Maryland | 001-32514 | 20-1180098 | ||
(State or Other Jurisdiction of Incorporation) | (Commission File Number) | (IRS Employer Identification No.) |
¨ | Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) |
¨ | Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) |
¨ | Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) |
¨ | Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) |
Exhibit No. | Description | |
99.1 | Earnings press release dated February 24, 2015. | |
99.2 | Shorebreak Hotel press release dated February 24, 2015. |
DIAMONDROCK HOSPITALITY COMPANY | ||||||
Date: February 24, 2015 | By: | /s/ William J. Tennis | ||||
William J. Tennis | ||||||
Executive Vice President, General Counsel and Corporate Secretary |
• | Pro Forma RevPAR: Pro Forma RevPAR was $161.44, an increase of 11.6% from 2013. |
• | Pro Forma Hotel Adjusted EBITDA Margin: Pro Forma Hotel Adjusted EBITDA margin was 29.53%, an increase of 275 basis points from 2013. |
• | Pro Forma Hotel Adjusted EBITDA: Pro Forma Hotel Adjusted EBITDA was $248.6 million, an increase of 21.3% from 2013. |
• | Adjusted EBITDA: Adjusted EBITDA was $235.8 million, an increase of 19.8% from 2013. |
• | Adjusted FFO: Adjusted FFO was $171.5 million and Adjusted FFO per diluted share was $0.87. |
• | Dividends: The Company declared four quarterly dividends totaling $0.41 per share during 2014, returning approximately $80 million to shareholders. |
• | Pro Forma RevPAR: Pro Forma RevPAR was $159.64, an increase of 8.3% from the comparable period of 2013. |
• | Pro Forma Hotel Adjusted EBITDA Margin: Pro Forma Hotel Adjusted EBITDA margin was 29.30%, an increase of 196 basis points from 2013. |
• | Pro Forma Hotel Adjusted EBITDA: Pro Forma Hotel Adjusted EBITDA was $61.4 million, an increase of 15.7% from 2013. |
• | Adjusted EBITDA: Adjusted EBITDA was $60.8 million, an increase of 23.3% from 2013. |
• | Adjusted FFO: Adjusted FFO was $41.8 million and Adjusted FFO per diluted share was $0.21. |
• | Westin Fort Lauderdale Acquisition: The Company acquired the 432-room Westin Fort Lauderdale Beach Resort for $149 million in December 2014. |
• | Non-Core Hotel Disposition: The Company sold the 1,004-room Los Angeles Airport Marriott for proceeds of approximately $160 million in December 2014. |
• | Lexington Hotel Refinancing: The Company amended its existing $170.4 million mortgage loan secured by the Lexington Hotel New York City in October 2014. The amendment reduced the interest rate and extended the term of the loan. |
• | Dividends: The Company declared a quarterly dividend of $0.1025 per share during the fourth quarter. |
• | Shorebreak Hotel: The Company acquired the Shorebreak Hotel, a 157-room boutique hotel in Huntington Beach, California, for $58.5 million in February 2015. |
• | Dividend Increase: The Company announced today a 22% increase in its quarterly dividend to $0.125 per share. |
• | January 2015 RevPAR: Pro Forma RevPAR for January 2015 was $130.70, an increase of 8.8% from the comparable period in 2014. |
Fourth Quarter | ||||||||||
2014 | 2013 | Change | ||||||||
Pro Forma ADR | $212.71 | $203.57 | 4.5 | % | ||||||
Pro Forma Occupancy | 75.1 | % | 72.4 | % | 2.7 percentage points | |||||
Pro Forma RevPAR | $159.64 | $147.43 | 8.3 | % | ||||||
Pro Forma Hotel Adjusted EBITDA Margin | 29.30 | % | 27.34 | % | 196 basis points | |||||
Adjusted EBITDA | $60.8 million | $49.3 million | $11.5 million | |||||||
Adjusted FFO | $41.8 million | $33.5 million | $8.3 million | |||||||
Adjusted FFO per diluted share | $0.21 | $0.17 | $0.04 |
Year Ended December 31, | ||||||||||
2014 | 2013 | Change | ||||||||
Pro Forma ADR | $205.09 | $192.86 | 6.3 | % | ||||||
Pro Forma Occupancy | 78.7 | % | 75.0 | % | 3.7 percentage points | |||||
Pro Forma RevPAR | $161.44 | $144.67 | 11.6 | % | ||||||
Pro Forma Hotel Adjusted EBITDA Margin | 29.53 | % | 26.78 | % | 275 basis points | |||||
Adjusted EBITDA | $235.8 million | $196.9 million | $38.9 million | |||||||
Adjusted FFO | $171.5 million | $139.3 million | $32.2 million | |||||||
Adjusted FFO per diluted share | $0.87 | $0.71 | $0.16 |
Metric | Low End | High End | |
Pro Forma RevPAR Growth | 6 percent | 7 percent | |
Adjusted EBITDA | $262 million | $272 million | |
Adjusted FFO | $201 million | $207 million | |
Adjusted FFO per share (based on 201 million shares) | $1.00 per share | $1.03 per share |
Quarter 1, 2014 | Quarter 2, 2014 | Quarter 3, 2014 | Quarter 4, 2014 | Full Year 2014 | |||||||||||
RevPAR | $ | 139.75 | $ | 173.75 | $ | 173.03 | $ | 159.42 | $ | 161.57 | |||||
Revenues (in thousands) | $ | 191,617 | $ | 229,384 | $ | 222,515 | $ | 212,801 | $ | 856,317 | |||||
Hotel Adjusted EBITDA (in thousands) | $ | 46,011 | $ | 75,368 | $ | 69,102 | $ | 62,001 | $ | 252,482 | |||||
% of full Year | 18.2 | % | 29.9 | % | 27.4 | % | 24.5 | % | 100.0 | % | |||||
Hotel Adjusted EBITDA Margin | 24.01 | % | 32.86 | % | 31.05 | % | 29.14 | % | 29.48 | % | |||||
Available Rooms | 936,270 | 946,673 | 957,076 | 957,076 | 3,797,095 |
December 31, 2014 | December 31, 2013 | ||||||
(unaudited) | |||||||
ASSETS | |||||||
Property and equipment, net | $ | 2,764,393 | $ | 2,567,533 | |||
Deferred financing costs, net | 8,023 | 7,702 | |||||
Restricted cash | 74,730 | 89,106 | |||||
Due from hotel managers | 79,827 | 69,353 | |||||
Note receivable | — | 50,084 | |||||
Favorable lease assets, net | 34,274 | 39,936 | |||||
Prepaid and other assets (1) | 52,739 | 79,474 | |||||
Cash and cash equivalents | 144,365 | 144,584 | |||||
Total assets | $ | 3,158,351 | $ | 3,047,772 | |||
LIABILITIES AND STOCKHOLDERS’ EQUITY | |||||||
Liabilities: | |||||||
Mortgage debt | $ | 1,038,330 | $ | 1,091,861 | |||
Senior unsecured credit facility | — | — | |||||
Total debt | 1,038,330 | 1,091,861 | |||||
Deferred income related to key money, net | 21,561 | 23,707 | |||||
Unfavorable contract liabilities, net | 76,220 | 78,093 | |||||
Due to hotel managers | 59,169 | 54,225 | |||||
Dividends declared and unpaid | 20,922 | 16,981 | |||||
Accounts payable and accrued expenses (2) | 113,162 | 102,214 | |||||
Total other liabilities | 291,034 | 275,220 | |||||
Stockholders’ Equity: | |||||||
Preferred stock, $0.01 par value; 10,000,000 shares authorized; no shares issued and outstanding | — | — | |||||
Common stock, $0.01 par value; 400,000,000 shares authorized; 199,964,041 and 195,470,791 shares issued and outstanding at December 31, 2014 and December 31, 2013, respectively | 2,000 | 1,955 | |||||
Additional paid-in capital | 2,045,755 | 1,979,613 | |||||
Accumulated deficit | (218,768 | ) | (300,877 | ) | |||
Total stockholders’ equity | 1,828,987 | 1,680,691 | |||||
Total liabilities and stockholders’ equity | $ | 3,158,351 | $ | 3,047,772 |
Three Months Ended December 31, | Year Ended December 31, | ||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||
(unaudited) | (unaudited) | (unaudited) | |||||||||||||
Revenues: | |||||||||||||||
Rooms | $ | 162,999 | $ | 142,864 | $ | 628,870 | $ | 558,751 | |||||||
Food and beverage | 48,780 | 47,239 | 195,077 | 193,043 | |||||||||||
Other | 11,848 | 11,364 | 48,915 | 47,894 | |||||||||||
Total revenues | 223,627 | 201,467 | 872,862 | 799,688 | |||||||||||
Operating Expenses: | |||||||||||||||
Rooms | 41,088 | 38,573 | 162,870 | 151,040 | |||||||||||
Food and beverage | 33,547 | 33,194 | 135,402 | 136,454 | |||||||||||
Management fees | 7,945 | 6,621 | 30,027 | 25,546 | |||||||||||
Other hotel expenses | 75,492 | 71,241 | 295,826 | 284,523 | |||||||||||
Depreciation and amortization | 24,074 | 25,374 | 99,650 | 103,895 | |||||||||||
Hotel acquisition costs | 898 | — | 2,177 | — | |||||||||||
Corporate expenses | 6,387 | 4,971 | 22,267 | 23,072 | |||||||||||
Gain on insurance proceeds | — | — | (1,825 | ) | — | ||||||||||
Gain on litigation settlement, net | — | — | (10,999 | ) | — | ||||||||||
Total operating expenses | 189,431 | 179,974 | 735,395 | 724,530 | |||||||||||
Operating income | 34,196 | 21,493 | 137,467 | 75,158 | |||||||||||
Interest income | (151 | ) | (1,724 | ) | (3,027 | ) | (6,328 | ) | |||||||
Interest expense | 14,462 | 14,769 | 58,278 | 57,279 | |||||||||||
Gain on sales of hotel property | (49,719 | ) | — | (50,969 | ) | — | |||||||||
Loss on early extinguishment of debt | 1,555 | 1,492 | 1,616 | 1,492 | |||||||||||
Gain on hotel property acquisition | — | — | (23,894 | ) | — | ||||||||||
Gain on prepayment of note receivable | — | — | (13,550 | ) | — | ||||||||||
Total other (income) expenses, net | (33,853 | ) | 14,537 | (31,546 | ) | 52,443 | |||||||||
Income from continuing operations before income taxes | 68,049 | 6,956 | 169,013 | 22,715 | |||||||||||
Income tax (expense) benefit | (4,433 | ) | (128 | ) | (5,636 | ) | 1,113 | ||||||||
Income from continuing operations | 63,616 | 6,828 | 163,377 | 23,828 | |||||||||||
Income from discontinued operations, net of taxes | — | 22,727 | — | 25,237 | |||||||||||
Net income | $ | 63,616 | $ | 29,555 | $ | 163,377 | $ | 49,065 | |||||||
Basic and diluted earnings per share: | |||||||||||||||
Continuing operations | $ | 0.32 | $ | 0.03 | $ | 0.83 | $ | 0.12 | |||||||
Discontinued operations | — | 0.12 | — | 0.13 | |||||||||||
Basic and diluted earnings per share | $ | 0.32 | $ | 0.15 | $ | 0.83 | $ | 0.25 |
• | Non-Cash Ground Rent: We exclude the non-cash expense incurred from the straight line recognition of rent from our ground lease obligations and the non-cash amortization of our favorable lease assets. |
• | Non-Cash Amortization of Favorable and Unfavorable Contracts: We exclude the non-cash amortization of the favorable management contract assets recorded in conjunction with our acquisitions of the Westin Washington D.C. City Center, Westin San Diego, and Hilton Burlington and the non-cash amortization of the unfavorable contract liabilities recorded in conjunction with our acquisitions of the Bethesda Marriott Suites, the Chicago Marriott Downtown, the Renaissance Charleston and the Lexington Hotel New York. The amortization of the favorable and unfavorable contracts does not reflect the underlying operating performance of our hotels. |
• | Cumulative Effect of a Change in Accounting Principle: Infrequently, the Financial Accounting Standards Board (FASB) promulgates new accounting standards that require the consolidated statement of operations to reflect the cumulative effect of a change in accounting principle. We exclude the effect of these one-time adjustments because they do not reflect our actual performance for that period. |
• | Gains or Losses from Early Extinguishment of Debt: We exclude the effect of gains or losses recorded on the early extinguishment of debt because we believe they do not accurately reflect the underlying performance of the Company. |
• | Acquisition Costs: We exclude acquisition transaction costs expensed during the period because we believe they do not reflect the underlying performance of the Company. |
• | Allerton Loan: We exclude the gain from the prepayment of the loan in 2014. Prior to the prepayment, cash payments received during 2010 and 2011 that were included in Adjusted EBITDA and Adjusted FFO and reduced the carrying basis of the loan were deducted from Adjusted EBITDA and Adjusted FFO, calculated based on a straight-line basis over the anticipated term of the loan. |
• | Other Non-Cash and /or Unusual Items: From time to time we incur costs or realize gains that we do not believe reflect the underlying performance of the Company. Such items include, but are not limited to, pre-opening costs, contract termination fees, severance costs, and gains from legal settlements, bargain purchase gains, and insurance proceeds. |
Fourth Quarter | Full Year | ||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||
Net income | $ | 63,616 | $ | 29,555 | $ | 163,377 | $ | 49,065 | |||||||
Interest expense | 14,462 | 14,769 | 58,278 | 57,279 | |||||||||||
Income tax expense (benefit) (1) | 4,433 | 928 | 5,636 | (16 | ) | ||||||||||
Real estate related depreciation and amortization (2) | 24,074 | 25,374 | 99,650 | 105,655 | |||||||||||
EBITDA | 106,585 | 70,626 | 326,941 | 211,983 | |||||||||||
Non-cash ground rent | 1,573 | 1,677 | 6,453 | 6,787 | |||||||||||
Non-cash amortization of favorable and unfavorable contract liabilities, net | (353 | ) | (424 | ) | (1,410 | ) | (1,487 | ) | |||||||
Gain on sales of hotel property | (49,719 | ) | (22,733 | ) | (50,969 | ) | (22,733 | ) | |||||||
Gain on hotel property acquisition | — | — | (23,894 | ) | — | ||||||||||
Loss on early extinguishment of debt | 1,555 | 1,492 | 1,616 | 1,492 | |||||||||||
Gain on insurance proceeds | — | — | (1,825 | ) | — | ||||||||||
Gain on litigation settlement (3) | — | — | (10,999 | ) | — | ||||||||||
Gain on prepayment of note receivable | — | — | (13,550 | ) | — | ||||||||||
Reversal of previously recognized Allerton income | — | (291 | ) | (453 | ) | (1,163 | ) | ||||||||
Write-off of key money | — | (1,082 | ) | — | (1,082 | ) | |||||||||
Hotel acquisition costs | 898 | — | 2,177 | — | |||||||||||
Pre-opening costs (4) | 286 | — | 953 | — | |||||||||||
Severance costs (5) | (53 | ) | — | 736 | 3,065 | ||||||||||
Adjusted EBITDA | $ | 60,772 | $ | 49,265 | $ | 235,776 | $ | 196,862 |
(1) | Includes $0.8 million and $1.1 million of income tax expense reported in discontinued operations for the three months and year ended December 31, 2013, respectively. |
(2) | Includes $1.8 million of depreciation expense reported in discontinued operations for the year ended December 31, 2013. |
(3) | Includes $14.0 million of settlement proceeds, net of a $1.2 million contingency fee paid to our legal counsel and $1.8 million of legal fees and other costs incurred over the course of the legal proceedings for year ended December 31, 2014. The $1.8 million of legal fees and other costs were previously recorded as corporate expenses and the repayment of those costs through the settlement proceeds is recorded as a reduction of corporate expenses. |
(4) | Classified as other hotel expenses on the consolidated statements of operations. |
(5) | Classified as corporate expenses on the consolidated statements of operations. |
Full Year 2015 Guidance | |||||||
Low End | High End | ||||||
Net income | $ | 97,600 | $ | 102,600 | |||
Interest expense | 52,800 | 52,300 | |||||
Income tax expense | 8,000 | 12,500 | |||||
Real estate related depreciation and amortization | 99,000 | 100,000 | |||||
EBITDA | 257,400 | 267,400 | |||||
Non-cash ground rent | 5,700 | 5,700 | |||||
Non-cash amortization of favorable and unfavorable contracts, net | (1,400 | ) | (1,400 | ) | |||
Hotel acquisition costs | 300 | 300 | |||||
Adjusted EBITDA | $ | 262,000 | $ | 272,000 |
Three Months Ended December 31, | Year Ended December 31, | ||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||
Net income | $ | 63,616 | $ | 29,555 | $ | 163,377 | $ | 49,065 | |||||||
Real estate related depreciation and amortization (1) | 24,074 | 25,374 | 99,650 | 105,655 | |||||||||||
Gain on sale of hotel property | (49,719 | ) | (22,733 | ) | (50,969 | ) | (22,733 | ) | |||||||
FFO | 37,971 | 32,196 | 212,058 | 131,987 | |||||||||||
Non-cash ground rent | 1,573 | 1,677 | 6,453 | 6,787 | |||||||||||
Non-cash amortization of unfavorable contract liabilities, net | (353 | ) | (424 | ) | (1,410 | ) | (1,487 | ) | |||||||
Gain on hotel property acquisition | — | — | (23,894 | ) | — | ||||||||||
Loss on early extinguishment of debt | 1,555 | 1,492 | 1,616 | 1,492 | |||||||||||
Gain on insurance proceeds | — | — | (1,825 | ) | — | ||||||||||
Gain on litigation settlement (2) | — | — | (10,999 | ) | — | ||||||||||
Gain on prepayment of note receivable | — | — | (13,550 | ) | — | ||||||||||
Hotel acquisition costs | 898 | — | 2,177 | — | |||||||||||
Pre-opening costs | 286 | — | 953 | — | |||||||||||
Reversal of previously recognized Allerton income | — | (291 | ) | (453 | ) | (1,163 | ) | ||||||||
Write-off of key money | — | (1,082 | ) | — | (1,082 | ) | |||||||||
Severance costs | (53 | ) | — | 736 | 3,065 | ||||||||||
Fair value adjustments to debt instruments | (90 | ) | (65 | ) | (355 | ) | (298 | ) | |||||||
Adjusted FFO | $ | 41,787 | $ | 33,503 | $ | 171,507 | $ | 139,301 | |||||||
Adjusted FFO per share | $ | 0.21 | $ | 0.17 | $ | 0.87 | $ | 0.71 |
(1) | Includes $1.8 million of depreciation expense reported in discontinued operations for the year ended December 31, 2013. |
(2) | Includes $14.0 million of settlement proceeds, net of a $1.2 million contingency fee paid to our legal counsel and $1.8 million of legal fees and other costs incurred over the course of the legal proceedings for the year ended December 31, 2014. The $1.8 million of legal fees and other costs were previously recorded as corporate expenses and the repayment of those costs through the settlement proceeds is recorded as a reduction of corporate expenses. |
Full Year 2015 Guidance | |||||||
Low End | High End | ||||||
Net income | $ | 97,600 | $ | 102,600 | |||
Real estate related depreciation and amortization | 99,000 | 100,000 | |||||
FFO | 196,600 | 202,600 | |||||
Non-cash ground rent | 5,700 | 5,700 | |||||
Non-cash amortization of favorable and unfavorable contracts, net | (1,400 | ) | (1,400 | ) | |||
Hotel acquisition costs | 300 | 300 | |||||
Fair value adjustments to debt instruments | (200 | ) | (200 | ) | |||
Adjusted FFO | $ | 201,000 | $ | 207,000 | |||
Adjusted FFO per share | $ | 1.00 | $ | 1.03 |
Three Months Ended December 31, | Year Ended December 31, | ||||||||||||||||||||
2014 | 2013 | % Change | 2014 | 2013 | % Change | ||||||||||||||||
Revenues: | |||||||||||||||||||||
Rooms | $ | 150,484 | $ | 138,908 | 8.3 | % | $ | 603,739 | $ | 540,310 | 11.7 | % | |||||||||
Food and beverage | 48,174 | 45,005 | 7.0 | % | 192,670 | 181,851 | 5.9 | % | |||||||||||||
Other | 11,019 | 10,356 | 6.4 | % | 45,560 | 42,916 | 6.2 | % | |||||||||||||
Total revenues | 209,677 | 194,269 | 7.9 | % | 841,969 | 765,077 | 10.1 | % | |||||||||||||
Operating Expenses: | |||||||||||||||||||||
Rooms departmental expenses | $ | 37,830 | $ | 36,151 | 4.6 | % | $ | 152,891 | $ | 141,034 | 8.4 | % | |||||||||
Food and beverage departmental expenses | 32,494 | 30,827 | 5.4 | % | 131,558 | 126,758 | 3.8 | % | |||||||||||||
Other direct departmental | 4,709 | 4,540 | 3.7 | % | 18,451 | 19,131 | (3.6 | )% | |||||||||||||
General and administrative | 16,629 | 16,100 | 3.3 | % | 65,535 | 61,443 | 6.7 | % | |||||||||||||
Utilities | 6,474 | 6,309 | 2.6 | % | 26,941 | 27,287 | (1.3 | )% | |||||||||||||
Repairs and maintenance | 8,991 | 8,977 | 0.2 | % | 35,753 | 35,026 | 2.1 | % | |||||||||||||
Sales and marketing | 15,123 | 14,122 | 7.1 | % | 58,434 | 52,752 | 10.8 | % | |||||||||||||
Franchise fees | 4,052 | 3,327 | 21.8 | % | 15,448 | 12,435 | 24.2 | % | |||||||||||||
Base management fees | 5,181 | 4,793 | 8.1 | % | 20,803 | 18,516 | 12.4 | % | |||||||||||||
Incentive management fees | 2,473 | 1,672 | 47.9 | % | 8,347 | 6,222 | 34.2 | % | |||||||||||||
Property taxes | 9,454 | 9,295 | 1.7 | % | 38,847 | 39,443 | (1.5 | )% | |||||||||||||
Ground rent | 3,733 | 3,639 | 2.6 | % | 14,916 | 14,554 | 2.5 | % | |||||||||||||
Other fixed expenses | 2,317 | 2,558 | (9.4 | )% | 10,365 | 10,447 | (0.8 | )% | |||||||||||||
Pre-opening costs | 286 | — | 100.0 | % | 953 | — | 100.0 | % | |||||||||||||
Total hotel operating expenses | $ | 149,746 | $ | 142,310 | 5.2 | % | $ | 599,242 | $ | 565,048 | 6.1 | % | |||||||||
Hotel EBITDA | 59,931 | 51,959 | 15.3 | % | 242,727 | 200,029 | 21.3 | % | |||||||||||||
Non-cash ground rent | 1,573 | 1,569 | 0.3 | % | 6,330 | 6,356 | (0.4 | )% | |||||||||||||
Non-cash amortization of unfavorable contract liabilities | (353 | ) | (424 | ) | (16.7 | )% | (1,410 | ) | (1,487 | ) | (5.2 | )% | |||||||||
Pre-opening costs (2) | 286 | — | 100.0 | % | 953 | — | 100.0 | % | |||||||||||||
Hotel Adjusted EBITDA | $ | 61,437 | $ | 53,104 | 15.7 | % | $ | 248,600 | $ | 204,898 | 21.3 | % |
(1) | Pro forma to include the results of operations of the Inn at Key West and the Westin Fort Lauderdale under previous ownership and exclude the Oak Brook Hills Resort and Los Angeles Airport Marriott, which were sold during 2014, and the Hilton Garden Inn Times Square Central, which opened for business on September 1, 2014. |
(2) | Classified as other hotel expenses on the consolidated statements of operations. |
Market Capitalization as of December 31, 2014 | ||||
(in thousands) | ||||
Enterprise Value | ||||
Common equity capitalization (at December 31, 2014 closing price of $14.87/share) | $ | 2,982,584 | ||
Consolidated debt | 1,038,330 | |||
Cash and cash equivalents | (144,365) | |||
Total enterprise value | $ | 3,876,549 | ||
Share Reconciliation | ||||
Common shares outstanding | 199,964 | |||
Unvested restricted stock held by management and employees | 514 | |||
Share grants under deferred compensation plan held by directors | 99 | |||
Combined shares outstanding | 200,577 |
Debt Summary as of December 31, 2014 | ||||||||||
(dollars in thousands) | ||||||||||
Property | Interest Rate | Term | Outstanding Principal | Maturity | ||||||
Courtyard Manhattan / Midtown East | 4.400% | Fixed | $ | 86,000 | August 2024 | |||||
Lexington Hotel New York | LIBOR + 2.50 | Variable | 170,368 | October 2017 (1) | ||||||
Renaissance Worthington | 5.400% | Fixed | 52,859 | July 2015 | ||||||
JW Marriott Denver at Cherry Creek | 6.470% | Fixed | 38,552 | July 2015 | ||||||
Frenchman’s Reef Marriott | 5.440% | Fixed | 56,595 | August 2015 | ||||||
Orlando Airport Marriott | 5.680% | Fixed | 55,925 | January 2016 | ||||||
Chicago Marriott Downtown | 5.975% | Fixed | 205,166 | April 2016 | ||||||
Courtyard Manhattan / Fifth Avenue | 6.480% | Fixed | 48,970 | June 2016 | ||||||
Salt Lake City Marriott Downtown | 4.250% | Fixed | 61,352 | November 2020 | ||||||
Hilton Minneapolis | 5.464% | Fixed | 92,732 | May 2021 | ||||||
Westin Washington D.C. City Center | 3.990% | Fixed | 70,635 | January 2023 | ||||||
The Lodge at Sonoma | 3.960% | Fixed | 30,058 | April 2023 | ||||||
Westin San Diego | 3.940% | Fixed | 68,937 | April 2023 | ||||||
Debt premium (2) | 181 | |||||||||
Total mortgage debt | $ | 1,038,330 | ||||||||
Senior unsecured credit facility | LIBOR + 1.90 | Variable | — | January 2017 (3) | ||||||
Total debt | $ | 1,038,330 |
Pro Forma Operating Statistics – Fourth Quarter | |||||||||||||||||||||||||||||||
ADR | Occupancy | RevPAR | Hotel Adjusted EBITDA Margin | ||||||||||||||||||||||||||||
4Q 2014 | 4Q 2013 | B/(W) | 4Q 2014 | 4Q 2013 | B/(W) | 4Q 2014 | 4Q 2013 | B/(W) | 4Q 2014 | 4Q 2013 | B/(W) | ||||||||||||||||||||
Atlanta Alpharetta Marriott | $ | 156.78 | $ | 148.33 | 5.7 | % | 70.6 | % | 69.0 | % | 1.6 | % | $ | 110.73 | $ | 102.37 | 8.2 | % | 33.14 | % | 37.41 | % | -427 bps | ||||||||
Bethesda Marriott Suites | $ | 167.41 | $ | 152.65 | 9.7 | % | 67.7 | % | 66.9 | % | 0.8 | % | $ | 113.37 | $ | 102.19 | 10.9 | % | 27.94 | % | 23.43 | % | 451 bps | ||||||||
Boston Westin | $ | 253.31 | $ | 235.69 | 7.5 | % | 62.1 | % | 64.4 | % | (2.3 | )% | $ | 157.19 | $ | 151.71 | 3.6 | % | 29.38 | % | 26.14 | % | 324 bps | ||||||||
Hilton Boston Downtown | $ | 273.43 | $ | 246.06 | 11.1 | % | 77.9 | % | 71.7 | % | 6.2 | % | $ | 213.00 | $ | 176.35 | 20.8 | % | 35.89 | % | 28.36 | % | 753 bps | ||||||||
Hilton Burlington | $ | 167.53 | $ | 153.42 | 9.2 | % | 70.3 | % | 70.5 | % | (0.2 | )% | $ | 117.74 | $ | 108.16 | 8.9 | % | 35.68 | % | 35.57 | % | 11 bps | ||||||||
Renaissance Charleston | $ | 206.57 | $ | 194.86 | 6.0 | % | 90.4 | % | 86.7 | % | 3.7 | % | $ | 186.70 | $ | 168.96 | 10.5 | % | 35.97 | % | 37.01 | % | -104 bps | ||||||||
Hilton Garden Inn Chelsea | $ | 254.58 | $ | 258.71 | (1.6 | )% | 93.9 | % | 93.9 | % | — | % | $ | 239.01 | $ | 242.95 | (1.6 | )% | 38.86 | % | 48.34 | % | -948 bps | ||||||||
Chicago Marriott | $ | 220.43 | $ | 207.30 | 6.3 | % | 73.0 | % | 75.0 | % | (2.0 | )% | $ | 160.91 | $ | 155.51 | 3.5 | % | 24.18 | % | 23.48 | % | 70 bps | ||||||||
Chicago Conrad | $ | 236.52 | $ | 223.92 | 5.6 | % | 83.6 | % | 77.8 | % | 5.8 | % | $ | 197.67 | $ | 174.24 | 13.4 | % | 35.18 | % | 34.46 | % | 72 bps | ||||||||
Courtyard Denver Downtown | $ | 189.64 | $ | 167.12 | 13.5 | % | 81.6 | % | 78.8 | % | 2.8 | % | $ | 154.80 | $ | 131.75 | 17.5 | % | 47.59 | % | 43.53 | % | 406 bps | ||||||||
Courtyard Fifth Avenue | $ | 304.92 | $ | 304.14 | 0.3 | % | 91.4 | % | 88.4 | % | 3.0 | % | $ | 278.78 | $ | 268.83 | 3.7 | % | 34.75 | % | 30.00 | % | 475 bps | ||||||||
Courtyard Midtown East | $ | 311.35 | $ | 307.83 | 1.1 | % | 92.4 | % | 88.3 | % | 4.1 | % | $ | 287.65 | $ | 271.68 | 5.9 | % | 39.95 | % | 41.16 | % | -121 bps | ||||||||
Fort Lauderdale Westin | $ | 175.14 | $ | 168.63 | 3.9 | % | 81.3 | % | 73.7 | % | 7.6 | % | $ | 142.40 | $ | 124.35 | 14.5 | % | 20.03 | % | 17.88 | % | 215 bps | ||||||||
Frenchman's Reef | $ | 230.72 | $ | 227.75 | 1.3 | % | 79.3 | % | 76.3 | % | 3.0 | % | $ | 183.02 | $ | 173.68 | 5.4 | % | 16.90 | % | 16.11 | % | 79 bps | ||||||||
JW Marriott Denver Cherry Creek | $ | 253.39 | $ | 234.65 | 8.0 | % | 79.8 | % | 78.6 | % | 1.2 | % | $ | 202.30 | $ | 184.49 | 9.7 | % | 30.70 | % | 30.13 | % | 57 bps | ||||||||
Inn at Key West | $ | 199.53 | $ | 179.11 | 11.4 | % | 88.5 | % | 87.1 | % | 1.4 | % | $ | 176.53 | $ | 155.97 | 13.2 | % | 52.18 | % | 48.73 | % | 345 bps | ||||||||
Lexington Hotel New York | $ | 279.30 | $ | 268.22 | 4.1 | % | 96.6 | % | 87.7 | % | 8.9 | % | $ | 269.92 | $ | 235.30 | 14.7 | % | 38.74 | % | 28.59 | % | 1015 bps | ||||||||
Hilton Minneapolis | $ | 142.59 | $ | 147.35 | (3.2 | )% | 65.7 | % | 64.2 | % | 1.5 | % | $ | 93.63 | $ | 94.60 | (1.0 | )% | 18.68 | % | 22.63 | % | -395 bps | ||||||||
Orlando Airport Marriott | $ | 104.97 | $ | 96.68 | 8.6 | % | 78.9 | % | 76.6 | % | 2.3 | % | $ | 82.77 | $ | 74.07 | 11.7 | % | 24.38 | % | 24.80 | % | -42 bps | ||||||||
Hotel Rex | $ | 226.66 | $ | 181.95 | 24.6 | % | 83.6 | % | 83.2 | % | 0.4 | % | $ | 189.52 | $ | 151.38 | 25.2 | % | 35.87 | % | 27.24 | % | 863 bps | ||||||||
Salt Lake City Marriott | $ | 144.64 | $ | 138.71 | 4.3 | % | 64.8 | % | 58.8 | % | 6.0 | % | $ | 93.79 | $ | 81.59 | 15.0 | % | 27.70 | % | 23.79 | % | 391 bps | ||||||||
The Lodge at Sonoma | $ | 263.44 | $ | 250.39 | 5.2 | % | 78.8 | % | 69.4 | % | 9.4 | % | $ | 207.62 | $ | 173.77 | 19.5 | % | 26.81 | % | 25.71 | % | 110 bps | ||||||||
Hilton Garden Inn Times Square Central | $ | 282.51 | N/A | N/A | 99.0 | % | N/A | N/A | $ | 279.67 | N/A | N/A | 54.63 | % | N/A | N/A | |||||||||||||||
Vail Marriott | $ | 260.15 | $ | 296.20 | (12.2 | )% | 50.2 | % | 55.6 | % | (5.4 | )% | $ | 130.61 | $ | 164.69 | (20.7 | )% | 22.50 | % | 30.01 | % | -751 bps | ||||||||
Westin San Diego | $ | 160.22 | $ | 150.16 | 6.7 | % | 75.0 | % | 69.5 | % | 5.5 | % | $ | 120.08 | $ | 104.29 | 15.1 | % | 30.09 | % | 19.62 | % | 1047 bps | ||||||||
Westin Washington D.C. City Center | $ | 214.54 | $ | 203.40 | 5.5 | % | 72.6 | % | 60.0 | % | 12.6 | % | $ | 155.77 | $ | 121.98 | 27.7 | % | 29.79 | % | 28.26 | % | 153 bps | ||||||||
Renaissance Worthington | $ | 176.80 | $ | 169.94 | 4.0 | % | 64.5 | % | 66.4 | % | (1.9 | )% | $ | 114.08 | $ | 112.77 | 1.2 | % | 29.71 | % | 30.19 | % | -48 bps | ||||||||
Pro Forma Total (1) | $ | 212.71 | $ | 203.57 | 4.5 | % | 75.1 | % | 72.4 | % | 2.7 | % | $ | 159.64 | $ | 147.43 | 8.3 | % | 29.30 | % | 27.34 | % | 196 bps |
Pro Forma Operating Statistics – Full Year | |||||||||||||||||||||||||||||||
ADR | Occupancy | RevPAR | Hotel Adjusted EBITDA Margin | ||||||||||||||||||||||||||||
YTD 2014 | YTD 2013 | B/(W) | YTD 2014 | YTD 2013 | B/(W) | YTD 2014 | YTD 2013 | B/(W) | YTD 2014 | YTD 2013 | B/(W) | ||||||||||||||||||||
Atlanta Alpharetta Marriott | $ | 162.70 | $ | 148.12 | 9.8 | % | 71.2 | % | 73.8 | % | (2.6 | )% | $ | 115.77 | $ | 109.37 | 5.9 | % | 34.75 | % | 34.72 | % | 3 bps | ||||||||
Bethesda Marriott Suites | $ | 165.09 | $ | 161.18 | 2.4 | % | 66.3 | % | 61.9 | % | 4.4 | % | $ | 109.43 | $ | 99.71 | 9.7 | % | 25.30 | % | 23.00 | % | 230 bps | ||||||||
Boston Westin | $ | 231.05 | $ | 207.60 | 11.3 | % | 75.3 | % | 74.5 | % | 0.8 | % | $ | 174.09 | $ | 154.60 | 12.6 | % | 28.27 | % | 24.59 | % | 368 bps | ||||||||
Hilton Boston Downtown | $ | 257.70 | $ | 226.68 | 13.7 | % | 87.6 | % | 80.4 | % | 7.2 | % | $ | 225.75 | $ | 182.26 | 23.9 | % | 36.64 | % | 31.89 | % | 475 bps | ||||||||
Hilton Burlington | $ | 169.05 | $ | 159.43 | 6.0 | % | 75.4 | % | 74.1 | % | 1.3 | % | $ | 127.47 | $ | 118.16 | 7.9 | % | 40.47 | % | 39.87 | % | 60 bps | ||||||||
Renaissance Charleston | $ | 205.00 | $ | 191.27 | 7.2 | % | 90.8 | % | 87.5 | % | 3.3 | % | $ | 186.23 | $ | 167.31 | 11.3 | % | 34.79 | % | 35.05 | % | -26 bps | ||||||||
Hilton Garden Inn Chelsea | $ | 227.49 | $ | 231.99 | (1.9 | )% | 94.3 | % | 95.9 | % | (1.6 | )% | $ | 214.59 | $ | 222.51 | (3.6 | )% | 38.24 | % | 45.34 | % | -710 bps | ||||||||
Chicago Marriott | $ | 209.77 | $ | 205.83 | 1.9 | % | 75.0 | % | 76.2 | % | (1.2 | )% | $ | 157.30 | $ | 156.86 | 0.3 | % | 23.52 | % | 23.40 | % | 12 bps | ||||||||
Chicago Conrad | $ | 226.27 | $ | 217.76 | 3.9 | % | 83.4 | % | 81.6 | % | 1.8 | % | $ | 188.77 | $ | 177.61 | 6.3 | % | 34.53 | % | 32.14 | % | 239 bps | ||||||||
Courtyard Denver Downtown | $ | 188.52 | $ | 168.42 | 11.9 | % | 83.7 | % | 83.4 | % | 0.3 | % | $ | 157.72 | $ | 140.47 | 12.3 | % | 48.18 | % | 44.89 | % | 329 bps | ||||||||
Courtyard Fifth Avenue | $ | 280.14 | $ | 277.14 | 1.1 | % | 89.8 | % | 80.1 | % | 9.7 | % | $ | 251.54 | $ | 221.92 | 13.3 | % | 27.24 | % | 21.68 | % | 556 bps | ||||||||
Courtyard Midtown East | $ | 284.04 | $ | 275.73 | 3.0 | % | 91.2 | % | 82.3 | % | 8.9 | % | $ | 259.12 | $ | 226.81 | 14.2 | % | 34.35 | % | 31.66 | % | 269 bps | ||||||||
Fort Lauderdale Westin | $ | 179.83 | $ | 166.72 | 7.9 | % | 82.8 | % | 80.2 | % | 2.6 | % | $ | 148.94 | $ | 133.64 | 11.4 | % | 21.94 | % | 20.99 | % | 95 bps | ||||||||
Frenchman's Reef | $ | 242.12 | $ | 239.69 | 1.0 | % | 84.8 | % | 82.1 | % | 2.7 | % | $ | 205.28 | $ | 196.78 | 4.3 | % | 22.79 | % | 20.09 | % | 270 bps | ||||||||
JW Marriott Denver Cherry Creek | $ | 254.30 | $ | 239.27 | 6.3 | % | 82.4 | % | 80.4 | % | 2.0 | % | $ | 209.64 | $ | 192.39 | 9.0 | % | 32.31 | % | 30.38 | % | 193 bps | ||||||||
Inn at Key West | $ | 207.28 | $ | 187.86 | 10.3 | % | 88.9 | % | 85.7 | % | 3.2 | % | $ | 184.35 | $ | 161.08 | 14.4 | % | 53.52 | % | 51.27 | % | 225 bps | ||||||||
Lexington Hotel New York | $ | 246.72 | $ | 224.92 | 9.7 | % | 92.3 | % | 62.4 | % | 29.9 | % | $ | 227.67 | $ | 140.26 | 62.3 | % | 32.79 | % | 9.03 | % | 2376 bps | ||||||||
Hilton Minneapolis | $ | 146.15 | $ | 145.56 | 0.4 | % | 73.6 | % | 72.3 | % | 1.3 | % | $ | 107.56 | $ | 105.21 | 2.2 | % | 24.51 | % | 26.86 | % | -235 bps | ||||||||
Orlando Airport Marriott | $ | 106.86 | $ | 99.85 | 7.0 | % | 78.7 | % | 75.5 | % | 3.2 | % | $ | 84.09 | $ | 75.38 | 11.6 | % | 23.83 | % | 23.29 | % | 54 bps | ||||||||
Hotel Rex | $ | 214.57 | $ | 187.88 | 14.2 | % | 85.4 | % | 84.4 | % | 1.0 | % | $ | 183.20 | $ | 158.66 | 15.5 | % | 35.56 | % | 30.99 | % | 457 bps | ||||||||
Salt Lake City Marriott | $ | 146.54 | $ | 142.26 | 3.0 | % | 68.5 | % | 67.1 | % | 1.4 | % | $ | 100.44 | $ | 95.51 | 5.2 | % | 31.12 | % | 31.54 | % | -42 bps | ||||||||
The Lodge at Sonoma | $ | 267.50 | $ | 254.13 | 5.3 | % | 78.7 | % | 74.2 | % | 4.5 | % | $ | 210.59 | $ | 188.52 | 11.7 | % | 28.10 | % | 25.71 | % | 239 bps | ||||||||
Hilton Garden Inn Times Square Central | $ | 284.97 | N/A | N/A | 92.1 | % | N/A | N/A | $ | 262.43 | N/A | N/A | 53.07 | % | N/A | N/A | |||||||||||||||
Vail Marriott | $ | 251.62 | $ | 243.94 | 3.1 | % | 65.2 | % | 67.7 | % | (2.5 | )% | $ | 164.10 | $ | 165.25 | (0.7 | )% | 32.60 | % | 30.21 | % | 239 bps | ||||||||
Westin San Diego | $ | 166.12 | $ | 153.50 | 8.2 | % | 82.8 | % | 82.7 | % | 0.1 | % | $ | 137.62 | $ | 126.98 | 8.4 | % | 31.81 | % | 29.72 | % | 209 bps | ||||||||
Westin Washington D.C. City Center | $ | 208.35 | $ | 192.13 | 8.4 | % | 74.0 | % | 73.5 | % | 0.5 | % | $ | 154.18 | $ | 141.19 | 9.2 | % | 30.86 | % | 31.35 | % | -49 bps | ||||||||
Renaissance Worthington | $ | 176.19 | $ | 170.73 | 3.2 | % | 68.3 | % | 65.4 | % | 2.9 | % | $ | 120.35 | $ | 111.70 | 7.7 | % | 32.00 | % | 30.68 | % | 132 bps | ||||||||
Pro Forma Total (1) | $ | 205.09 | $ | 192.86 | 6.3 | % | 78.7 | % | 75.0 | % | 3.7 | % | $ | 161.44 | $ | 144.67 | 11.6 | % | 29.53 | % | 26.78 | % | 275 bps | ||||||||
Pro Forma Total Excluding NYC Renovations (2) | $ | 195.99 | $ | 185.79 | 5.5 | % | 77.0 | % | 75.7 | % | 1.3 | % | $ | 150.83 | $ | 140.57 | 7.3 | % | 29.09 | % | 27.73 | % | 136 bps |
Pro Forma Hotel Adjusted EBITDA Reconciliation | ||||||||||||||||||||
Fourth Quarter 2014 | ||||||||||||||||||||
Plus: | Plus: | Plus: | Equals: | |||||||||||||||||
Total Revenues | Net Income / (Loss) | Depreciation | Interest Expense | Non-Cash Adjustments (1) | Hotel Adjusted EBITDA | |||||||||||||||
Atlanta Alpharetta Marriott | $ | 4,584 | $ | 1,114 | $ | 405 | $ | — | $ | — | $ | 1,519 | ||||||||
Bethesda Marriott Suites | $ | 3,912 | $ | (810 | ) | $ | 362 | $ | — | $ | 1,541 | $ | 1,093 | |||||||
Boston Westin | $ | 20,491 | $ | 3,808 | $ | 2,217 | $ | — | $ | (5 | ) | $ | 6,020 | |||||||
Hilton Boston Downtown | $ | 7,680 | $ | 1,636 | $ | 1,078 | $ | — | $ | 42 | $ | 2,756 | ||||||||
Hilton Burlington | $ | 3,915 | $ | 924 | $ | 450 | $ | — | $ | 23 | $ | 1,397 | ||||||||
Renaissance Charleston | $ | 3,547 | $ | 901 | $ | 407 | $ | — | $ | (32 | ) | $ | 1,276 | |||||||
Hilton Garden Inn Chelsea | $ | 3,816 | $ | 1,121 | $ | 362 | $ | — | $ | — | $ | 1,483 | ||||||||
Chicago Marriott | $ | 26,244 | $ | 937 | $ | 2,595 | $ | 3,210 | $ | (397 | ) | $ | 6,345 | |||||||
Chicago Conrad | $ | 7,447 | $ | 1,673 | $ | 947 | $ | — | $ | — | $ | 2,620 | ||||||||
Courtyard Denver Downtown | $ | 2,698 | $ | 1,005 | $ | 279 | $ | — | $ | — | $ | 1,284 | ||||||||
Courtyard Fifth Avenue | $ | 4,768 | $ | 314 | $ | 449 | $ | 842 | $ | 52 | $ | 1,657 | ||||||||
Courtyard Midtown East | $ | 8,650 | $ | 1,754 | $ | 684 | $ | 1,018 | $ | — | $ | 3,456 | ||||||||
Fort Lauderdale Westin | $ | 10,491 | $ | 1,006 | $ | 1,095 | $ | — | — | $ | 2,101 | |||||||||
Frenchman's Reef | $ | 14,616 | $ | 102 | $ | 1,556 | $ | 812 | $ | — | $ | 2,470 | ||||||||
JW Marriott Denver Cherry Creek | $ | 5,788 | $ | 694 | $ | 520 | $ | 563 | $ | — | $ | 1,777 | ||||||||
Inn at Key West | $ | 1,878 | $ | 890 | $ | 90 | $ | — | $ | — | $ | 980 | ||||||||
Lexington Hotel New York | $ | 19,026 | $ | 2,608 | $ | 3,364 | $ | 1,367 | $ | 31 | $ | 7,370 | ||||||||
Minneapolis Hilton | $ | 11,384 | $ | (1,508 | ) | $ | 2,442 | $ | 1,321 | $ | (129 | ) | $ | 2,126 | ||||||
Orlando Airport Marriott | $ | 5,480 | $ | (51 | ) | $ | 571 | $ | 816 | $ | — | $ | 1,336 | |||||||
Hotel Rex | $ | 1,837 | $ | 520 | $ | 139 | $ | — | $ | — | $ | 659 | ||||||||
Salt Lake City Marriott | $ | 6,314 | $ | 316 | $ | 743 | $ | 690 | $ | — | $ | 1,749 | ||||||||
The Lodge at Sonoma | $ | 6,027 | $ | 901 | $ | 404 | $ | 311 | $ | — | $ | 1,616 | ||||||||
Hilton Garden Inn Times Square Central | $ | 7,329 | $ | 3,227 | $ | 777 | $ | — | $ | — | $ | 4,004 | ||||||||
Vail Marriott | $ | 6,040 | $ | 855 | $ | 504 | $ | — | $ | — | $ | 1,359 | ||||||||
Westin San Diego | $ | 6,978 | $ | 695 | $ | 656 | $ | 703 | $ | 46 | $ | 2,100 | ||||||||
Westin Washington D.C. City Center | $ | 7,104 | $ | 584 | $ | 725 | $ | 760 | $ | 47 | $ | 2,116 | ||||||||
Renaissance Worthington | $ | 8,962 | $ | 1,324 | $ | 597 | $ | 740 | $ | 2 | $ | 2,663 | ||||||||
Pro Forma Total (2) | $ | 209,677 | $ | 23,313 | $ | 23,641 | $ | 13,153 | $ | 1,221 | $ | 61,437 |
Pro Forma Hotel Adjusted EBITDA Reconciliation | ||||||||||||||||||||
Fourth Quarter 2013 | ||||||||||||||||||||
Plus: | Plus: | Plus: | Equals: | |||||||||||||||||
Total Revenues | Net Income / (Loss) | Depreciation | Interest Expense | Non-Cash Adjustments (1) | Hotel Adjusted EBITDA | |||||||||||||||
Atlanta Alpharetta Marriott | $ | 4,306 | $ | 1,207 | $ | 404 | $ | — | $ | — | $ | 1,611 | ||||||||
Bethesda Marriott Suites | $ | 3,743 | $ | (1,028 | ) | $ | 371 | $ | — | $ | 1,534 | $ | 877 | |||||||
Boston Westin | $ | 18,768 | $ | 2,743 | $ | 2,160 | $ | — | $ | 3 | $ | 4,906 | ||||||||
Hilton Boston Downtown | $ | 6,371 | $ | 255 | $ | 1,510 | $ | — | $ | 42 | $ | 1,807 | ||||||||
Hilton Burlington | $ | 3,365 | $ | 325 | $ | 849 | $ | — | $ | 23 | $ | 1,197 | ||||||||
Renaissance Charleston | $ | 3,207 | $ | 814 | $ | 405 | $ | — | $ | (32 | ) | $ | 1,187 | |||||||
Hilton Garden Inn Chelsea | $ | 3,879 | $ | 1,373 | $ | 502 | $ | — | $ | — | $ | 1,875 | ||||||||
Chicago Marriott | $ | 24,959 | $ | 395 | $ | 2,627 | $ | 3,233 | $ | (395 | ) | $ | 5,860 | |||||||
Chicago Conrad | $ | 6,655 | $ | 1,335 | $ | 958 | $ | — | $ | — | $ | 2,293 | ||||||||
Courtyard Denver Downtown | $ | 2,325 | $ | 743 | $ | 269 | $ | — | $ | — | $ | 1,012 | ||||||||
Courtyard Fifth Avenue | $ | 4,597 | $ | 45 | $ | 430 | $ | 852 | $ | 52 | $ | 1,379 | ||||||||
Courtyard Midtown East | $ | 8,198 | $ | 1,719 | $ | 679 | $ | 976 | $ | — | $ | 3,374 | ||||||||
Fort Lauderdale Westin | $ | 9,433 | $ | 592 | $ | 1,095 | $ | — | $ | — | $ | 1,687 | ||||||||
Frenchman's Reef | $ | 13,868 | $ | (193 | ) | $ | 1,601 | $ | 826 | $ | — | $ | 2,234 | |||||||
JW Marriott Denver Cherry Creek | $ | 5,595 | $ | 591 | $ | 515 | $ | 580 | $ | — | $ | 1,686 | ||||||||
Inn at Key West | $ | 1,695 | $ | 736 | $ | 90 | $ | — | $ | — | $ | 826 | ||||||||
Lexington Hotel New York | $ | 16,444 | $ | (172 | ) | $ | 3,132 | $ | 1,781 | $ | (40 | ) | $ | 4,701 | ||||||
Minneapolis Hilton | $ | 11,462 | $ | (587 | ) | $ | 1,963 | $ | 1,351 | $ | (133 | ) | $ | 2,594 | ||||||
Orlando Airport Marriott | $ | 5,251 | $ | (321 | ) | $ | 794 | $ | 829 | $ | — | $ | 1,302 | |||||||
Hotel Rex | $ | 1,520 | $ | 181 | $ | 233 | $ | — | $ | — | $ | 414 | ||||||||
Salt Lake City Marriott | $ | 5,869 | $ | 17 | $ | 755 | $ | 624 | $ | — | $ | 1,396 | ||||||||
The Lodge at Sonoma | $ | 5,375 | $ | 694 | $ | 372 | $ | 316 | $ | — | $ | 1,382 | ||||||||
Vail Marriott | $ | 7,104 | $ | 1,524 | $ | 608 | $ | — | $ | — | $ | 2,132 | ||||||||
Westin San Diego | $ | 5,908 | $ | (726 | ) | $ | 1,124 | $ | 715 | $ | 46 | $ | 1,159 | |||||||
Westin Washington D.C. City Center | $ | 5,754 | $ | 1 | $ | 802 | $ | 778 | $ | 45 | $ | 1,626 | ||||||||
Renaissance Worthington | $ | 8,618 | $ | 1,172 | $ | 675 | $ | 753 | $ | 2 | $ | 2,602 | ||||||||
Pro Forma Total (2) | $ | 194,269 | $ | 13,435 | $ | 24,923 | $ | 13,614 | $ | 1,147 | $ | 53,104 |
(1) | The non-cash adjustments include expenses incurred by the hotels due to the straight lining of the rent from ground lease obligations, the non-cash amortization of our favorable lease assets and the non-cash amortization of our unfavorable contract liabilities. |
(2) | Excludes the Los Angeles Airport Marriott, which was sold in 2014, and includes operating results for all other hotels assuming they were owned since January 1, 2013. |
Pro Forma Hotel Adjusted EBITDA Reconciliation | ||||||||||||||||||||
Full Year 2014 | ||||||||||||||||||||
Plus: | Plus: | Plus: | Equals: | |||||||||||||||||
Total Revenues | Net Income / (Loss) | Depreciation | Interest Expense | Non-Cash Adjustments (1) | Hotel Adjusted EBITDA | |||||||||||||||
Atlanta Alpharetta Marriott | $ | 18,216 | $ | 4,709 | $ | 1,621 | $ | — | $ | — | $ | 6,330 | ||||||||
Bethesda Marriott Suites | $ | 14,970 | $ | (3,832 | ) | $ | 1,445 | $ | — | $ | 6,174 | $ | 3,787 | |||||||
Boston Westin | $ | 84,564 | $ | 15,110 | $ | 8,789 | $ | — | $ | 9 | $ | 23,908 | ||||||||
Hilton Boston Downtown | $ | 32,297 | $ | 7,335 | $ | 4,331 | $ | — | $ | 167 | $ | 11,833 | ||||||||
Hilton Burlington | $ | 15,764 | $ | 4,530 | $ | 1,759 | $ | — | $ | 91 | $ | 6,380 | ||||||||
Renaissance Charleston | $ | 13,883 | $ | 3,337 | $ | 1,619 | $ | — | $ | (126 | ) | $ | 4,830 | |||||||
Hilton Garden Inn Chelsea | $ | 13,635 | $ | 3,385 | $ | 1,829 | $ | — | $ | — | $ | 5,214 | ||||||||
Chicago Marriott | $ | 101,624 | $ | 661 | $ | 12,039 | $ | 12,793 | $ | (1,589 | ) | $ | 23,904 | |||||||
Chicago Conrad | $ | 28,802 | $ | 6,120 | $ | 3,824 | $ | — | $ | — | $ | 9,944 | ||||||||
Courtyard Denver Downtown | $ | 10,877 | $ | 4,138 | $ | 1,102 | $ | — | $ | — | $ | 5,240 | ||||||||
Courtyard Fifth Avenue | $ | 17,091 | $ | (678 | ) | $ | 1,770 | $ | 3,356 | $ | 207 | $ | 4,655 | |||||||
Courtyard Midtown East | $ | 30,968 | $ | 4,092 | $ | 2,745 | $ | 3,799 | $ | — | $ | 10,636 | ||||||||
Fort Lauderdale Westin | $ | 43,634 | $ | 5,195 | $ | 4,380 | $ | — | $ | — | $ | 9,575 | ||||||||
Frenchman's Reef | $ | 65,586 | $ | 5,508 | $ | 6,197 | $ | 3,242 | $ | — | $ | 14,947 | ||||||||
JW Marriott Denver Cherry Creek | $ | 23,329 | $ | 3,184 | $ | 2,073 | $ | 2,281 | $ | — | $ | 7,538 | ||||||||
Inn at Key West | $ | 7,911 | $ | 3,874 | $ | 360 | $ | — | $ | — | $ | 4,234 | ||||||||
Lexington Hotel New York | $ | 64,033 | $ | 1,135 | $ | 13,163 | $ | 6,575 | $ | 125 | $ | 20,998 | ||||||||
Minneapolis Hilton | $ | 49,704 | $ | (2,094 | ) | $ | 9,508 | $ | 5,285 | $ | (517 | ) | $ | 12,182 | ||||||
Orlando Airport Marriott | $ | 22,251 | $ | (341 | ) | $ | 2,385 | $ | 3,258 | $ | — | $ | 5,302 | |||||||
Hotel Rex | $ | 7,079 | $ | 1,822 | $ | 695 | $ | — | $ | — | $ | 2,517 | ||||||||
Salt Lake City Marriott | $ | 27,223 | $ | 2,721 | $ | 2,991 | $ | 2,761 | $ | — | $ | 8,473 | ||||||||
The Lodge at Sonoma | $ | 23,854 | $ | 3,905 | $ | 1,558 | $ | 1,241 | $ | — | $ | 6,704 | ||||||||
Hilton Garden Inn Times Square Central | $ | 9,115 | $ | 3,801 | $ | 1,036 | $ | — | $ | — | $ | 4,837 | ||||||||
Vail Marriott | $ | 30,347 | $ | 7,841 | $ | 2,052 | $ | — | $ | — | $ | 9,893 | ||||||||
Westin San Diego | $ | 29,841 | $ | 2,529 | $ | 3,973 | $ | 2,807 | $ | 182 | $ | 9,491 | ||||||||
Westin Washington D.C. City Center | $ | 28,280 | $ | 1,111 | $ | 4,382 | $ | 3,044 | $ | 189 | $ | 8,726 | ||||||||
Renaissance Worthington | $ | 36,206 | $ | 6,107 | $ | 2,516 | $ | 2,955 | $ | 8 | $ | 11,586 | ||||||||
Pro Forma Total (2) | $ | 841,969 | $ | 91,404 | $ | 99,106 | $ | 53,397 | $ | 4,920 | $ | 248,600 | ||||||||
Pro Forma Total Excluding NYC Renovations (3) | $ | 729,877 | $ | 86,855 | $ | 81,428 | $ | 39,667 | $ | 4,588 | $ | 212,311 |
(1) | The non-cash adjustments include expenses incurred by the hotels due to the straight lining of the rent from ground lease obligations, the non-cash amortization of our favorable lease assets, and the non-cash amortization of our unfavorable contract liabilities. |
(2) | Excludes the Oak Brook Hills Resort and the Los Angeles Airport Marriott, which were sold in 2014, and the Hilton Garden Inn Times Square Central, which opened for business on September 1, 2014. Includes operating results for all other hotels assuming they were owned since January 1, 2013. |
(3) | Excludes the three hotels in New York City under renovation during the year ended December 31, 2013; the Lexington Hotel New York, Courtyard Manhattan Midtown East and Courtyard Fifth Avenue. |
Pro Forma Hotel Adjusted EBITDA Reconciliation | ||||||||||||||||||||
Full Year 2013 | ||||||||||||||||||||
Plus: | Plus: | Plus: | Equals: | |||||||||||||||||
Total Revenues | Net Income / (Loss) | Depreciation | Interest Expense | Non-Cash Adjustments (1) | Hotel Adjusted EBITDA | |||||||||||||||
Atlanta Alpharetta Marriott | $ | 17,976 | $ | 4,620 | $ | 1,622 | $ | — | $ | — | $ | 6,242 | ||||||||
Bethesda Marriott Suites | $ | 13,992 | $ | (4,616 | ) | $ | 1,628 | $ | — | $ | 6,206 | $ | 3,218 | |||||||
Boston Westin | $ | 76,126 | $ | 10,175 | $ | 8,532 | $ | — | $ | 9 | $ | 18,716 | ||||||||
Hilton Boston Downtown | $ | 26,356 | $ | 2,418 | $ | 5,819 | $ | — | $ | 167 | $ | 8,404 | ||||||||
Hilton Burlington | $ | 14,252 | $ | 2,215 | $ | 3,376 | $ | — | $ | 91 | $ | 5,682 | ||||||||
Renaissance Charleston | $ | 12,410 | $ | 2,880 | $ | 1,596 | $ | — | $ | (126 | ) | $ | 4,350 | |||||||
Hilton Garden Inn Chelsea | $ | 14,081 | $ | 4,328 | $ | 2,056 | $ | — | $ | — | $ | 6,384 | ||||||||
Chicago Marriott | $ | 100,380 | $ | (269 | ) | $ | 12,490 | $ | 12,851 | $ | (1,587 | ) | $ | 23,485 | ||||||
Chicago Conrad | $ | 26,706 | $ | 4,825 | $ | 3,759 | $ | — | $ | — | $ | 8,584 | ||||||||
Courtyard Denver Downtown | $ | 9,770 | $ | 3,329 | $ | 1,057 | $ | — | $ | — | $ | 4,386 | ||||||||
Courtyard Fifth Avenue | $ | 15,085 | $ | (1,953 | ) | $ | 1,614 | $ | 3,396 | $ | 213 | $ | 3,270 | |||||||
Courtyard Midtown East | $ | 26,875 | $ | 2,048 | $ | 2,553 | $ | 3,908 | $ | — | $ | 8,509 | ||||||||
Fort Lauderdale Westin | $ | 39,436 | $ | 3,899 | $ | 4,380 | $ | — | $ | — | $ | 8,279 | ||||||||
Frenchman's Reef | $ | 62,439 | $ | 2,777 | $ | 6,465 | $ | 3,299 | $ | — | $ | 12,541 | ||||||||
JW Marriott Denver Cherry Creek | $ | 22,139 | $ | 2,376 | $ | 2,001 | $ | 2,349 | $ | — | $ | 6,726 | ||||||||
Inn at Key West | $ | 6,973 | $ | 3,215 | $ | 360 | $ | — | $ | — | $ | 3,575 | ||||||||
Lexington Hotel New York | $ | 39,757 | $ | (15,427 | ) | $ | 12,142 | $ | 6,824 | $ | 52 | $ | 3,591 | |||||||
Minneapolis Hilton | $ | 50,097 | $ | 809 | $ | 7,779 | $ | 5,401 | $ | (532 | ) | $ | 13,457 | |||||||
Orlando Airport Marriott | $ | 20,365 | $ | (1,689 | ) | $ | 3,126 | $ | 3,305 | $ | — | $ | 4,742 | |||||||
Hotel Rex | $ | 6,274 | $ | 1,017 | $ | 927 | $ | — | $ | — | $ | 1,944 | ||||||||
Salt Lake City Marriott | $ | 26,117 | $ | 3,450 | $ | 2,982 | $ | 1,806 | $ | — | $ | 8,238 | ||||||||
The Lodge at Sonoma | $ | 21,355 | $ | 3,030 | $ | 1,475 | $ | 986 | $ | — | $ | 5,491 | ||||||||
Vail Marriott | $ | 29,432 | $ | 6,471 | $ | 2,421 | $ | — | $ | — | $ | 8,892 | ||||||||
Westin San Diego | $ | 28,095 | $ | 1,682 | $ | 4,309 | $ | 2,171 | $ | 187 | $ | 8,349 | ||||||||
Westin Washington D.C. City Center | $ | 25,981 | $ | (188 | ) | $ | 5,034 | $ | 3,116 | $ | 182 | $ | 8,144 | |||||||
Renaissance Worthington | $ | 32,608 | $ | 4,223 | $ | 2,768 | $ | 3,006 | $ | 8 | $ | 10,005 | ||||||||
Pro Forma Total (2) | $ | 765,077 | $ | 45,645 | $ | 102,271 | $ | 52,418 | $ | 4,870 | $ | 204,898 | ||||||||
Pro Forma Total Excluding NYC Renovations (3) | $ | 683,360 | $ | 60,977 | $ | 85,962 | $ | 38,290 | $ | 4,605 | $ | 189,528 |
(1) | The non-cash adjustments include expenses incurred by the hotels due to the straight lining of the rent from ground lease obligations, the non-cash amortization of our favorable lease assets, and the non-cash amortization of our unfavorable contract liabilities. |
(2) | Excludes the Oak Brook Hills Resort and the Los Angeles Airport Marriott, which were sold in 2014, and includes operating results for all other hotels assuming they were owned since January 1, 2013. |
(3) | Excludes the three hotels in New York City under renovation during the year ended December 31, 2013; the Lexington Hotel New York, Courtyard Manhattan Midtown East and Courtyard Fifth Avenue. |
2015 Forecast | |||||
Estimated Net Income | $ | 2.8 | |||
Depreciation Expense | 1.8 | ||||
Estimated EBITDA | $ | 4.6 |