practical expedients allowing us not to separate lease and non-lease components and not record leases with an initial term of twelve months or less (“short-term leases”) on the balance sheet across all existing asset classes. The adoption of this standard has resulted in the recognition of ROU assets and lease liabilities primarily related to our ground lease arrangements for which we are the lessee. As of January 1, 2019, we recorded operating lease liabilities of $43.3 million as well as a corresponding operating lease ROU asset of $38.8 million, which includes, among other things, reclassified intangible assets of $9.0 million, intangible liabilities of $13.0 million and deferred rent of $485,000. The standard did not have a material impact on our consolidated statements of operations and statements of cash flows. See related disclosures in note 5. Recently Issued Accounting Standards—In June 2016, the FASB issued ASU 2016-13, Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments (“ASU 2016-13”). The ASU sets forth an “expected credit loss” impairment model to replace the current “incurred loss” method of recognizing credit losses. The standard requires measurement and recognition of expected credit losses for most financial assets held. The ASU is effective for fiscal years beginning after December 15, 2019, including interim periods within those fiscal years. Early adoption is permitted for periods beginning after December 15, 2018. In November 2018, the FASB issued ASU 2018-19, Codification Improvements to Topic 326, Financial Instruments – Credit Losses (“ASU 2018-19”). ASU 2018-19 clarifies that receivables arising from operating leases are not within the scope of Subtopic 326-20. Instead, impairment of receivables arising from operating leases should be accounted for in accordance with Topic 842, Leases. We are currently evaluating the impact that ASU 2016-13 will have on our consolidated financial statements and related disclosures.
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Revenue |
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Revenue from Contract with Customer [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Revenue | Revenue Rooms revenue represents revenue from the occupancy of our hotel rooms and is driven by the occupancy and average daily rate charged. Rooms revenue includes revenue for guest no-shows, day use, and early/late departure fees. The contracts for room stays with customers are generally short in duration and revenues are recognized as services are provided over the course of the hotel stay. Food & Beverage (“F&B”) revenue consists of revenue from the restaurants and lounges at our hotel properties, in-room dining and mini-bars revenue, and banquet/catering revenue from group and social functions. Other F&B revenue may include revenue from audio-visual equipment/services, rental of function rooms, and other F&B related revenue. Revenue is recognized as the services or products are provided. Our hotel properties may employ third parties to provide certain services at the property, for example, audio visual services. We evaluate each of these contracts to determine if the hotel is the principal or the agent in the transaction, and record the revenue as appropriate (i.e. gross vs. net). Other hotel revenue consists of ancillary revenue at the property, including attrition and cancellation fees, resort and destination fees, spas, parking, entertainment and other guest services, as well as rental revenue; primarily consisting of leased retail outlets at our hotel properties. Attrition and cancellation fees are recognized from non-cancellable deposits when the customer provides notification of cancellation within established management policy time frames. For the three and six months ended June 30, 2018, we recorded $1.9 million and $2.5 million of business interruption income for the St. Petersburg Hilton and Key West Crowne Plaza related to a settlement for lost profits from the BP Deepwater Horizon oil spill in the Gulf of Mexico in 2010. Taxes specifically collected from customers and submitted to taxing authorities are not recorded in revenue. Interest income is recognized when earned. The following tables present our revenue disaggregated by geographical areas (in thousands):
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Investment in Hotel Properties, net |
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Property, Plant and Equipment [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Investments in Hotel Properties, net | Investments in Hotel Properties, net Investments in hotel properties, net consisted of the following (in thousands):
Acquisitions Embassy Suites New York Manhattan Times Square On January 22, 2019, we acquired a 100% interest in the 310-room Embassy Suites New York Manhattan Times Square for $195.0 million. In connection with this transaction, we entered into a $145.0 million mortgage loan (see note 8). We accounted for this transaction as an asset acquisition because substantially all of the fair value of the gross assets acquired were concentrated in a group of similar identifiable assets. We allocated the cost of the acquisition including transaction costs to the individual assets acquired on a relative fair value basis, which is considered a Level 3 valuation technique, as noted in the following table (in thousands):
_____________________________ (1) Furniture, fixtures and equipment was sold to Ashford Inc. as a part of the ERFP transaction for the Embassy Suites New York Manhattan Times Square. The results of operations of the hotel property have been included in our results of operations as of the acquisition date. The table below summarizes the total revenue and net income (loss) of the hotel property in our consolidated statements of operations for the three and six months ended June 30, 2019 (in thousands):
Hilton Santa Cruz/Scotts Valley On February 26, 2019, we acquired a 100% interest in the 178-room Hilton Santa Cruz/Scotts Valley for $47.5 million. Consideration included cash, approximately 1.5 million common units in our operating partnership and the assumption of a non-recourse mortgage loan with a face value of approximately $25.3 million and a fair value of $24.9 million (see note 8). The number of common units was determined using a price of $7.00 per common unit. On February 26, 2019, the price per unit was $5.35 resulting in a fair value of $7.9 million. We accounted for this transaction as an asset acquisition because substantially all of the fair value of the gross assets acquired were concentrated in a group of similar identifiable assets. We allocated the cost of the acquisition including transaction costs to the individual assets acquired on a relative fair value basis, which is considered a Level 3 valuation technique, as noted in the following table (in thousands):
_____________________________ (1) Furniture, fixtures and equipment was sold to Ashford Inc. as a part of the ERFP transaction for the Hilton Santa Cruz/Scotts Valley. The results of operations of the hotel property have been included in our results of operations as of the acquisition date. The table below summarizes the total revenue and net income (loss) of the hotel property in our consolidated statements of operations for the three and six months ended June 30, 2019 (in thousands):
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Leases |
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Leases [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Leases | Leases On January 1, 2019, we adopted ASC 842 on a modified retrospective basis. We elected the practical expedients which allowed us to apply the new guidance at its effective date on January 1, 2019 without adjusting the comparative prior period financial statements. The package of practical expedients also allowed us to carry forward the historical lease classification. Additionally, we elected the practical expedients allowing us not to separate lease and non-lease components and not record leases with an initial term of twelve months or less (“short-term leases”) on the balance sheet across all existing asset classes. The adoption of this standard has resulted in the recognition of operating lease ROU assets and lease liabilities primarily related to our ground lease arrangements for which we are the lessee. As of January 1, 2019, we recorded operating lease liabilities of $43.3 million as well as a corresponding operating lease ROU asset of $38.8 million which includes the reclassified intangible assets of $9.0 million, intangible liabilities of $13.0 million and deferred rent of $485,000. The standard did not have a material impact on our condensed consolidated statements of operations and statements of cash flows. The majority of our leases are operating ground leases. We also have operating equipment leases, such as copier and vehicle leases, at our hotel properties. Some leases include one or more options to renew, with renewal terms that can extend the lease term from one year to 99 years. The exercise of lease renewal options is at our sole discretion. Some leases have variable payments, however, if variable payments are contingent, they are not included in the ROU assets and liabilities. We have no finance leases as of June 30, 2019. As of June 30, 2019, our leased assets and liabilities consisted of the following (in thousands):
We incurred the following lease costs related to our operating leases (in thousands):
_______________________________________ (1) For the three and six months ended June 30, 2019 operating lease cost includes approximately $121,000 and $313,000, respectively, of variable lease cost associated with the ground leases and $117,000 and $78,000, respectively, of net amortization costs related to the intangible assets and liabilities that was reclassified upon adoption of ASC 842. Short-term lease costs in aggregate are immaterial. Other information related to leases is as follows:
_______________________________________ (1) Calculated using the lease term, excluding extension options, and our calculated discount rates of the ground leases and owner managed leases. Future minimum lease payments due under non-cancellable leases as of June 30, 2019 were as follows (in thousands):
Future minimum lease payments due under non-cancellable leases under ASC 840 as of December 31, 2018 were as follows (in thousands):
Enhanced Return Funding Program We lease certain assets from Ashford Inc. under the Enhanced Return Funding Program. See note 17.
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Hotel Dispositions, Impairment Charges, Insurance Recoveries and Assets Held For Sale |
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Discontinued Operations and Disposal Groups [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Hotel Dispositions, Impairment Charges, Insurance Recoveries and Assets Held For Sale | Hotel Dispositions, Impairment Charges, Insurance Recoveries and Assets Held For Sale Hotel Dispositions On February 20, 2018, the Company sold the SpringHill Suites in Glen Allen, Virginia for approximately $10.9 million in cash. The sale resulted in a loss of approximately $13,000 for the year ended December 31, 2018, which was included in “gain (loss) on sale of assets and hotel properties” in the consolidated statements of operations. The Company also repaid approximately $7.6 million of debt associated with the hotel property. See note 8. On May 1, 2018, the Company sold the SpringHill Suites in Centreville, Virginia (“SpringHill Suites Centreville”) for approximately $7.5 million in cash. The sale resulted in a gain of approximately $98,000 for the year ended December 31, 2018, which was included in “gain (loss) on sale of assets and hotel properties” in the consolidated statements of operations. The Company also repaid approximately $6.6 million of debt associated with the hotel property. See note 8. On May 10, 2018, the Company sold the Residence Inn in Tampa, Florida for approximately $24.0 million in cash. The sale resulted in a gain of approximately $400,000 for the year ended December 31, 2018, which was included in “gain (loss) on sale of assets and hotel properties” in the consolidated statements of operations. The Company also repaid approximately $22.5 million of debt associated with the hotel property. See note 8. We included the results of operations for these hotel properties through the date of disposition in net income (loss) as shown in the consolidated statements of operations for the three and six months ended June 30, 2018. The following table includes condensed financial information from these hotel properties in the consolidated statements of operations for the three and six months ended June 30, 2018 (in thousands):
Impairment Charges and Insurance Recoveries During the three and six months ended June 30, 2019, we recorded a $6.5 million impairment charge, which was comprised of $1.4 million at the Wisconsin Dells Hilton Garden Inn and $5.1 million at the Savannah Courtyard. The impairment charges were based on methodologies discussed in note 2, which are considered Level 3 valuation techniques. For the three and six months ended June 30, 2018, we recorded a $0 and $2.0 million impairment charge at the SpringHill Suites Centreville. The SpringHill Suites Centreville was sold on May 1, 2018. We also recorded impairment adjustments of $19,000 and $(283,000) for the three and six ended June 30, 2018, respectively, based on changes in estimates of property damages incurred from the hurricanes. In August and September 2017, twenty-four of our hotel properties in Texas and Florida were impacted by the effects of Hurricanes Harvey and Irma. The Company holds insurance policies that provide coverage for property damage and business interruption after meeting certain deductibles at all of its hotel properties. For the three and six months ended June 30, 2018, the Company recorded revenue from business interruption losses associated with lost profits from the hurricanes of $0 and $401,000, respectively, which is included in “other” hotel revenue in our consolidated statement of operations. We received additional proceeds of $0 and $36,000 during the three and six months ended June 30, 2019, respectively, and $142,000 and $642,000 during the three and six months ended June 30, 2018, respectively, associated with property damage from the hurricanes. The Company will not record an insurance recovery receivable for business interruption losses associated with lost profits until the amount for such recoveries is known and the amount is realizable. Assets Held For Sale At June 30, 2019, the San Antonio Marriott was classified as held for sale in the consolidated balance sheet based on methodologies discussed in note 2. Since the sale of the hotel property does not represent a strategic shift that has (or will have) a major effect on our operations or financial results, its results of operations was not reported as discontinued operations in the consolidated financial statements. Depreciation and amortization were ceased as of the date the assets were deemed held for sale. The major classes of assets and liabilities related to assets held for sale included in the consolidated balance sheet at June 30, 2019 were as follows:
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Investment in Unconsolidated Entities |
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Equity Method Investments and Joint Ventures [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Investment in Unconsolidated Entities | Investment in Unconsolidated Entities Ashford Inc. As of June 30, 2019 and December 31, 2018, we held approximately 598,000 shares of Ashford Inc. common stock, which represented an approximate ownership of 24.2% and 25.0%, respectively. This ownership resulted in carrying value of $182,000 and $1.9 million, respectively, and a fair value of $19.0 million and $31.0 million, respectively, as of June 30, 2019 and December 31, 2018. The following tables summarize the condensed consolidated balance sheets and our ownership interest in Ashford Inc. as of June 30, 2019 and December 31, 2018 and the condensed consolidated statements of operations of Ashford Inc. and our equity in earnings (loss) for the three and six months ended June 30, 2019 and 2018 (in thousands): Ashford Inc. Condensed Consolidated Balance Sheets (unaudited)
Ashford Inc. Condensed Consolidated Statements of Operations (unaudited)
OpenKey OpenKey, which is controlled and consolidated by Ashford Inc., is a hospitality-focused mobile key platform that provides a universal smart phone app for keyless entry into hotel guest rooms. Our investment is recorded as a component of “investment in unconsolidated entities” in our consolidated balance sheets and is accounted for under the equity method of accounting as we have been deemed to have significant influence over the entity under the applicable accounting guidance. As of June 30, 2019, the Company has made investments totaling $4.3 million. In 2019 and 2018, we made additional investments of $299,000 and $667,000, respectively. The following table summarizes our carrying value and ownership interest in OpenKey:
The following table summarizes our equity in earnings (loss) in OpenKey (in thousands):
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Indebtedness |
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Debt Disclosure [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Indebtedness | Indebtedness Indebtedness consisted of the following (in thousands):
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On January 17, 2018, we refinanced our $376.8 million mortgage loan. The new mortgage loan totaled $395.0 million. The new mortgage loan has a two-year initial term and five one-year extension options, subject to the satisfaction of certain conditions. The mortgage loan is interest only and provides for an interest rate of LIBOR + 2.92%. The new mortgage loan is secured by eight hotels: Embassy Suites Portland, Embassy Suites Crystal City, Embassy Suites Orlando, Embassy Suites Santa Clara, Crowne Plaza Key West, Hilton Costa Mesa, Sheraton Minneapolis, and Historic Inns of Annapolis. On February 20, 2018, we repaid $7.6 million of principal on our mortgage loan partially secured by the SpringHill Suites Glen Allen. This hotel property was sold on February 20, 2018. See note 6. On April 9, 2018, we refinanced our $971.7 million mortgage loan secured by 22 hotel properties. The new mortgage loan totaled $985.0 million, is interest only and provides for an interest rate of LIBOR + 3.20%. The stated maturity is April 2020 with five one-year extension options, subject to the satisfaction of certain conditions. The new mortgage loan is secured by the same 22 hotel properties that include: the Courtyard Boston Downtown, Courtyard Denver, Courtyard Gaithersburg, Courtyard Savannah, Hampton Inn Parsippany, Hilton Parsippany, Hilton Tampa, Hilton Garden Inn Austin, Hilton Garden Inn BWI, Hilton Garden Inn Virginia Beach, Hyatt Windwatch Long Island, Hyatt Savannah, Marriott DFW Airport, Marriott Omaha, Marriott San Antonio, Marriott Sugarland, Renaissance Palm Springs, Ritz-Carlton Atlanta, Residence Inn Tampa, Churchill, Melrose and Silversmith. On May 1, 2018, we repaid $6.6 million of principal on our mortgage loan partially secured by the SpringHill Suites Centreville. This hotel property was sold on May 1, 2018. See note 6. On May 10, 2018, we repaid $22.5 million of principal on our mortgage loan partially secured by the Residence Inn Tampa. This hotel property was sold on May 10, 2018. See note 6. On June 13, 2018, we refinanced seven mortgage loans with existing outstanding balances totaling $1.068 billion. The new financing is comprised of six separate mortgage loans that total approximately $1.270 billion. Each has a two-year initial term with five one-year extension options, subject to the satisfaction of certain conditions. The original principal amounts of each mortgage loan and the hotel properties securing each mortgage loan are set forth in the following table:
_____________________________ (1) On July 3, 2018, we purchased $56.3 million of mezzanine debt related to the Pool E loan that was issued in conjunction with the June 13, 2018 refinancing. The net interest rate after the purchase of the Pool E loan is LIBOR + 2.73%. On June 29, 2018, in connection with the acquisition of the Hilton Alexandria Old Town in Alexandria Virginia, we completed the financing of a $73.5 million mortgage loan. This mortgage loan is interest only and provides for an interest rate of LIBOR + 2.45%. The stated maturity date of the mortgage loan is June 2023, with no extension options. The mortgage loan is secured by the Hilton Alexandria Old Town. On July 3, 2018, we purchased $56.3 million of mezzanine debt related to the Pool E loan that was issued in conjunction with the June 13, 2018 refinancing. The net interest rate after the purchase of the Pool E loan is LIBOR + 2.73%. The mezzanine debt receivable purchase and corresponding mezzanine debt eliminate in consolidation. On September 27, 2018, we established a secured credit facility with a borrowing capacity of up to $100.0 million, which is secured by a pledge of 100% of the equity interests in the subsidiaries that own the hotel property for which revolving credit facility funds would be used to acquire. The interest rate associated with the secured credit facility is either the base rate + 1.65% or LIBOR + 2.65% at the Company’s election. The base rate is the greater of (i) the prime rate set by Bank of America; (ii) federal funds rate + 0.5%; or (iii) LIBOR + 1.0%. On November 8, 2018, in connection with the acquisition of the La Posada de Santa Fe, we completed the financing of a $25.0 million mortgage loan. This mortgage loan is interest only and provides for an interest rate of LIBOR + 2.55%. The stated maturity date of the mortgage loan is November 2020, with three one-year extension options. The mortgage loan is secured by the La Posada de Santa Fe. On January 22, 2019, in connection with the acquisition of the Embassy Suites New York Manhattan Times Square, we completed the financing of a $145.0 million mortgage loan. This mortgage loan is interest only and provides for an interest rate of LIBOR + 3.90%. The stated maturity date of the mortgage loan is February 2022, with two one-year extensions. The mortgage loan is secured by the Embassy Suites New York Manhattan Times Square. On February 26, 2019, in connection with the acquisition of the Hilton Santa Cruz/Scotts Valley, we assumed a $25.3 million non-recourse mortgage loan with a fair value of $24.9 million. This mortgage loan amortizes monthly and provides for a fixed interest rate of 4.66%. The stated maturity date is March 2025. The mortgage loan is secured by the Hilton Santa Cruz/Scotts Valley. On March 5, 2019, we refinanced our $178.1 million mortgage loan, secured by the Renaissance Nashville and Westin Princeton. The new mortgage loan totals $240.0 million. The new mortgage loan is interest only and provides for an interest rate of LIBOR + 2.75%. The stated maturity is March 2021 with five one-year extension options, subject to the satisfaction of certain conditions. The mortgage loan is secured by the Renaissance Nashville and Westin Princeton. On June 7, 2019, we amended the mortgage loan secured by the Fort Worth Ashton totaling $5.2 million. The amended mortgage loan totaling $8.9 million has a five-year term, is interest only and bears interest at a rate of LIBOR + 2.00%. During the three and six months ended June 30, 2019 and 2018, we recognized net premium amortization as presented in the table below (in thousands):
The amortization of the net premium is computed using a method that approximates the effective interest method, which is included in “interest expense and amortization of premiums and loan costs” in the consolidated statements of operations. We are required to maintain certain financial ratios under various debt and related agreements. If we violate covenants in any debt or related agreement, we could be required to repay all or a portion of our indebtedness before maturity at a time when we might be unable to arrange financing for such repayment on attractive terms, if at all. The assets of certain of our subsidiaries are pledged under non-recourse indebtedness and are not available to satisfy the debts and other obligations of Ashford Trust or Ashford Trust OP, our operating partnership, and the liabilities of such subsidiaries do not constitute the obligations of Ashford Trust or Ashford Trust OP. As of June 30, 2019, we were in compliance in all material respects with all covenants or other requirements set forth in our debt and related agreements as amended.
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Income (Loss) Per Share |
6 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Earnings Per Share [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Income (Loss) Per Share | Income (Loss) Per Share Basic income (loss) per common share is calculated using the two-class method by dividing net income (loss) attributable to common stockholders by the weighted average number of common shares outstanding during the period. Diluted income (loss) per common share is calculated using the two-class method, or treasury stock method if more dilutive, and reflects the potential dilution that could occur if securities or other contracts to issue common shares were exercised or converted into common shares, whereby such exercise or conversion would result in lower income per share. The following table reconciles the amounts used in calculating basic and diluted income (loss) per share (in thousands, except per share amounts):
Due to their anti-dilutive effect, the computation of diluted income (loss) per share does not reflect adjustments for the following items (in thousands):
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Derivative Instruments and Hedging |
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Derivative Instruments and Hedging Activities Disclosure [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Derivative Instruments and Hedging | Derivative Instruments and Hedging Interest Rate Derivatives—We are exposed to risks arising from our business operations, economic conditions and financial markets. To manage these risks, we primarily use interest rate derivatives to hedge our debt and our cash flows. The interest rate derivatives currently include interest rate caps and interest rate floors. These derivatives are subject to master netting settlement arrangements. To mitigate the nonperformance risk, we routinely use a third party’s analysis of the creditworthiness of the counterparties, which supports our belief that the counterparties’ nonperformance risk is limited. All derivatives are recorded at fair value. The following table presents a summary of our interest rate derivatives entered into over the applicable periods:
None of these instruments were designated as cash flow hedges. We held interest rate instruments as summarized in the table below:
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Credit Default Swap Derivatives—We use credit default swaps, tied to the CMBX index, to hedge financial and capital market risk. A credit default swap is a derivative contract that functions like an insurance policy against the credit risk of an entity or obligation. The seller of protection assumes the credit risk of the reference obligation from the buyer (us) of protection in exchange for annual premium payments. If a default or a loss, as defined in the credit default swap agreements, occurs on the underlying bonds, then the buyer of protection is protected against those losses. The only liability for us, the buyer, is the annual premium and any change in value of the underlying CMBX index (if the trade is terminated prior to maturity). For all CMBX trades completed to date, we were the buyer of protection. Credit default swaps are subject to master-netting settlement arrangements and credit support annexes. As of June 30, 2019, we held credit default swaps with notional amounts totaling $212.5 million. These credit default swaps had effective dates from February 2015 to August 2017 and expected maturity dates from October 2023 to October 2026. Assuming the underlying bonds pay off at par over their remaining average life, our total exposure for these trades was approximately $4.3 million as of June 30, 2019. Cash collateral is posted by us as well as our counterparties. We offset the fair value of the derivative and the obligation/right to return/reclaim cash collateral. The change in market value of credit default swaps is settled net through posting cash collateral or reclaiming cash collateral between us and our counterparties when the change in market value is over $250,000.
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Fair Value Measurements |
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Fair Value Disclosures [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Fair Value Measurements | Fair Value Measurements Fair Value Hierarchy—For disclosure purposes, financial instruments, whether measured at fair value on a recurring or nonrecurring basis or not measured at fair value, are classified in a hierarchy consisting of three levels based on the observability of valuation inputs in the market place as discussed below:
Fair values of interest rate swaps are determined using the market standard methodology of netting the discounted future fixed cash receipts/payments and the discounted expected variable cash payments/receipts. Fair values of interest rate caps, floors, flooridors and corridors are determined using the market standard methodology of discounting the future expected cash receipts that would occur if variable interest rates fell below the strike rates of the floors or rise above the strike rates of the caps. Variable interest rates used in the calculation of projected receipts and payments on the swaps, caps, and floors are based on an expectation of future interest rates derived from observable market interest rate curves (LIBOR forward curves) and volatilities (Level 2 inputs). We also incorporate credit valuation adjustments (Level 3 inputs) to appropriately reflect both our own nonperformance risk and the respective counterparty’s nonperformance risk. Fair values of credit default swaps are obtained from a third party who publishes various information including the index composition and price data (Level 2 inputs). The fair value of credit default swaps does not contain credit-risk-related adjustments as the change in fair value is settled net through posting cash collateral or reclaiming cash collateral between us and our counterparty. Fair values of interest rate floors are calculated using a third-party discounted cash flow model based on future cash flows that are expected to be received over the remaining life of the floor. These expected future cash flows are probability-weighted projections based on the contract terms, accounting for both the magnitude and likelihood of potential payments, which are both computed using the appropriate LIBOR forward curve and market implied volatilities as of the valuation date (Level 2 inputs). Fair value of options on futures contracts is determined based on the last reported settlement price as of the measurement date (Level 1 inputs). These exchange-traded options are centrally cleared, and a clearinghouse stands in between all trades to ensure that the obligations involved in the trades are satisfied. Fair values of marketable securities and liabilities associated with marketable securities, including public equity securities, equity put and call options, and other investments, are based on their quoted market closing prices (Level 1 inputs). When a majority of the inputs used to value our derivatives fall within Level 2 of the fair value hierarchy, the derivative valuations in their entirety are classified in Level 2 of the fair value hierarchy. However, when valuation adjustments associated with our derivatives utilize Level 3 inputs, such as estimates of current credit spreads to evaluate the likelihood of default by us and our counterparties, which we consider significant (10% or more) to the overall valuation of our derivatives, the derivative valuations in their entirety are classified in Level 3 of the fair value hierarchy. Transfers of inputs between levels are determined at the end of each reporting period. In determining the fair values of our derivatives at June 30, 2019, the LIBOR interest rate forward curve (Level 2 inputs) assumed a downtrend from 2.398% to 1.440% for the remaining term of our derivatives. Credit spreads (Level 3 inputs) used in determining the fair values of hedge and non-hedge designated derivatives assumed an uptrend in nonperformance risk for us and all of our counterparties through the maturity dates. Assets and Liabilities Measured at Fair Value on a Recurring Basis The following table presents our assets and liabilities measured at fair value on a recurring basis aggregated by the level within which measurements fall in the fair value hierarchy (in thousands):
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Effect of Fair-Value-Measured Assets and Liabilities on Consolidated Statements of Operations The following tables summarize the effect of fair-value-measured assets and liabilities on the consolidated statements of operations (in thousands):
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(4) Excludes costs of $537 and $537 for the six months ended June 30, 2019 and 2018, respectively, included in “other income (expense)” associated with credit default swaps.
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Summary of Fair Value of Financial Instruments |
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Investments, All Other Investments [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Summary of Fair Value of Financial Instruments | Summary of Fair Value of Financial Instruments Determining estimated fair values of our financial instruments such as indebtedness requires considerable judgment to interpret market data. Market assumptions and/or estimation methodologies used may have a material effect on estimated fair value amounts. Accordingly, estimates presented are not necessarily indicative of amounts at which these instruments could be purchased, sold, or settled. Carrying amounts and estimated fair values of financial instruments, for periods indicated, were as follows (in thousands):
____________________________________ (1) Includes balances associated with assets held for sale and liabilities associated with assets held for sale as of June 30, 2019. Cash, cash equivalents and restricted cash. These financial assets bear interest at market rates and have original maturities of less than 90 days. The carrying value approximates fair value due to their short-term nature. This is considered a Level 1 valuation technique. Accounts receivable, net, accounts payable and accrued expenses, dividends and distributions payable, due to/from related party, net, due to Ashford Inc., net and due to/from third-party hotel managers. The carrying values of these financial instruments approximate their fair values due to their short-term nature. This is considered a Level 1 valuation technique. Marketable securities. Marketable securities consist of U.S. treasury bills, publicly traded equity securities, and put and call options on certain publicly traded equity securities. The fair value of these investments is based on quoted market closing prices at the balance sheet date. See note 11 for a complete description of the methodology and assumptions utilized in determining the fair values. Derivative assets, net and derivative liabilities, net. Fair value of interest rate caps is determined using the net present value of expected cash flows of each derivative based on the market-based interest rate curve and adjusted for credit spreads of us and our counterparties. Fair values of credit default swap derivatives are obtained from a third party who publishes the CMBX index composition and price data. Fair values of interest rate floors are calculated using a third-party discounted cash flow model based on future cash flows that are expected to be received over the remaining life of the floor. Fair values of options on futures contracts are valued at their last reported settlement price as of the measurement date. See notes 10 and 11 for a complete description of the methodology and assumptions utilized in determining fair values. Indebtedness. Fair value of indebtedness is determined using future cash flows discounted at current replacement rates for these instruments. Cash flows are determined using a forward interest rate yield curve. Current replacement rates are determined by using the U.S. Treasury yield curve or the index to which these financial instruments are tied and adjusted for credit spreads. Credit spreads take into consideration general market conditions, maturity, and collateral. We estimated the fair value of total indebtedness to be approximately 94.0% to 103.9% of the carrying value of $4.2 billion at June 30, 2019 and approximately 95.1% to 105.1% of the carrying value of $4.0 billion at December 31, 2018. This is considered a Level 2 valuation technique.
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Redeemable Noncontrolling Interests in Operating Partnership |
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Noncontrolling Interest [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Redeemable Noncontrolling Interests in Operating Partnership | Redeemable Noncontrolling Interests in Operating Partnership Redeemable noncontrolling interests in the operating partnership represents the limited partners’ proportionate share of equity in earnings/losses of the operating partnership, which is an allocation of net income/loss attributable to the common unit holders based on the weighted average ownership percentage of these limited partners’ common units of limited partnership interest in the operating partnership (the “common units”) and the units issued under our Long-Term Incentive Plan (the “LTIP units”) that are vested. Each common unit may be redeemed for either cash or, at our sole discretion, up to one share of our REIT common stock, which is either: (i) issued pursuant to an effective registration statement, (ii) included in an effective registration statement providing for the resale of such common stock; or (iii) issued subject to a registration rights agreement. LTIP units, which are issued to certain executives and employees of Ashford LLC as compensation, have vesting periods ranging from three years to five years. Additionally, certain independent members of the board of directors have elected to receive LTIP units as part of their compensation, which are fully vested upon grant. Upon reaching economic parity with common units, each vested LTIP unit can be converted by the holder into one common unit which can then be redeemed for cash or, at our election, settled in our common stock. An LTIP unit will achieve parity with the common units upon the sale or deemed sale of all or substantially all of the assets of the operating partnership at a time when our stock is trading at a level in excess of the price it was trading on the date of the LTIP issuance. More specifically, LTIP units will achieve full economic parity with common units in connection with (i) the actual sale of all or substantially all of the assets of the operating partnership or (ii) the hypothetical sale of such assets, which results from a capital account revaluation, as defined in the partnership agreement, for the operating partnership. The compensation committee of the board of directors of the Company approves the issuance of Performance LTIP units to certain executive officers and directors from time to time. The award agreements provide for the grant of a target number of Performance LTIP units that will be settled in common units of Ashford Trust OP, if and when the applicable vesting criteria have been achieved following the end of the performance and service period. The number of Performance LTIP units actually earned may range from 0% to 200% of target based on achievement of specified absolute and relative total stockholder returns based on the formulas determined by the Company’s compensation committee on the grant date. As of June 30, 2019, there were approximately 1.9 million Performance LTIP units, representing 200% of the target number granted, outstanding. The performance criteria for the performance LTIP units are based on market conditions under the relevant literature, and the performance LTIP units were granted to non-employees. Upon the adoption of ASU 2018-07, the corresponding compensation cost is recognized ratably over the service period for the award as the service is rendered, based on the grant date fair value of the award, regardless of the actual outcome of the market condition as opposed to being accounted for at fair value based on the market price of the shares at each quarterly measurement date. As of June 30, 2019, we have issued a total of 11.9 million LTIP and Performance LTIP units, net of Performance LTIP cancellations. All LTIP and Performance LTIP units other than approximately 769,000 units (none of which are Performance LTIP units) have reached full economic parity with, and are convertible into, common units upon vesting. We recorded compensation expense for Performance LTIP units and LTIP units as presented in the table below (in thousands):
The unamortized cost of the unvested Performance LTIP units, which was $4.3 million at June 30, 2019, will be expensed over a period of 2.5 years with a weighted average period of 1.2 years. The unamortized cost of the unvested LTIP units, which was $4.2 million at June 30, 2019, will be expensed over a period of 2.7 years with a weighted average period of 1.8 years. On February 26, 2019, we issued 1.5 million common units in our operating partnership in conjunction with the acquisition of the Hilton Santa Cruz/Scotts Valley. See note 4. During the six months ended June 30, 2019 and 2018, there were no common units redeemed. The following table shows the redeemable noncontrolling interest in Ashford Trust (in thousands) and the corresponding approximate ownership percentage:
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We allocated net income (loss) to the redeemable noncontrolling interests and declared aggregate cash distributions to holders of common units and holders of LTIP units, as presented in the table below (in thousands):
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Equity and Equity-Based Compensation |
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Equity [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Equity and Equity-Based Compensation | Equity and Equity-Based Compensation Common Stock Dividends—For each of the 2018 quarters, the board of directors declared quarterly dividends of $0.12 per outstanding share of common stock. For the first and second quarters of 2019, the board of directors declared quarterly dividends of $0.12 and $0.06 per outstanding share of common stock, respectively. Restricted Stock Units—We incur stock-based compensation expense in connection with restricted stock units awarded to certain employees of Ashford LLC and its affiliates. We also issue common stock to certain of our independent directors, which immediately vests. The following table summarizes the stock-based compensation expense (in thousands):
During the six months ended June 30, 2018, approximately $1.5 million of the compensation expense was related to the accelerated vesting of equity awards granted to one of our executive officers upon his death, in accordance with the terms of the awards. At June 30, 2019, the unamortized cost of the unvested restricted stock units was $11.8 million, which will be amortized over a period of 2.7 years with a weighted average period of 2.1 years and had vesting dates between February 2020 and February 2022. Performance Stock Units—The compensation committee of the board of directors of the Company approves the issuance of PSUs, which have a cliff vesting period of three years, to certain executive officers and directors from time to time. The award agreements provide for the grant of a target number of PSUs that will be settled in shares of common stock of the Company, if and when the applicable vesting criteria have been achieved following the end of the performance and service period. The number of PSUs actually earned may range from 0% to 200% of target based on achievement of specified absolute and relative total stockholder returns based on the formulas determined by the Company’s Compensation Committee on the grant date. The performance criteria for the PSUs are based on market conditions under the relevant literature, and the PSUs were granted to non-employees. Upon the adoption of ASU 2018-07, the corresponding compensation cost is recognized ratably over the service period for the award as the service is rendered, based on the grant date fair value of the award, regardless of the actual outcome of the market condition as opposed to being accounted for at fair value based on the market price of the shares at each quarterly measurement date. The following table summarizes the compensation expense (in thousands):
During the six months ended June 30, 2018, approximately $3.0 million of the compensation expense was related to the accelerated vesting of PSUs granted to one of our executive officers upon his death, in accordance with the terms of the awards. The unamortized cost of PSUs, which was $9.4 million at June 30, 2019, will be expensed over a period of approximately 2.5 years with a weighted average period of 1.9 years. Preferred Dividends—The board of directors declared quarterly dividends as presented below:
Common Stock Repurchases—On December 5, 2017, the board of directors reapproved a stock repurchase program (the “Repurchase Program”) pursuant to which the board of directors granted a repurchase authorization to acquire shares of the Company’s common stock having an aggregate value of up to $200 million. The board of directors’ authorization replaced any previous repurchase authorizations. There were no repurchases under the Repurchase Program during the six months ended June 30, 2019 and 2018. At-the-Market Equity Offering Program—On December 11, 2017, the Company established an “at-the-market” equity offering program pursuant to which it may, from time to time, sell shares of its common stock having an aggregate offering price of up to $100 million. During the three and six months ended June 30, 2019 and 2018, no shares of its common stock were issued under this program. The table below summarizes the program as of June 30, 2019 (in thousands):
Noncontrolling Interests in Consolidated Entities—Our noncontrolling entity partner had an ownership interest of 15% in two hotel properties. The below table summarized the total carrying value (in thousands), which is reported in equity in the consolidated balance sheets:
The below table summarizes the (income) loss allocated to noncontrolling interests in consolidating entities (in thousands):
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Commitments and Contingencies |
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Jun. 30, 2019 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Commitments and Contingencies Disclosure [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Commitments and Contingencies | Commitments and Contingencies Restricted Cash—Under certain management and debt agreements for our hotel properties existing at June 30, 2019, escrow payments are required for insurance, real estate taxes, and debt service. In addition, for certain properties based on the terms of the underlying debt and management agreements, we escrow 4% to 6% of gross revenues for capital improvements. Franchise Fees—Under franchise agreements for our hotel properties existing at June 30, 2019, we pay franchisor royalty fees between 3% and 6% of gross rooms revenue and, in some cases, 2% to 3% of food and beverage revenues. Additionally, we pay fees for marketing, reservations, and other related activities aggregating between 1% and 4% of gross rooms revenue and, in some cases, food and beverage revenues. These franchise agreements expire on varying dates between 2020 and 2047. When a franchise term expires, the franchisor has no obligation to renew the franchise. A franchise termination could have a material adverse effect on the operations or the underlying value of the affected hotel due to loss of associated name recognition, marketing support, and centralized reservation systems provided by the franchisor. A franchise termination could also have a material adverse effect on cash available for distribution to stockholders. In addition, if we breach the franchise agreement and the franchisor terminates a franchise prior to its expiration date, we may be liable for up to three times the average annual fees incurred for that property. The below table summarizes the franchise fees incurred (in thousands):
Management Fees—Under property management agreements for our hotel properties existing at June 30, 2019, we pay monthly property management fee equal to the greater of approximately $14,000 (increased annually based on consumer price index adjustments) or 3% of gross revenues, or in some cases 1% to 7% of gross revenues, as well as annual incentive management fees, if applicable. These property management agreements expire from 2020 through 2039, with renewal options. If we terminate a property management agreement prior to its expiration, we may be liable for estimated management fees through the remaining term and liquidated damages or, in certain circumstances, we may substitute a new management agreement. Income Taxes— We and our subsidiaries file income tax returns in the federal jurisdiction and various states. Tax years 2015 through 2018 remain subject to potential examination by certain federal and state taxing authorities. Potential Pension Liabilities—Upon our 2006 acquisition of a hotel property, certain employees of such hotel were unionized and covered by a multi-employer defined benefit pension plan. At that time, no unfunded pension liabilities existed. Subsequent to our acquisition, a majority of employees, who are employees of the hotel manager, Remington Lodging, petitioned the employer to withdraw recognition of the union. As a result of the decertification petition, Remington Lodging withdrew recognition of the union. At the time of the withdrawal, the National Retirement Fund, the union’s pension fund, indicated unfunded pension liabilities existed. The National Labor Relations Board (“NLRB”) filed a complaint against Remington Lodging seeking, among other things, a ruling that Remington Lodging’s withdrawal of recognition was unlawful. The pension fund entered into a settlement agreement with Remington Lodging on November 1, 2011, providing that Remington Lodging will continue to make monthly pension fund payments pursuant to the collective bargaining agreement. As of June 30, 2019, Remington Lodging continues to comply with the settlement agreement by making the appropriate monthly pension fund payments. If Remington Lodging does not comply with the settlement agreement, we have agreed to indemnify Remington Lodging for the payment of the unfunded pension liability, if any, as set forth in the settlement agreement equal to $1.7 million minus the monthly pension payments made by Remington Lodging since the settlement agreement. To illustrate, if Remington Lodging - as of the date a final determination occurs - has made monthly pension payments equaling $100,000, Remington Lodging’s remaining withdrawal liability would be the unfunded pension liability of $1.7 million minus $100,000 (or $1.6 million). This remaining unfunded pension liability would be paid to the pension fund in annual installments of $84,000 (but may be made monthly or quarterly, at Remington Lodging’s election), which shall continue for the remainder of twenty years, which is capped, unless Remington Lodging elects to pay the unfunded pension liability amount earlier. Litigation—Palm Beach Florida Hotel and Office Building Limited Partnership, et al. v. Nantucket Enterprises, Inc. This litigation involves a landlord tenant dispute from 2008 in which the landlord, Palm Beach Florida Hotel and Office Building Limited Partnership, a subsidiary of the Company, claimed that the tenant had violated various lease provisions of the lease agreement and was therefore in default. The tenant counterclaimed and asserted multiple claims including that it had been wrongfully evicted. The litigation was instituted by the plaintiff in November 2008 in the Circuit Court of the Fifteenth Judicial Circuit, in and for Palm Beach County, Florida and proceeded to a jury trial on June 30, 2014. The jury entered its verdict awarding the tenant total claims of $10.8 million and ruling against the landlord on its claim of breach of contract. In 2016, the Court of Appeals reduced the original $10.8 million judgment to $8.8 million and added pre-judgment interest on the wrongful eviction judgment. The case was further appealed to the Florida Supreme Court. On May 23, 2017, the trial court issued an order compelling the company that issued the supersedeas bond, RLI Insurance Company (“RLI”), to pay approximately $10.0 million. On June 1, 2017, RLI paid Nantucket this amount and sought reimbursement from the Company, and on June 7, 2017, the Company paid $2.5 million of the judgement. On June 27, 2017, the Florida Supreme Court denied the Company’s petition for review. As a result, all of the appeals were exhausted and the judgment was final with the determination and reimbursement of attorney’s fees being the only remaining dispute. On June 29, 2017, the balance of the judgment of $3.9 million was paid to Nantucket by the Company. On July 26, 2018, we paid $544,000 as part of a settlement on certain legal fees. The negotiations relating to the potential payment of the remaining attorney’s fees are still ongoing. As of June 30, 2019, we have accrued approximately $504,000 in legal fees, which represents the Company’s estimate of the amount of potential remaining legal fees that could be owed. We are engaged in other various legal proceedings which have arisen but have not been fully adjudicated. The likelihood of loss from these legal proceedings, based on definitions within contingency accounting literature, ranges from remote to reasonably possible and to probable. Based on estimates of the range of potential losses associated with these matters, management does not believe the ultimate resolution of these proceedings, either individually or in the aggregate, will have a material adverse effect on our consolidated financial position or results of operations. However, the final results of legal proceedings cannot be predicted with certainty and if we fail to prevail in one or more of these legal matters, and the associated realized losses exceed our current estimates of the range of potential losses, our consolidated financial position or results of operations could be materially adversely affected in future periods.
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Segment Reporting |
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Jun. 30, 2019 | |
Segment Reporting [Abstract] | |
Segment Reporting | Segment Reporting We operate in one business segment within the hotel lodging industry: direct hotel investments. Direct hotel investments refers to owning hotel properties through either acquisition or new development. We report operating results of direct hotel investments on an aggregate basis as substantially all of our hotel investments have similar economic characteristics. As of June 30, 2019 and December 31, 2018, all of our hotel properties were domestically located.
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Related Party Transactions |
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Related Party Transactions | Related Party Transactions Ashford Inc. Advisory Agreement Ashford LLC, a subsidiary of Ashford Inc., acts as our advisor. Our Chairman, Mr. Monty J. Bennett, also serves as Chairman of the board of directors and Chief Executive Officer of Ashford Inc. Under our advisory agreement, we pay advisory fees to Ashford LLC. We are required to pay Ashford LLC a monthly base fee that is a percentage of our total market capitalization on a declining sliding scale plus the Net Asset Fee Adjustment, as defined in the advisory agreement, subject to a minimum monthly base fee, as payment for managing our day-to-day operations in accordance with our investment guidelines. Total market capitalization includes the aggregate principal amount of our consolidated indebtedness (including our proportionate share of debt of any entity that is not consolidated but excluding our joint venture partners’ proportionate share of consolidated debt). The range of base fees on the scale is between 0.70% and 0.50% per annum for total market capitalization that ranges from less than $6.0 billion to greater than $10.0 billion. At June 30, 2019, the monthly base fee was 0.70% based on our current market capitalization. We are also required to pay Ashford LLC an incentive fee that is measured annually (or stub period if the advisory agreement is terminated at other than year-end). Each year that our annual total stockholder return exceeds the average annual total stockholder return for our peer group we will pay Ashford LLC an incentive fee over the following three years, subject to the FCCR Condition, as defined in the advisory agreement, which relates to the ratio of adjusted EBITDA to fixed charges. We also reimburse Ashford LLC for certain reimbursable overhead and internal audit, risk management advisory and asset management services, as specified in the advisory agreement. We also record equity-based compensation expense for equity grants of common stock and LTIP units awarded to our officers and employees of Ashford LLC in connection with providing advisory services equal to the fair value of the award in proportion to the requisite service period satisfied during the period. The following table summarizes the advisory services fees incurred (in thousands):
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In accordance with our advisory agreement, our advisor, or entities in which our advisor has an interest, have a right to provide products or services to our hotels, provided such transactions are evaluated and approved by our independent directors. The following tables summarize the entities in which our advisor has an interest with which we or our hotel properties contracted for products and services, the amounts recorded by us for those services and the applicable classification on our consolidated financial statements (in thousands):
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The following table summarizes the amount due to Ashford Inc. (in thousands):
____________________________________ (1) Includes balances associated with liabilities associated with assets held for sale as of June 30, 2019. In 2016, $4.0 million of key money consideration was invested in furniture, fixtures and equipment by Ashford LLC to be used by Ashford Trust, which represented all of the key money consideration for the Le Pavillon Hotel. Upon adoption of ASC 842, we evaluated this arrangement, which is accounted for as a lease that will expire in 2021. Under the applicable accounting guidance in ASC 842, as the related party lease is provided rent-free, there is no economic substance related to the lease which results in not recording an operating lease right-of-use asset, an operating lease liability or lease expense. Enhanced Return Funding Program On June 26, 2018, Ashford Trust entered into the Enhanced Return Funding Program Agreement and Amendment No. 1 to the Amended and Restated Advisory Agreement (the “ERFP Agreement”) with Ashford Inc. The Amended and Restated Advisory Agreement was also amended to name Ashford Inc. and its subsidiaries as the Company’s sole and exclusive provider of asset management, project management and other services offered by Ashford Inc. or any of its subsidiaries and to revise the payment terms such that the base fee and reimbursable expenses will be paid monthly. The independent members of the board of directors of each of Ashford Inc. and Ashford Trust, with the assistance of separate and independent legal counsel, engaged to negotiate the ERFP Agreement on behalf of Ashford Inc. and Ashford Trust, respectively. The ERFP Agreement generally provides that Ashford LLC will make investments to facilitate the acquisition of properties by Ashford Trust OP that are recommended by Ashford LLC, in an aggregate amount of up to $50 million (subject to increase to up to $100 million by mutual agreement). The investments will equal 10% of the property acquisition price and will be made, either at the time of the property acquisition or at any time generally in the following two years, in exchange for furniture, fixture and equipment for use at the acquired property or any other property owned by Ashford Trust OP. The initial term of the ERFP Agreement is two years (the “Initial Term”), unless earlier terminated pursuant to the terms of the ERFP Agreement. At the end of the Initial Term, the ERFP Agreement shall automatically renew for successive one year periods (each such period a “Renewal Term”) unless either Ashford Inc. or Ashford Trust provides written notice to the other at least sixty days in advance of the expiration of the Initial Term or Renewal Term, as applicable, that such notifying party intends not to renew the ERFP Agreement. As a result of the Hilton Alexandria Old Town and La Posada de Santa Fe acquisitions in 2018, under the ERFP Agreement we were entitled to receive $11.1 million and $5.0 million from Ashford LLC, respectively, in the form of future purchases of hotel furniture, fixtures, and equipment. As of December 31, 2018, the Company sold $16.1 million of hotel furniture, fixtures, and equipment from certain Ashford Trust hotel properties to Ashford LLC which were subsequently leased back to the Company rent free. Under the applicable accounting guidance in ASC 842, as the related party lease is provided rent free, the lease has no economic substance. As a result, the Company has not recorded an operating lease right-of-use asset, an operating lease liability or lease expense for rents. As of December 31, 2018, Ashford LLC remitted payment of $16.1 million to the Company. Under the relevant accounting guidance related to sales-leaseback transactions, the transaction was not accounted for as a sale under Topic 606. As a result the applicable hotel furniture, fixtures, and equipment were not derecognized at December 31, 2018 and the Company recorded a $16.1 million liability to Ashford LLC. Upon adoption of Topic 842 on January 1, 2019, the Company reevaluated the transaction under the applicable accounting guidance and concluded that the transaction qualified as a sale. As a result, the Company recorded a $1.8 million gain directly to accumulated deficit and, in conjunction with the sale, derecognized the assets and removed the liability to Ashford LLC. As a result of the Hilton Santa Cruz/Scotts Valley and Embassy Suites New York Manhattan Times Square acquisitions in 2019, under the ERFP Agreement we are entitled to receive $5.0 million and $19.5 million from Ashford LLC, respectively, in the form of future purchases of hotel furniture, fixtures, and equipment. As of June 30, 2019, the Company sold $5.0 million and $8.1 million, respectively, of hotel furniture, fixtures, and equipment from certain Ashford Trust hotel properties to Ashford LLC which were subsequently leased back to the Company rent free. In accordance with ASC 842, the Company evaluated the transactions and concluded that the transactions qualified as a sale. As a result, the Company recorded a gain of $233,000 and $326,000, respectively, for the three and six months ended June 30, 2019 in conjunction with the sale and derecognized the assets. Additionally, under the applicable accounting guidance in ASC 842, the Company has not recorded an operating lease right-of-use asset, an operating lease liability or lease expense for rents as the related party lease has no economic substance because the related party lease is provided rent free. As of June 30, 2019, Ashford LLC has remitted payments of $5.0 million and $8.1 million to the Company. Project Management Agreement In connection with Ashford Inc.’s August 8, 2018 acquisition of Remington Lodging’s project management business, we entered into a project management agreement with Ashford Inc.’s indirect subsidiary, Premier, pursuant to which Premier provides project management services to our hotels, including construction management, interior design, architectural services, and the purchasing, freight management, and supervision of installation of FF&E and related services. Pursuant to the project management agreement, we pay Premier: (a) project management fees of up to 4% of project costs; and (b) market service fees at current market rates with respect to construction management, interior design, FF&E purchasing, FF&E expediting/freight management, FF&E warehousing and FF&E installation and supervision. Remington Lodging On August 8, 2018, Ashford Inc. completed the acquisition of Premier. As a result of Ashford Inc.’s acquisition, the project management services are no longer provided by Remington Lodging and are now provided by a subsidiary of Ashford Inc. under the respective project management agreement with each customer, including Ashford Trust and Braemar. Remington Lodging continues to provide property management services to the Company. At June 30, 2019, Remington Lodging managed 83 of our 121 hotel properties and the WorldQuest condominium properties included in continuing operations. We incurred the following fees related to our management agreement with Remington Lodging (in thousands):
Certain employees of Remington Lodging, who perform work on behalf of Ashford Trust, were granted shares of restricted stock under the Ashford Trust Stock Plan. These share grants are recorded as a component of “management fees” in our consolidated statements of operations (in thousands).
The unamortized cost of the unvested grants was $1.3 million as of June 30, 2019, which will be amortized over a period of 2.7 years.
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Subsequent Event |
6 Months Ended |
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Jun. 30, 2019 | |
Subsequent Events [Abstract] | |
Subsequent Event | Subsequent Events On August 2, 2019, the Company sold the San Antonio Marriott for approximately $34.0 million in cash. The Company also repaid approximately $26.8 million of principal on our mortgage loan partially secured by the hotel property. Subsequent to June 30, 2019, we received non-refundable deposits related to the potential sale of two hotel properties with an aggregate sales price of approximately $38 million. We estimate that the sales of the hotel properties will close prior to September 30, 2019.
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Significant Accounting Policies (Policies) |
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Accounting Policies [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Basis of Presentation | Basis of Presentation—The accompanying unaudited consolidated financial statements have been prepared in accordance with generally accepted accounting principles (“GAAP”) for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by GAAP for complete financial statements. In the opinion of management, all adjustments (consisting of normal recurring accruals) considered necessary for a fair presentation have been included. These consolidated financial statements include the accounts of Ashford Hospitality Trust, Inc., its majority-owned subsidiaries, and its majority-owned joint ventures in which it has a controlling interest. All significant inter-company accounts and transactions between consolidated entities have been eliminated in these consolidated financial statements. We have condensed or omitted certain information and footnote disclosures normally included in financial statements presented in accordance with GAAP in the accompanying unaudited consolidated financial statements. We believe the disclosures made herein are adequate to prevent the information presented from being misleading. However, the financial statements should be read in conjunction with the consolidated financial statements and notes thereto included in our 2018 Annual Report to Stockholders on Form 10-K filed with the Securities and Exchange Commission (“SEC”) on March 1, 2019. Ashford Trust OP is considered to be a variable interest entity (“VIE”), as defined by authoritative accounting guidance. A VIE must be consolidated by a reporting entity if the reporting entity is the primary beneficiary because it has (i) the power to direct the VIE’s activities that most significantly impact the VIE’s economic performance and (ii) the obligation to absorb losses of the VIE or the right to receive benefits from the VIE. All major decisions related to Ashford Trust OP that most significantly impact its economic performance, including but not limited to operating procedures with respect to business affairs and any acquisitions, dispositions, financings, restructurings or other transactions with sellers, purchasers, lenders, brokers, agents and other applicable representatives, are subject to the approval of our wholly-owned subsidiary, Ashford Trust OP General Partner LLC, its general partner. As such, we consolidate Ashford Trust OP. Historical seasonality patterns at some of our hotel properties cause fluctuations in our overall operating results. Consequently, operating results for the three and six months ended June 30, 2019, are not necessarily indicative of the results that may be expected for the year ending December 31, 2019. The following acquisitions and dispositions affect reporting comparability of our consolidated financial statements:
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Use of Estimates | Use of Estimates—The preparation of these consolidated financial statements in accordance with accounting principles generally accepted in the United States requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates.
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Restricted Cash | Restricted Cash—Restricted cash includes reserves for debt service, real estate taxes, and insurance, as well as excess cash flow deposits and reserves for furniture, fixtures, and equipment replacements of approximately 4% to 6% of property revenue for certain hotels, as required by certain management or mortgage debt agreement restrictions and provisions.
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Impairment of Investment in Hotel Properties and Assets Held for Sale | Impairment of Investments in Hotel Properties—Hotel properties are reviewed for impairment whenever events or changes in circumstances indicate that their carrying amounts may not be recoverable. Recoverability of the hotel is measured by comparison of the carrying amount of the hotel to the estimated future undiscounted cash flows, which take into account current market conditions and our intent with respect to holding or disposing of the hotel. If our analysis indicates that the carrying value of the hotel is not recoverable on an undiscounted cash flow basis, we recognize an impairment charge for the amount by which the property’s net book value exceeds its estimated fair value, or fair value, less cost to sell. In evaluating impairment of hotel properties, we make many assumptions and estimates, including projected cash flows, expected holding period, and expected useful life. Fair value is determined through various valuation techniques, including internally developed discounted cash flow models, comparable market transactions and third-party appraisals, where considered necessary. Asset write-downs resulting from property damage are recorded up to the amount of the allocable property insurance deductible in the period that the property damage occurs. See note 6.
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Investments in Unconsolidated Entities | Investments in Unconsolidated Entities—Investments in entities in which we have ownership interests ranging from 16.6% to 24.2%, at June 30, 2019, are accounted for under the equity method of accounting by recording the initial investment and our percentage of interest in the entities’ net income/loss. We review the investments in our unconsolidated entities for impairment in each reporting period pursuant to the applicable authoritative accounting guidance. An investment is impaired when its estimated fair value is less than the carrying amount of our investment. Any impairment is recorded in equity in earnings (loss) of unconsolidated entities. No such impairment was recorded for the three and six months ended June 30, 2019 and 2018. Our investments in certain unconsolidated entities are considered to be variable interests in the underlying entities. Each VIE, as defined by authoritative accounting guidance, must be consolidated by a reporting entity if the reporting entity is the primary beneficiary because it has (i) the power to direct the VIE’s activities that most significantly impact the VIE’s economic performance, and (ii) the obligation to absorb losses of the VIE or the right to receive benefits from the VIE. Because we do not have the power and financial responsibility to direct the unconsolidated entities’ activities and operations, we are not considered to be the primary beneficiary of these entities on an ongoing basis and therefore such entities should not be consolidated. In evaluating VIEs, our analysis involves considerable management judgment and assumptions.
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Leases | Leases—We determine if an arrangement is a lease at the commencement date. Operating leases, as lessee, are included in operating lease right-of-use (“ROU”) assets and operating lease liabilities on our consolidated balance sheets. We currently do not have any finance leases. Operating lease ROU assets and operating lease liabilities are recognized based on the present value of the future minimum lease payments over the lease term at commencement date. As most of our leases do not provide an implicit rate, we use our incremental borrowing rate based on the information available at commencement date in determining the present value of future payments. The operating lease ROU asset also includes any lease payments made and initial direct costs incurred and excludes lease incentives. The lease terms used to calculate our right-of-use asset may include options to extend or terminate the lease when it is reasonably certain that we will exercise that option. Lease expense for minimum lease payments is recognized on a straight-line basis over the lease term. We have lease agreements with lease and non-lease components, which under the elected practical expedients under ASC 842, we are not accounting for separately. For certain equipment leases, such as office equipment, we account for the lease and non-lease components as a single lease component.
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Equity-Based Compensation | Equity-Based Compensation—Prior to the adoption of Accounting Standards Update (“ASU”) 2018-07, Compensation—Stock Compensation (Topic 718): Improvements to Nonemployee Share-Based Payment Accounting (“ASU 2018-07”) in the third quarter of 2018, stock/unit-based compensation for non-employees was accounted for at fair value based on the market price of the shares at period end that resulted in recording expense, included in “advisory services fee” and “management fees,” equal to the fair value of the award in proportion to the requisite service period satisfied during the period. Performance stock units (“PSUs”) and Performance Long-Term Incentive Plan (“Performance LTIP”) units granted to certain executive officers were accounted for at fair value at period end based on a Monte Carlo simulation valuation model that resulted in recording expense, included in “advisory services fee,” equal to the fair value of the award in proportion to the requisite service period satisfied during the period. Stock/unit grants to certain independent directors are recorded at fair value based on the market price of the shares at grant date, which amount is fully expensed as the grants of stock/units are fully vested on the date of grant. After the adoption of ASU 2018-07 in the third quarter of 2018, stock/unit-based compensation for non-employees is measured at the grant date and expensed ratably over the vesting period based on the original measurement as of the grant date. This results in the recording of expense, included in “advisory services fee,” “management fees” and “corporate, general and administrative” expense, equal to the ratable amount of the grant date fair value based on the requisite service period satisfied during the period. PSUs and Performance LTIP units granted to certain executive officers vest based on market conditions and are measured at the grant date fair value based on a Monte Carlo simulation valuation model. The subsequent expense is then ratably recognized over the service period as the service is rendered regardless of when, if ever, the market conditions are satisfied. This results in recording expense, included in “advisory services fee,” equal to the ratable amount of the grant date fair value based on the requisite service period satisfied during the period. Stock/unit grants to certain independent directors are measured at the grant date based on the market price of the shares at grant date, which amount is fully expensed as the grants of stock/units are fully vested on the date of grant.
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Recently Adopted and Issued Accounting Standards | Recently Adopted Accounting Standards—In February 2016, the Financial Accounting Standards Board (“FASB”) issued ASU 2016-02, Leases (“ASU 2016-02”). The new standard establishes a ROU model that requires a lessee to record a ROU asset and a lease liability on the balance sheet for all leases with terms longer than 12 months. Under the new standard, leases are classified as either finance or operating, with classification affecting the pattern of expense recognition in the income statement. In July 2018, the FASB issued ASU 2018-10, Codification Improvements to Topic 842, Leases ("ASU 2018-10") and ASU 2018-11, Leases (Topic 842), Targeted Improvements (“ASU 2018-11”). The amendments in ASU 2018-10 affect only narrow aspects of the guidance issued in the amendments in ASU 2016-02, including but not limited to lease residual value guarantee, rate implicit in the lease, lease term and purchase option. The amendments in ASU 2018-11 provide an optional transition method for adoption of the new standard, which allows entities to continue to apply the legacy guidance in ASC 840, including its disclosure requirements, in the comparative periods presented in the year of adoption. In December 2018, the FASB issued ASU 2018-20, Leases (Topic 842), Narrow-Scope Improvements for Lessors (“ASU 2018-20”). The amendments create a lessor practical expedient applicable to sales and other similar taxes incurred in connection with a lease, and simplify lessor accounting for lessor costs paid by the lessee. We adopted the standard effective January 1, 2019 on a modified retrospective basis and implemented internal controls to enable the preparation of financial information on adoption. We elected the practical expedients which provide us the option to apply the new guidance at its effective date on January 1, 2019 without having to adjust the comparative prior period financial statements. The package of practical expedients also allowed us to carry forward the historical lease classification. Additionally, we elected the practical expedients allowing us not to separate lease and non-lease components and not record leases with an initial term of twelve months or less (“short-term leases”) on the balance sheet across all existing asset classes. The adoption of this standard has resulted in the recognition of ROU assets and lease liabilities primarily related to our ground lease arrangements for which we are the lessee. As of January 1, 2019, we recorded operating lease liabilities of $43.3 million as well as a corresponding operating lease ROU asset of $38.8 million, which includes, among other things, reclassified intangible assets of $9.0 million, intangible liabilities of $13.0 million and deferred rent of $485,000. The standard did not have a material impact on our consolidated statements of operations and statements of cash flows. See related disclosures in note 5. Recently Issued Accounting Standards—In June 2016, the FASB issued ASU 2016-13, Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments (“ASU 2016-13”). The ASU sets forth an “expected credit loss” impairment model to replace the current “incurred loss” method of recognizing credit losses. The standard requires measurement and recognition of expected credit losses for most financial assets held. The ASU is effective for fiscal years beginning after December 15, 2019, including interim periods within those fiscal years. Early adoption is permitted for periods beginning after December 15, 2018. In November 2018, the FASB issued ASU 2018-19, Codification Improvements to Topic 326, Financial Instruments – Credit Losses (“ASU 2018-19”). ASU 2018-19 clarifies that receivables arising from operating leases are not within the scope of Subtopic 326-20. Instead, impairment of receivables arising from operating leases should be accounted for in accordance with Topic 842, Leases. We are currently evaluating the impact that ASU 2016-13 will have on our consolidated financial statements and related disclosures.
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Revenue | Rooms revenue represents revenue from the occupancy of our hotel rooms and is driven by the occupancy and average daily rate charged. Rooms revenue includes revenue for guest no-shows, day use, and early/late departure fees. The contracts for room stays with customers are generally short in duration and revenues are recognized as services are provided over the course of the hotel stay. Food & Beverage (“F&B”) revenue consists of revenue from the restaurants and lounges at our hotel properties, in-room dining and mini-bars revenue, and banquet/catering revenue from group and social functions. Other F&B revenue may include revenue from audio-visual equipment/services, rental of function rooms, and other F&B related revenue. Revenue is recognized as the services or products are provided. Our hotel properties may employ third parties to provide certain services at the property, for example, audio visual services. We evaluate each of these contracts to determine if the hotel is the principal or the agent in the transaction, and record the revenue as appropriate (i.e. gross vs. net). Other hotel revenue consists of ancillary revenue at the property, including attrition and cancellation fees, resort and destination fees, spas, parking, entertainment and other guest services, as well as rental revenue; primarily consisting of leased retail outlets at our hotel properties. Attrition and cancellation fees are recognized from non-cancellable deposits when the customer provides notification of cancellation within established management policy time frames. For the three and six months ended June 30, 2018, we recorded $1.9 million and $2.5 million of business interruption income for the St. Petersburg Hilton and Key West Crowne Plaza related to a settlement for lost profits from the BP Deepwater Horizon oil spill in the Gulf of Mexico in 2010. Taxes specifically collected from customers and submitted to taxing authorities are not recorded in revenue. Interest income is recognized when earned.
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Significant Accounting Policies (Tables) |
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Jun. 30, 2019 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Accounting Policies [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Acquisitions and Dispositions that Affect Comparability | The following acquisitions and dispositions affect reporting comparability of our consolidated financial statements:
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Revenue (Tables) |
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Revenue from Contract with Customer [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Disaggregation of Revenue | The following tables present our revenue disaggregated by geographical areas (in thousands):
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Investment in Hotel Properties, net (Tables) |
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Property, Plant and Equipment [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of investments in hotel properties, net | We allocated the cost of the acquisition including transaction costs to the individual assets acquired on a relative fair value basis, which is considered a Level 3 valuation technique, as noted in the following table (in thousands):
_____________________________ (1) Furniture, fixtures and equipment was sold to Ashford Inc. as a part of the ERFP transaction for the Embassy Suites New York Manhattan Times Square. The results of operations of the hotel property have been included in our results of operations as of the acquisition date. The table below summarizes the total revenue and net income (loss) of the hotel property in our consolidated statements of operations for the three and six months ended June 30, 2019 (in thousands):
Investments in hotel properties, net consisted of the following (in thousands):
_____________________________ (1) Furniture, fixtures and equipment was sold to Ashford Inc. as a part of the ERFP transaction for the Hilton Santa Cruz/Scotts Valley. The results of operations of the hotel property have been included in our results of operations as of the acquisition date. The table below summarizes the total revenue and net income (loss) of the hotel property in our consolidated statements of operations for the three and six months ended June 30, 2019 (in thousands):
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Leases (Tables) |
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Leases [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Lease Balances | As of June 30, 2019, our leased assets and liabilities consisted of the following (in thousands):
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Lease Cost and Other Information | We incurred the following lease costs related to our operating leases (in thousands):
_______________________________________ (1) For the three and six months ended June 30, 2019 operating lease cost includes approximately $121,000 and $313,000, respectively, of variable lease cost associated with the ground leases and $117,000 and $78,000, respectively, of net amortization costs related to the intangible assets and liabilities that was reclassified upon adoption of ASC 842. Short-term lease costs in aggregate are immaterial. Other information related to leases is as follows:
_______________________________________ (1) Calculated using the lease term, excluding extension options, and our calculated discount rates of the ground leases and owner managed leases.
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Maturities of Operating Lease Liabilities | Future minimum lease payments due under non-cancellable leases as of June 30, 2019 were as follows (in thousands):
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Future Minimum Lease Payments | Future minimum lease payments due under non-cancellable leases under ASC 840 as of December 31, 2018 were as follows (in thousands):
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Hotel Dispositions, Impairment Charges, Insurance Recoveries and Assets Held For Sale (Tables) |
6 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Jun. 30, 2019 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Discontinued Operations and Disposal Groups [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Disposal Groups | The following table includes condensed financial information from these hotel properties in the consolidated statements of operations for the three and six months ended June 30, 2018 (in thousands):
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Investment in Unconsolidated Entities (Tables) |
6 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Jun. 30, 2019 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Equity Method Investments and Joint Ventures [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Equity Method Investments | The following tables summarize the condensed consolidated balance sheets and our ownership interest in Ashford Inc. as of June 30, 2019 and December 31, 2018 and the condensed consolidated statements of operations of Ashford Inc. and our equity in earnings (loss) for the three and six months ended June 30, 2019 and 2018 (in thousands): Ashford Inc. Condensed Consolidated Balance Sheets (unaudited)
Ashford Inc. Condensed Consolidated Statements of Operations (unaudited)
The following table summarizes our carrying value and ownership interest in OpenKey:
The following table summarizes our equity in earnings (loss) in OpenKey (in thousands):
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Indebtedness (Tables) |
6 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Jun. 30, 2019 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Debt Disclosure [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Summary of Indebtedness | Indebtedness consisted of the following (in thousands):
_____________________________
(12) On March 5, 2019, we refinanced this mortgage loan totaling $178.1 million with a new $240.0 million mortgage loan with a two-year initial term and five one-year extension options, subject to the satisfaction of certain conditions. The new mortgage loan is interest only and bears interest at a rate of LIBOR + 2.75%. The original principal amounts of each mortgage loan and the hotel properties securing each mortgage loan are set forth in the following table:
_____________________________ (1) On July 3, 2018, we purchased $56.3 million of mezzanine debt related to the Pool E loan that was issued in conjunction with the June 13, 2018 refinancing. The net interest rate after the purchase of the Pool E loan is LIBOR + 2.73%.
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Schedule of Interest Expense - Premium Amortization | During the three and six months ended June 30, 2019 and 2018, we recognized net premium amortization as presented in the table below (in thousands):
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Income (Loss) Per Share (Tables) |
6 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Jun. 30, 2019 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Earnings Per Share [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Summary of Amounts Used in Calculating Basic and Diluted Earnings (Loss) Per Share | The following table reconciles the amounts used in calculating basic and diluted income (loss) per share (in thousands, except per share amounts):
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Summary of Computation of Diluted Income Per Share | Due to their anti-dilutive effect, the computation of diluted income (loss) per share does not reflect adjustments for the following items (in thousands):
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Derivative Instruments and Hedging (Tables) |
6 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Jun. 30, 2019 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Derivative Instruments and Hedging Activities Disclosure [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Derivative Instruments | The following table presents a summary of our interest rate derivatives entered into over the applicable periods:
None of these instruments were designated as cash flow hedges. We held interest rate instruments as summarized in the table below:
_______________
(2) Cash collateral is posted by us as well as our counterparties. We offset the fair value of the derivative and the obligation/right to return/reclaim cash collateral.
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Fair Value Measurements (Tables) |
6 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Jun. 30, 2019 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Fair Value Disclosures [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Assets and Liabilities Measured at Fair Value on a Recurring Basis | The following table presents our assets and liabilities measured at fair value on a recurring basis aggregated by the level within which measurements fall in the fair value hierarchy (in thousands):
____________________________________
(4) Reported net as “derivative liabilities, net” in our consolidated balance sheets.
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Effect of Fair Value Measured Assets and Liabilities on Consolidated Statements of Operations | The following tables summarize the effect of fair-value-measured assets and liabilities on the consolidated statements of operations (in thousands):
____________________________________
____________________________________
(4) Excludes costs of $537 and $537 for the six months ended June 30, 2019 and 2018, respectively, included in “other income (expense)” associated with credit default swaps.
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Summary of Fair Value of Financial Instruments (Tables) |
6 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Jun. 30, 2019 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Investments, All Other Investments [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Carrying Amounts and Estimated Fair Values of Financial Instruments | Carrying amounts and estimated fair values of financial instruments, for periods indicated, were as follows (in thousands):
____________________________________ (1) Includes balances associated with assets held for sale and liabilities associated with assets held for sale as of June 30, 2019.
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Redeemable Noncontrolling Interests in Operating Partnership (Tables) |
6 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Jun. 30, 2019 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Noncontrolling Interest [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Compensation Expense | We recorded compensation expense for Performance LTIP units and LTIP units as presented in the table below (in thousands):
The following table summarizes the stock-based compensation expense (in thousands):
The following table summarizes the compensation expense (in thousands):
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Redeemable Noncontrolling Interest | The following table shows the redeemable noncontrolling interest in Ashford Trust (in thousands) and the corresponding approximate ownership percentage:
____________________________________
We allocated net income (loss) to the redeemable noncontrolling interests and declared aggregate cash distributions to holders of common units and holders of LTIP units, as presented in the table below (in thousands):
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Equity and Equity-Based Compensation (Tables) |
6 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Jun. 30, 2019 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Equity [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Compensation Expense | We recorded compensation expense for Performance LTIP units and LTIP units as presented in the table below (in thousands):
The following table summarizes the stock-based compensation expense (in thousands):
The following table summarizes the compensation expense (in thousands):
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Dividends Declared | The board of directors declared quarterly dividends as presented below:
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Schedule of Equity Activity | On December 11, 2017, the Company established an “at-the-market” equity offering program pursuant to which it may, from time to time, sell shares of its common stock having an aggregate offering price of up to $100 million. During the three and six months ended June 30, 2019 and 2018, no shares of its common stock were issued under this program. The table below summarizes the program as of June 30, 2019 (in thousands):
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Schedule of Noncontrolling Interests in Consolidated Entities | The below table summarizes the (income) loss allocated to noncontrolling interests in consolidating entities (in thousands):
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Commitments and Contingencies (Tables) |
6 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Jun. 30, 2019 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Commitments and Contingencies Disclosure [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Franchise Fees | The below table summarizes the franchise fees incurred (in thousands):
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Related Party Transactions (Tables) |
6 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Related Party Transactions [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Related Party Transactions | The following tables summarize the entities in which our advisor has an interest with which we or our hotel properties contracted for products and services, the amounts recorded by us for those services and the applicable classification on our consolidated financial statements (in thousands):
________
The following table summarizes the amount due to Ashford Inc. (in thousands):
____________________________________ (1) Includes balances associated with liabilities associated with assets held for sale as of June 30, 2019. The following table summarizes the advisory services fees incurred (in thousands):
________
(2) Equity-based compensation is associated with equity grants of Ashford Trust’s common stock, LTIP units and Performance LTIP units awarded to officers and employees of Ashford LLC.
|
Organization and Description of Business (Details) $ in Thousands |
Jun. 30, 2019
USD ($)
room
unit
hotel
|
Dec. 31, 2018
USD ($)
|
---|---|---|
Real Estate Properties [Line Items] | ||
Number of rooms | room | 25,579 | |
Number of rooms owned, net of partnership interest | room | 25,552 | |
Investment in unconsolidated entities | $ | $ 2,858 | $ 4,489 |
World Quest Resort | ||
Real Estate Properties [Line Items] | ||
Number of rooms | unit | 92 | |
Ashford Inc. | ||
Real Estate Properties [Line Items] | ||
Ownership percentage | 24.20% | 25.00% |
Investment in unconsolidated entities | $ | $ 182 | $ 1,896 |
Fair value of equity method investment | $ | $ 19,000 | $ 31,000 |
OpenKey | ||
Real Estate Properties [Line Items] | ||
Ownership percentage | 16.60% | 16.30% |
Investment in unconsolidated entities | $ | $ 2,676 | $ 2,593 |
Wholly Owned Properties | ||
Real Estate Properties [Line Items] | ||
Number of hotel properties | hotel | 119 | |
Majority Owned Properties | ||
Real Estate Properties [Line Items] | ||
Number of hotel properties | hotel | 2 | |
Subsidiaries | ||
Real Estate Properties [Line Items] | ||
Number of hotel properties | hotel | 121 | |
Number of hotel properties managed by affiliates | hotel | 83 |
Significant Accounting Policies (Details) - USD ($) |
3 Months Ended | 6 Months Ended | ||||
---|---|---|---|---|---|---|
Jun. 30, 2019 |
Jun. 30, 2018 |
Jun. 30, 2019 |
Jun. 30, 2018 |
Jan. 01, 2019 |
Dec. 31, 2018 |
|
Real Estate Properties [Line Items] | ||||||
Impairment of unconsolidated entities | $ 0 | $ 0 | $ 0 | $ 0 | ||
Operating lease liabilities | 43,758,000 | 43,758,000 | $ 0 | |||
Operating lease right-of-use assets | $ 41,114,000 | $ 41,114,000 | $ 0 | |||
OpenKey | ||||||
Real Estate Properties [Line Items] | ||||||
Ownership percentage | 16.60% | 16.60% | 16.30% | |||
Ashford Inc. | ||||||
Real Estate Properties [Line Items] | ||||||
Ownership percentage | 24.20% | 24.20% | 25.00% | |||
Minimum | ||||||
Real Estate Properties [Line Items] | ||||||
Restricted cash reserves as percentage of property revenue | 4.00% | 4.00% | ||||
Maximum | ||||||
Real Estate Properties [Line Items] | ||||||
Restricted cash reserves as percentage of property revenue | 6.00% | 6.00% | ||||
ASU 2016-02 | ||||||
Real Estate Properties [Line Items] | ||||||
Operating lease liabilities | $ 43,300,000 | |||||
Operating lease right-of-use assets | 38,800,000 | |||||
Intangible assets reclassified | 9,000,000.0 | |||||
Intangible liabilities reclassified | 13,000,000.0 | |||||
Deferred rent reclassified | $ 485,000 |
Revenue (Details) $ in Thousands |
3 Months Ended | 6 Months Ended | ||
---|---|---|---|---|
Jun. 30, 2019
USD ($)
hotel
|
Jun. 30, 2018
USD ($)
hotel
|
Jun. 30, 2019
USD ($)
hotel
|
Jun. 30, 2018
USD ($)
hotel
|
|
Disaggregation of Revenue [Line Items] | ||||
Number of Hotels | hotel | 121 | 121 | 121 | |
Total revenue | $ 415,148 | $ 389,164 | $ 773,866 | $ 731,371 |
Atlanta, GA Area | ||||
Disaggregation of Revenue [Line Items] | ||||
Number of Hotels | hotel | 9 | 9 | 9 | 9 |
Total revenue | $ 23,803 | $ 22,426 | $ 50,317 | $ 45,469 |
Boston, MA Area | ||||
Disaggregation of Revenue [Line Items] | ||||
Number of Hotels | hotel | 3 | 3 | 3 | 3 |
Total revenue | $ 22,154 | $ 20,627 | $ 34,037 | $ 31,970 |
Dallas / Ft. Worth Area | ||||
Disaggregation of Revenue [Line Items] | ||||
Number of Hotels | hotel | 7 | 7 | 7 | 7 |
Total revenue | $ 20,935 | $ 21,682 | $ 42,500 | $ 43,906 |
Houston, TX Area | ||||
Disaggregation of Revenue [Line Items] | ||||
Number of Hotels | hotel | 3 | 3 | 3 | 3 |
Total revenue | $ 9,289 | $ 10,024 | $ 18,690 | $ 19,853 |
Los Angeles, CA Metro Area | ||||
Disaggregation of Revenue [Line Items] | ||||
Number of Hotels | hotel | 6 | 6 | 6 | 6 |
Total revenue | $ 25,689 | $ 24,991 | $ 51,992 | $ 51,027 |
Miami, FL Metro Area | ||||
Disaggregation of Revenue [Line Items] | ||||
Number of Hotels | hotel | 3 | 3 | 3 | 3 |
Total revenue | $ 9,644 | $ 9,707 | $ 21,567 | $ 22,550 |
Minneapolis - St. Paul, MN-WI Area | ||||
Disaggregation of Revenue [Line Items] | ||||
Number of Hotels | hotel | 4 | 4 | 4 | 4 |
Total revenue | $ 12,808 | $ 13,323 | $ 21,592 | $ 25,549 |
Nashville, TN Area | ||||
Disaggregation of Revenue [Line Items] | ||||
Number of Hotels | hotel | 1 | 1 | 1 | 1 |
Total revenue | $ 21,334 | $ 18,217 | $ 39,311 | $ 31,986 |
New York / New Jersey Metro Area | ||||
Disaggregation of Revenue [Line Items] | ||||
Number of Hotels | hotel | 7 | 6 | 7 | 6 |
Total revenue | $ 35,674 | $ 28,530 | $ 60,023 | $ 50,521 |
Orlando, FL Area | ||||
Disaggregation of Revenue [Line Items] | ||||
Number of Hotels | hotel | 3 | 3 | 3 | 3 |
Total revenue | $ 8,522 | $ 7,933 | $ 18,504 | $ 16,841 |
Philadelphia, PA Area | ||||
Disaggregation of Revenue [Line Items] | ||||
Number of Hotels | hotel | 3 | 3 | 3 | 3 |
Total revenue | $ 8,244 | $ 8,214 | $ 13,860 | $ 14,340 |
San Diego, CA Area | ||||
Disaggregation of Revenue [Line Items] | ||||
Number of Hotels | hotel | 2 | 2 | 2 | 2 |
Total revenue | $ 5,264 | $ 5,338 | $ 10,214 | $ 9,972 |
San Francisco - Oakland, CA Metro Area | ||||
Disaggregation of Revenue [Line Items] | ||||
Number of Hotels | hotel | 7 | 6 | 7 | 6 |
Total revenue | $ 27,461 | $ 23,620 | $ 51,991 | $ 44,490 |
Tampa, FL Area | ||||
Disaggregation of Revenue [Line Items] | ||||
Number of Hotels | hotel | 2 | 2 | 2 | 2 |
Total revenue | $ 8,454 | $ 7,308 | $ 19,570 | $ 17,489 |
Washington DC - MD - VA Area | ||||
Disaggregation of Revenue [Line Items] | ||||
Number of Hotels | hotel | 9 | 9 | 9 | 9 |
Total revenue | $ 50,108 | $ 43,310 | $ 83,124 | $ 73,328 |
Other Areas | ||||
Disaggregation of Revenue [Line Items] | ||||
Number of Hotels | hotel | 52 | 51 | 52 | 51 |
Total revenue | $ 123,289 | $ 120,604 | $ 231,432 | $ 223,362 |
Orlando WorldQuest | ||||
Disaggregation of Revenue [Line Items] | ||||
Number of Hotels | hotel | 0 | 0 | 0 | 0 |
Total revenue | $ 1,353 | $ 1,532 | $ 2,947 | $ 3,295 |
Sold properties | ||||
Disaggregation of Revenue [Line Items] | ||||
Number of Hotels | hotel | 3 | 3 | ||
Total revenue | $ 982 | $ 3,648 | ||
Corporate | ||||
Disaggregation of Revenue [Line Items] | ||||
Number of Hotels | hotel | 0 | 0 | 0 | 0 |
Total revenue | $ 1,123 | $ 796 | $ 2,195 | $ 1,775 |
Total hotel revenue | ||||
Disaggregation of Revenue [Line Items] | ||||
Number of Hotels | hotel | 121 | |||
Rooms | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | 328,252 | $ 309,381 | 608,633 | 580,074 |
Rooms | Atlanta, GA Area | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | 18,001 | 17,029 | 38,277 | 34,288 |
Rooms | Boston, MA Area | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | 18,880 | 17,606 | 28,350 | 26,772 |
Rooms | Dallas / Ft. Worth Area | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | 15,986 | 16,534 | 31,890 | 33,015 |
Rooms | Houston, TX Area | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | 6,939 | 7,249 | 13,580 | 14,221 |
Rooms | Los Angeles, CA Metro Area | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | 20,282 | 19,995 | 40,826 | 40,576 |
Rooms | Miami, FL Metro Area | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | 6,812 | 6,948 | 15,722 | 16,942 |
Rooms | Minneapolis - St. Paul, MN-WI Area | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | 9,197 | 9,454 | 15,566 | 18,298 |
Rooms | Nashville, TN Area | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | 14,539 | 14,319 | 26,621 | 25,297 |
Rooms | New York / New Jersey Metro Area | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | 27,391 | 20,712 | 46,268 | 37,035 |
Rooms | Orlando, FL Area | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | 7,597 | 7,179 | 16,583 | 15,521 |
Rooms | Philadelphia, PA Area | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | 7,037 | 6,782 | 11,704 | 11,689 |
Rooms | San Diego, CA Area | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | 4,734 | 4,823 | 9,063 | 8,996 |
Rooms | San Francisco - Oakland, CA Metro Area | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | 24,239 | 21,394 | 45,864 | 39,880 |
Rooms | Tampa, FL Area | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | 6,395 | 5,489 | 14,529 | 12,970 |
Rooms | Washington DC - MD - VA Area | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | 39,610 | 35,084 | 65,365 | 58,734 |
Rooms | Other Areas | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | 99,595 | 96,657 | 186,221 | 179,749 |
Rooms | Orlando WorldQuest | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | 1,018 | 1,182 | 2,204 | 2,573 |
Rooms | Sold properties | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | 945 | 3,518 | ||
Rooms | Corporate | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | 0 | 0 | 0 | 0 |
Food and beverage | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | 67,298 | 60,429 | 128,359 | 115,473 |
Food and beverage | Atlanta, GA Area | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | 4,607 | 3,993 | 9,650 | 8,433 |
Food and beverage | Boston, MA Area | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | 2,272 | 2,116 | 3,873 | 3,517 |
Food and beverage | Dallas / Ft. Worth Area | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | 4,078 | 4,229 | 8,854 | 9,192 |
Food and beverage | Houston, TX Area | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | 2,131 | 2,571 | 4,692 | 5,213 |
Food and beverage | Los Angeles, CA Metro Area | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | 4,113 | 3,763 | 8,706 | 8,219 |
Food and beverage | Miami, FL Metro Area | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | 2,593 | 2,521 | 5,381 | 5,076 |
Food and beverage | Minneapolis - St. Paul, MN-WI Area | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | 2,293 | 2,618 | 3,915 | 4,880 |
Food and beverage | Nashville, TN Area | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | 6,272 | 3,530 | 11,470 | 5,849 |
Food and beverage | New York / New Jersey Metro Area | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | 7,598 | 7,199 | 12,304 | 12,123 |
Food and beverage | Orlando, FL Area | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | 512 | 418 | 1,048 | 789 |
Food and beverage | Philadelphia, PA Area | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | 1,010 | 1,196 | 1,803 | 2,226 |
Food and beverage | San Diego, CA Area | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | 257 | 261 | 659 | 501 |
Food and beverage | San Francisco - Oakland, CA Metro Area | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | 2,514 | 1,598 | 4,852 | 3,516 |
Food and beverage | Tampa, FL Area | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | 1,765 | 1,568 | 4,478 | 3,483 |
Food and beverage | Washington DC - MD - VA Area | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | 8,159 | 6,653 | 13,609 | 11,797 |
Food and beverage | Other Areas | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | 17,087 | 16,151 | 33,013 | 30,581 |
Food and beverage | Orlando WorldQuest | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | 37 | 44 | 52 | 77 |
Food and beverage | Sold properties | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | 0 | 1 | ||
Food and beverage | Corporate | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | 0 | 0 | 0 | 0 |
Other hotel revenue | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | 18,475 | 18,558 | 34,679 | 34,049 |
Other hotel revenue | Atlanta, GA Area | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | 1,195 | 1,404 | 2,390 | 2,748 |
Other hotel revenue | Boston, MA Area | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | 1,002 | 905 | 1,814 | 1,681 |
Other hotel revenue | Dallas / Ft. Worth Area | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | 871 | 919 | 1,756 | 1,699 |
Other hotel revenue | Houston, TX Area | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | 219 | 204 | 418 | 419 |
Other hotel revenue | Los Angeles, CA Metro Area | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | 1,294 | 1,233 | 2,460 | 2,232 |
Other hotel revenue | Miami, FL Metro Area | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | 239 | 238 | 464 | 532 |
Other hotel revenue | Minneapolis - St. Paul, MN-WI Area | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | 1,318 | 1,251 | 2,111 | 2,371 |
Other hotel revenue | Nashville, TN Area | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | 523 | 368 | 1,220 | 840 |
Other hotel revenue | New York / New Jersey Metro Area | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | 685 | 619 | 1,451 | 1,363 |
Other hotel revenue | Orlando, FL Area | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | 413 | 336 | 873 | 531 |
Other hotel revenue | Philadelphia, PA Area | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | 197 | 236 | 353 | 425 |
Other hotel revenue | San Diego, CA Area | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | 273 | 254 | 492 | 475 |
Other hotel revenue | San Francisco - Oakland, CA Metro Area | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | 708 | 628 | 1,275 | 1,094 |
Other hotel revenue | Tampa, FL Area | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | 294 | 251 | 563 | 1,036 |
Other hotel revenue | Washington DC - MD - VA Area | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | 2,339 | 1,573 | 4,150 | 2,797 |
Other hotel revenue | Other Areas | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | 6,607 | 7,796 | 12,198 | 13,032 |
Other hotel revenue | Orlando WorldQuest | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | 298 | 306 | 691 | 645 |
Other hotel revenue | Sold properties | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | 37 | 129 | ||
Other hotel revenue | Corporate | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | 0 | 0 | 0 | 0 |
Other | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | 1,123 | 796 | 2,195 | 1,775 |
Other | Atlanta, GA Area | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | 0 | 0 | 0 | 0 |
Other | Boston, MA Area | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | 0 | 0 | 0 | 0 |
Other | Dallas / Ft. Worth Area | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | 0 | 0 | 0 | 0 |
Other | Houston, TX Area | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | 0 | 0 | 0 | 0 |
Other | Los Angeles, CA Metro Area | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | 0 | 0 | 0 | 0 |
Other | Miami, FL Metro Area | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | 0 | 0 | 0 | 0 |
Other | Minneapolis - St. Paul, MN-WI Area | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | 0 | 0 | 0 | 0 |
Other | Nashville, TN Area | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | 0 | 0 | 0 | 0 |
Other | New York / New Jersey Metro Area | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | 0 | 0 | 0 | 0 |
Other | Orlando, FL Area | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | 0 | 0 | 0 | 0 |
Other | Philadelphia, PA Area | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | 0 | 0 | 0 | 0 |
Other | San Diego, CA Area | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | 0 | 0 | 0 | 0 |
Other | San Francisco - Oakland, CA Metro Area | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | 0 | 0 | 0 | 0 |
Other | Tampa, FL Area | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | 0 | 0 | 0 | 0 |
Other | Washington DC - MD - VA Area | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | 0 | 0 | 0 | 0 |
Other | Other Areas | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | 0 | 0 | 0 | 0 |
Other | Orlando WorldQuest | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | 0 | 0 | 0 | 0 |
Other | Sold properties | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | 0 | 0 | ||
Other | Corporate | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | $ 1,123 | 796 | $ 2,195 | 1,775 |
St. Petersburg Hilton and Key West Crowne Plaza | ||||
Disaggregation of Revenue [Line Items] | ||||
Business interruption income | $ 1,900 | $ 2,500 |
Investment in Hotel Properties, net (Investments) (Details) - USD ($) $ in Thousands |
Jun. 30, 2019 |
Dec. 31, 2018 |
---|---|---|
Property, Plant and Equipment [Abstract] | ||
Land | $ 781,438 | $ 670,362 |
Buildings and improvements | 4,175,528 | 4,062,810 |
Furniture, fixtures, and equipment | 492,235 | 504,806 |
Construction in progress | 32,052 | 37,394 |
Condominium properties | 12,340 | 12,091 |
Investments in hotel properties, net | 5,493,593 | 5,287,463 |
Accumulated depreciation | (1,258,330) | (1,182,244) |
Investments in hotel properties, net | $ 4,235,263 | $ 4,105,219 |
Investment in Hotel Properties, net (Acquisitions) (Details) $ / shares in Units, shares in Millions |
3 Months Ended | 6 Months Ended | |||||
---|---|---|---|---|---|---|---|
Feb. 26, 2019
USD ($)
room
$ / shares
shares
|
Jan. 22, 2019
USD ($)
room
|
Jun. 30, 2019
USD ($)
room
|
Jun. 30, 2018
USD ($)
|
Jun. 30, 2019
USD ($)
room
|
Jun. 30, 2018
USD ($)
|
Dec. 31, 2018
USD ($)
|
|
Real Estate Properties [Line Items] | |||||||
Number of rooms | room | 25,579 | 25,579 | |||||
Indebtedness, net | $ 4,143,957,000 | $ 4,143,957,000 | $ 3,927,266,000 | ||||
Land | 781,438,000 | 781,438,000 | 670,362,000 | ||||
Buildings and improvements | 4,175,528,000 | 4,175,528,000 | 4,062,810,000 | ||||
Furniture, fixtures, and equipment | 492,235,000 | 492,235,000 | 504,806,000 | ||||
Investments in hotel properties, net | 5,493,593,000 | 5,493,593,000 | $ 5,287,463,000 | ||||
Total revenue | 415,148,000 | $ 389,164,000 | 773,866,000 | $ 731,371,000 | |||
Net income (loss) | (21,352,000) | $ (23,351,000) | (67,974,000) | $ (56,000,000) | |||
Embassy Suites New York Manhattan Times Square | |||||||
Real Estate Properties [Line Items] | |||||||
Percent of voting interest acquired | 100.00% | ||||||
Number of rooms | room | 310 | ||||||
Consideration transferred | $ 195,000,000.0 | ||||||
Principal amount | 145,000,000.0 | ||||||
Land | 111,619,000 | ||||||
Buildings and improvements | 80,047,000 | ||||||
Furniture, fixtures, and equipment | 8,626,000 | ||||||
Investments in hotel properties, net | 200,292,000 | ||||||
Key money | (3,800,000) | ||||||
PP&E including adjustments | 196,492,000 | ||||||
Net other assets (liabilities) | $ 1,559,000 | ||||||
Total revenue | 7,569,000 | 10,963,000 | |||||
Net income (loss) | (707,000) | (3,078,000) | |||||
Hilton Santa Cruz/Scotts Valley | |||||||
Real Estate Properties [Line Items] | |||||||
Percent of voting interest acquired | 100.00% | ||||||
Number of rooms | room | 178 | ||||||
Consideration transferred | $ 47,500,000 | ||||||
Principal amount | 25,300,000 | ||||||
Indebtedness, net | $ 24,900,000 | ||||||
Issuance of units for hotel acquisition (in shares) | shares | 1.5 | ||||||
Issuance of units for hotel acquisition | $ 7,900,000 | ||||||
Share price (in dollars per share) | $ / shares | $ 7.00 | ||||||
Fair value price per common unit (dollars per share) | $ / shares | $ 5.35 | ||||||
Land | $ 9,399,000 | ||||||
Buildings and improvements | 34,276,000 | ||||||
Furniture, fixtures, and equipment | 3,852,000 | ||||||
Investments in hotel properties, net | 47,527,000 | ||||||
Debt discount | 407,000 | ||||||
PP&E including adjustments | 47,934,000 | ||||||
Net other assets (liabilities) | $ 320,000 | ||||||
Total revenue | 2,923,000 | 3,743,000 | |||||
Net income (loss) | $ 158,000 | $ (79,000) |
Leases (Narrative and Lease Balances) (Details) - USD ($) $ in Thousands |
Jun. 30, 2019 |
Jan. 01, 2019 |
Dec. 31, 2018 |
---|---|---|---|
Lessee, Lease, Description [Line Items] | |||
Operating lease liabilities | $ 43,758 | $ 0 | |
Operating lease right-of-use assets | $ 41,114 | $ 0 | |
ASU 2016-02 | |||
Lessee, Lease, Description [Line Items] | |||
Operating lease liabilities | $ 43,300 | ||
Operating lease right-of-use assets | 38,800 | ||
Intangible assets reclassified | 9,000 | ||
Intangible liabilities reclassified | 13,000 | ||
Deferred rent reclassified | $ 485 | ||
Minimum | |||
Lessee, Lease, Description [Line Items] | |||
Lease term | 1 year | ||
Maximum | |||
Lessee, Lease, Description [Line Items] | |||
Lease term | 99 years |
Leases (Lease Cost and Other Information) (Details) $ in Thousands |
3 Months Ended | 6 Months Ended |
---|---|---|
Jun. 30, 2019
USD ($)
|
Jun. 30, 2019
USD ($)
|
|
Leases [Abstract] | ||
Operating lease cost | $ 1,390 | $ 2,221 |
Variable lease expense | 121 | 313 |
Amortization costs related to the intangible assets and liabilities | $ 117 | 78 |
Cash paid for amounts included in the measurement of lease liabilities: | ||
Operating cash flows from operating leases (in thousands) | $ 1,360 | |
Weighted Average Remaining Lease Term | 71 years | 71 years |
Weighted Average Discount Rate | 5.16% | 5.16% |
Leases (Maturities of Operating Lease Liabilities) (Details) - USD ($) $ in Thousands |
Jun. 30, 2019 |
Dec. 31, 2018 |
---|---|---|
Operating leases | ||
2019 (remainder of year) | $ 1,360 | |
2020 | 2,753 | |
2021 | 2,579 | |
2022 | 2,479 | |
2023 | 2,419 | |
Thereafter | 167,006 | |
Total future minimum lease payments | 178,596 | |
Less: interest | (134,838) | |
Present value of lease liabilities | $ 43,758 | $ 0 |
Leases (Future Minimum Lease Payments) (Details) $ in Thousands |
Dec. 31, 2018
USD ($)
|
---|---|
Leases [Abstract] | |
2019 | $ 2,643 |
2020 | 2,506 |
2021 | 2,379 |
2022 | 2,297 |
2023 | 2,249 |
Thereafter | 121,697 |
Total | $ 133,771 |
Hotel Dispositions, Impairment Charges, Insurance Recoveries and Assets Held For Sale (Hotel Dispositions) (Details) - USD ($) $ in Thousands |
3 Months Ended | 6 Months Ended | 12 Months Ended | ||||||||
---|---|---|---|---|---|---|---|---|---|---|---|
Jun. 07, 2019 |
Mar. 05, 2019 |
Jun. 13, 2018 |
May 10, 2018 |
May 01, 2018 |
Apr. 09, 2018 |
Feb. 20, 2018 |
Jan. 17, 2018 |
Jun. 30, 2018 |
Jun. 30, 2018 |
Dec. 31, 2018 |
|
Mortgages | |||||||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||||||||
Extinguishment of debt | $ 5,200 | $ 178,100 | $ 1,068,000 | $ 6,600 | $ 971,700 | $ 376,800 | |||||
Disposal Group, Disposed of by Sale, Not Discontinued Operations | |||||||||||
Condensed financial information | |||||||||||
Total hotel revenue | $ 982 | $ 3,648 | |||||||||
Total hotel operating expenses | (620) | (2,271) | |||||||||
Gain (loss) on sale of assets and hotel properties | 412 | 403 | |||||||||
Property taxes, insurance and other | (70) | (220) | |||||||||
Depreciation and amortization | (39) | (347) | |||||||||
Impairment charges | 0 | (1,939) | |||||||||
Operating income (loss) | 665 | (726) | |||||||||
Interest expense and amortization of premiums and loan costs | (45) | (525) | |||||||||
Write-off of premiums, loan costs and exit fees | (462) | (524) | |||||||||
Income (loss) before income taxes | 158 | (1,775) | |||||||||
(Income) loss before income taxes attributable to redeemable noncontrolling interests in operating partnership | (24) | 264 | |||||||||
Net income (loss) before income taxes attributable to the Company | $ 134 | $ (1,511) | |||||||||
Disposal Group, Disposed of by Sale, Not Discontinued Operations | SpringHill Suites Glen Allen | Mortgages | |||||||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||||||||
Extinguishment of debt | $ 7,600 | ||||||||||
Disposal Group, Disposed of by Sale, Not Discontinued Operations | Centerville VA Spring Hill Suites By Marriott | Mortgages | |||||||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||||||||
Extinguishment of debt | 6,600 | ||||||||||
Disposal Group, Disposed of by Sale, Not Discontinued Operations | Residence Inn Tampa | |||||||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||||||||
Consideration for disposal | $ 24,000 | ||||||||||
Gain (loss) on disposal | $ 400 | ||||||||||
Disposal Group, Disposed of by Sale, Not Discontinued Operations | Residence Inn Tampa | Mortgages | |||||||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||||||||
Extinguishment of debt | $ 22,500 | ||||||||||
Disposal Group, Held-for-sale, Not Discontinued Operations | SpringHill Suites Glen Allen | |||||||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||||||||
Consideration for disposal | $ 10,900 | ||||||||||
Gain (loss) on disposal | (13) | ||||||||||
Disposal Group, Held-for-sale, Not Discontinued Operations | Centerville VA Spring Hill Suites By Marriott | |||||||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||||||||
Consideration for disposal | $ 7,500 | ||||||||||
Gain (loss) on disposal | $ 98 |
Hotel Dispositions, Impairment Charges, Insurance Recoveries and Assets Held For Sale (Impairment Charges and Insurance Recoveries) (Details) |
3 Months Ended | 6 Months Ended | ||
---|---|---|---|---|
Jun. 30, 2019
USD ($)
|
Jun. 30, 2018
USD ($)
hotel
|
Jun. 30, 2019
USD ($)
|
Jun. 30, 2018
USD ($)
hotel
|
|
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||
Number of hotel properties impacted by hurricanes | hotel | 24 | 24 | ||
Proceeds from business interruption losses and property damage | $ 0 | $ 0 | $ 36,000 | $ 401,000 |
Proceeds from property damage recoveries | 142,000 | 642,000 | ||
Wisconsin Dells Hilton Garden Inn and Savannah Courtyard | ||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||
Impairment charge for investments in hotel properties | 6,500,000 | 6,500,000 | ||
Wisconsin Dells Hilton Garden Inn | ||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||
Impairment charge for investments in hotel properties | 1,400,000 | 1,400,000 | ||
Savannah Courtyard | ||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||
Impairment charge for investments in hotel properties | $ 5,100,000 | $ 5,100,000 | ||
SpringHill Suites Centreville | ||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||
Impairment charge for investments in hotel properties | 0 | 2,000,000.0 | ||
Impairment adjustments | $ 19,000 | $ (283,000) |
Hotel Dispositions, Impairment Charges, Insurance Recoveries and Assets Held For Sale (Assets Held For Sale) (Details) - USD ($) $ in Thousands |
Jun. 30, 2019 |
Dec. 31, 2018 |
Jun. 30, 2018 |
Dec. 31, 2017 |
---|---|---|---|---|
Assets | ||||
Cash and cash equivalents | $ 1,281 | $ 0 | $ 0 | $ 78 |
Assets held for sale | 33,336 | 0 | ||
Liabilities | ||||
Liabilities related to assets held for sale | 24,690 | 0 | ||
San Antonio Marriott | Disposal Group, Held-for-sale, Not Discontinued Operations | ||||
Assets | ||||
Investments in hotel properties, net | 30,661 | |||
Cash and cash equivalents | 1,281 | |||
Restricted cash | 486 | |||
Accounts receivable, net | 619 | |||
Inventories | 81 | |||
Prepaid expenses | 153 | |||
Operating lease right-of-use assets | 14 | |||
Other assets | 41 | |||
Assets held for sale | 33,336 | |||
Liabilities | ||||
Indebtedness, net | 23,063 | $ 0 | ||
Accounts payable and accrued expenses | 1,490 | |||
Due to related party, net | 78 | |||
Due to Ashford Inc., net | 25 | |||
Intangible liabilities, net | 20 | |||
Operating lease liabilities | 14 | |||
Liabilities related to assets held for sale | $ 24,690 |
Investment in Unconsolidated Entities (Narrative and OpenKey Schedules) (Details) - USD ($) shares in Thousands, $ in Thousands |
3 Months Ended | 6 Months Ended | 12 Months Ended | ||
---|---|---|---|---|---|
Jun. 30, 2019 |
Jun. 30, 2018 |
Jun. 30, 2019 |
Jun. 30, 2018 |
Dec. 31, 2018 |
|
Real Estate Properties [Line Items] | |||||
Investment in unconsolidated entities | $ 2,858 | $ 2,858 | $ 4,489 | ||
Investment cost | 299 | $ 667 | |||
Equity in earnings (loss) of unconsolidated entity | $ (867) | $ 1,170 | $ (1,930) | 582 | |
Ashford Inc. | |||||
Real Estate Properties [Line Items] | |||||
Shares in investment held (in shares) | 598 | 598 | |||
Ownership percentage | 24.20% | 24.20% | 25.00% | ||
Investment in unconsolidated entities | $ 182 | $ 182 | $ 1,896 | ||
Fair value of equity method investment | 19,000 | 19,000 | $ 31,000 | ||
Equity in earnings (loss) of unconsolidated entity | $ (767) | 1,293 | $ (1,714) | 856 | |
OpenKey | |||||
Real Estate Properties [Line Items] | |||||
Ownership percentage | 16.60% | 16.60% | 16.30% | ||
Investment in unconsolidated entities | $ 2,676 | $ 2,676 | $ 2,593 | ||
Total investment | 4,300 | 4,300 | |||
Investment cost | 299 | $ 667 | |||
Equity in earnings (loss) of unconsolidated entity | $ (100) | $ (123) | $ (216) | $ (274) |
Investment in Unconsolidated Entities (Summary of Balance Sheet) (Details) - USD ($) $ in Thousands |
Jun. 30, 2019 |
Mar. 31, 2019 |
Dec. 31, 2018 |
Jun. 30, 2018 |
Mar. 31, 2018 |
Dec. 31, 2017 |
---|---|---|---|---|---|---|
Real Estate Properties [Line Items] | ||||||
Total assets | $ 4,869,997 | $ 4,685,954 | ||||
Total liabilities | 4,429,551 | 4,152,106 | ||||
Redeemable noncontrolling interests in operating partnership | 73,242 | 80,743 | ||||
Total stockholders’ equity of Ashford Inc. | 366,600 | 452,489 | ||||
Noncontrolling interests in consolidated entities | 604 | 616 | ||||
Total equity | 367,204 | $ 372,648 | 453,105 | $ 512,193 | $ 584,259 | $ 633,146 |
Total liabilities and equity | 4,869,997 | 4,685,954 | ||||
Our ownership interest in Ashford Inc. | 2,858 | 4,489 | ||||
Ashford Inc. | ||||||
Real Estate Properties [Line Items] | ||||||
Total assets | 418,178 | 379,005 | ||||
Total liabilities | 142,743 | 108,726 | ||||
Series B convertible preferred stock | 201,822 | 200,847 | ||||
Redeemable noncontrolling interests in operating partnership | 3,615 | 3,531 | ||||
Total stockholders’ equity of Ashford Inc. | 69,588 | 65,443 | ||||
Noncontrolling interests in consolidated entities | 410 | 458 | ||||
Total equity | 69,998 | 65,901 | ||||
Total liabilities and equity | 418,178 | 379,005 | ||||
Our ownership interest in Ashford Inc. | $ 182 | $ 1,896 |
Investment in Unconsolidated Entities (Summary of Statement of Operations) (Details) - USD ($) $ in Thousands |
3 Months Ended | 6 Months Ended | ||
---|---|---|---|---|
Jun. 30, 2019 |
Jun. 30, 2018 |
Jun. 30, 2019 |
Jun. 30, 2018 |
|
Real Estate Properties [Line Items] | ||||
Total operating expenses | $ (366,699) | $ (346,129) | $ (701,665) | $ (665,074) |
OPERATING INCOME (LOSS) | 48,777 | 43,447 | 72,762 | 66,700 |
Interest expense and loan amortization costs | (67,987) | (58,206) | (134,153) | (112,949) |
Other income (expense) | (338) | 206 | (654) | 282 |
Income tax expense | (3,706) | (2,973) | (3,301) | (2,087) |
NET INCOME (LOSS) | (21,352) | (23,351) | (67,974) | (56,000) |
Net (income) loss attributable to redeemable noncontrolling interests | 5,084 | 5,065 | 13,663 | 11,405 |
NET INCOME (LOSS) ATTRIBUTABLE TO THE COMPANY | (16,282) | (18,306) | (54,299) | (44,577) |
Less: Dividends on preferred stock | (10,644) | (10,644) | (21,288) | (21,288) |
Our equity in earnings (loss) of Ashford Inc. | (867) | 1,170 | (1,930) | 582 |
Ashford Inc. | ||||
Real Estate Properties [Line Items] | ||||
Total revenue | 63,466 | 54,811 | 126,786 | 102,979 |
Total operating expenses | (62,523) | (43,941) | (123,301) | (97,145) |
OPERATING INCOME (LOSS) | 943 | 10,870 | 3,485 | 5,834 |
Equity in earnings (loss) of unconsolidated entities | (298) | 0 | (573) | 0 |
Interest expense and loan amortization costs | (515) | (185) | (881) | (351) |
Other income (expense) | (33) | (148) | (66) | (75) |
Income tax expense | (426) | (1,605) | (1,726) | (2,311) |
NET INCOME (LOSS) | (329) | 8,932 | 239 | 3,097 |
(Income) loss from consolidated entities attributable to noncontrolling interests | 131 | 118 | 294 | 291 |
Net (income) loss attributable to redeemable noncontrolling interests | 310 | (90) | 289 | (151) |
NET INCOME (LOSS) ATTRIBUTABLE TO THE COMPANY | 112 | 8,960 | 822 | 3,237 |
Less: Dividends on preferred stock | (2,791) | 0 | (5,583) | 0 |
Amortization of preferred stock discount | (484) | 0 | (975) | 0 |
Net income attributable to common shareholders | (3,163) | 8,960 | (5,736) | 3,237 |
Our equity in earnings (loss) of Ashford Inc. | $ (767) | $ 1,293 | $ (1,714) | $ 856 |
Indebtedness (Details) |
3 Months Ended | 6 Months Ended | |||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Jun. 07, 2019
USD ($)
|
Mar. 05, 2019
USD ($)
|
Jun. 13, 2018
USD ($)
loan
|
May 10, 2018
USD ($)
|
May 01, 2018
USD ($)
|
Apr. 09, 2018
USD ($)
|
Feb. 20, 2018
USD ($)
|
Jan. 17, 2018
USD ($)
|
Jun. 30, 2019
USD ($)
hotel
extension
|
Jun. 30, 2018
USD ($)
|
Jun. 30, 2019
USD ($)
hotel
extension
|
Jun. 30, 2018
USD ($)
|
Feb. 26, 2019
USD ($)
|
Jan. 22, 2019
USD ($)
|
Dec. 31, 2018
USD ($)
|
Nov. 08, 2018
USD ($)
|
Sep. 27, 2018
USD ($)
|
Jul. 03, 2018
USD ($)
|
Jun. 29, 2018
USD ($)
|
|
Debt Instrument [Line Items] | |||||||||||||||||||
LIBOR interest rate forward curve | 1.44% | 1.44% | 2.398% | ||||||||||||||||
Indebtedness, net | $ 4,143,957,000 | $ 4,143,957,000 | $ 3,927,266,000 | ||||||||||||||||
London Interbank Offered Rate (LIBOR) Rate | 2.503% | ||||||||||||||||||
Interest expense and amortization of premium and loan costs | 55,000 | $ 69,000 | 120,000 | $ 138,000 | |||||||||||||||
Disposal Group, Held-for-sale, Not Discontinued Operations | San Antonio Marriott | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Indebtedness, net | $ 23,063,000 | $ 23,063,000 | $ 0 | ||||||||||||||||
Mortgages | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Extinguishment of debt | $ 5,200,000 | $ 178,100,000 | $ 1,068,000,000.000 | $ 6,600,000 | $ 971,700,000 | $ 376,800,000 | |||||||||||||
Number of refinanced loans | loan | 7 | ||||||||||||||||||
Mortgages | Disposal Group, Disposed of by Sale, Not Discontinued Operations | SpringHill Suites Glen Allen | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Extinguishment of debt | $ 7,600,000 | ||||||||||||||||||
Mortgages | Disposal Group, Disposed of by Sale, Not Discontinued Operations | Centerville VA Spring Hill Suites By Marriott | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Extinguishment of debt | $ 6,600,000 | ||||||||||||||||||
Mortgages | Disposal Group, Disposed of by Sale, Not Discontinued Operations | Residence Inn Tampa | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Extinguishment of debt | $ 22,500,000 | ||||||||||||||||||
Line of Credit | LIBOR | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Basis spread on variable rate | 1.00% | ||||||||||||||||||
Line of Credit | Federal Funds Rate | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Basis spread on variable rate | 0.50% | ||||||||||||||||||
Line of Credit | Secured credit facility | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Collateral | hotel | 0 | 0 | |||||||||||||||||
Maximum borrowing capacity | $ 100,000,000.0 | $ 100,000,000.0 | $ 100,000,000.0 | ||||||||||||||||
Long-term debt, gross | 0 | $ 0 | 0 | ||||||||||||||||
Debt Instrument, Percent Secured by Property | 100.00% | ||||||||||||||||||
Line of Credit | Secured credit facility | Base Rate | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Basis spread on variable rate | 1.65% | ||||||||||||||||||
Line of Credit | Secured credit facility | LIBOR | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Basis spread on variable rate | 2.65% | ||||||||||||||||||
Mortgages | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Long-term debt, gross | 4,199,019,000 | $ 4,199,019,000 | 3,966,237,000 | ||||||||||||||||
Premiums, net | 766,000 | 766,000 | 1,293,000 | ||||||||||||||||
Deferred loan costs, net | (32,765,000) | (32,765,000) | (40,264,000) | ||||||||||||||||
Indebtedness, net | 4,167,020,000 | 4,167,020,000 | 3,927,266,000 | ||||||||||||||||
Indebtedness, net | $ 4,143,957,000 | $ 4,143,957,000 | 3,927,266,000 | ||||||||||||||||
Extinguishment of debt | 178,100,000 | ||||||||||||||||||
Mortgages | Disposal Group, Held-for-sale, Not Discontinued Operations | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Collateral | hotel | 1 | 1 | |||||||||||||||||
Mortgages | LIBOR | Disposal Group, Held-for-sale, Not Discontinued Operations | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Basis spread on variable rate | 3.20% | ||||||||||||||||||
Mortgages | Mortgage loan 1 | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Collateral | hotel | 1 | 1 | |||||||||||||||||
Long-term debt, gross | $ 43,750,000 | $ 43,750,000 | 43,750,000 | ||||||||||||||||
Mortgages | Mortgage loan 1 | LIBOR | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Basis spread on variable rate | 5.10% | ||||||||||||||||||
Number of extension options | extension | 3 | 3 | |||||||||||||||||
Term of mortgage loan extension option | 1 year | ||||||||||||||||||
Mortgages | Mortgage loan 2 | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Collateral | hotel | 1 | 1 | |||||||||||||||||
Interest rate | 4.00% | 4.00% | |||||||||||||||||
Long-term debt, gross | $ 0 | $ 0 | 5,232,000 | ||||||||||||||||
Mortgages | Mortgage loan 3 | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Collateral | hotel | 1 | 1 | |||||||||||||||||
Long-term debt, gross | $ 35,200,000 | $ 35,200,000 | 35,200,000 | ||||||||||||||||
Mortgages | Mortgage loan 3 | LIBOR | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Basis spread on variable rate | 4.15% | ||||||||||||||||||
Number of extension options | extension | 3 | 3 | |||||||||||||||||
Term of mortgage loan extension option | 1 year | ||||||||||||||||||
Mortgages | Mortgage loan 4 | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Collateral | hotel | 8 | 8 | |||||||||||||||||
Long-term debt, gross | $ 144,000,000 | $ 144,000,000 | 144,000,000 | ||||||||||||||||
Mortgages | Mortgage loan 4 | LIBOR | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Basis spread on variable rate | 4.09% | ||||||||||||||||||
Number of extension options | extension | 3 | 3 | |||||||||||||||||
Term of mortgage loan extension option | 1 year | ||||||||||||||||||
Mortgages | Mortgage loan 5 | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Collateral | hotel | 1 | 1 | |||||||||||||||||
Long-term debt, gross | $ 7,778,000 | $ 7,778,000 | 7,778,000 | ||||||||||||||||
Mortgages | Mortgage loan 5 | LIBOR | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Basis spread on variable rate | 4.95% | ||||||||||||||||||
Number of extension options | extension | 2 | 2 | |||||||||||||||||
Term of mortgage loan extension option | 1 year | ||||||||||||||||||
Mortgages | Mortgage loan 6 | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Collateral | hotel | 17 | 17 | |||||||||||||||||
Long-term debt, gross | $ 427,000,000 | $ 427,000,000 | 427,000,000 | ||||||||||||||||
Mortgages | Mortgage loan 6 | LIBOR | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Basis spread on variable rate | 3.00% | ||||||||||||||||||
Number of extension options | extension | 5 | 5 | |||||||||||||||||
Term of mortgage loan extension option | 1 year | ||||||||||||||||||
Mortgages | Mortgage loan 7 | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Collateral | hotel | 8 | 8 | |||||||||||||||||
Long-term debt, gross | $ 395,000,000 | $ 395,000,000 | 395,000,000 | ||||||||||||||||
Principal amount | $ 395,000,000.0 | ||||||||||||||||||
Mortgages | Mortgage loan 7 | LIBOR | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Basis spread on variable rate | 2.92% | ||||||||||||||||||
Initial term of loan | 2 years | ||||||||||||||||||
Number of extension options | extension | 5 | 5 | |||||||||||||||||
Term of mortgage loan extension option | 1 year | ||||||||||||||||||
Mortgages | Mortgage loan 8 | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Collateral | hotel | 21 | 21 | |||||||||||||||||
Long-term debt, gross | $ 962,575,000 | $ 962,575,000 | 962,575,000 | ||||||||||||||||
Principal amount | $ 985,000,000.0 | ||||||||||||||||||
Mortgages | Mortgage loan 8 | LIBOR | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Basis spread on variable rate | 3.20% | ||||||||||||||||||
Initial term of loan | 2 years | ||||||||||||||||||
Number of extension options | extension | 5 | 5 | |||||||||||||||||
Term of mortgage loan extension option | 1 year | ||||||||||||||||||
Mortgages | Mortgage loan 9 | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Collateral | hotel | 1 | 1 | |||||||||||||||||
Long-term debt, gross | $ 16,100,000 | $ 16,100,000 | 16,100,000 | ||||||||||||||||
Mortgages | Mortgage loan 9 | LIBOR | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Basis spread on variable rate | 2.90% | ||||||||||||||||||
Number of extension options | extension | 2 | 2 | |||||||||||||||||
Term of mortgage loan extension option | 1 year | ||||||||||||||||||
Mortgages | Mortgage loan 10 | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Collateral | hotel | 7 | 7 | |||||||||||||||||
Long-term debt, gross | $ 180,720,000 | $ 180,720,000 | 180,720,000 | ||||||||||||||||
Principal amount | $ 180,720,000 | ||||||||||||||||||
Mortgages | Mortgage loan 10 | LIBOR | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Basis spread on variable rate | 3.65% | ||||||||||||||||||
Initial term of loan | 2 years | ||||||||||||||||||
Number of extension options | extension | 5 | 5 | |||||||||||||||||
Term of mortgage loan extension option | 1 year | ||||||||||||||||||
Mortgages | Mortgage loan 11 | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Collateral | hotel | 7 | 7 | |||||||||||||||||
Long-term debt, gross | $ 174,400,000 | $ 174,400,000 | 174,400,000 | ||||||||||||||||
Principal amount | 174,400,000 | ||||||||||||||||||
Mortgages | Mortgage loan 11 | LIBOR | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Basis spread on variable rate | 3.39% | ||||||||||||||||||
Initial term of loan | 2 years | ||||||||||||||||||
Number of extension options | extension | 5 | 5 | |||||||||||||||||
Term of mortgage loan extension option | 1 year | ||||||||||||||||||
Mortgages | Mortgage loan 12 | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Collateral | hotel | 5 | 5 | |||||||||||||||||
Long-term debt, gross | $ 221,040,000 | $ 221,040,000 | 221,040,000 | ||||||||||||||||
Principal amount | 221,040,000 | ||||||||||||||||||
Mortgages | Mortgage loan 12 | LIBOR | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Basis spread on variable rate | 3.73% | ||||||||||||||||||
Initial term of loan | 2 years | ||||||||||||||||||
Number of extension options | extension | 5 | 5 | |||||||||||||||||
Term of mortgage loan extension option | 1 year | ||||||||||||||||||
Mortgages | Mortgage loan 13 | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Collateral | hotel | 5 | 5 | |||||||||||||||||
Long-term debt, gross | $ 262,640,000 | $ 262,640,000 | 262,640,000 | ||||||||||||||||
Principal amount | 262,640,000 | ||||||||||||||||||
Mortgages | Mortgage loan 13 | LIBOR | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Basis spread on variable rate | 4.02% | ||||||||||||||||||
Initial term of loan | 2 years | ||||||||||||||||||
Number of extension options | extension | 5 | 5 | |||||||||||||||||
Term of mortgage loan extension option | 1 year | ||||||||||||||||||
Mortgages | Mortgage loan 14 | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Collateral | hotel | 5 | 5 | |||||||||||||||||
Long-term debt, gross | $ 160,000,000 | $ 160,000,000 | 160,000,000 | ||||||||||||||||
Principal amount | 216,320,000 | $ 56,300,000 | |||||||||||||||||
Mortgages | Mortgage loan 14 | LIBOR | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Basis spread on variable rate | 2.73% | ||||||||||||||||||
Initial term of loan | 2 years | ||||||||||||||||||
Number of extension options | extension | 5 | 5 | |||||||||||||||||
Term of mortgage loan extension option | 1 year | ||||||||||||||||||
Mortgages | Mortgage loan 15 | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Collateral | hotel | 5 | 5 | |||||||||||||||||
Long-term debt, gross | $ 215,120,000 | $ 215,120,000 | 215,120,000 | ||||||||||||||||
Principal amount | 215,120,000 | ||||||||||||||||||
Mortgages | Mortgage loan 15 | LIBOR | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Basis spread on variable rate | 3.68% | ||||||||||||||||||
Initial term of loan | 2 years | ||||||||||||||||||
Number of extension options | extension | 5 | 5 | |||||||||||||||||
Term of mortgage loan extension option | 1 year | ||||||||||||||||||
Mortgages | Mortgage loan 16 | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Collateral | hotel | 1 | 1 | |||||||||||||||||
Interest rate | 6.26% | 6.26% | |||||||||||||||||
Long-term debt, gross | $ 92,494,000 | $ 92,494,000 | 93,433,000 | ||||||||||||||||
Mortgages | Mortgage loan 17 | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Collateral | hotel | 1 | 1 | |||||||||||||||||
Long-term debt, gross | $ 25,000,000 | $ 25,000,000 | 25,000,000 | $ 25,000,000.0 | |||||||||||||||
Mortgages | Mortgage loan 17 | LIBOR | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Basis spread on variable rate | 2.55% | ||||||||||||||||||
Number of extension options | extension | 3 | 3 | |||||||||||||||||
Term of mortgage loan extension option | 1 year | ||||||||||||||||||
Mortgages | Mortgage loan 18 | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Collateral | hotel | 2 | 2 | |||||||||||||||||
Long-term debt, gross | $ 240,000,000 | $ 240,000,000 | 0 | ||||||||||||||||
Principal amount | $ 240,000,000.0 | $ 240,000,000.0 | $ 240,000,000.0 | ||||||||||||||||
Mortgages | Mortgage loan 18 | LIBOR | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Basis spread on variable rate | 2.75% | ||||||||||||||||||
Initial term of loan | 2 years | ||||||||||||||||||
Number of extension options | extension | 5 | 5 | |||||||||||||||||
Term of mortgage loan extension option | 1 year | ||||||||||||||||||
Mortgages | Mortgage loan 19 | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Collateral | hotel | 1 | 1 | |||||||||||||||||
Long-term debt, gross | $ 145,000,000 | $ 145,000,000 | 0 | ||||||||||||||||
Principal amount | $ 145,000,000.0 | ||||||||||||||||||
Mortgages | Mortgage loan 19 | LIBOR | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Basis spread on variable rate | 3.90% | ||||||||||||||||||
Number of extension options | extension | 2 | 2 | |||||||||||||||||
Term of mortgage loan extension option | 1 year | ||||||||||||||||||
Mortgages | Mortgage loan 20 | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Collateral | hotel | 2 | 2 | |||||||||||||||||
Long-term debt, gross | $ 0 | $ 0 | 178,099,000 | ||||||||||||||||
Mortgages | Mortgage loan 20 | LIBOR | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Basis spread on variable rate | 3.00% | ||||||||||||||||||
Number of extension options | extension | 0 | 0 | |||||||||||||||||
Mortgages | Mortgage loan 21 | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Collateral | hotel | 1 | 1 | |||||||||||||||||
Long-term debt, gross | $ 97,000,000 | $ 97,000,000 | 97,000,000 | ||||||||||||||||
Mortgages | Mortgage loan 21 | LIBOR | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Basis spread on variable rate | 2.00% | ||||||||||||||||||
Number of extension options | extension | 0 | 0 | |||||||||||||||||
Mortgages | Mortgage loan 22 | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Collateral | hotel | 1 | 1 | |||||||||||||||||
Interest rate | 5.46% | 5.46% | |||||||||||||||||
Long-term debt, gross | $ 52,346,000 | $ 52,346,000 | 52,843,000 | ||||||||||||||||
Mortgages | Mortgage loan 23 | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Collateral | hotel | 1 | 1 | |||||||||||||||||
Long-term debt, gross | $ 73,450,000 | $ 73,450,000 | 73,450,000 | ||||||||||||||||
Principal amount | $ 73,500,000 | ||||||||||||||||||
Initial term of loan | 5 years | ||||||||||||||||||
Mortgages | Mortgage loan 23 | LIBOR | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Basis spread on variable rate | 2.45% | ||||||||||||||||||
Number of extension options | extension | 0 | 0 | |||||||||||||||||
Mortgages | Mortgage loan 24 | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Collateral | hotel | 1 | 1 | |||||||||||||||||
Interest rate | 5.49% | 5.49% | |||||||||||||||||
Long-term debt, gross | $ 6,821,000 | $ 6,821,000 | 6,883,000 | ||||||||||||||||
Mortgages | Mortgage loan 25 | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Collateral | hotel | 1 | 1 | |||||||||||||||||
Interest rate | 5.49% | 5.49% | |||||||||||||||||
Long-term debt, gross | $ 9,957,000 | $ 9,957,000 | 10,045,000 | ||||||||||||||||
Mortgages | Mortgage loan 26 | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Collateral | hotel | 1 | 1 | |||||||||||||||||
Interest rate | 4.99% | 4.99% | |||||||||||||||||
Long-term debt, gross | $ 6,353,000 | $ 6,353,000 | 6,414,000 | ||||||||||||||||
Mortgages | Mortgage loan 27 | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Collateral | hotel | 3 | 3 | |||||||||||||||||
Interest rate | 5.20% | 5.20% | |||||||||||||||||
Long-term debt, gross | $ 64,808,000 | $ 64,808,000 | 65,242,000 | ||||||||||||||||
Mortgages | Mortgage loan 28 | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Collateral | hotel | 2 | 2 | |||||||||||||||||
Interest rate | 4.85% | 4.85% | |||||||||||||||||
Long-term debt, gross | $ 11,963,000 | $ 11,963,000 | 12,048,000 | ||||||||||||||||
Mortgages | Mortgage loan 29 | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Collateral | hotel | 3 | 3 | |||||||||||||||||
Interest rate | 4.90% | 4.90% | |||||||||||||||||
Long-term debt, gross | $ 23,917,000 | $ 23,917,000 | 24,086,000 | ||||||||||||||||
Mortgages | Mortgage loan 30 | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Collateral | hotel | 2 | 2 | |||||||||||||||||
Interest rate | 4.45% | 4.45% | |||||||||||||||||
Long-term debt, gross | $ 19,669,000 | $ 19,669,000 | 19,835,000 | ||||||||||||||||
Mortgages | Mortgage loan 31 | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Collateral | hotel | 3 | 3 | |||||||||||||||||
Interest rate | 4.45% | 4.45% | |||||||||||||||||
Long-term debt, gross | $ 50,875,000 | $ 50,875,000 | 51,304,000 | ||||||||||||||||
Mortgages | Mortgage loan 32 | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Collateral | hotel | 1 | 1 | |||||||||||||||||
Interest rate | 4.66% | 4.66% | |||||||||||||||||
Long-term debt, gross | $ 25,162,000 | $ 25,162,000 | $ 24,900,000 | 0 | |||||||||||||||
Principal amount | $ 25,300,000 | ||||||||||||||||||
Mortgages | Mortgage Loan 33 | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Collateral | hotel | 1 | 1 | |||||||||||||||||
Long-term debt, gross | $ 8,881,000 | $ 8,881,000 | $ 0 | ||||||||||||||||
Principal amount | $ 8,900,000 | $ 8,900,000 | |||||||||||||||||
Initial term of loan | 5 years | ||||||||||||||||||
Mortgages | Mortgage Loan 33 | LIBOR | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Basis spread on variable rate | 2.00% | ||||||||||||||||||
Mortgages | Pool A, B, C, D, E, F Mortgages | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Principal amount | $ 1,270,000,000 | ||||||||||||||||||
Number of mortgage loans | loan | 6 |
Income (Loss) Per Share (Summary of Amounts Used in Calculating Basic and Diluted Earnings (Loss) Per Share) (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands |
3 Months Ended | 6 Months Ended | ||
---|---|---|---|---|
Jun. 30, 2019 |
Jun. 30, 2018 |
Jun. 30, 2019 |
Jun. 30, 2018 |
|
Income (loss) allocated to common stockholders - basic and diluted: | ||||
Income (loss) attributable to the Company | $ (16,282) | $ (18,306) | $ (54,299) | $ (44,577) |
Less: Dividends on preferred stock | (10,644) | (10,644) | (21,288) | (21,288) |
Undistributed income (loss) | (33,149) | (40,907) | (94,260) | (89,783) |
Distributed and undistributed income (loss) - basic and diluted | $ (27,284) | $ (29,279) | $ (76,416) | $ (66,542) |
Weighted average shares outstanding: | ||||
Weighted average common shares outstanding – basic and diluted (in shares) | 99,942 | 96,889 | 99,685 | 96,137 |
Basic income (loss) per share: | ||||
Net income (loss) allocated to common stockholders per share (in dollars per share) | $ (0.27) | $ (0.30) | $ (0.77) | $ (0.69) |
Diluted income (loss) per share: | ||||
Net income (loss) allocated to common stockholders per share (in dollars per share) | $ (0.27) | $ (0.30) | $ (0.77) | $ (0.69) |
Performance stock units | ||||
Income (loss) allocated to common stockholders - basic and diluted: | ||||
Less: Dividends | $ (95) | $ (122) | $ (285) | $ (245) |
Restricted shares | ||||
Income (loss) allocated to common stockholders - basic and diluted: | ||||
Less: Dividends | (263) | (207) | (544) | (432) |
Common Stock | ||||
Income (loss) allocated to common stockholders - basic and diluted: | ||||
Less: Dividends | $ (5,865) | $ (11,628) | $ (17,844) | $ (23,241) |
Income (Loss) Per Share (Summary of Computation of Diluted Income Per Share) (Details) - USD ($) shares in Thousands, $ in Thousands |
3 Months Ended | 6 Months Ended | ||
---|---|---|---|---|
Jun. 30, 2019 |
Jun. 30, 2018 |
Jun. 30, 2019 |
Jun. 30, 2018 |
|
Income (loss) allocated to common stockholders is not adjusted for: | ||||
Income (loss) attributable to noncontrolling interest in operating partnership units | $ (5,084) | $ (5,065) | $ (13,663) | $ (11,405) |
Total | $ (4,726) | $ (4,736) | $ (12,834) | $ (10,728) |
Weighted average diluted shares are not adjusted for: | ||||
Antidilutive securities excluded (in shares) | 19,308 | 18,865 | 19,082 | 18,710 |
Restricted shares | ||||
Income (loss) allocated to common stockholders is not adjusted for: | ||||
Income allocated to unvested shares | $ 263 | $ 207 | $ 544 | $ 432 |
Weighted average diluted shares are not adjusted for: | ||||
Antidilutive securities excluded (in shares) | 6 | 73 | 120 | 127 |
Performance stock units | ||||
Income (loss) allocated to common stockholders is not adjusted for: | ||||
Income allocated to unvested shares | $ 95 | $ 122 | $ 285 | $ 245 |
Weighted average diluted shares are not adjusted for: | ||||
Antidilutive securities excluded (in shares) | 0 | 449 | 139 | 500 |
Operating partnership units | ||||
Weighted average diluted shares are not adjusted for: | ||||
Antidilutive securities excluded (in shares) | 19,302 | 18,023 | 18,823 | 17,782 |
Incentive fee shares | ||||
Weighted average diluted shares are not adjusted for: | ||||
Antidilutive securities excluded (in shares) | 0 | 320 | 0 | 301 |
Derivative Instruments and Hedging (Details) - USD ($) |
6 Months Ended | ||
---|---|---|---|
Jun. 30, 2019 |
Jun. 30, 2018 |
Dec. 31, 2018 |
|
Credit default swaps | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Notional amount of derivatives | $ 212,500,000 | ||
Total exposure | 4,300,000 | ||
Change in market value of credit default swap | 250,000 | ||
Not Designated as Hedging Instrument | Interest rate caps | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Notional amount of derivatives | 624,050,000 | $ 3,582,000,000 | |
Total cost | 1,048,000 | $ 3,095,000 | |
Not Designated as Hedging Instrument | Interest rate caps | Mortgages | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Notional amount of derivatives | 3,986,718,000 | 3,953,718,000 | |
Aggregate principle balance on corresponding mortgage loans | $ 3,737,654,000 | $ 3,521,872,000 | |
Not Designated as Hedging Instrument | Interest rate caps | Minimum | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Derivative interest rate | 1.50% | 1.50% | |
Not Designated as Hedging Instrument | Interest rate caps | Minimum | Mortgages | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Derivative interest rate | 1.50% | 1.50% | |
Not Designated as Hedging Instrument | Interest rate caps | Maximum | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Derivative interest rate | 4.00% | 5.22% | |
Not Designated as Hedging Instrument | Interest rate caps | Maximum | Mortgages | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Derivative interest rate | 5.71% | 5.71% | |
Not Designated as Hedging Instrument | Interest rate floors | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Notional amount of derivatives | $ 6,000,000,000 | $ 0 | |
Total cost | 225,000 | $ 0 | |
Not Designated as Hedging Instrument | Interest rate floors | Mortgages | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Notional amount of derivatives | $ 24,025,000,000 | $ 28,775,000,000 | |
Not Designated as Hedging Instrument | Interest rate floors | Minimum | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Derivative interest rate | 1.63% | 0.00% | |
Not Designated as Hedging Instrument | Interest rate floors | Minimum | Mortgages | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Strike rate low end of range | (0.25%) | (0.25%) | |
Not Designated as Hedging Instrument | Interest rate floors | Maximum | Mortgages | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Derivative interest rate | 2.00% | 2.00% |
Fair Value Measurements (Narrative) (Details) - USD ($) $ in Thousands |
3 Months Ended | ||
---|---|---|---|
Jun. 30, 2019 |
Jun. 30, 2018 |
Dec. 31, 2018 |
|
Fair Value Disclosures [Abstract] | |||
Fair value consideration threshold for transfer in/out of level 3 | 10.00% | ||
LIBOR interest rate forward curve | 1.44% | 2.398% | |
Derivative expense related to credit default swaps | $ 271 | $ 271 |
Fair Value Measurements (Assets and Liabilities Measured at Fair Value on a Recurring Basis) (Details) - USD ($) $ in Thousands |
Jun. 30, 2019 |
Dec. 31, 2018 |
---|---|---|
Derivative assets: | ||
Derivative assets, net | $ 2,535 | $ 2,396 |
Derivative liabilities: | ||
Derivative liabilities, net | (171) | (50) |
Fair Value Measurements Recurring | ||
Derivative assets: | ||
Derivative assets, net | 2,535 | 2,396 |
Counterparty and Cash Collateral Netting | 871 | 1,020 |
Total | 16,798 | 24,212 |
Derivative liabilities: | ||
Counterparty and Cash Collateral Netting | 1,621 | 970 |
Net | 16,627 | 24,162 |
Fair Value Measurements Recurring | Equity | ||
Derivative assets: | ||
Counterparty and Cash Collateral Netting | 0 | 0 |
Assets, fair value disclosure | 14,263 | 21,816 |
Fair Value Measurements Recurring | Interest rate derivatives - floors | ||
Derivative assets: | ||
Derivative assets, net | 754 | 463 |
Counterparty and Cash Collateral Netting | 1,645 | 208 |
Fair Value Measurements Recurring | Interest rate derivatives - caps | ||
Derivative assets: | ||
Derivative assets, net | 536 | 601 |
Counterparty and Cash Collateral Netting | 0 | 0 |
Fair Value Measurements Recurring | Credit default swaps | ||
Derivative assets: | ||
Derivative assets, net | 1,245 | 1,332 |
Counterparty and Cash Collateral Netting | 2,516 | 812 |
Derivative liabilities: | ||
Derivative liabilities, net | (171) | (50) |
Counterparty and Cash Collateral Netting | 750 | 50 |
Fair Value Measurements Recurring | Quoted Market Prices (Level 1) | ||
Derivative assets: | ||
Derivative assets, net | 0 | 0 |
Total | 14,263 | 21,816 |
Derivative liabilities: | ||
Net | 14,263 | 21,816 |
Fair Value Measurements Recurring | Quoted Market Prices (Level 1) | Equity | ||
Derivative assets: | ||
Assets, fair value disclosure | 14,263 | 21,816 |
Fair Value Measurements Recurring | Quoted Market Prices (Level 1) | Interest rate derivatives - floors | ||
Derivative assets: | ||
Derivative assets, net | 0 | 0 |
Fair Value Measurements Recurring | Quoted Market Prices (Level 1) | Interest rate derivatives - caps | ||
Derivative assets: | ||
Derivative assets, net | 0 | 0 |
Fair Value Measurements Recurring | Quoted Market Prices (Level 1) | Credit default swaps | ||
Derivative assets: | ||
Derivative assets, net | 0 | 0 |
Derivative liabilities: | ||
Derivative liabilities, net | 0 | 0 |
Fair Value Measurements Recurring | Significant Other Observable Inputs (Level 2) | ||
Derivative assets: | ||
Derivative assets, net | 1,664 | 1,376 |
Total | 1,664 | 1,376 |
Derivative liabilities: | ||
Net | 743 | 1,376 |
Fair Value Measurements Recurring | Significant Other Observable Inputs (Level 2) | Equity | ||
Derivative assets: | ||
Assets, fair value disclosure | 0 | 0 |
Fair Value Measurements Recurring | Significant Other Observable Inputs (Level 2) | Interest rate derivatives - floors | ||
Derivative assets: | ||
Derivative assets, net | 2,399 | 255 |
Fair Value Measurements Recurring | Significant Other Observable Inputs (Level 2) | Interest rate derivatives - caps | ||
Derivative assets: | ||
Derivative assets, net | 536 | 601 |
Fair Value Measurements Recurring | Significant Other Observable Inputs (Level 2) | Credit default swaps | ||
Derivative assets: | ||
Derivative assets, net | (1,271) | 520 |
Derivative liabilities: | ||
Derivative liabilities, net | (921) | 0 |
Fair Value Measurements Recurring | Significant Unobservable Inputs (Level 3) | ||
Derivative assets: | ||
Derivative assets, net | 0 | 0 |
Total | 0 | 0 |
Derivative liabilities: | ||
Net | 0 | 0 |
Fair Value Measurements Recurring | Significant Unobservable Inputs (Level 3) | Equity | ||
Derivative assets: | ||
Assets, fair value disclosure | 0 | 0 |
Fair Value Measurements Recurring | Significant Unobservable Inputs (Level 3) | Interest rate derivatives - floors | ||
Derivative assets: | ||
Derivative assets, net | 0 | 0 |
Fair Value Measurements Recurring | Significant Unobservable Inputs (Level 3) | Interest rate derivatives - caps | ||
Derivative assets: | ||
Derivative assets, net | 0 | 0 |
Fair Value Measurements Recurring | Significant Unobservable Inputs (Level 3) | Credit default swaps | ||
Derivative assets: | ||
Derivative assets, net | 0 | 0 |
Derivative liabilities: | ||
Derivative liabilities, net | $ 0 | $ 0 |
Fair Value Measurements (Effect of Fair Value Measured Assets and Liabilities on Consolidated Statements of Operations) (Details) - USD ($) $ in Thousands |
3 Months Ended | 6 Months Ended | ||
---|---|---|---|---|
Jun. 30, 2019 |
Jun. 30, 2018 |
Jun. 30, 2019 |
Jun. 30, 2018 |
|
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||||
Unrealized gain (loss) on derivatives | $ 1,476 | $ (1,916) | $ (1,518) | $ (1,587) |
Unrealized gain (loss) on marketable securities | 598 | (268) | 1,406 | (826) |
Fair Value Measurements Recurring | ||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||||
Unrealized gain (loss) on derivatives | 1,476 | (1,916) | (1,518) | (1,587) |
Unrealized gain (loss) on marketable securities | 598 | (268) | 1,406 | (826) |
Realized gain (loss) on marketable securities | 20 | 39 | 16 | 149 |
Net | 1,869 | (2,145) | (484) | (2,264) |
Fair Value Measurements Recurring | Interest rate derivatives - floors | ||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||||
Unrealized gain (loss) on derivatives | 2,340 | (147) | 2,307 | (238) |
Realized loss on derivatives | (225) | 0 | (388) | 0 |
Fair Value Measurements Recurring | Interest rate derivatives - caps | ||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||||
Unrealized gain (loss) on derivatives | (472) | (1,845) | (1,114) | (1,711) |
Fair Value Measurements Recurring | Credit default swaps | ||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||||
Unrealized gain (loss) on derivatives | (392) | 76 | (2,711) | 362 |
Fair Value Measurements Recurring | Derivative Liabilities | ||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||||
Gain or (Loss) Recognized in income, Liabilities | 1,869 | (2,145) | (484) | (2,264) |
Fair Value Measurements Recurring | Derivative Liabilities | Credit default swaps | ||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||||
Gain or (Loss) Recognized in income, Liabilities | (135) | 0 | (921) | 0 |
Fair Value Measurements Recurring | Derivative Assets | ||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||||
Gain or (Loss) Recognized in income, Assets | 1,386 | (1,916) | (985) | (1,587) |
Fair Value Measurements Recurring | Derivative Assets | Interest rate derivatives - floors | ||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||||
Gain or (Loss) Recognized in income, Assets | 2,115 | (147) | 1,919 | (238) |
Fair Value Measurements Recurring | Derivative Assets | Interest rate derivatives - caps | ||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||||
Gain or (Loss) Recognized in income, Assets | (472) | (1,845) | (1,114) | (1,711) |
Fair Value Measurements Recurring | Derivative Assets | Credit default swaps | ||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||||
Gain or (Loss) Recognized in income, Assets | (257) | 76 | (1,790) | 362 |
Fair Value Measurements Recurring | Non Derivative Assets | ||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||||
Gain or (Loss) Recognized in income, Assets | 2,004 | (2,145) | 437 | (2,264) |
Fair Value Measurements Recurring | Non Derivative Assets | Equity | ||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||||
Gain or (Loss) Recognized in income, Assets | $ 618 | $ (229) | $ 1,422 | $ (677) |
Summary of Fair Value of Financial Instruments (Schedule of Carrying Amounts and Estimated Fair Values of Financial Instruments) (Details) - USD ($) $ in Thousands |
Jun. 30, 2019 |
Dec. 31, 2018 |
Jun. 30, 2018 |
Dec. 31, 2017 |
---|---|---|---|---|
Financial assets and liabilities measured at fair value: | ||||
Marketable securities, Carrying value | $ 14,263 | $ 21,816 | ||
Marketable securities, Estimated fair value | 14,263 | 21,816 | ||
Derivative assets, net, Carrying value | 2,535 | 2,396 | ||
Derivative assets, net, Estimated fair value | 2,535 | 2,396 | ||
Derivative liabilities, net, Carrying value | 171 | 50 | ||
Derivative liabilities, net, Estimated fair value | 171 | 50 | ||
Financial assets not measured at fair value: | ||||
Cash and cash equivalents, Carrying value | 235,936 | 319,210 | $ 417,359 | $ 354,805 |
Cash and cash equivalents, Estimated fair value | 237,217 | 319,210 | ||
Restricted cash, Carrying value | 162,746 | 120,602 | 135,419 | $ 116,787 |
Restricted cash, Estimated fair value | 163,232 | 120,602 | ||
Accounts receivable, Carrying value | 65,223 | 37,060 | ||
Accounts receivable, Estimated fair value | 65,842 | 37,060 | ||
Due from related party, net, Carrying Value | 2,297 | 0 | ||
Due from related party, net, Estimated Fair Value | 2,219 | 0 | ||
Due from third-party hotel managers, Carrying value | 19,642 | 21,760 | ||
Due from third party hotel managers, Estimated fair value | 19,642 | 21,760 | ||
Financial liabilities not measured at fair value: | ||||
Indebtedness, Carrying value | 4,143,957 | 3,927,266 | ||
Accounts payable and accrued expenses, Carrying value | 158,200 | 136,757 | ||
Accounts payable and accrued expenses, Estimated fair value | 159,690 | 136,757 | ||
Dividends payable, Carrying value | 20,435 | 26,794 | $ 27,240 | |
Dividends payable, Estimated fair value | 20,435 | 26,794 | ||
Due to Ashford Inc., net, Estimated fair value | 6,171 | 23,034 | ||
Due to Ashford Inc. Fair Value Disclosure | 6,196 | 23,034 | ||
Due to related party, net, Carrying value | 0 | 1,477 | ||
Due to related party, net, Estimated fair value | 0 | 1,477 | ||
Due to third-party hotel managers, Carrying value | 3,539 | 2,529 | ||
Due to third-party hotel managers, Estimated fair value | 3,539 | 2,529 | ||
Minimum | ||||
Financial liabilities not measured at fair value: | ||||
Indebtedness, Estimated fair value | 3,947,189 | 3,773,343 | ||
Maximum | ||||
Financial liabilities not measured at fair value: | ||||
Indebtedness, Estimated fair value | 4,362,687 | 4,170,538 | ||
Reported Value Measurement | ||||
Financial assets not measured at fair value: | ||||
Cash and cash equivalents, Carrying value | 237,217 | 319,210 | ||
Restricted cash, Carrying value | 163,232 | 120,602 | ||
Accounts receivable, Carrying value | 65,842 | 37,060 | ||
Due from related party, net, Carrying Value | 2,219 | |||
Due from third-party hotel managers, Carrying value | 21,760 | |||
Financial liabilities not measured at fair value: | ||||
Indebtedness, Carrying value | 4,199,785 | 3,967,530 | ||
Accounts payable and accrued expenses, Carrying value | 159,690 | 136,757 | ||
Due to Ashford Inc., net, Estimated fair value | $ 6,196 | |||
Due to related party, net, Carrying value | $ 1,477 |
Summary of Fair Value of Financial Instruments (Narrative) (Details) - USD ($) $ in Billions |
6 Months Ended | |
---|---|---|
Jun. 30, 2019 |
Dec. 31, 2018 |
|
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Maximum maturity term of financial assets | 90 days | |
Carrying value of total indebtedness of continuing operations | $ 4.2 | $ 4.0 |
Minimum | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Total indebtedness fair value variance from carrying value (as a percent) | 94.00% | 95.10% |
Maximum | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Total indebtedness fair value variance from carrying value (as a percent) | 103.90% | 105.10% |
Redeemable Noncontrolling Interests in Operating Partnership (Details) - USD ($) $ in Thousands |
3 Months Ended | 6 Months Ended | 12 Months Ended | |||
---|---|---|---|---|---|---|
Feb. 26, 2019 |
Jun. 30, 2019 |
Jun. 30, 2018 |
Jun. 30, 2019 |
Jun. 30, 2018 |
Dec. 31, 2018 |
|
Noncontrolling Interest [Line Items] | ||||||
Common unit limited partnership interest redemption for common stock (in shares) | 1 | |||||
Compensation expense (credit) | $ 2,119 | $ 5,276 | $ 3,921 | $ 6,392 | ||
Redeemable noncontrolling interests | 73,242 | 73,242 | $ 80,743 | |||
Adjustments to redeemable noncontrolling interests | $ 24,461 | (35,546) | $ 1,701 | (40,036) | ||
Ownership percentage of operating partnership | 15.00% | 15.00% | 15.00% | |||
Net (income) loss attributable to redeemable noncontrolling interests in operating partnership | $ 5,084 | 5,065 | $ 13,663 | 11,405 | ||
Aggregate cash distributions to holders of common units and LTIP units | 50,260 | $ 47,837 | ||||
Partnership Interest | ||||||
Noncontrolling Interest [Line Items] | ||||||
Adjustments to redeemable noncontrolling interests | $ 144,390 | $ 146,091 | ||||
Ownership percentage of operating partnership | 15.88% | 15.88% | 14.64% | |||
Partnership Interest | Common Units | ||||||
Noncontrolling Interest [Line Items] | ||||||
Common units converted (in shares) | 0 | 0 | ||||
LTIP and Performance LTIP [Member] | ||||||
Noncontrolling Interest [Line Items] | ||||||
Shares issued (in shares) | 11,900,000 | 11,900,000 | ||||
Units which have not reached full economic parity with common units (in shares) | 769,000 | |||||
Long Term Incentive Plan | ||||||
Noncontrolling Interest [Line Items] | ||||||
Common partnership unit per converted LTIP unit (in shares) | 1 | |||||
Fair value of unrecognized cost | $ 4,200 | $ 4,200 | ||||
Period for recognition | 2 years 8 months 12 days | |||||
Weighted average period | 1 year 9 months 18 days | |||||
Long Term Incentive Plan | Partnership Interest | ||||||
Noncontrolling Interest [Line Items] | ||||||
Aggregate cash distributions to holders of common units and LTIP units | 1,317 | 2,479 | $ 3,940 | $ 4,949 | ||
Long Term Incentive Plan | Advisory services fee | ||||||
Noncontrolling Interest [Line Items] | ||||||
Compensation expense (credit) | 766 | 935 | 1,716 | 1,643 | ||
Long Term Incentive Plan | Corporate, general and administrative | ||||||
Noncontrolling Interest [Line Items] | ||||||
Compensation expense (credit) | 446 | 536 | $ 446 | 536 | ||
Long Term Incentive Plan | Minimum | ||||||
Noncontrolling Interest [Line Items] | ||||||
Vesting period | 3 years | |||||
Long Term Incentive Plan | Maximum | ||||||
Noncontrolling Interest [Line Items] | ||||||
Vesting period | 5 years | |||||
Performance Long Term Incentive Plan Units | ||||||
Noncontrolling Interest [Line Items] | ||||||
Vesting period | 3 years | |||||
Units which have not reached full economic parity with common units (in shares) | 0 | |||||
Fair value of unrecognized cost | 4,300 | $ 4,300 | ||||
Period for recognition | 2 years 6 months | |||||
Weighted average period | 1 year 2 months 12 days | |||||
Performance Long Term Incentive Plan Units | Advisory services fee | ||||||
Noncontrolling Interest [Line Items] | ||||||
Compensation expense (credit) | $ 907 | $ 3,805 | $ 1,759 | $ 4,213 | ||
Performance Long Term Incentive Plan Units | Minimum | ||||||
Noncontrolling Interest [Line Items] | ||||||
Performance adjustment | 0.00% | 0.00% | ||||
Performance Long Term Incentive Plan Units | Maximum | ||||||
Noncontrolling Interest [Line Items] | ||||||
Performance adjustment | 200.00% | 200.00% | ||||
Other than options (in shares) | 1,900,000 | 1,900,000 | ||||
Hilton Santa Cruz/Scotts Valley | ||||||
Noncontrolling Interest [Line Items] | ||||||
Issuance of units for hotel acquisition (in shares) | 1,500,000 |
Equity and Equity-Based Compensation (Details) |
3 Months Ended | 6 Months Ended | |||||||
---|---|---|---|---|---|---|---|---|---|
Jun. 30, 2019
USD ($)
hotel
$ / shares
shares
|
Mar. 31, 2019
$ / shares
|
Dec. 31, 2018
USD ($)
hotel
$ / shares
|
Sep. 30, 2018
$ / shares
|
Jun. 30, 2018
USD ($)
$ / shares
shares
|
Mar. 31, 2018
$ / shares
|
Jun. 30, 2019
USD ($)
hotel
shares
|
Jun. 30, 2018
USD ($)
shares
|
Dec. 11, 2017
USD ($)
|
|
Class of Stock [Line Items] | |||||||||
Dividends declared - common stock (in dollars per share) | $ / shares | $ 0.06 | $ 0.12 | $ 0.12 | $ 0.12 | $ 0.12 | $ 0.12 | |||
Compensation expense (credit) | $ 2,119,000 | $ 5,276,000 | $ 3,921,000 | $ 6,392,000 | |||||
Authorized amount | $ 200,000,000 | $ 200,000,000 | |||||||
Stock repurchased (in shares) | shares | 0 | 0 | |||||||
At-the-market equity distribution program amount | $ 100,000,000 | ||||||||
Shares issued under program (in shares) | shares | 0 | 0 | 0 | 0 | |||||
Ownership by non-controlling owners | 15.00% | 15.00% | 15.00% | ||||||
Noncontrolling interests in consolidated entities | $ 604,000 | $ 616,000 | $ 604,000 | ||||||
Income (loss) from consolidated joint ventures attributable to noncontrolling interests | $ (14,000) | $ (20,000) | $ 12,000 | $ 18,000 | |||||
Majority Owned Properties | |||||||||
Class of Stock [Line Items] | |||||||||
Number of hotel properties with JV interests | hotel | 2 | 2 | 2 | ||||||
Common Stock | |||||||||
Class of Stock [Line Items] | |||||||||
Issuance of common stock (in shares) | shares | 2,433,810 | ||||||||
Gross proceeds of shares issued | $ 15,522,000 | ||||||||
Remaining authorized repurchase amount | $ 84,478,000 | 84,478,000 | |||||||
Series D Preferred Stock | |||||||||
Class of Stock [Line Items] | |||||||||
Dividends declared - preferred stock (in dollars per share) | $ / shares | $ 0.5281 | $ 0.5281 | |||||||
Dividend rate | 8.45% | 8.45% | |||||||
Series F Preferred Stock | |||||||||
Class of Stock [Line Items] | |||||||||
Dividends declared - preferred stock (in dollars per share) | $ / shares | $ 0.4609 | $ 0.4609 | |||||||
Dividend rate | 7.375% | 7.375% | |||||||
Series G Preferred Stock | |||||||||
Class of Stock [Line Items] | |||||||||
Dividends declared - preferred stock (in dollars per share) | $ / shares | $ 0.4609 | $ 0.4609 | |||||||
Dividend rate | 7.375% | 7.375% | |||||||
Series H Preferred Stock | |||||||||
Class of Stock [Line Items] | |||||||||
Dividends declared - preferred stock (in dollars per share) | $ / shares | $ 0.4688 | $ 0.4688 | |||||||
Dividend rate | 7.50% | 7.50% | |||||||
Series I Preferred Stock | |||||||||
Class of Stock [Line Items] | |||||||||
Dividends declared - preferred stock (in dollars per share) | $ / shares | $ 0.4688 | $ 0.4688 | |||||||
Dividend rate | 7.50% | 7.50% | |||||||
Restricted shares | |||||||||
Class of Stock [Line Items] | |||||||||
Compensation expense (credit) | $ 1,929,000 | $ 1,777,000 | 3,768,000 | 4,331,000 | |||||
Fair value of unrecognized cost | 11,800,000 | $ 11,800,000 | |||||||
Period for recognition | 2 years 8 months 12 days | ||||||||
Weighted average period | 2 years 1 month 6 days | ||||||||
Restricted shares | Executive Officer | |||||||||
Class of Stock [Line Items] | |||||||||
Compensation expense (credit) | 1,500,000 | ||||||||
Restricted shares | Advisory services fee | |||||||||
Class of Stock [Line Items] | |||||||||
Compensation expense (credit) | 1,556,000 | 1,451,000 | $ 3,094,000 | 3,748,000 | |||||
Restricted shares | Management fees | |||||||||
Class of Stock [Line Items] | |||||||||
Compensation expense (credit) | 197,000 | 326,000 | 399,000 | 583,000 | |||||
Restricted shares | Corporate, general and administrative | |||||||||
Class of Stock [Line Items] | |||||||||
Compensation expense (credit) | 86,000 | 0 | 185,000 | 0 | |||||
Restricted shares | Corporate, general and administrative | Independent Director | |||||||||
Class of Stock [Line Items] | |||||||||
Compensation expense (credit) | 90,000 | 0 | 90,000 | 0 | |||||
Performance Long Term Incentive Plan Units | |||||||||
Class of Stock [Line Items] | |||||||||
Fair value of unrecognized cost | $ 4,300,000 | $ 4,300,000 | |||||||
Period for recognition | 2 years 6 months | ||||||||
Weighted average period | 1 year 2 months 12 days | ||||||||
Vesting period | 3 years | ||||||||
Performance Long Term Incentive Plan Units | Minimum | |||||||||
Class of Stock [Line Items] | |||||||||
Performance adjustment | 0.00% | 0.00% | |||||||
Performance Long Term Incentive Plan Units | Maximum | |||||||||
Class of Stock [Line Items] | |||||||||
Performance adjustment | 200.00% | 200.00% | |||||||
Performance Long Term Incentive Plan Units | Advisory services fee | |||||||||
Class of Stock [Line Items] | |||||||||
Compensation expense (credit) | $ 907,000 | 3,805,000 | $ 1,759,000 | 4,213,000 | |||||
Performance Shares | |||||||||
Class of Stock [Line Items] | |||||||||
Compensation expense (credit) | 1,320,000 | $ 2,748,000 | 2,269,000 | 6,080,000 | |||||
Fair value of unrecognized cost | $ 9,400,000 | $ 9,400,000 | |||||||
Period for recognition | 2 years 6 months | ||||||||
Weighted average period | 1 year 10 months 24 days | ||||||||
Performance Shares | Minimum | |||||||||
Class of Stock [Line Items] | |||||||||
Performance adjustment | 0.00% | 0.00% | |||||||
Performance Shares | Maximum | |||||||||
Class of Stock [Line Items] | |||||||||
Performance adjustment | 200.00% | 200.00% | |||||||
Performance Shares | Executive Officer | |||||||||
Class of Stock [Line Items] | |||||||||
Compensation expense (credit) | $ 3,000,000.0 |
Commitments and Contingencies (Details) - USD ($) |
3 Months Ended | 6 Months Ended | 12 Months Ended | |||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|
Jul. 26, 2018 |
Jun. 29, 2017 |
Jun. 07, 2017 |
Jun. 01, 2017 |
Jun. 30, 2014 |
Nov. 01, 2011 |
Jun. 30, 2019 |
Jun. 30, 2018 |
Jun. 30, 2019 |
Jun. 30, 2018 |
Dec. 31, 2016 |
Dec. 31, 2006 |
|
Commitments and Contingencies [Line Items] | ||||||||||||
Franchise fees incurred | $ 251,693,000 | $ 234,995,000 | $ 480,179,000 | $ 451,666,000 | ||||||||
Palm Beach Florida Hotel and Office Building Limited Partnership, et al. v. Nantucket Enterprises, Inc. | ||||||||||||
Commitments and Contingencies [Line Items] | ||||||||||||
Damages awarded | $ 10,800,000 | $ 8,800,000 | ||||||||||
Payments for legal settlements | $ 544,000 | $ 3,900,000 | ||||||||||
Loss contingency accrual | 504,000 | 504,000 | ||||||||||
Potential Pension Liabilities | ||||||||||||
Commitments and Contingencies [Line Items] | ||||||||||||
Unfunded pension liabilities at acquisition | $ 0 | |||||||||||
Unfunded pension liabilities amount received by the Hotel Manager on the loss of suit | $ 1,700,000 | |||||||||||
Monthly pension payments | 100,000 | |||||||||||
Accrued unfunded pension liabilities | 1,600,000 | |||||||||||
Net amount of pension payments on settlement agreement paid by hotel manager | $ 84,000 | |||||||||||
Term of pension liability | 20 years | |||||||||||
Surety Bond | Palm Beach Florida Hotel and Office Building Limited Partnership, et al. v. Nantucket Enterprises, Inc. | ||||||||||||
Commitments and Contingencies [Line Items] | ||||||||||||
Payments for legal settlements | $ 2,500,000 | |||||||||||
Surety Bond | Palm Beach Florida Hotel and Office Building Limited Partnership, et al. v. Nantucket Enterprises, Inc. | RLI Insurance Company | ||||||||||||
Commitments and Contingencies [Line Items] | ||||||||||||
Payments for legal settlements | $ 10,000,000.0 | |||||||||||
Franchise fees | ||||||||||||
Commitments and Contingencies [Line Items] | ||||||||||||
Franchise fees incurred | $ 20,954,000 | $ 19,405,000 | $ 38,702,000 | $ 36,808,000 | ||||||||
Franchise Fees | ||||||||||||
Commitments and Contingencies [Line Items] | ||||||||||||
Franchisor royalty fees percent of gross room revenue, minimum | 3.00% | 3.00% | ||||||||||
Franchisor royalty fees percent of gross room revenue, maximum | 6.00% | 6.00% | ||||||||||
Food and beverage fees minimum | 2.00% | 2.00% | ||||||||||
Food and beverage fees maximum | 3.00% | 3.00% | ||||||||||
Marketing reservation and other fees, minimum | 1.00% | 1.00% | ||||||||||
Marketing reservation and other fees, maximum | 4.00% | 4.00% | ||||||||||
Management fees | ||||||||||||
Commitments and Contingencies [Line Items] | ||||||||||||
Payment of monthly property management fees, minimum | $ 14,000 | |||||||||||
Property management fee as percentage of gross revenue used if greater than $10,000 (CPI adjusted since 2003) | 3.00% | |||||||||||
Property management fee as percentage of gross revenue, minimum | 1.00% | |||||||||||
Property management fee as percentage of gross revenue, maximum | 7.00% | |||||||||||
Minimum | ||||||||||||
Commitments and Contingencies [Line Items] | ||||||||||||
Restricted cash reserves as percentage of property revenue | 4.00% | 4.00% | ||||||||||
Maximum | ||||||||||||
Commitments and Contingencies [Line Items] | ||||||||||||
Restricted cash reserves as percentage of property revenue | 6.00% | 6.00% |
Segment Reporting (Details) |
6 Months Ended |
---|---|
Jun. 30, 2019
segment
| |
Segment Reporting [Abstract] | |
Number of operating segments | 1 |
Related Party Transactions (Details) $ in Thousands |
3 Months Ended | 6 Months Ended | 12 Months Ended | |||||
---|---|---|---|---|---|---|---|---|
Jan. 01, 2019
USD ($)
|
Jun. 26, 2018
USD ($)
|
Jun. 30, 2019
USD ($)
hotel
|
Jun. 30, 2018
USD ($)
|
Jun. 30, 2019
USD ($)
hotel
|
Jun. 30, 2018
USD ($)
|
Dec. 31, 2018
USD ($)
|
Dec. 31, 2016
USD ($)
|
|
Related Party Transaction [Line Items] | ||||||||
Advisory services fee | $ 16,281 | $ 23,079 | $ 32,585 | $ 40,156 | ||||
Due to Ashford Inc. | 6,196 | 6,196 | $ 23,034 | |||||
Due to related party, net | 0 | 0 | 1,477 | |||||
Property management fees, including incentive property management fees | 8,619 | 9,376 | 15,429 | 16,027 | ||||
Market service and project management fees | 0 | 4,900 | 0 | 9,266 | ||||
Corporate, general and administrative expenses | 1,924 | 1,448 | 3,672 | 2,913 | ||||
Total | 10,543 | 15,724 | 19,101 | 28,206 | ||||
Compensation expense | 2,119 | 5,276 | 3,921 | 6,392 | ||||
Restricted shares | ||||||||
Related Party Transaction [Line Items] | ||||||||
Compensation expense | 1,929 | 1,777 | 3,768 | 4,331 | ||||
Fair value of unrecognized cost | 11,800 | $ 11,800 | ||||||
Period for recognition | 2 years 8 months 12 days | |||||||
Management fees | Restricted shares | ||||||||
Related Party Transaction [Line Items] | ||||||||
Compensation expense | 197 | 326 | $ 399 | 583 | ||||
Advisory Services Fee | Restricted shares | ||||||||
Related Party Transaction [Line Items] | ||||||||
Compensation expense | 1,556 | 1,451 | 3,094 | 3,748 | ||||
Ashford Inc. | Consideration to Purchase Furniture, Fixtures and Equipment | ||||||||
Related Party Transaction [Line Items] | ||||||||
Due to related party, net | $ 4,000 | |||||||
Ashford Inc. | Affiliated Entity | ||||||||
Related Party Transaction [Line Items] | ||||||||
Advisory services fee | 16,281 | 23,079 | 32,585 | 40,156 | ||||
Due to related party, net | 16,100 | |||||||
ERFP, commitment amount | $ 50,000 | |||||||
ERFP, potential commitment amount | $ 100,000 | |||||||
ERFP, percent of commitment for each hotel | 10.00% | |||||||
ERFP, initial term | 2 years | |||||||
ERFP, renewal term | 1 year | |||||||
ERFP, notice term | 60 days | |||||||
ERFP, consideration | 5,000 | 8,100 | 16,100 | |||||
ERFP, amount received | 5,000 | 8,100 | 5,000 | 8,100 | 16,100 | |||
ERFP, gains recognized | $ 1,800 | |||||||
Ashford Inc. | Affiliated Entity | Base Advisory Fee | ||||||||
Related Party Transaction [Line Items] | ||||||||
Advisory services fee | 9,362 | 8,873 | 18,351 | 17,488 | ||||
Ashford Inc. | Affiliated Entity | Reimbursable Expenses | ||||||||
Related Party Transaction [Line Items] | ||||||||
Advisory services fee | 3,006 | 1,997 | 5,396 | 3,526 | ||||
Ashford Inc. | Affiliated Entity | Equity-Based Compensation | ||||||||
Related Party Transaction [Line Items] | ||||||||
Advisory services fee | 4,549 | 8,939 | 8,838 | 15,685 | ||||
Ashford Inc. | Affiliated Entity | Incentive Management Fee | ||||||||
Related Party Transaction [Line Items] | ||||||||
Advisory services fee | (636) | 3,270 | 0 | 3,457 | ||||
Lismore Capital | Affiliated Entity | ||||||||
Related Party Transaction [Line Items] | ||||||||
Amount of transaction | 79 | 3,960 | 1,158 | 4,592 | ||||
Lismore Capital | Affiliated Entity | Indebtedness, net | ||||||||
Related Party Transaction [Line Items] | ||||||||
Amount of transaction | 1,079 | |||||||
Lismore Capital | Affiliated Entity | Write-off of Premiums, Loan Costs and Exit Fees | ||||||||
Related Party Transaction [Line Items] | ||||||||
Amount of transaction | 79 | |||||||
OpenKey | Mobile Key App | ||||||||
Related Party Transaction [Line Items] | ||||||||
Due to Ashford Inc. | 5 | 5 | 1 | |||||
OpenKey | Affiliated Entity | ||||||||
Related Party Transaction [Line Items] | ||||||||
Amount of transaction | 25 | 28 | 56 | 53 | ||||
OpenKey | Affiliated Entity | Investments in Hotel Properties, net | ||||||||
Related Party Transaction [Line Items] | ||||||||
Amount of transaction | 3 | |||||||
OpenKey | Affiliated Entity | Other Hotel Expenses | ||||||||
Related Party Transaction [Line Items] | ||||||||
Amount of transaction | 28 | 53 | 53 | |||||
J&S Audio Visual | Audio Visual Services | ||||||||
Related Party Transaction [Line Items] | ||||||||
Due to Ashford Inc. | 1,188 | 1,188 | 855 | |||||
J&S Audio Visual | Affiliated Entity | ||||||||
Related Party Transaction [Line Items] | ||||||||
Amount of transaction | 1,981 | 1,872 | 3,684 | 2,145 | ||||
J&S Audio Visual | Affiliated Entity | Investments in Hotel Properties, net | ||||||||
Related Party Transaction [Line Items] | ||||||||
Amount of transaction | 12 | 843 | 12 | 843 | ||||
J&S Audio Visual | Affiliated Entity | Other Hotel Revenue | ||||||||
Related Party Transaction [Line Items] | ||||||||
Amount of transaction | 1,969 | 1,029 | 3,672 | 1,302 | ||||
AIM | Investment Management Services | ||||||||
Related Party Transaction [Line Items] | ||||||||
Due to Ashford Inc. | 123 | 123 | 99 | |||||
AIM | Affiliated Entity | ||||||||
Related Party Transaction [Line Items] | ||||||||
Amount of transaction | 337 | 330 | 695 | 511 | ||||
Premier | Project Management Services | ||||||||
Related Party Transaction [Line Items] | ||||||||
Due to Ashford Inc. | 3,486 | 3,486 | 3,206 | |||||
Premier | Affiliated Entity | ||||||||
Related Party Transaction [Line Items] | ||||||||
Amount of transaction | 3,287 | 10,015 | ||||||
Premier | Affiliated Entity | Investments in Hotel Properties, net | ||||||||
Related Party Transaction [Line Items] | ||||||||
Amount of transaction | 2,760 | 9,139 | ||||||
Premier | Affiliated Entity | Advisory Services Fee | ||||||||
Related Party Transaction [Line Items] | ||||||||
Amount of transaction | 527 | 876 | ||||||
Ashford LLC | Deposit on ERFP Assets | ||||||||
Related Party Transaction [Line Items] | ||||||||
Due to Ashford Inc. | 0 | 0 | 16,100 | |||||
Ashford LLC | Advisory Services Fee | ||||||||
Related Party Transaction [Line Items] | ||||||||
Due to Ashford Inc. | 1,036 | 1,036 | 2,362 | |||||
Ashford LLC | Insurance Claims Services | ||||||||
Related Party Transaction [Line Items] | ||||||||
Due to Ashford Inc. | 21 | 21 | 23 | |||||
Ashford LLC | Affiliated Entity | ||||||||
Related Party Transaction [Line Items] | ||||||||
Amount of transaction | 20 | 17 | 31 | 36 | ||||
Pure Wellness | Hypoallergenic Premium Rooms | ||||||||
Related Party Transaction [Line Items] | ||||||||
Due to Ashford Inc. | 337 | 337 | 388 | |||||
Pure Wellness | Affiliated Entity | ||||||||
Related Party Transaction [Line Items] | ||||||||
Amount of transaction | 101 | 151 | 484 | 489 | ||||
Pure Wellness | Affiliated Entity | Investments in Hotel Properties, net | ||||||||
Related Party Transaction [Line Items] | ||||||||
Amount of transaction | 148 | 355 | 486 | |||||
Pure Wellness | Affiliated Entity | Other Hotel Expenses | ||||||||
Related Party Transaction [Line Items] | ||||||||
Amount of transaction | $ 3 | 129 | $ 3 | |||||
Remington Lodging Employees | Restricted shares | ||||||||
Related Party Transaction [Line Items] | ||||||||
Fair value of unrecognized cost | $ 1,300 | $ 1,300 | ||||||
Period for recognition | 2 years 8 months 12 days | |||||||
Minimum | Ashford Inc. | ||||||||
Related Party Transaction [Line Items] | ||||||||
Advisory services quarterly base fee | 0.50% | 0.50% | ||||||
Total market capitalization | $ 6,000,000 | $ 6,000,000 | ||||||
Maximum | Ashford Inc. | ||||||||
Related Party Transaction [Line Items] | ||||||||
Advisory services quarterly base fee | 0.70% | 0.70% | ||||||
Total market capitalization | $ 10,000,000 | $ 10,000,000 | ||||||
Subsidiaries | ||||||||
Related Party Transaction [Line Items] | ||||||||
Number of hotel properties managed by affiliates | hotel | 83 | 83 | ||||||
Number of hotel properties | hotel | 121 | 121 | ||||||
Hilton Alexandria Old Town | Ashford Inc. | Affiliated Entity | ||||||||
Related Party Transaction [Line Items] | ||||||||
ERFP, entitles to receive | 11,100 | |||||||
Santa Fe, NM La Posada de Santa Fe | Ashford Inc. | Affiliated Entity | ||||||||
Related Party Transaction [Line Items] | ||||||||
ERFP, entitles to receive | $ 5,000 | |||||||
Hilton Santa Cruz/Scotts Valley | Ashford Inc. | Affiliated Entity | ||||||||
Related Party Transaction [Line Items] | ||||||||
ERFP, entitles to receive | $ 5,000 | $ 5,000 | ||||||
ERFP, gains recognized | 233 | 326 | ||||||
Embassy Suites New York Manhattan Times Square | Ashford Inc. | Affiliated Entity | ||||||||
Related Party Transaction [Line Items] | ||||||||
ERFP, entitles to receive | $ 19,500 | $ 19,500 | ||||||
Management fees | ||||||||
Related Party Transaction [Line Items] | ||||||||
Project management fees | 4.00% |
Subsequent Event (Details) $ in Millions |
3 Months Ended | |
---|---|---|
Aug. 02, 2019
USD ($)
|
Sep. 30, 2019
USD ($)
hotel
|
|
Disposal Group, Disposed of by Sale, Not Discontinued Operations | San Antonio Marriott | Subsequent Event | ||
Subsequent Event [Line Items] | ||
Proceeds from sale of property | $ 34.0 | |
Extinguishment of debt | $ 26.8 | |
Forecast | ||
Subsequent Event [Line Items] | ||
Proceeds from sale of property | $ 38.0 | |
Forecast | Two Hotel Properties | ||
Subsequent Event [Line Items] | ||
Number of hotel properties | hotel | 2 |
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