Document_And_Entity_Informatio
Document And Entity Information | 3 Months Ended | |
Mar. 31, 2015 | Apr. 22, 2015 | |
Document And Entity Information [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | FALSE | |
Document Period End Date | 31-Mar-15 | |
Document Fiscal Year Focus | 2015 | |
Document Fiscal Period Focus | Q1 | |
Entity Registrant Name | LaSalle Hotel Properties | |
Entity Central Index Key | 1053532 | |
Current Fiscal Year End Date | -19 | |
Entity Filer Category | Large Accelerated Filer | |
Entity Common Stock, Shares Outstanding | 112,963,432 |
Consolidated_Balance_Sheets
Consolidated Balance Sheets (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Thousands, unless otherwise specified | ||
Assets: | ||
Investment in hotel properties, net (Note 3) | $3,877,876 | $3,428,556 |
Property under development | 15,294 | 35,613 |
Cash and cash equivalents | 17,385 | 114,131 |
Restricted cash reserves (Note 5) | 22,394 | 21,570 |
Hotel receivables (net of allowance for doubtful accounts of $329 and $300, respectively) | 42,096 | 30,338 |
Deferred financing costs, net | 6,025 | 6,564 |
Deferred tax assets | 6,544 | 1,447 |
Prepaid expenses and other assets | 30,131 | 61,730 |
Total assets | 4,017,745 | 3,699,949 |
Liabilities: | ||
Borrowings under credit facilities (Note 4) | 342,000 | 0 |
Term loans (Note 4) | 477,500 | 477,500 |
Bonds payable (Note 4) | 42,500 | 42,500 |
Mortgage loans (Note 4) | 499,859 | 501,090 |
Accounts payable and accrued expenses | 174,243 | 161,835 |
Advance deposits | 29,523 | 19,447 |
Accrued interest | 3,851 | 3,729 |
Distributions payable | 45,515 | 45,462 |
Total liabilities | 1,614,991 | 1,251,563 |
Commitments and contingencies | ||
Shareholders’ Equity: | ||
Preferred shares of beneficial interest, $0.01 par value (liquidation preference of $178,750), 40,000,000 shares authorized; 7,150,000 shares issued and outstanding (Note 6) | 72 | 72 |
Common shares of beneficial interest, $0.01 par value, 200,000,000 shares authorized; 112,963,432 shares issued and outstanding, and 112,828,536 shares issued and 112,824,508 shares outstanding, respectively (Note 6) | 1,127 | 1,127 |
Treasury shares, at cost (Note 6) | 0 | -138 |
Additional paid-in capital, net of offering costs of $80,146 and $80,124, respectively | 2,674,602 | 2,673,888 |
Accumulated other comprehensive (loss) income (Note 4) | -2,571 | 748 |
Distributions in excess of retained earnings | -277,048 | -233,988 |
Total shareholders’ equity | 2,396,182 | 2,441,709 |
Noncontrolling Interests: | ||
Noncontrolling interests in consolidated entities | 17 | 17 |
Noncontrolling interests of common units in Operating Partnership (Note 6) | 6,555 | 6,660 |
Total noncontrolling interests | 6,572 | 6,677 |
Total equity | 2,402,754 | 2,448,386 |
Total liabilities and equity | $4,017,745 | $3,699,949 |
Consolidated_Balance_Sheets_Pa
Consolidated Balance Sheets (Parenthetical) (USD $) | 3 Months Ended | 12 Months Ended |
In Thousands, except Share data, unless otherwise specified | Mar. 31, 2015 | Dec. 31, 2014 |
Statement of Financial Position [Abstract] | ||
Allowance for doubtful accounts | $329 | $300 |
Preferred shares, par value | $0.01 | $0.01 |
Preferred shares, liquidation preference | 178,750 | 178,750 |
Preferred shares, shares authorized | 40,000,000 | 40,000,000 |
Preferred shares, shares issued | 7,150,000 | 7,150,000 |
Preferred shares, shares outstanding | 7,150,000 | 7,150,000 |
Common shares, par value | $0.01 | $0.01 |
Common shares, shares authorized | 200,000,000 | 200,000,000 |
Common shares, shares issued | 112,963,432 | 112,828,536 |
Common shares, shares outstanding | 112,963,432 | 112,824,508 |
Offering costs | $80,146 | $80,124 |
Consolidated_Statements_of_Ope
Consolidated Statements of Operations and Comprehensive Loss (USD $) | 3 Months Ended | |
In Thousands, except Share data, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Hotel operating revenues: | ||
Room | $170,591 | $147,967 |
Food and beverage | 60,915 | 54,115 |
Other operating department | 18,017 | 15,025 |
Total hotel operating revenues | 249,523 | 217,107 |
Other income | 1,280 | 1,757 |
Total revenues | 250,803 | 218,864 |
Hotel operating expenses: | ||
Room | 48,721 | 43,684 |
Food and beverage | 45,118 | 41,700 |
Other direct | 3,920 | 5,181 |
Other indirect (Note 8) | 70,002 | 60,423 |
Total hotel operating expenses | 167,761 | 150,988 |
Depreciation and amortization | 42,878 | 37,760 |
Real estate taxes, personal property taxes and insurance | 15,934 | 14,954 |
Ground rent (Note 5) | 3,662 | 2,933 |
General and administrative | 6,267 | 5,492 |
Acquisition transaction costs (Note 3) | 447 | 107 |
Other expenses | 2,345 | 3,207 |
Total operating expenses | 239,294 | 215,441 |
Operating income | 11,509 | 3,423 |
Interest income | 6 | 1,789 |
Interest expense | -13,645 | -13,988 |
Loss from extinguishment of debt (Note 4) | 0 | -2,487 |
Loss before income tax benefit | -2,130 | -11,263 |
Income tax benefit (Note 9) | 4,868 | 6,392 |
Net income (loss) | 2,738 | -4,871 |
Noncontrolling interests of common units in Operating Partnership (Note 6) | -15 | 6 |
Net income (loss) attributable to the Company | 2,723 | -4,865 |
Distributions to preferred shareholders | -3,042 | -4,107 |
Net loss attributable to common shareholders | -319 | -8,972 |
Earnings per Common Share - Basic: | ||
Net loss attributable to common shareholders excluding amounts attributable to unvested restricted shares | $0 | ($0.09) |
Earnings per Common Share - Diluted: | ||
Net loss attributable to common shareholders excluding amounts attributable to unvested restricted shares | $0 | ($0.09) |
Weighted average number of common shares outstanding: | ||
Basic | 112,647,715 | 103,691,657 |
Diluted | 112,647,715 | 103,691,657 |
Comprehensive Loss: | ||
Net income (loss) | 2,738 | -4,871 |
Other comprehensive loss: | ||
Unrealized (loss) gain on interest rate derivative instruments (Note 4) | -4,398 | 111 |
Reclassification adjustment for amounts recognized in net income (loss) (Note 4) | 1,070 | -1,083 |
Comprehensive loss | -590 | -5,843 |
Noncontrolling interests of common units in Operating Partnership (Note 6) | -6 | 9 |
Comprehensive loss attributable to the Company | ($596) | ($5,834) |
Consolidated_Statements_of_Equ
Consolidated Statements of Equity (USD $) | Total | Total Shareholders' Equity [Member] | Preferred Shares of Beneficial Interest [Member] | Common Shares of Beneficial Interest [Member] | Treasury Shares [Member] | Additional Paid-In Capital [Member] | Accumulated Other Comprehensive Income (Loss) [Member] | Distributions In Excess of Retained Earnings [Member] | Total Noncontrolling Interests [Member] | Noncontrolling Interests in Consolidated Entities [Member] | Noncontrolling Interests of Common Units in Operating Partnership [Member] |
In Thousands, unless otherwise specified | |||||||||||
Balance, Beginning of year at Dec. 31, 2013 | $2,109,463 | $2,103,391 | $95 | $1,039 | ($14) | $2,379,246 | $4,603 | ($281,578) | $6,072 | $18 | $6,054 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||||
Issuance of shares, net of offering costs | 602 | 602 | 0 | 1 | 0 | 601 | 0 | 0 | 0 | 0 | 0 |
Repurchase of common shares into treasury | -1,201 | -1,201 | 0 | 0 | -1,201 | 0 | 0 | 0 | 0 | 0 | 0 |
Deferred compensation, net | 1,549 | 1,549 | 0 | 0 | 1,215 | 334 | 0 | 0 | 0 | 0 | 0 |
Adjustments to noncontrolling interests | 0 | 10 | 0 | 0 | 0 | 10 | 0 | 0 | -10 | 0 | -10 |
Distributions on earned shares from share awards with market conditions | -75 | -75 | 0 | 0 | 0 | 0 | 0 | -75 | 0 | 0 | 0 |
Distributions on common shares/units ($0.28 and $0.38 per share/unit, respectively) | -29,255 | -29,172 | 0 | 0 | 0 | 0 | 0 | -29,172 | -83 | 0 | -83 |
Distributions on preferred shares | -4,107 | -4,107 | 0 | 0 | 0 | 0 | 0 | -4,107 | 0 | 0 | 0 |
Net (loss) income | -4,871 | -4,865 | 0 | 0 | 0 | 0 | 0 | -4,865 | -6 | 0 | -6 |
Other comprehensive loss: | |||||||||||
Unrealized gain (loss) on interest rate derivative instruments | 111 | 111 | 0 | 0 | 0 | 0 | 111 | 0 | 0 | 0 | 0 |
Reclassification adjustment for amounts recognized in net (loss) income | -1,083 | -1,080 | 0 | 0 | 0 | 0 | -1,080 | 0 | -3 | 0 | -3 |
Balance, End of period at Mar. 31, 2014 | 2,071,133 | 2,065,163 | 95 | 1,040 | 0 | 2,380,191 | 3,634 | -319,797 | 5,970 | 18 | 5,952 |
Balance, Beginning of year at Dec. 31, 2014 | 2,448,386 | 2,441,709 | 72 | 1,127 | -138 | 2,673,888 | 748 | -233,988 | 6,677 | 17 | 6,660 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||||
Issuance of shares, net of offering costs | 669 | 669 | 0 | 0 | 0 | 669 | 0 | 0 | 0 | 0 | 0 |
Repurchase of common shares into treasury | -1,671 | -1,671 | 0 | 0 | -1,671 | 0 | 0 | 0 | 0 | 0 | 0 |
Deferred compensation, net | 1,854 | 1,854 | 0 | 0 | 1,809 | 45 | 0 | 0 | 0 | 0 | 0 |
Distributions on earned shares from share awards with market conditions | -334 | -334 | 0 | 0 | 0 | 0 | 0 | -334 | 0 | 0 | 0 |
Distributions on common shares/units ($0.28 and $0.38 per share/unit, respectively) | -42,518 | -42,407 | 0 | 0 | 0 | 0 | 0 | -42,407 | -111 | 0 | -111 |
Distributions on preferred shares | -3,042 | -3,042 | 0 | 0 | 0 | 0 | 0 | -3,042 | 0 | 0 | 0 |
Net (loss) income | 2,738 | 2,723 | 0 | 0 | 0 | 0 | 0 | 2,723 | 15 | 0 | 15 |
Other comprehensive loss: | |||||||||||
Unrealized gain (loss) on interest rate derivative instruments | -4,398 | -4,386 | 0 | 0 | 0 | 0 | -4,386 | 0 | -12 | 0 | -12 |
Reclassification adjustment for amounts recognized in net (loss) income | 1,070 | 1,067 | 0 | 0 | 0 | 0 | 1,067 | 0 | 3 | 0 | 3 |
Balance, End of period at Mar. 31, 2015 | $2,402,754 | $2,396,182 | $72 | $1,127 | $0 | $2,674,602 | ($2,571) | ($277,048) | $6,572 | $17 | $6,555 |
Consolidated_Statements_of_Equ1
Consolidated Statements of Equity (Parenthetical) (USD $) | 3 Months Ended | ||
Mar. 31, 2015 | Mar. 31, 2014 | ||
Statement of Stockholders' Equity [Abstract] | |||
Distributions on common shares/units (per share/unit) | $0.38 | [1] | $0.28 |
[1] | Amount is rounded to the nearest whole cent for presentation purposes. |
Consolidated_Statements_of_Cas
Consolidated Statements of Cash Flows (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Cash flows from operating activities: | ||
Net income (loss) | $2,738 | ($4,871) |
Adjustments to reconcile net income (loss) to net cash provided by operating activities: | ||
Depreciation and amortization | 42,878 | 37,760 |
Amortization of deferred financing costs, mortgage premium and note receivable discount | 547 | -476 |
Loss from extinguishment of debt | 0 | 2,487 |
Amortization of deferred compensation | 1,854 | 1,549 |
Deferred income tax benefit | -5,097 | -6,644 |
Allowance for doubtful accounts | 29 | -1 |
Other | 0 | 116 |
Changes in assets and liabilities: | ||
Restricted cash reserves | 147 | 332 |
Hotel receivables | -10,416 | -6,700 |
Prepaid expenses and other assets | 5,439 | -1,248 |
Accounts payable and accrued expenses | 6,029 | -4,756 |
Advance deposits | 8,011 | 5,700 |
Accrued interest | 122 | -127 |
Net cash provided by operating activities | 52,281 | 23,121 |
Cash flows from investing activities: | ||
Additions to properties | -23,508 | -14,168 |
Improvements to properties | -3,577 | -2,191 |
Acquisition of properties | -439,157 | 0 |
Deposit on acquisitions | 25,000 | -10,000 |
Purchase of office furniture and equipment | -70 | -6 |
Repayment of note receivable | 0 | 72,000 |
Restricted cash reserves | -971 | -302 |
Property insurance proceeds | 154 | 350 |
Net cash (used in) provided by investing activities | -442,129 | 45,683 |
Cash flows from financing activities: | ||
Borrowings under credit facilities | 388,524 | 202,138 |
Repayments under credit facilities | -46,524 | -226,744 |
Repayments of mortgage loans | -1,231 | -1,244 |
Payment of deferred financing costs | -8 | -4,874 |
Purchase of treasury shares | -1,671 | -1,201 |
Payment of common offering costs | -192 | 0 |
Distributions on earned shares from share awards with market conditions | -334 | -75 |
Distributions on preferred shares | -3,042 | -4,107 |
Distributions on common shares/units | -42,420 | -29,193 |
Net cash provided by (used in) financing activities | 293,102 | -65,300 |
Net change in cash and cash equivalents | -96,746 | 3,504 |
Cash and cash equivalents, beginning of period | 114,131 | 13,388 |
Cash and cash equivalents, end of period | $17,385 | $16,892 |
Organization
Organization | 3 Months Ended |
Mar. 31, 2015 | |
Organization [Abstract] | |
Organization | Organization |
LaSalle Hotel Properties (the “Company”), a Maryland real estate investment trust organized on January 15, 1998, primarily buys, owns, redevelops and leases upscale and luxury full-service hotels located in convention, resort and major urban business markets. The Company is a self-administered and self-managed real estate investment trust (“REIT”) as defined in the Internal Revenue Code of 1986, as amended (the “Code”). As a REIT, the Company is generally not subject to federal corporate income tax on that portion of its net income that is currently distributed to its shareholders. The income of LaSalle Hotel Lessee, Inc. (together with its wholly owned subsidiaries, “LHL”), the Company’s wholly owned taxable REIT subsidiary (“TRS”), is subject to taxation at normal corporate rates. | |
As of March 31, 2015, the Company owned interests in 47 hotels with over 12,000 guest rooms located in 10 states and the District of Columbia. Each hotel is leased to LHL (see Note 8) under a participating lease that provides for rental payments equal to the greater of (i) a base rent or (ii) a participating rent based on hotel revenues. The LHL leases expire between December 2015 and December 2017. Lease revenue from LHL is eliminated in consolidation. A third-party non-affiliated hotel operator manages each hotel pursuant to a hotel management agreement. | |
Substantially all of the Company’s assets are held directly or indirectly by, and all of its operations are conducted through, LaSalle Hotel Operating Partnership, L.P., a Delaware limited partnership (the “Operating Partnership”). The Company is the sole general partner of the Operating Partnership. The Company owned, through a combination of direct and indirect interests, 99.7% of the common units of the Operating Partnership at March 31, 2015. The remaining 0.3% is held by limited partners who held 296,300 common units of the Operating Partnership at March 31, 2015. See Note 6 for additional disclosures related to common units of the Operating Partnership. |
Summary_of_Significant_Account
Summary of Significant Accounting Policies | 3 Months Ended |
Mar. 31, 2015 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | Summary of Significant Accounting Policies |
The accompanying unaudited interim consolidated financial statements and related notes have been prepared in accordance with U.S. generally accepted accounting principles (“GAAP”) and in conformity with the rules and regulations of the Securities and Exchange Commission (“SEC”) applicable to interim financial information. As such, certain information and disclosures normally included in financial statements prepared in accordance with GAAP have been omitted in accordance with the rules and regulations of the SEC. These unaudited consolidated financial statements, in the opinion of management, include all adjustments (consisting of normal recurring adjustments) considered necessary for a fair presentation of the consolidated balance sheets, consolidated statements of operations and comprehensive income (loss), consolidated statements of equity and consolidated statements of cash flows for the periods presented. Operating results for the three months ended March 31, 2015 are not necessarily indicative of the results that may be expected for the year ending December 31, 2015 due to seasonal and other factors. These consolidated financial statements should be read in conjunction with the audited consolidated financial statements and accompanying notes included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2014. | |
Basis of Presentation | |
The consolidated financial statements include the accounts of the Company, the Operating Partnership, LHL and their subsidiaries in which they have a controlling interest, including joint ventures. All significant intercompany balances and transactions have been eliminated. | |
Use of Estimates | |
The preparation of the consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of certain assets and liabilities, the amounts of contingent assets and liabilities at the balance sheet date and the reported amounts of revenues and expenses during the reporting periods. Actual results could differ from those estimates. | |
Substantially all of the Company’s revenues and expenses are generated by the operations of the individual hotels. The Company records revenues and expenses that are estimated by the hotel operators and reviewed by the Company to produce quarterly financial statements because the management contracts do not require the hotel operators to submit actual results within a time frame that permits the Company to use actual results when preparing its Quarterly Reports on Form 10-Q for filing by the deadline prescribed by the SEC. Generally, the Company records actual revenue and expense amounts for the first two months of each quarter and estimated revenue and expense amounts for the last month of each quarter. Each quarter, the Company reviews the estimated revenue and expense amounts provided by the hotel operators for reasonableness based upon historical results for prior periods and internal Company forecasts. The Company records any differences between recorded estimated amounts and actual amounts in the following quarter; historically, these differences have not been material. The Company believes the quarterly revenues and expenses, recorded on the Company’s consolidated statements of operations and comprehensive income (loss) based on an aggregate estimate, are fairly stated. | |
Investment in Hotel Properties | |
Upon acquisition, the Company determines the fair value of the acquired long-lived assets, assumed debt and intangible assets and liabilities. The Company’s investments in hotel properties are carried at cost and depreciated using the straight-line method over an estimated useful life of 30 to 40 years for buildings, 15 years for building improvements, the shorter of the useful life of the improvement or the term of the related tenant lease for tenant improvements, 7 years for land improvements, 20 years for golf course land improvements, 20 years for swimming pool assets and 3 to 5 years for furniture, fixtures and equipment. For investments subject to land and building leases that qualify as capital leases, assets are recorded at the estimated fair value of the right to use the leased property at acquisition and depreciated over the shorter of the useful lives of the assets or the term of the respective lease. Renovations and/or replacements that improve or extend the life of the asset are capitalized and depreciated over their estimated useful lives. | |
The Company is required to make subjective assessments as to the useful lives and classification of its properties for purposes of determining the amount of depreciation expense to reflect each year with respect to those properties. These assessments have a direct impact on the Company’s net income. Should the Company change the expected useful life or classification of particular assets, it would result in a change in depreciation expense and annual net income. | |
Share-Based Compensation | |
From time to time, the Company awards nonvested shares under the 2014 Equity Incentive Plan (“2014 Plan”), which has approximately nine years remaining, as compensation to executives, employees and members of the Board of Trustees (see Note 7). The shares issued to executives and employees generally vest over three years. The shares issued to members of the Board of Trustees vest immediately upon issuance. The Company recognizes compensation expense for nonvested shares with service conditions or service and market conditions on a straight-line basis over the vesting period based upon the fair value of the shares on the date of issuance, adjusted for forfeitures. Compensation expense for nonvested shares with service and performance conditions is recognized based on the fair value of the estimated number of shares expected to vest, as revised throughout the vesting period, adjusted for forfeitures. The 2014 Plan replaced the 2009 Equity Incentive Plan (“2009 Plan”) in May 2014. | |
Noncontrolling Interests | |
The Company’s consolidated financial statements include entities in which the Company has a controlling financial interest. Noncontrolling interest is the portion of equity (net assets) in a subsidiary not attributable, directly or indirectly, to a parent. Such noncontrolling interests are reported on the consolidated balance sheets within equity, separately from the Company’s equity. On the consolidated statements of operations and comprehensive income (loss), revenues, expenses and net income or loss from less-than-wholly-owned subsidiaries are reported at the consolidated amounts, including both the amounts attributable to the Company and noncontrolling interests. Income or loss is allocated to noncontrolling interests based on their weighted average ownership percentage for the applicable period. Consolidated statements of equity include beginning balances, activity for the period and ending balances for shareholders’ equity, noncontrolling interests and total equity. | |
However, the Company’s noncontrolling interests that are redeemable for cash or other assets at the option of the holder, not solely within the control of the issuer, must be classified outside of permanent equity. The Company makes this determination based on terms in applicable agreements, specifically in relation to redemption provisions. Additionally, with respect to noncontrolling interests for which the Company has a choice to settle the contract by delivery of its own shares, the Company evaluates whether the Company controls the actions or events necessary to issue the maximum number of shares that could be required to be delivered under share settlement of the contract. | |
As of March 31, 2015, the consolidated results of the Company include the following ownership interests held by owners other than the Company: (i) the common units in the Operating Partnership held by third parties, (ii) the outside preferred ownership interests in a subsidiary and (iii) the outside ownership interest in a joint venture. | |
Recently Issued Accounting Pronouncements | |
In February 2015, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2015-02, Consolidation (Topic 810): Amendments to the Consolidation Analysis, which changes the way reporting enterprises evaluate the consolidation of limited partnerships, variable interests and similar entities. This pronouncement will be effective for the first annual reporting period beginning after December 15, 2015 with early adoption permitted. The Company is evaluating the effect that ASU No. 2015-02 will have on its consolidated financial statements and related disclosures, but believes it will not have a material impact on its financial reporting. |
Investment_in_Hotel_Properties
Investment in Hotel Properties | 3 Months Ended | ||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||
Investments [Abstract] | |||||||||||||||||
Investment in Hotel Properties | Investment in Hotel Properties | ||||||||||||||||
Investment in hotel properties as of March 31, 2015 and December 31, 2014 consists of the following: | |||||||||||||||||
31-Mar-15 | 31-Dec-14 | ||||||||||||||||
Land | $ | 730,735 | $ | 601,962 | |||||||||||||
Buildings and improvements | 3,595,465 | 3,295,233 | |||||||||||||||
Furniture, fixtures and equipment | 659,946 | 596,879 | |||||||||||||||
Investment in hotel properties, gross | 4,986,146 | 4,494,074 | |||||||||||||||
Accumulated depreciation | (1,108,270 | ) | (1,065,518 | ) | |||||||||||||
Investment in hotel properties, net | $ | 3,877,876 | $ | 3,428,556 | |||||||||||||
As of March 31, 2015 and December 31, 2014, buildings and improvements included capital lease assets of $186,711 and accumulated depreciation included amounts related to capital lease assets of $16,866 and $15,513, respectively. Depreciation of the capital lease assets is included in depreciation and amortization expense in the accompanying consolidated statements of operations and comprehensive loss for all periods presented. | |||||||||||||||||
Depreciation expense was $42,752 and $37,658 for the three months ended March 31, 2015 and 2014, respectively. | |||||||||||||||||
Acquisitions | |||||||||||||||||
In connection with the acquisition of Hotel Vitale on April 2, 2014, the Company incurred acquisition transaction costs of $107 that were expensed as incurred during the three months ended March 31, 2014, which expenses are included in the accompanying consolidated statements of operations and comprehensive loss. | |||||||||||||||||
During the first quarter of 2015, the Company acquired 100% interests in two full-service hotels, each of which is leased to LHL. The Company recorded the acquisitions at fair value using model-derived valuations, with the estimated fair value recorded to investment in hotel properties and hotel working capital assets and liabilities. In connection with the acquisitions, the Company incurred acquisition transaction costs that were expensed as incurred. The following is a summary of the acquisitions: | |||||||||||||||||
Acquisition | |||||||||||||||||
Transaction Costs | |||||||||||||||||
Hotel Name | Acquisition Date | Number of | Location | Purchase | Manager | For the three months ended March 31, 2015 | |||||||||||
Rooms | Price | ||||||||||||||||
Park Central San Francisco | 23-Jan-15 | 681 | San Francisco, CA | $ | 350,000 | Highgate Hotels | $ | 230 | |||||||||
The Marker Waterfront Resort | 16-Mar-15 | 96 | Key West, FL | 96,250 | Highgate Hotels | 217 | |||||||||||
Total | $ | 446,250 | $ | 447 | |||||||||||||
The sources of the funding for the January 23, 2015 acquisition were cash on hand and borrowings under the Company’s senior unsecured credit facility. The source of funding for the March 16, 2015 acquisition was borrowings under the Company’s senior unsecured credit facility. The Company has not yet finalized its determination of fair value of the 2015 acquisitions. A final determination of required fair value adjustments will be made during 2015. Total revenues and net income from the hotels acquired during 2015 of $14,466 and $786, respectively, are included in the accompanying consolidated statements of operations and comprehensive loss for the three months ended March 31, 2015. |
LongTerm_Debt
Long-Term Debt | 3 Months Ended | |||||||||||||||||||
Mar. 31, 2015 | ||||||||||||||||||||
Long-term Debt, Other Disclosures [Abstract] | ||||||||||||||||||||
Long-Term Debt | Long-Term Debt | |||||||||||||||||||
Debt Summary | ||||||||||||||||||||
Debt as of March 31, 2015 and December 31, 2014 consisted of the following: | ||||||||||||||||||||
Balance Outstanding as of | ||||||||||||||||||||
Debt | Interest | Maturity | March 31, | December 31, | ||||||||||||||||
Rate | Date | 2015 | 2014 | |||||||||||||||||
Credit facilities | ||||||||||||||||||||
Senior unsecured credit facility | Floating (a) | January 2018 (a) | $ | 342,000 | $ | 0 | ||||||||||||||
LHL unsecured credit facility | Floating (b) | January 2018 (b) | 0 | 0 | ||||||||||||||||
Total borrowings under credit facilities | 342,000 | 0 | ||||||||||||||||||
Term loans | ||||||||||||||||||||
First Term Loan | Floating (c) | May-19 | 177,500 | 177,500 | ||||||||||||||||
Second Term Loan | Floating (c) | Jan-19 | 300,000 | 300,000 | ||||||||||||||||
Total term loans | 477,500 | 477,500 | ||||||||||||||||||
Massport Bonds | ||||||||||||||||||||
Hyatt Boston Harbor (taxable) | Floating (d) | Mar-18 | 5,400 | 5,400 | ||||||||||||||||
Hyatt Boston Harbor (tax exempt) | Floating (d) | Mar-18 | 37,100 | 37,100 | ||||||||||||||||
Total bonds payable | 42,500 | 42,500 | ||||||||||||||||||
Mortgage loans | ||||||||||||||||||||
Westin Copley Place | 5.28% | September 2015 (e) | 210,000 | 210,000 | ||||||||||||||||
Westin Michigan Avenue | 5.75% | Apr-16 | 132,811 | 133,347 | ||||||||||||||||
Indianapolis Marriott Downtown | 5.99% | Jul-16 | 97,158 | 97,528 | ||||||||||||||||
The Roger | 6.31% | Aug-16 | 59,890 | 60,215 | ||||||||||||||||
Total mortgage loans | 499,859 | 501,090 | ||||||||||||||||||
Total debt | $ | 1,361,859 | $ | 1,021,090 | ||||||||||||||||
(a) | Borrowings bear interest at floating rates equal to, at the Company’s option, either (i) LIBOR plus an applicable margin, or (ii) an Adjusted Base Rate plus an applicable margin. As of March 31, 2015, the rate, including the applicable margin, for the Company’s outstanding LIBOR borrowing of $342,000 was 1.88%. There were no borrowings outstanding at December 31, 2014. The Company has the option, pursuant to certain terms and conditions, to extend the maturity date for two six-month extensions. | |||||||||||||||||||
(b) | Borrowings bear interest at floating rates equal to, at LHL’s option, either (i) LIBOR plus an applicable margin, or (ii) an Adjusted Base Rate plus an applicable margin. There were no borrowings outstanding at March 31, 2015 and December 31, 2014. LHL has the option, pursuant to certain terms and conditions, to extend the maturity date for two six-month extensions. | |||||||||||||||||||
(c) | Term loans bear interest at floating rates equal to LIBOR plus an applicable margin. The Company entered into separate interest rate swap agreements for the full seven-year term of the First Term Loan (as defined below) and a five-year term ending in August 2017 for the Second Term Loan (as defined below), resulting in fixed all-in interest rates at March 31, 2015 and December 31, 2014 of 3.62% and 2.38%, respectively, at the Company’s current leverage ratio (as defined in the swap agreements). | |||||||||||||||||||
(d) | The Massport Bonds are secured by letters of credit issued by U.S. Bank National Association (“U.S. Bank”) that expire in September 2016. The letters of credit have two one-year extension options and are secured by the Hyatt Boston Harbor. The letters of credit cannot be extended beyond the Massport Bonds’ maturity date. The bonds bear interest based on weekly floating rates. The interest rates as of March 31, 2015 and December 31, 2014 were 0.13% and 0.03% for the $5,400 and $37,100 bonds, respectively. The Company incurs an annual letter of credit fee of 1.35%. | |||||||||||||||||||
(e) | The Company intends to repay the mortgage loan upon maturity through either borrowings on its credit facilities, placement of corporate-level debt or proceeds from a property-level mortgage financing. | |||||||||||||||||||
Future scheduled debt principal payments as of March 31, 2015 are as follows: | ||||||||||||||||||||
2015 | $ | 213,565 | ||||||||||||||||||
2016 | 286,294 | |||||||||||||||||||
2017 | 0 | |||||||||||||||||||
2018 | 384,500 | |||||||||||||||||||
2019 | 477,500 | |||||||||||||||||||
Total debt | $ | 1,361,859 | ||||||||||||||||||
A summary of the Company’s interest expense and weighted average interest rates for variable rate debt for the three months ended March 31, 2015 and 2014 is as follows: | ||||||||||||||||||||
For the three months ended | ||||||||||||||||||||
March 31, | ||||||||||||||||||||
2015 | 2014 | |||||||||||||||||||
Interest Expense: | ||||||||||||||||||||
Interest incurred | $ | 13,322 | $ | 13,519 | ||||||||||||||||
Amortization of deferred financing costs | 547 | 528 | ||||||||||||||||||
Capitalized interest | (224 | ) | (59 | ) | ||||||||||||||||
Interest expense | $ | 13,645 | $ | 13,988 | ||||||||||||||||
Weighted Average Interest Rates for Variable Rate Debt: | ||||||||||||||||||||
Senior unsecured credit facility | 1.88 | % | 1.87 | % | ||||||||||||||||
LHL unsecured credit facility | 1.87 | % | 1.91 | % | ||||||||||||||||
Massport Bonds | 0.04 | % | 0.45 | % | ||||||||||||||||
Credit Facilities | ||||||||||||||||||||
On January 8, 2014, the Company refinanced its $750,000 senior unsecured credit facility with a syndicate of banks. The credit facility matures on January 8, 2018, subject to two six-month extensions that the Company may exercise at its option, pursuant to certain terms and conditions, including payment of an extension fee. The credit facility, with a current commitment of $750,000, includes an accordion feature which, subject to certain conditions, entitles the Company to request additional lender commitments, allowing for total commitments up to $1,050,000. Borrowings under the credit facility bear interest at floating rates equal to, at the Company’s option, either (i) LIBOR plus an applicable margin, or (ii) an Adjusted Base Rate plus an applicable margin. Additionally, the Company is required to pay a variable unused commitment fee of 0.25% or 0.30% of the unused portion of the credit facility, depending on the average daily unused portion of the credit facility. | ||||||||||||||||||||
On January 8, 2014, LHL also refinanced its $25,000 unsecured revolving credit facility to be used for working capital and general lessee corporate purposes. The LHL credit facility matures on January 8, 2018, subject to two six-month extensions that LHL may exercise at its option, pursuant to certain terms and conditions, including payment of an extension fee. Borrowings under the LHL credit facility bear interest at floating rates equal to, at LHL’s option, either (i) LIBOR plus an applicable margin, or (ii) an Adjusted Base Rate plus an applicable margin. Additionally, LHL is required to pay a variable unused commitment fee of 0.25% or 0.30% of the unused portion of the credit facility, depending on the average daily unused portion of the LHL credit facility. | ||||||||||||||||||||
The Company’s senior unsecured credit facility and LHL’s unsecured credit facility contain certain financial covenants relating to net worth requirements, debt ratios and fixed charge coverage and other limitations that restrict the Company’s ability to make distributions or other payments to its shareholders upon events of default. | ||||||||||||||||||||
Term Loans | ||||||||||||||||||||
On May 16, 2012, the Company entered into a $177,500 unsecured term loan with a seven-year term maturing on May 16, 2019 (the “First Term Loan”). The First Term Loan bears interest at a variable rate, but was hedged to a fixed interest rate based on the Company’s current leverage ratio (as defined in the swap agreements), which interest rate was 3.62% at March 31, 2015, for the full seven-year term (see “Derivative and Hedging Activities” below). | ||||||||||||||||||||
On January 8, 2014, the Company refinanced its $300,000 unsecured term loan (the “Second Term Loan”). The Second Term Loan includes an accordion feature, which subject to certain conditions, entitles the Company to request additional lender commitments, allowing for total commitments up to $500,000. The Second Term Loan has a five-year term maturing on January 8, 2019 and bears interest at variable rates, but was hedged to a fixed interest rate based on the Company’s current leverage ratio (as defined in the swap agreements), which interest rate was 2.38% at March 31, 2015, through August 2, 2017 (see “Derivative and Hedging Activities” below). | ||||||||||||||||||||
The Company’s term loans contain certain financial covenants relating to net worth requirements, debt ratios and fixed charge coverage and other limitations that restrict the Company’s ability to make distributions or other payments to its shareholders upon events of default. | ||||||||||||||||||||
Derivative and Hedging Activities | ||||||||||||||||||||
The Company primarily uses interest rate swaps as part of its interest rate risk management strategy. Interest rate swaps designated as cash flow hedges involve the receipt of variable-rate amounts from a counterparty in exchange for the Company making fixed-rate payments over the life of the agreements without exchange of the underlying notional amount. Unrealized gains and losses on the effective portion of hedging instruments are reported in other comprehensive income (loss) (“OCL”). Ineffective portions of changes in the fair value of a cash flow hedge are recognized as interest expense. Amounts reported in accumulated other comprehensive income (loss) (“AOCL”) related to currently outstanding derivatives are recognized as an adjustment to income (loss) as interest payments are made on the Company’s variable rate debt. Effective May 16, 2012, the Company entered into three interest rate swap agreements with an aggregate notional amount of $177,500 for the First Term Loan’s full seven-year term, resulting in a fixed all-in interest rate based on the Company’s current leverage ratio (as defined in the swap agreements), which interest rate was 3.62% at March 31, 2015. Effective August 2, 2012, the Company entered into five interest rate swap agreements with an aggregate notional amount of $300,000 for the Second Term Loan through August 2, 2017, resulting in a fixed all-in interest rate based on the Company’s current leverage ratio (as defined in the swap agreements), which interest rate was 2.38% at March 31, 2015. The Company has designated its pay-fixed, receive-floating interest rate swap derivatives as cash flow hedges. The interest rate swaps were entered into with the intention of eliminating the variability of the terms loans, but can also limit the exposure to any amendments, supplements, replacements or refinancings of the Company’s debt. | ||||||||||||||||||||
The following tables present the effect of derivative instruments on the Company’s consolidated statements of operations and comprehensive loss, including the location and amount of unrealized (loss) gain on outstanding derivative instruments in cash flow hedging relationships, for the three months ended March 31, 2015 and 2014: | ||||||||||||||||||||
Amount of (Loss) Gain Recognized in OCL on Derivative Instruments | Location of Gain (Loss) Reclassified from AOCL into Net Income (Loss) | Amount of Gain (Loss) Reclassified from AOCL into Net Income (Loss) | ||||||||||||||||||
(Effective Portion) | (Effective Portion) | (Effective Portion) | ||||||||||||||||||
For the three months ended | For the three months ended | |||||||||||||||||||
March 31, | March 31, | |||||||||||||||||||
2015 | 2014 | 2015 | 2014 | |||||||||||||||||
Derivatives in cash flow hedging relationships: | ||||||||||||||||||||
Interest rate swaps | $ | (4,398 | ) | $ | 111 | Interest expense | $ | 1,070 | $ | (1,083 | ) | |||||||||
During the three months ended March 31, 2015 and 2014, the Company did not have any hedge ineffectiveness or amounts that were excluded from the assessment of hedge effectiveness recorded in earnings. | ||||||||||||||||||||
As of March 31, 2015, there was $2,578 in cumulative unrealized loss of which $2,571 was included in AOCL and $7 was attributable to noncontrolling interests. As of December 31, 2014, there was $750 in cumulative unrealized gain of which $748 was included in AOCL and $2 was attributable to noncontrolling interests. The Company expects that approximately $4,332 will be reclassified from AOCL and noncontrolling interests and recognized as a reduction to income in the next 12 months, calculated as estimated interest expense using the interest rates on the derivative instruments as of March 31, 2015. | ||||||||||||||||||||
Extinguishment of Debt | ||||||||||||||||||||
As discussed above, on January 8, 2014, the Company refinanced its senior unsecured credit facility and Second Term Loan and LHL refinanced its unsecured revolving credit facility. The refinancing arrangements for the senior unsecured credit facility and Second Term Loan were considered substantial modifications. The Company recognized a loss from extinguishment of debt of $2,487, which is included in the accompanying consolidated statements of operations and comprehensive loss. The loss from extinguishment of debt represents a portion of the unamortized deferred financing costs incurred when the original agreements were executed. | ||||||||||||||||||||
Mortgage Loans | ||||||||||||||||||||
The Company’s mortgage loans are secured by the respective properties. The mortgages are non-recourse to the Company except for fraud or misapplication of funds. | ||||||||||||||||||||
The mortgage loans contain debt service coverage ratio tests related to the mortgaged properties. If the debt service coverage ratio for a specific property fails to exceed a threshold level specified in the mortgage, cash flows from that hotel will automatically be directed to the lender to (i) satisfy required payments, (ii) fund certain reserves required by the mortgage and (iii) fund additional cash reserves for future required payments, including final payment. Cash flows may be directed to the lender (“cash trap”) until such time as the property again complies with the specified debt service coverage ratio or the mortgage is paid off. | ||||||||||||||||||||
Financial Covenants | ||||||||||||||||||||
Failure of the Company to comply with the financial covenants contained in its credit facilities, term loans and non-recourse secured mortgages could result from, among other things, changes in its results of operations, the incurrence of additional debt or changes in general economic conditions. | ||||||||||||||||||||
If the Company violates the financial covenants contained in any of its credit facilities or term loans described above, the Company may attempt to negotiate waivers of the violations or amend the terms of the applicable credit facilities or term loans with the lenders thereunder; however, the Company can make no assurance that it would be successful in any such negotiations or that, if successful in obtaining waivers or amendments, such amendments or waivers would be on terms attractive to the Company. If a default under the credit facilities or term loans were to occur, the Company would possibly have to refinance the debt through additional debt financing, private or public offerings of debt securities, or additional equity financings. If the Company is unable to refinance its debt on acceptable terms, including at maturity of the credit facilities and term loans, it may be forced to dispose of hotel properties on disadvantageous terms, potentially resulting in losses that reduce cash flow from operating activities. If, at the time of any refinancing, prevailing interest rates or other factors result in higher interest rates upon refinancing, increases in interest expense would lower the Company’s cash flow, and, consequently, cash available for distribution to its shareholders. | ||||||||||||||||||||
A cash trap associated with a mortgage loan may limit the overall liquidity for the Company as cash from the hotel securing such mortgage would not be available for the Company to use. If the Company is unable to meet mortgage payment obligations, including the payment obligation upon maturity of the mortgage borrowing, the mortgage securing the specific property could be foreclosed upon by, or the property could be otherwise transferred to, the mortgagee with a consequent loss of income and asset value to the Company. | ||||||||||||||||||||
As of March 31, 2015, the Company is in compliance with all debt covenants, current on all loan payments and not otherwise in default under the credit facilities, term loans, bonds payable or mortgage loans. |
Commitments_And_Contingencies
Commitments And Contingencies | 3 Months Ended | |||
Mar. 31, 2015 | ||||
Commitments and Contingencies Disclosure [Abstract] | ||||
Commitments And Contingencies | Commitments and Contingencies | |||
Ground, Land and Building, and Air Rights Leases | ||||
Eight of the Company’s hotels, San Diego Paradise Point Resort and Spa, Hyatt Boston Harbor, Indianapolis Marriott Downtown, The Hilton San Diego Resort and Spa, Hotel Solamar, Viceroy Santa Monica, The Liberty Hotel and Hotel Vitale, are subject to ground leases under non-cancelable operating leases expiring from March 2026 to December 2102. Additionally, the restaurant facility for Southernmost Hotel Collection is subject to a ground lease, which expires in April 2019, but the Company can begin negotiating a renewal one year in advance of the lease expiration. The ground lease at Hyatt Boston Harbor expires in March 2026, but the Company has options to extend for over 50 years to 2077. None of the remaining ground leases expire prior to 2045. The Westin Copley Place is subject to a long term air rights lease, which expires in December 2077 and requires no payments through maturity. The ground lease related to the Indianapolis Marriott Downtown requires future ground rent payments of one dollar per year. The ground leases at Viceroy Santa Monica, The Liberty Hotel and Hotel Vitale are subject to minimum annual rent increases, resulting in noncash straight-line rent expense of $493 and $324 for the three months ended March 31, 2015 and 2014, respectively, which is included in total ground rent expense below. | ||||
The Roger, Harbor Court Hotel and Hotel Triton are subject to capital leases of land and building which expire in December 2044, April 2048 and January 2048, respectively. At acquisition, the estimated fair value of the remaining rent payments of $4,892, $18,424 and $27,752, respectively, were recorded as capital lease obligations. These obligations, net of amortization, are included in accounts payable and accrued expenses in the accompanying consolidated balance sheets. | ||||
Total ground rent expense for the three months ended March 31, 2015 and 2014 was $3,662 and $2,933, respectively. Certain rent payments are based on the hotel’s performance. Actual payments of rent may exceed the minimum required rent due to meeting specified thresholds. | ||||
Future minimum rent payments, including capital lease payments, (without reflecting future applicable Consumer Price Index increases) are as follows: | ||||
2015 | $ | 8,896 | ||
2016 | 12,074 | |||
2017 | 12,344 | |||
2018 | 12,531 | |||
2019 | 12,506 | |||
Thereafter | 584,139 | |||
$ | 642,490 | |||
Reserve Funds for Future Capital Expenditures | ||||
Certain of the Company’s agreements with its hotel managers, franchisors and lenders have provisions for the Company to provide funds, generally 4.0% of hotel revenues, sufficient to cover the cost of (a) certain non-routine repairs and maintenance to the hotels and (b) replacements and renewals to the hotels’ capital assets. Certain of the agreements require that the Company reserve this cash in separate accounts. As of March 31, 2015, $15,167 was available in restricted cash reserves for future capital expenditures. The Company has sufficient cash on hand and availability on its credit facilities to cover capital expenditures under agreements that do not require that the Company separately reserve cash. | ||||
Restricted Cash Reserves | ||||
At March 31, 2015, the Company held $22,394 in restricted cash reserves. Included in such amounts are (i) $15,167 of reserve funds for future capital expenditures, (ii) $5,018 deposited in mortgage escrow accounts pursuant to mortgage obligations to pre-fund a portion of certain operating expenses and debt payments and (iii) $2,209 held by insurance and management companies on the Company’s behalf to be refunded or applied to future liabilities. | ||||
Litigation | ||||
The nature of hotel operations exposes the Company and its hotels to the risk of claims and litigation in the normal course of their business. The Company is not presently subject to any material litigation nor, to the Company’s knowledge, is any litigation threatened against the Company, other than routine actions for negligence or other claims and administrative proceedings arising in the ordinary course of business, some of which are expected to be covered by liability insurance and all of which collectively are not expected to have a material adverse effect on the liquidity, results of operations, business or financial condition of the Company. |
Equity
Equity | 3 Months Ended | ||||||||||
Mar. 31, 2015 | |||||||||||
Stockholders' Equity Note [Abstract] | |||||||||||
Equity | Equity | ||||||||||
Common Shares of Beneficial Interest | |||||||||||
On January 1, 2015, the Company issued 11,682 common shares of beneficial interest and authorized an additional 4,183 deferred shares to the independent members of its Board of Trustees for their 2014 compensation. These common shares of beneficial interest were issued under the 2014 Plan. Additionally, the Company issued 9,757 common shares of beneficial interest, related to the resignation of a former Board of Trustees member, for the second of five payouts of his accumulated deferred shares granted as compensation for years 1999 through 2013. These common shares of beneficial interest were issued under the 2009 Plan. | |||||||||||
On January 1, 2015, the Company issued 108,779 nonvested shares with service conditions to executives related to the nonvested share awards with market conditions granted on January 26, 2012 (see Note 7 for additional details including vesting information). These common shares of beneficial interest were issued under the 2009 Plan. | |||||||||||
On March 19, 2015, the Company issued 62,742 nonvested shares with service conditions to the Company’s executives and employees. The nonvested shares will vest in three annual installments starting January 1, 2016, subject to continued employment. These common shares of beneficial interest were issued under the 2014 Plan. | |||||||||||
On February 20, 2013, the Company entered into an equity distribution agreement (the “2013 Agreement”) with Raymond James & Associates, Inc. (the “Manager”). Under the terms of the 2013 Agreement, the Company may issue from time to time through or to the Manager, as sales agent or principal, the Company’s common shares of beneficial interest with aggregate gross proceeds totaling up to $250,000. The offering of the Company’s common shares of beneficial interest under the 2013 Agreement will terminate upon the earlier of (i) the sale of common shares having an aggregate offering price of $250,000 or (ii) the termination of the 2013 Agreement by the Manager or Company. No shares were sold in the first quarter of 2015. As of March 31, 2015, the Company had availability under the 2013 Agreement to issue and sell common shares of beneficial interest having an aggregate offering price of up to $230,057. | |||||||||||
Common Dividends | |||||||||||
The Company paid the following dividend on common shares/units during the three months ended March 31, 2015: | |||||||||||
Dividend per | For the Quarter Ended | Record Date | Payable Date | ||||||||
Share/Unit (1) | |||||||||||
$ | 0.38 | 31-Dec-14 | 31-Dec-14 | 15-Jan-15 | |||||||
(1) Amount is rounded to the nearest whole cent for presentation purposes. | |||||||||||
Treasury Shares | |||||||||||
Treasury shares are accounted for under the cost method. During the three months ended March 31, 2015, the Company received 54,036 common shares of beneficial interest related to employees surrendering shares to pay minimum withholding taxes at the time nonvested shares vested and forfeiting nonvested shares upon resignation. | |||||||||||
On August 29, 2011, the Company’s Board of Trustees authorized a share repurchase program (the “Repurchase Program”) to acquire up to $100,000 of the Company’s common shares of beneficial interest, with repurchased shares recorded at cost in treasury. As of March 31, 2015, the Company had availability under the Repurchase Program to acquire up to $75,498 of common shares of beneficial interest. However, the Company is not currently authorized by its Board of Trustees to repurchase or offer to repurchase any common shares. If authorized by its Board of Trustees, the Company may resume using the Repurchase Program on a future date. | |||||||||||
During the three months ended March 31, 2015, the Company re-issued 58,064 treasury shares related to the grants of nonvested shares. | |||||||||||
At March 31, 2015, there were no common shares of beneficial interest in treasury. | |||||||||||
Preferred Shares | |||||||||||
The following preferred shares of beneficial interest were outstanding as of March 31, 2015: | |||||||||||
Security Type | Number of | ||||||||||
Shares | |||||||||||
7 ½% Series H Preferred Shares | 2,750,000 | ||||||||||
6 ⅜% Series I Preferred Shares | 4,400,000 | ||||||||||
The 7 ½% Series H Cumulative Redeemable Preferred Shares (“Series H Preferred Shares”) and the 6 ⅜% Series I Cumulative Redeemable Preferred Shares (“Series I Preferred Shares”) (collectively, the “Preferred Shares”) rank senior to the common shares of beneficial interest and on parity with each other with respect to payment of distributions; the Company will not pay any distributions, or set aside any funds for the payment of distributions, on its common shares of beneficial interest unless it has also paid (or set aside for payment) the full cumulative distributions on the Preferred Shares for all past dividend periods and, with respect to the Series H Preferred Shares, for the current dividend period. The outstanding Preferred Shares do not have any maturity date, and are not subject to mandatory redemption. The difference between the carrying value and the redemption amount of the Preferred Shares are the offering costs. In addition, the Company is not required to set aside funds to redeem the Preferred Shares. | |||||||||||
The Company may not optionally redeem the Series H Preferred Shares and Series I Preferred Shares prior to January 24, 2016 and March 4, 2018, respectively, except in limited circumstances relating to the Company’s continuing qualification as a REIT or as discussed below. After those dates, the Company may, at its option, redeem the Series H Preferred Shares and Series I Preferred Shares, in whole or from time to time in part, by payment of $25.00 per share, plus any accumulated, accrued and unpaid distributions to and including the date of redemption. In addition, upon the occurrence of a change of control (as defined in the Company’s charter), the result of which the Company’s common shares of beneficial interest and the common securities of the acquiring or surviving entity are not listed on the New York Stock Exchange, the NYSE MKT LLC or the NASDAQ Stock Market, or any successor exchanges, the Company may, at its option, redeem the Preferred Shares in whole or in part within 120 days after the change of control occurred, by paying $25.00 per share, plus any accrued and unpaid distributions to and including the date of redemption. If the Company does not exercise its right to redeem the Preferred Shares upon a change of control, the holders of Series H Preferred Shares and Series I Preferred Shares have the right to convert some or all of their shares into a number of the Company’s common shares of beneficial interest based on a defined formula subject to a cap of 4,680,500 common shares and 8,835,200 common shares, respectively. | |||||||||||
Preferred Dividends | |||||||||||
The Company paid the following dividends on preferred shares during the three months ended March 31, 2015: | |||||||||||
Dividend per | For the | ||||||||||
Security Type | Share (1) | Quarter Ended | Record Date | Payable Date | |||||||
7 ½% Series H | $ | 0.47 | 31-Dec-14 | 1-Jan-15 | 15-Jan-15 | ||||||
6 ⅜% Series I | $ | 0.4 | December 31, 2014 | January 1, 2015 | January 15, 2015 | ||||||
(1) | Amounts are rounded to the nearest whole cent for presentation purposes. | ||||||||||
Noncontrolling Interests of Common Units in Operating Partnership | |||||||||||
As of March 31, 2015, the Operating Partnership had 296,300 common units of limited partnership interest outstanding, representing a 0.3% partnership interest held by the limited partners. As of March 31, 2015, approximately $11,514 of cash or the equivalent value in common shares, at the Company’s option, would be paid to the limited partners of the Operating Partnership if the partnership were terminated. The approximate value of $11,514 is based on the Company’s closing common share price of $38.86 on March 31, 2015, which is assumed to be equal to the value provided to the limited partners upon liquidation of the Operating Partnership. Subject to certain limitations, the outstanding common units of limited partnership interest are redeemable for cash, or at the Company’s option, for a like number of common shares of beneficial interest of the Company. |
Equity_Incentive_Plan
Equity Incentive Plan | 3 Months Ended | ||||||
Mar. 31, 2015 | |||||||
Employee Stock Ownership Plan (ESOP), Shares in ESOP [Abstract] | |||||||
Equity Incentive Plan | Equity Incentive Plan | ||||||
The common shareholders approved the 2014 Plan at the 2014 Annual Meeting of Shareholders held on May 7, 2014, which permits the Company to issue equity-based awards to executives, employees, non-employee members of the Board of Trustees and any other persons providing services to or for the Company and its subsidiaries. The 2014 Plan provides for a maximum of 2,900,000 common shares of beneficial interest to be issued in the form of share options, share appreciation rights, restricted or unrestricted share awards, phantom shares, performance awards, incentive awards, other share-based awards, or any combination of the foregoing. In addition, the maximum number of common shares subject to awards of any combination that may be granted under the 2014 Plan during any fiscal year to any one individual is limited to 500,000 shares. The 2014 Plan terminates on February 17, 2024. The 2014 Plan authorized, among other things: (i) the grant of share options that qualify as incentive options under the Code, (ii) the grant of share options that do not so qualify, (iii) the grant of common shares in lieu of cash for trustees’ fees, (iv) grants of common shares in lieu of cash compensation and (v) the making of loans to acquire common shares in lieu of compensation (to the extent permitted by law and applicable provisions of the Sarbanes Oxley Act of 2002). The exercise price of share options is determined by the Compensation Committee of the Board of Trustees, but may not be less than 100% of the fair value of the common shares on the date of grant. Restricted share awards and options under the 2014 Plan vest over a period determined by the Compensation Committee of the Board of Trustees, generally a three year period. The duration of each option is also determined by the Compensation Committee, subject to applicable laws and regulations. At March 31, 2015, there were 2,805,689 common shares available for future grant under the 2014 Plan. Upon the approval of the 2014 Plan by the common shareholders on May 7, 2014, the 2014 Plan replaced the 2009 Plan. The Company will no longer make any grants under the 2009 Plan (although awards previously made under the 2009 Plan that are outstanding will remain in effect in accordance with the terms of that plan and the applicable award agreements). | |||||||
Nonvested Share Awards with Service Conditions | |||||||
From time to time, the Company awards nonvested shares under the 2014 Plan to executives, employees and members of the Board of Trustees. The nonvested shares issued to executives and employees generally vest over three years based on continued employment. The shares issued to the members of the Board of Trustees vest immediately upon issuance. The Company determines the grant date fair value of the nonvested shares based upon the closing stock price of its common shares on the New York Stock Exchange on the date of grant and number of shares per the award agreements. Compensation costs are recognized on a straight-line basis over the requisite service period and are included in general and administrative expense in the accompanying consolidated statements of operations and comprehensive loss. | |||||||
A summary of the Company’s nonvested share awards with service conditions as of March 31, 2015 is as follows: | |||||||
Number of | Weighted - | ||||||
Shares | Average Grant | ||||||
Date Fair Value | |||||||
Nonvested at January 1, 2015 | 256,379 | $ | 31 | ||||
Granted | 62,742 | 38.84 | |||||
Vested | (73,234 | ) | 28.74 | ||||
Forfeited | (12,736 | ) | 27.31 | ||||
Nonvested at March 31, 2015 (1) | 233,151 | $ | 34.02 | ||||
(1) | Amount excludes 84,401 share awards with market conditions which were earned but nonvested due to a service condition as of March 31, 2015. | ||||||
As of March 31, 2015 and December 31, 2014, there were $6,380 and $5,113, respectively, of total unrecognized compensation costs related to nonvested share awards with service conditions. As of March 31, 2015 and December 31, 2014, these costs were expected to be recognized over a weighted–average period of 1.7 and 1.9 years, respectively. The total intrinsic value of shares vested (calculated as number of shares multiplied by vesting date share price) during the three months ended March 31, 2015 and 2014 was $2,964 and $2,377, respectively. Compensation costs (net of forfeitures) related to nonvested share awards with service conditions that have been included in general and administrative expense in the accompanying consolidated statements of operations and comprehensive loss were $822 and $740 for the three months ended March 31, 2015 and 2014, respectively. | |||||||
Nonvested Share Awards with Market or Performance Conditions | |||||||
On January 26, 2012, the Company’s Board of Trustees granted a target of 79,823 nonvested share awards with market conditions to executives. On January 1, 2015, the executives earned 136.3% of their 79,823 target number of shares, or 108,779 shares. Of the shares earned, 36,261 shares vested immediately on January 1, 2015, and the remaining 72,518 shares will vest in equal amounts on January 1, 2016 and January 1, 2017 based on continued employment. The executives received a cash payment of $334 on the earned shares equal to the value of all dividends paid on common shares from January 1, 2012 until the determination date, January 1, 2015. As of January 1, 2015, the executives are entitled to receive dividends as declared and paid on the earned shares and to vote the shares. | |||||||
On March 19, 2015, the Company’s Board of Trustees granted a target of 61,660 nonvested share awards with either market or performance conditions to executives (the “March 19, 2015 Awards”). The actual amounts of the shares awarded with respect to 30,829 of the 61,660 shares will be determined on January 1, 2018, based on the performance measurement period of January 1, 2015 through December 31, 2017, in accordance with the terms of the agreements. The actual amounts of the shares awarded with respect to the remaining 30,831 of the 61,660 shares will be determined on July 1, 2018, based on the performance measurement period of July 1, 2015 through June 30, 2018, in accordance with the terms of the agreements. The actual amounts of the shares awarded will range from 0% to 200% of the target amounts, depending on the performance analysis stipulated in the agreements, and none of the shares are outstanding until issued in accordance with award agreements based on performance. After the actual amounts of the awards are determined (or earned) at the end of the respective performance measurement period, all of the earned shares will be issued and outstanding on those dates. The executives will receive cash payments on the earned shares equal to the value of all dividends paid on common shares from the grant date through the respective determination date. Such amounts will be paid to the awardees on or about January 1, 2018 and July 1, 2018, respectively. Thereafter, the executives will be entitled to receive dividends as declared and paid on the earned shares and to vote the shares. With respect to 30,829 shares, amortization commenced on March 19, 2015, the beginning of the requisite service period, and, with respect to 30,831 shares, amortization will commence on July 1, 2015, the beginning of the requisite service period. | |||||||
The terms stipulated in the March 19, 2015 Awards used to determine the total amount of the shares consist of the following three tranches: (1) a comparison of the Company’s total return to the total returns’ of seven companies in a designated peer group of the Company, (2) the Company’s actual total return as compared to a Board-established total return goal and (3) a comparison of the Company’s return on invested capital to the return on invested capital of seven companies in a designated peer group of the Company. | |||||||
The tranches described in (1) and (2) are nonvested share awards with market conditions. For the March 19, 2015 Awards, the grant date fair value of the awards with market conditions were estimated by the Company using historical data under the Monte Carlo valuation method provided by a third party consultant. The final values are expected to be determined during the second quarter of 2015 with an insignificant cumulative adjustment to compensation cost anticipated. The third tranche is based on “return on invested capital” discussed below, which is a performance condition. The grant date fair values of the tranches with performance conditions were calculated based on the targeted awards, and the valuation is adjusted on a periodic basis. | |||||||
The capital market assumptions used in the valuations consisted of the following: | |||||||
• | Factors associated with the underlying performance of the Company’s share price and shareholder returns over the term of the awards including total share return volatility and risk-free interest. | ||||||
• | Factors associated with the relative performance of the Company’s share price and shareholder returns when compared to those companies which compose the index including beta as a means to breakdown total volatility into market-related and company specific volatilities. | ||||||
• | The valuation has been performed in a risk-neutral framework. | ||||||
• | Return on invested capital is a performance condition award measurement. The estimated value was calculated based on the initial face value at the date of grant. The valuation will be adjusted on a periodic basis as the estimated number of awards expected to vest is revised. | ||||||
A summary of the Company’s nonvested share awards with either market or performance conditions as of March 31, 2015 is as follows: | |||||||
Number of | Weighted- | ||||||
Shares | Average Grant | ||||||
Date Fair Value | |||||||
Nonvested at January 1, 2015 | 311,625 | $ | 33.62 | ||||
Granted (1)(2) | 90,616 | 37.8 | |||||
Vested | (53,654 | ) | 35.99 | ||||
Forfeited | 0 | 0 | |||||
Nonvested at March 31, 2015 | 348,587 | $ | 34.35 | ||||
(1) | Amount includes 30,831 shares awarded on March 19, 2015 for which fair value has been estimated, but amortization into expense has not yet commenced. Amortization of fair value into expense will commence at the beginning of the performance measurement period on July 1, 2015. | ||||||
(2) | Amount includes an additional 28,956 shares issued on January 1, 2015 from the January 26, 2012 grant, which were earned in excess of the target amount. | ||||||
As of March 31, 2015 and December 31, 2014, there were $7,202 and $6,637, respectively, of total unrecognized compensation costs related to nonvested share awards with market or performance conditions. As of March 31, 2015 and December 31, 2014, these costs were expected to be recognized over a weighted–average period of 2.2 and 2.0 years, respectively. As of March 31, 2015 and December 31, 2014, there were 308,069 and 254,415 share awards with market or performance conditions vested, respectively. Additionally, there were 84,401 and 29,276 nonvested share awards with market or performance conditions earned but nonvested due to a service condition as of March 31, 2015 and December 31, 2014, respectively. Compensation costs (net of forfeitures) related to nonvested share awards with market or performance conditions that have been included in general and administrative expense in the accompanying consolidated statements of operations and comprehensive loss were $1,032 and $809 for the three months ended March 31, 2015 and 2014, respectively. |
LHL
LHL | 3 Months Ended | |||||||
Mar. 31, 2015 | ||||||||
Real Estate Investment Trust, Operating Support [Abstract] | ||||||||
LHL | LHL | |||||||
Substantially all of the Company’s revenues are derived from operating revenues generated by the hotels, all of which are leased by LHL. | ||||||||
Other indirect hotel operating expenses consist of the following expenses incurred by the hotels: | ||||||||
For the three months ended | ||||||||
March 31, | ||||||||
2015 | 2014 | |||||||
General and administrative | $ | 23,907 | $ | 20,047 | ||||
Sales and marketing | 17,951 | 14,788 | ||||||
Repairs and maintenance | 9,611 | 9,026 | ||||||
Management and incentive fees | 7,328 | 6,164 | ||||||
Utilities and insurance | 8,817 | 8,136 | ||||||
Franchise fees | 1,828 | 1,822 | ||||||
Other expenses | 560 | 440 | ||||||
Total other indirect expenses | $ | 70,002 | $ | 60,423 | ||||
As of March 31, 2015, LHL leased all 47 hotels owned by the Company as follows: | ||||||||
Hotel Properties | Location | |||||||
1 | Hotel Amarano Burbank | Burbank, CA | ||||||
2 | L’Auberge Del Mar | Del Mar, CA | ||||||
3 | Hilton San Diego Gaslamp Quarter | San Diego, CA | ||||||
4 | Hotel Solamar | San Diego, CA | ||||||
5 | San Diego Paradise Point Resort and Spa | San Diego, CA | ||||||
6 | The Hilton San Diego Resort and Spa | San Diego, CA | ||||||
7 | Harbor Court Hotel | San Francisco, CA | ||||||
8 | Hotel Monaco San Francisco | San Francisco, CA | ||||||
9 | Hotel Triton | San Francisco, CA | ||||||
10 | Hotel Vitale | San Francisco, CA | ||||||
11 | Park Central San Francisco | San Francisco, CA | ||||||
12 | Serrano Hotel | San Francisco, CA | ||||||
13 | Villa Florence | San Francisco, CA | ||||||
14 | Chaminade Resort and Conference Center | Santa Cruz, CA | ||||||
15 | Viceroy Santa Monica | Santa Monica, CA | ||||||
16 | Chamberlain West Hollywood | West Hollywood, CA | ||||||
17 | Le Montrose Suite Hotel | West Hollywood, CA | ||||||
18 | Le Parc Suite Hotel | West Hollywood, CA | ||||||
19 | The Grafton on Sunset | West Hollywood, CA | ||||||
20 | The Donovan | Washington, D.C. | ||||||
21 | Hotel George | Washington, D.C. | ||||||
22 | Hotel Helix | Washington, D.C. | ||||||
23 | Hotel Madera | Washington, D.C. | ||||||
24 | Hotel Palomar, Washington, DC | Washington, D.C. | ||||||
25 | Hotel Rouge | Washington, D.C. | ||||||
26 | Sofitel Washington, DC Lafayette Square | Washington, D.C. | ||||||
27 | The Liaison Capitol Hill | Washington, D.C. | ||||||
28 | Topaz Hotel | Washington, D.C. | ||||||
29 | Southernmost Hotel Collection | Key West, FL | ||||||
30 | The Marker Waterfront Resort | Key West, FL | ||||||
31 | Hotel Chicago | Chicago, IL | ||||||
32 | Westin Michigan Avenue | Chicago, IL | ||||||
33 | Indianapolis Marriott Downtown | Indianapolis, IN | ||||||
34 | Hyatt Boston Harbor | Boston, MA | ||||||
35 | Onyx Hotel | Boston, MA | ||||||
36 | The Liberty Hotel | Boston, MA | ||||||
37 | Westin Copley Place | Boston, MA | ||||||
38 | Gild Hall | New York, NY | ||||||
39 | The Roger | New York, NY | ||||||
40 | Park Central Hotel (shared lease with WestHouse Hotel New York) | New York, NY | ||||||
41 | WestHouse Hotel New York | New York, NY | ||||||
42 | The Heathman Hotel | Portland, OR | ||||||
43 | Embassy Suites Philadelphia - Center City | Philadelphia, PA | ||||||
44 | Westin Philadelphia | Philadelphia, PA | ||||||
45 | Lansdowne Resort | Lansdowne,VA | ||||||
46 | Alexis Hotel | Seattle, WA | ||||||
47 | Hotel Deca | Seattle, WA |
Income_Taxes
Income Taxes | 3 Months Ended | |||||||
Mar. 31, 2015 | ||||||||
Income Tax Disclosure [Abstract] | ||||||||
Income Taxes | Income Taxes | |||||||
Income tax benefit was comprised of the following for the three months ended March 31, 2015 and 2014: | ||||||||
For the three months ended | ||||||||
March 31, | ||||||||
2015 | 2014 | |||||||
LHL’s income tax benefit | $ | (5,079 | ) | $ | (6,627 | ) | ||
Operating Partnership’s income tax expense | 211 | 235 | ||||||
Total income tax benefit | $ | (4,868 | ) | $ | (6,392 | ) | ||
The Company has estimated LHL’s income tax benefit for the three months ended March 31, 2015 by applying an estimated combined federal and state effective tax rate of 32.6% to LHL’s net loss of $15,637. From time to time, the Company may be subject to federal, state or local tax audits in the normal course of business. |
Fair_Value_Measurements
Fair Value Measurements | 3 Months Ended | |||||||||||||||
Mar. 31, 2015 | ||||||||||||||||
Fair Value Disclosures [Abstract] | ||||||||||||||||
Fair Value Measurements | Fair Value Measurements | |||||||||||||||
In evaluating fair value, GAAP outlines a valuation framework and creates a fair value hierarchy that distinguishes between market assumptions based on market data (observable inputs) and a reporting entity’s own assumptions about market data (unobservable inputs). The hierarchy ranks the quality and reliability of inputs used to determine fair value, which are then classified and disclosed in one of the three categories. The three levels are as follows: | ||||||||||||||||
Level 1—Inputs are quoted prices (unadjusted) in active markets for identical assets or liabilities that the entity has the ability to access at the measurement date. | ||||||||||||||||
Level 2—Observable inputs, other than quoted prices included in level 1, such as interest rates, yield curves, quoted prices in active markets for similar assets and liabilities, and quoted prices for identical or similar assets or liabilities in markets that are not active. | ||||||||||||||||
Level 3—Unobservable inputs that are supported by limited market activity. This includes certain pricing models, discounted cash flow methodologies and similar techniques when observable inputs are not available. | ||||||||||||||||
The Company estimates the fair value of its financial instruments using available market information and valuation methodologies the Company believes to be appropriate for these purposes. Considerable judgment and subjectivity are involved in developing these estimates and, accordingly, such estimates are not necessarily indicative of amounts that would be realized upon disposition. | ||||||||||||||||
Recurring Measurements | ||||||||||||||||
For assets and liabilities measured at fair value on a recurring basis, quantitative disclosure of their fair value is as follows: | ||||||||||||||||
Fair Value Measurements at | ||||||||||||||||
31-Mar-15 | 31-Dec-14 | |||||||||||||||
Using Significant Other Observable | ||||||||||||||||
Inputs (Level 2) | ||||||||||||||||
Description | Consolidated Balance Sheet Location | |||||||||||||||
Derivative interest rate instruments | Prepaid expenses and other assets | $ | 44 | $ | 1,520 | |||||||||||
Derivative interest rate instruments | Accounts payable and accrued expenses | $ | 2,622 | $ | 770 | |||||||||||
The fair value of each derivative instrument is based on a discounted cash flow analysis of the expected cash flows under each arrangement. This analysis reflects the contractual terms of the derivative instrument, including the period to maturity, and utilizes observable market-based inputs, including interest rate curves and implied volatilities, which are classified within level 2 of the fair value hierarchy. The Company also incorporates credit value adjustments to appropriately reflect each parties’ nonperformance risk in the fair value measurement, which utilizes level 3 inputs such as estimates of current credit spreads. However, the Company has assessed that the credit valuation adjustments are not significant to the overall valuation of the derivatives. As a result, the Company has determined that its derivative valuations in their entirety are classified within level 2 of the fair value hierarchy. | ||||||||||||||||
Financial Instruments Not Measured at Fair Value | ||||||||||||||||
The following table represents the fair value, derived using level 2 inputs, of financial instruments presented at carrying value in the Company’s consolidated financial statements as of March 31, 2015 and December 31, 2014: | ||||||||||||||||
March 31, 2015 | December 31, 2014 | |||||||||||||||
Carrying Value | Estimated Fair Value | Carrying Value | Estimated Fair Value | |||||||||||||
Borrowings under credit facilities | $ | 342,000 | $ | 342,376 | $ | 0 | $ | 0 | ||||||||
Term loans | $ | 477,500 | $ | 477,048 | $ | 477,500 | $ | 476,996 | ||||||||
Bonds payable | $ | 42,500 | $ | 42,500 | $ | 42,500 | $ | 42,500 | ||||||||
Mortgage loans | $ | 499,859 | $ | 508,470 | $ | 501,090 | $ | 510,250 | ||||||||
The Company estimated the fair value of its borrowings under credit facilities, term loans, bonds payable and mortgage loans using interest rates ranging from 1.6% to 4.0% as of March 31, 2015 and from 1.6% to 4.3% as of December 31, 2014 with a weighted average effective interest rate of 2.5% and 2.9% as of March 31, 2015 and December 31, 2014, respectively. The assumptions reflect the terms currently available on similar borrowings to borrowers with credit profiles similar to the Company’s. | ||||||||||||||||
At March 31, 2015 and December 31, 2014, the carrying amounts of certain of the Company’s financial instruments, including cash and cash equivalents, restricted cash, accounts receivable and accounts payable and accrued expenses were representative of their fair values due to the short-term nature of these instruments and the recent acquisition of these items. |
Earnings_Per_Common_Share
Earnings Per Common Share | 3 Months Ended | |||||||
Mar. 31, 2015 | ||||||||
Earnings Per Share [Abstract] | ||||||||
Earnings Per Common Share | Earnings Per Common Share | |||||||
The limited partners’ outstanding common units in the Operating Partnership (which may be converted to common shares of beneficial interest) have been excluded from the diluted earnings per share calculation as there would be no effect on the amounts since the limited partners’ share of income or loss would also be added back to net income or loss. Any anti-dilutive shares have been excluded from the diluted earnings per share calculation. Unvested share-based awards that contain nonforfeitable rights to dividends or dividend equivalents (whether paid or unpaid) are participating securities and shall be included in the computation of earnings per share pursuant to the two-class method. Accordingly, distributed and undistributed earnings attributable to unvested restricted shares (participating securities) have been excluded, as applicable, from net income or loss attributable to common shareholders used in the basic and diluted earnings per share calculations. Net income or loss figures are presented net of noncontrolling interests in the earnings per share calculations. | ||||||||
For the three months ended March 31, 2015 and 2014, diluted weighted average common shares do not include the impact of outstanding unvested compensation-related shares because the Company is in a net loss position, the effect of these items on diluted earnings per share would be anti-dilutive. For the three months ended March 31, 2015 and 2014, there were 405,526 and 310,385 anti-dilutive compensation-related shares outstanding, respectively. | ||||||||
The computation of basic and diluted earnings per common share is as follows: | ||||||||
For the three months ended | ||||||||
March 31, | ||||||||
2015 | 2014 | |||||||
Numerator: | ||||||||
Net loss attributable to common shareholders | $ | (319 | ) | $ | (8,972 | ) | ||
Dividends paid on unvested restricted shares | (119 | ) | (102 | ) | ||||
Undistributed earnings attributable to unvested restricted shares | 0 | 0 | ||||||
Net loss attributable to common shareholders excluding amounts attributable to unvested restricted shares | $ | (438 | ) | $ | (9,074 | ) | ||
Denominator: | ||||||||
Weighted average number of common shares - basic | 112,647,715 | 103,691,657 | ||||||
Effect of dilutive securities: | ||||||||
Compensation-related shares | 0 | 0 | ||||||
Weighted average number of common shares - diluted | 112,647,715 | 103,691,657 | ||||||
Earnings per Common Share - Basic: | ||||||||
Net loss attributable to common shareholders excluding amounts attributable to unvested restricted shares | $ | 0 | $ | (0.09 | ) | |||
Earnings per Common Share - Diluted: | ||||||||
Net loss attributable to common shareholders excluding amounts attributable to unvested restricted shares | $ | 0 | $ | (0.09 | ) | |||
Supplemental_Information_to_St
Supplemental Information to Statements of Cash Flows | 3 Months Ended | |||||||
Mar. 31, 2015 | ||||||||
Supplemental Cash Flow Information [Abstract] | ||||||||
Supplemental Information to Statements of Cash Flows | Supplemental Information to Statements of Cash Flows | |||||||
For the three months ended | ||||||||
March 31, | ||||||||
2015 | 2014 | |||||||
Interest paid, net of capitalized interest | $ | 12,976 | $ | 13,587 | ||||
Interest capitalized | 224 | 59 | ||||||
Income taxes refunded, net | 160 | 164 | ||||||
Increase in distributions payable on common shares | 53 | 27 | ||||||
Write-off of fully amortized deferred financing costs | 0 | 23 | ||||||
Decrease in accrued capital expenditures | (1,066 | ) | (1,841 | ) | ||||
Grant of nonvested shares and awards to employees and executives, net | 3,686 | 3,762 | ||||||
Issuance of common shares for Board of Trustees compensation | 691 | 602 | ||||||
In conjunction with the acquisition of properties, the Company assumed | ||||||||
the following assets and liabilities: | ||||||||
Investment in properties (after credits at closing) | $ | (445,734 | ) | $ | 0 | |||
Other assets | (1,897 | ) | 0 | |||||
Liabilities | 8,474 | 0 | ||||||
Acquisition of properties | $ | (439,157 | ) | $ | 0 | |||
Subsequent_Events
Subsequent Events | 3 Months Ended | ||||||||||
Mar. 31, 2015 | |||||||||||
Subsequent Events [Abstract] | |||||||||||
Subsequent Events | Subsequent Events | ||||||||||
The Company paid the following common and preferred dividends subsequent to March 31, 2015: | |||||||||||
Dividend per | For the Quarter | Record | Payable | ||||||||
Security Type | Share/Unit (1) | Ended | Date | Date | |||||||
Common Shares/Units | $ | 0.38 | March 31, 2015 | March 31, 2015 | April 15, 2015 | ||||||
7 ½% Series H Preferred Shares | $ | 0.47 | March 31, 2015 | April 1, 2015 | April 15, 2015 | ||||||
6 ⅜% Series I Preferred Shares | $ | 0.4 | March 31, 2015 | April 1, 2015 | April 15, 2015 | ||||||
(1)Amounts are rounded to the nearest whole cent for presentation purposes. |
Summary_of_Significant_Account1
Summary of Significant Accounting Policies (Policy) | 3 Months Ended |
Mar. 31, 2015 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation |
The consolidated financial statements include the accounts of the Company, the Operating Partnership, LHL and their subsidiaries in which they have a controlling interest, including joint ventures. All significant intercompany balances and transactions have been eliminated. | |
Use of Estimates | Use of Estimates |
The preparation of the consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of certain assets and liabilities, the amounts of contingent assets and liabilities at the balance sheet date and the reported amounts of revenues and expenses during the reporting periods. Actual results could differ from those estimates. | |
Substantially all of the Company’s revenues and expenses are generated by the operations of the individual hotels. The Company records revenues and expenses that are estimated by the hotel operators and reviewed by the Company to produce quarterly financial statements because the management contracts do not require the hotel operators to submit actual results within a time frame that permits the Company to use actual results when preparing its Quarterly Reports on Form 10-Q for filing by the deadline prescribed by the SEC. Generally, the Company records actual revenue and expense amounts for the first two months of each quarter and estimated revenue and expense amounts for the last month of each quarter. Each quarter, the Company reviews the estimated revenue and expense amounts provided by the hotel operators for reasonableness based upon historical results for prior periods and internal Company forecasts. The Company records any differences between recorded estimated amounts and actual amounts in the following quarter; historically, these differences have not been material. The Company believes the quarterly revenues and expenses, recorded on the Company’s consolidated statements of operations and comprehensive income (loss) based on an aggregate estimate, are fairly stated. | |
Investment in Hotel Properties | Investment in Hotel Properties |
Upon acquisition, the Company determines the fair value of the acquired long-lived assets, assumed debt and intangible assets and liabilities. The Company’s investments in hotel properties are carried at cost and depreciated using the straight-line method over an estimated useful life of 30 to 40 years for buildings, 15 years for building improvements, the shorter of the useful life of the improvement or the term of the related tenant lease for tenant improvements, 7 years for land improvements, 20 years for golf course land improvements, 20 years for swimming pool assets and 3 to 5 years for furniture, fixtures and equipment. For investments subject to land and building leases that qualify as capital leases, assets are recorded at the estimated fair value of the right to use the leased property at acquisition and depreciated over the shorter of the useful lives of the assets or the term of the respective lease. Renovations and/or replacements that improve or extend the life of the asset are capitalized and depreciated over their estimated useful lives. | |
The Company is required to make subjective assessments as to the useful lives and classification of its properties for purposes of determining the amount of depreciation expense to reflect each year with respect to those properties. These assessments have a direct impact on the Company’s net income. Should the Company change the expected useful life or classification of particular assets, it would result in a change in depreciation expense and annual net income. | |
Share-Based Compensation | Share-Based Compensation |
From time to time, the Company awards nonvested shares under the 2014 Equity Incentive Plan (“2014 Plan”), which has approximately nine years remaining, as compensation to executives, employees and members of the Board of Trustees (see Note 7). The shares issued to executives and employees generally vest over three years. The shares issued to members of the Board of Trustees vest immediately upon issuance. The Company recognizes compensation expense for nonvested shares with service conditions or service and market conditions on a straight-line basis over the vesting period based upon the fair value of the shares on the date of issuance, adjusted for forfeitures. Compensation expense for nonvested shares with service and performance conditions is recognized based on the fair value of the estimated number of shares expected to vest, as revised throughout the vesting period, adjusted for forfeitures. The 2014 Plan replaced the 2009 Equity Incentive Plan (“2009 Plan”) in May 2014. | |
Noncontrolling Interests | Noncontrolling Interests |
The Company’s consolidated financial statements include entities in which the Company has a controlling financial interest. Noncontrolling interest is the portion of equity (net assets) in a subsidiary not attributable, directly or indirectly, to a parent. Such noncontrolling interests are reported on the consolidated balance sheets within equity, separately from the Company’s equity. On the consolidated statements of operations and comprehensive income (loss), revenues, expenses and net income or loss from less-than-wholly-owned subsidiaries are reported at the consolidated amounts, including both the amounts attributable to the Company and noncontrolling interests. Income or loss is allocated to noncontrolling interests based on their weighted average ownership percentage for the applicable period. Consolidated statements of equity include beginning balances, activity for the period and ending balances for shareholders’ equity, noncontrolling interests and total equity. | |
However, the Company’s noncontrolling interests that are redeemable for cash or other assets at the option of the holder, not solely within the control of the issuer, must be classified outside of permanent equity. The Company makes this determination based on terms in applicable agreements, specifically in relation to redemption provisions. Additionally, with respect to noncontrolling interests for which the Company has a choice to settle the contract by delivery of its own shares, the Company evaluates whether the Company controls the actions or events necessary to issue the maximum number of shares that could be required to be delivered under share settlement of the contract. | |
As of March 31, 2015, the consolidated results of the Company include the following ownership interests held by owners other than the Company: (i) the common units in the Operating Partnership held by third parties, (ii) the outside preferred ownership interests in a subsidiary and (iii) the outside ownership interest in a joint venture. | |
Recently Issued Accounting Pronouncements | Recently Issued Accounting Pronouncements |
In February 2015, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2015-02, Consolidation (Topic 810): Amendments to the Consolidation Analysis, which changes the way reporting enterprises evaluate the consolidation of limited partnerships, variable interests and similar entities. This pronouncement will be effective for the first annual reporting period beginning after December 15, 2015 with early adoption permitted. The Company is evaluating the effect that ASU No. 2015-02 will have on its consolidated financial statements and related disclosures, but believes it will not have a material impact on its financial reporting. |
Investment_in_Hotel_Properties1
Investment in Hotel Properties (Tables) | 3 Months Ended | ||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||
Investments [Abstract] | |||||||||||||||||
Property, Plant and Equipment | Investment in hotel properties as of March 31, 2015 and December 31, 2014 consists of the following: | ||||||||||||||||
31-Mar-15 | 31-Dec-14 | ||||||||||||||||
Land | $ | 730,735 | $ | 601,962 | |||||||||||||
Buildings and improvements | 3,595,465 | 3,295,233 | |||||||||||||||
Furniture, fixtures and equipment | 659,946 | 596,879 | |||||||||||||||
Investment in hotel properties, gross | 4,986,146 | 4,494,074 | |||||||||||||||
Accumulated depreciation | (1,108,270 | ) | (1,065,518 | ) | |||||||||||||
Investment in hotel properties, net | $ | 3,877,876 | $ | 3,428,556 | |||||||||||||
Summary of Acquisitions | The following is a summary of the acquisitions: | ||||||||||||||||
Acquisition | |||||||||||||||||
Transaction Costs | |||||||||||||||||
Hotel Name | Acquisition Date | Number of | Location | Purchase | Manager | For the three months ended March 31, 2015 | |||||||||||
Rooms | Price | ||||||||||||||||
Park Central San Francisco | 23-Jan-15 | 681 | San Francisco, CA | $ | 350,000 | Highgate Hotels | $ | 230 | |||||||||
The Marker Waterfront Resort | 16-Mar-15 | 96 | Key West, FL | 96,250 | Highgate Hotels | 217 | |||||||||||
Total | $ | 446,250 | $ | 447 | |||||||||||||
LongTerm_Debt_Tables
Long-Term Debt (Tables) | 3 Months Ended | |||||||||||||||||||
Mar. 31, 2015 | ||||||||||||||||||||
Long-term Debt, Other Disclosures [Abstract] | ||||||||||||||||||||
Components of Long-Term Debt | Debt as of March 31, 2015 and December 31, 2014 consisted of the following: | |||||||||||||||||||
Balance Outstanding as of | ||||||||||||||||||||
Debt | Interest | Maturity | March 31, | December 31, | ||||||||||||||||
Rate | Date | 2015 | 2014 | |||||||||||||||||
Credit facilities | ||||||||||||||||||||
Senior unsecured credit facility | Floating (a) | January 2018 (a) | $ | 342,000 | $ | 0 | ||||||||||||||
LHL unsecured credit facility | Floating (b) | January 2018 (b) | 0 | 0 | ||||||||||||||||
Total borrowings under credit facilities | 342,000 | 0 | ||||||||||||||||||
Term loans | ||||||||||||||||||||
First Term Loan | Floating (c) | May-19 | 177,500 | 177,500 | ||||||||||||||||
Second Term Loan | Floating (c) | Jan-19 | 300,000 | 300,000 | ||||||||||||||||
Total term loans | 477,500 | 477,500 | ||||||||||||||||||
Massport Bonds | ||||||||||||||||||||
Hyatt Boston Harbor (taxable) | Floating (d) | Mar-18 | 5,400 | 5,400 | ||||||||||||||||
Hyatt Boston Harbor (tax exempt) | Floating (d) | Mar-18 | 37,100 | 37,100 | ||||||||||||||||
Total bonds payable | 42,500 | 42,500 | ||||||||||||||||||
Mortgage loans | ||||||||||||||||||||
Westin Copley Place | 5.28% | September 2015 (e) | 210,000 | 210,000 | ||||||||||||||||
Westin Michigan Avenue | 5.75% | Apr-16 | 132,811 | 133,347 | ||||||||||||||||
Indianapolis Marriott Downtown | 5.99% | Jul-16 | 97,158 | 97,528 | ||||||||||||||||
The Roger | 6.31% | Aug-16 | 59,890 | 60,215 | ||||||||||||||||
Total mortgage loans | 499,859 | 501,090 | ||||||||||||||||||
Total debt | $ | 1,361,859 | $ | 1,021,090 | ||||||||||||||||
(a) | Borrowings bear interest at floating rates equal to, at the Company’s option, either (i) LIBOR plus an applicable margin, or (ii) an Adjusted Base Rate plus an applicable margin. As of March 31, 2015, the rate, including the applicable margin, for the Company’s outstanding LIBOR borrowing of $342,000 was 1.88%. There were no borrowings outstanding at December 31, 2014. The Company has the option, pursuant to certain terms and conditions, to extend the maturity date for two six-month extensions. | |||||||||||||||||||
(b) | Borrowings bear interest at floating rates equal to, at LHL’s option, either (i) LIBOR plus an applicable margin, or (ii) an Adjusted Base Rate plus an applicable margin. There were no borrowings outstanding at March 31, 2015 and December 31, 2014. LHL has the option, pursuant to certain terms and conditions, to extend the maturity date for two six-month extensions. | |||||||||||||||||||
(c) | Term loans bear interest at floating rates equal to LIBOR plus an applicable margin. The Company entered into separate interest rate swap agreements for the full seven-year term of the First Term Loan (as defined below) and a five-year term ending in August 2017 for the Second Term Loan (as defined below), resulting in fixed all-in interest rates at March 31, 2015 and December 31, 2014 of 3.62% and 2.38%, respectively, at the Company’s current leverage ratio (as defined in the swap agreements). | |||||||||||||||||||
(d) | The Massport Bonds are secured by letters of credit issued by U.S. Bank National Association (“U.S. Bank”) that expire in September 2016. The letters of credit have two one-year extension options and are secured by the Hyatt Boston Harbor. The letters of credit cannot be extended beyond the Massport Bonds’ maturity date. The bonds bear interest based on weekly floating rates. The interest rates as of March 31, 2015 and December 31, 2014 were 0.13% and 0.03% for the $5,400 and $37,100 bonds, respectively. The Company incurs an annual letter of credit fee of 1.35%. | |||||||||||||||||||
(e) | The Company intends to repay the mortgage loan upon maturity through either borrowings on its credit facilities, placement of corporate-level debt or proceeds from a property-level mortgage financing. | |||||||||||||||||||
Schedule of Maturities of Long-term Debt | Future scheduled debt principal payments as of March 31, 2015 are as follows: | |||||||||||||||||||
2015 | $ | 213,565 | ||||||||||||||||||
2016 | 286,294 | |||||||||||||||||||
2017 | 0 | |||||||||||||||||||
2018 | 384,500 | |||||||||||||||||||
2019 | 477,500 | |||||||||||||||||||
Total debt | $ | 1,361,859 | ||||||||||||||||||
Summary Interest Expense and Weighted Average Interest Rates for Borrowings | A summary of the Company’s interest expense and weighted average interest rates for variable rate debt for the three months ended March 31, 2015 and 2014 is as follows: | |||||||||||||||||||
For the three months ended | ||||||||||||||||||||
March 31, | ||||||||||||||||||||
2015 | 2014 | |||||||||||||||||||
Interest Expense: | ||||||||||||||||||||
Interest incurred | $ | 13,322 | $ | 13,519 | ||||||||||||||||
Amortization of deferred financing costs | 547 | 528 | ||||||||||||||||||
Capitalized interest | (224 | ) | (59 | ) | ||||||||||||||||
Interest expense | $ | 13,645 | $ | 13,988 | ||||||||||||||||
Weighted Average Interest Rates for Variable Rate Debt: | ||||||||||||||||||||
Senior unsecured credit facility | 1.88 | % | 1.87 | % | ||||||||||||||||
LHL unsecured credit facility | 1.87 | % | 1.91 | % | ||||||||||||||||
Massport Bonds | 0.04 | % | 0.45 | % | ||||||||||||||||
Schedule of Derivative Instruments, Gain (Loss) in Statement of Financial Performance | The following tables present the effect of derivative instruments on the Company’s consolidated statements of operations and comprehensive loss, including the location and amount of unrealized (loss) gain on outstanding derivative instruments in cash flow hedging relationships, for the three months ended March 31, 2015 and 2014: | |||||||||||||||||||
Amount of (Loss) Gain Recognized in OCL on Derivative Instruments | Location of Gain (Loss) Reclassified from AOCL into Net Income (Loss) | Amount of Gain (Loss) Reclassified from AOCL into Net Income (Loss) | ||||||||||||||||||
(Effective Portion) | (Effective Portion) | (Effective Portion) | ||||||||||||||||||
For the three months ended | For the three months ended | |||||||||||||||||||
March 31, | March 31, | |||||||||||||||||||
2015 | 2014 | 2015 | 2014 | |||||||||||||||||
Derivatives in cash flow hedging relationships: | ||||||||||||||||||||
Interest rate swaps | $ | (4,398 | ) | $ | 111 | Interest expense | $ | 1,070 | $ | (1,083 | ) | |||||||||
Commitments_And_Contingencies_
Commitments And Contingencies (Tables) | 3 Months Ended | |||
Mar. 31, 2015 | ||||
Commitments and Contingencies Disclosure [Abstract] | ||||
Future Minimum Rent Payments | Future minimum rent payments, including capital lease payments, (without reflecting future applicable Consumer Price Index increases) are as follows: | |||
2015 | $ | 8,896 | ||
2016 | 12,074 | |||
2017 | 12,344 | |||
2018 | 12,531 | |||
2019 | 12,506 | |||
Thereafter | 584,139 | |||
$ | 642,490 | |||
Equity_Tables
Equity (Tables) | 3 Months Ended | ||||||||||
Mar. 31, 2015 | |||||||||||
Stockholders' Equity Note [Abstract] | |||||||||||
Schedule of Common Stock Dividends Paid | The Company paid the following dividend on common shares/units during the three months ended March 31, 2015: | ||||||||||
Dividend per | For the Quarter Ended | Record Date | Payable Date | ||||||||
Share/Unit (1) | |||||||||||
$ | 0.38 | 31-Dec-14 | 31-Dec-14 | 15-Jan-15 | |||||||
(1) Amount is rounded to the nearest whole cent for presentation purposes. | |||||||||||
Preferred Shares Outstanding | The following preferred shares of beneficial interest were outstanding as of March 31, 2015: | ||||||||||
Security Type | Number of | ||||||||||
Shares | |||||||||||
7 ½% Series H Preferred Shares | 2,750,000 | ||||||||||
6 ⅜% Series I Preferred Shares | 4,400,000 | ||||||||||
Schedule of Preferred Dividends Paid | The Company paid the following dividends on preferred shares during the three months ended March 31, 2015: | ||||||||||
Dividend per | For the | ||||||||||
Security Type | Share (1) | Quarter Ended | Record Date | Payable Date | |||||||
7 ½% Series H | $ | 0.47 | 31-Dec-14 | 1-Jan-15 | 15-Jan-15 | ||||||
6 ⅜% Series I | $ | 0.4 | December 31, 2014 | January 1, 2015 | January 15, 2015 | ||||||
(1) | Amounts are rounded to the nearest whole cent for presentation purposes. |
Equity_Incentive_Plan_Tables
Equity Incentive Plan (Tables) | 3 Months Ended | ||||||
Mar. 31, 2015 | |||||||
Employee Stock Ownership Plan (ESOP), Shares in ESOP [Abstract] | |||||||
Summary of the Company's Service Condition Nonvested Shares | A summary of the Company’s nonvested share awards with service conditions as of March 31, 2015 is as follows: | ||||||
Number of | Weighted - | ||||||
Shares | Average Grant | ||||||
Date Fair Value | |||||||
Nonvested at January 1, 2015 | 256,379 | $ | 31 | ||||
Granted | 62,742 | 38.84 | |||||
Vested | (73,234 | ) | 28.74 | ||||
Forfeited | (12,736 | ) | 27.31 | ||||
Nonvested at March 31, 2015 (1) | 233,151 | $ | 34.02 | ||||
(1) | Amount excludes 84,401 share awards with market conditions which were earned but nonvested due to a service condition as of March 31, 2015. | ||||||
Summary of the Company's Long-Term Performance-Based Share Awards | A summary of the Company’s nonvested share awards with either market or performance conditions as of March 31, 2015 is as follows: | ||||||
Number of | Weighted- | ||||||
Shares | Average Grant | ||||||
Date Fair Value | |||||||
Nonvested at January 1, 2015 | 311,625 | $ | 33.62 | ||||
Granted (1)(2) | 90,616 | 37.8 | |||||
Vested | (53,654 | ) | 35.99 | ||||
Forfeited | 0 | 0 | |||||
Nonvested at March 31, 2015 | 348,587 | $ | 34.35 | ||||
(1) | Amount includes 30,831 shares awarded on March 19, 2015 for which fair value has been estimated, but amortization into expense has not yet commenced. Amortization of fair value into expense will commence at the beginning of the performance measurement period on July 1, 2015. | ||||||
(2) | Amount includes an additional 28,956 shares issued on January 1, 2015 from the January 26, 2012 grant, which were earned in excess of the target amount. |
LHL_Tables
LHL (Tables) | 3 Months Ended | |||||||
Mar. 31, 2015 | ||||||||
Real Estate Investment Trust, Operating Support [Abstract] | ||||||||
Summary of Other Indirect Hotel Operating Expenses | Other indirect hotel operating expenses consist of the following expenses incurred by the hotels: | |||||||
For the three months ended | ||||||||
March 31, | ||||||||
2015 | 2014 | |||||||
General and administrative | $ | 23,907 | $ | 20,047 | ||||
Sales and marketing | 17,951 | 14,788 | ||||||
Repairs and maintenance | 9,611 | 9,026 | ||||||
Management and incentive fees | 7,328 | 6,164 | ||||||
Utilities and insurance | 8,817 | 8,136 | ||||||
Franchise fees | 1,828 | 1,822 | ||||||
Other expenses | 560 | 440 | ||||||
Total other indirect expenses | $ | 70,002 | $ | 60,423 | ||||
Schedule of Hotels Owned | As of March 31, 2015, LHL leased all 47 hotels owned by the Company as follows: | |||||||
Hotel Properties | Location | |||||||
1 | Hotel Amarano Burbank | Burbank, CA | ||||||
2 | L’Auberge Del Mar | Del Mar, CA | ||||||
3 | Hilton San Diego Gaslamp Quarter | San Diego, CA | ||||||
4 | Hotel Solamar | San Diego, CA | ||||||
5 | San Diego Paradise Point Resort and Spa | San Diego, CA | ||||||
6 | The Hilton San Diego Resort and Spa | San Diego, CA | ||||||
7 | Harbor Court Hotel | San Francisco, CA | ||||||
8 | Hotel Monaco San Francisco | San Francisco, CA | ||||||
9 | Hotel Triton | San Francisco, CA | ||||||
10 | Hotel Vitale | San Francisco, CA | ||||||
11 | Park Central San Francisco | San Francisco, CA | ||||||
12 | Serrano Hotel | San Francisco, CA | ||||||
13 | Villa Florence | San Francisco, CA | ||||||
14 | Chaminade Resort and Conference Center | Santa Cruz, CA | ||||||
15 | Viceroy Santa Monica | Santa Monica, CA | ||||||
16 | Chamberlain West Hollywood | West Hollywood, CA | ||||||
17 | Le Montrose Suite Hotel | West Hollywood, CA | ||||||
18 | Le Parc Suite Hotel | West Hollywood, CA | ||||||
19 | The Grafton on Sunset | West Hollywood, CA | ||||||
20 | The Donovan | Washington, D.C. | ||||||
21 | Hotel George | Washington, D.C. | ||||||
22 | Hotel Helix | Washington, D.C. | ||||||
23 | Hotel Madera | Washington, D.C. | ||||||
24 | Hotel Palomar, Washington, DC | Washington, D.C. | ||||||
25 | Hotel Rouge | Washington, D.C. | ||||||
26 | Sofitel Washington, DC Lafayette Square | Washington, D.C. | ||||||
27 | The Liaison Capitol Hill | Washington, D.C. | ||||||
28 | Topaz Hotel | Washington, D.C. | ||||||
29 | Southernmost Hotel Collection | Key West, FL | ||||||
30 | The Marker Waterfront Resort | Key West, FL | ||||||
31 | Hotel Chicago | Chicago, IL | ||||||
32 | Westin Michigan Avenue | Chicago, IL | ||||||
33 | Indianapolis Marriott Downtown | Indianapolis, IN | ||||||
34 | Hyatt Boston Harbor | Boston, MA | ||||||
35 | Onyx Hotel | Boston, MA | ||||||
36 | The Liberty Hotel | Boston, MA | ||||||
37 | Westin Copley Place | Boston, MA | ||||||
38 | Gild Hall | New York, NY | ||||||
39 | The Roger | New York, NY | ||||||
40 | Park Central Hotel (shared lease with WestHouse Hotel New York) | New York, NY | ||||||
41 | WestHouse Hotel New York | New York, NY | ||||||
42 | The Heathman Hotel | Portland, OR | ||||||
43 | Embassy Suites Philadelphia - Center City | Philadelphia, PA | ||||||
44 | Westin Philadelphia | Philadelphia, PA | ||||||
45 | Lansdowne Resort | Lansdowne,VA | ||||||
46 | Alexis Hotel | Seattle, WA | ||||||
47 | Hotel Deca | Seattle, WA |
Income_Taxes_Tables
Income Taxes (Tables) | 3 Months Ended | |||||||
Mar. 31, 2015 | ||||||||
Income Tax Disclosure [Abstract] | ||||||||
Summary of Income Tax Expense | Income tax benefit was comprised of the following for the three months ended March 31, 2015 and 2014: | |||||||
For the three months ended | ||||||||
March 31, | ||||||||
2015 | 2014 | |||||||
LHL’s income tax benefit | $ | (5,079 | ) | $ | (6,627 | ) | ||
Operating Partnership’s income tax expense | 211 | 235 | ||||||
Total income tax benefit | $ | (4,868 | ) | $ | (6,392 | ) |
Fair_Value_Measurements_Fair_V
Fair Value Measurements Fair Value Measurements (Tables) | 3 Months Ended | |||||||||||||||
Mar. 31, 2015 | ||||||||||||||||
Fair Value Disclosures [Abstract] | ||||||||||||||||
Schedule of Assets and Liabilities Measured at Fair Value on a Recurring Basis | For assets and liabilities measured at fair value on a recurring basis, quantitative disclosure of their fair value is as follows: | |||||||||||||||
Fair Value Measurements at | ||||||||||||||||
31-Mar-15 | 31-Dec-14 | |||||||||||||||
Using Significant Other Observable | ||||||||||||||||
Inputs (Level 2) | ||||||||||||||||
Description | Consolidated Balance Sheet Location | |||||||||||||||
Derivative interest rate instruments | Prepaid expenses and other assets | $ | 44 | $ | 1,520 | |||||||||||
Derivative interest rate instruments | Accounts payable and accrued expenses | $ | 2,622 | $ | 770 | |||||||||||
Schedule of Fair value and Carrying Value of Financial Instruments | The following table represents the fair value, derived using level 2 inputs, of financial instruments presented at carrying value in the Company’s consolidated financial statements as of March 31, 2015 and December 31, 2014: | |||||||||||||||
March 31, 2015 | December 31, 2014 | |||||||||||||||
Carrying Value | Estimated Fair Value | Carrying Value | Estimated Fair Value | |||||||||||||
Borrowings under credit facilities | $ | 342,000 | $ | 342,376 | $ | 0 | $ | 0 | ||||||||
Term loans | $ | 477,500 | $ | 477,048 | $ | 477,500 | $ | 476,996 | ||||||||
Bonds payable | $ | 42,500 | $ | 42,500 | $ | 42,500 | $ | 42,500 | ||||||||
Mortgage loans | $ | 499,859 | $ | 508,470 | $ | 501,090 | $ | 510,250 | ||||||||
Earnings_Per_Common_Share_Tabl
Earnings Per Common Share (Tables) | 3 Months Ended | |||||||
Mar. 31, 2015 | ||||||||
Earnings Per Share [Abstract] | ||||||||
Computation of Basic and Diluted Earnings Per Common Share | The computation of basic and diluted earnings per common share is as follows: | |||||||
For the three months ended | ||||||||
March 31, | ||||||||
2015 | 2014 | |||||||
Numerator: | ||||||||
Net loss attributable to common shareholders | $ | (319 | ) | $ | (8,972 | ) | ||
Dividends paid on unvested restricted shares | (119 | ) | (102 | ) | ||||
Undistributed earnings attributable to unvested restricted shares | 0 | 0 | ||||||
Net loss attributable to common shareholders excluding amounts attributable to unvested restricted shares | $ | (438 | ) | $ | (9,074 | ) | ||
Denominator: | ||||||||
Weighted average number of common shares - basic | 112,647,715 | 103,691,657 | ||||||
Effect of dilutive securities: | ||||||||
Compensation-related shares | 0 | 0 | ||||||
Weighted average number of common shares - diluted | 112,647,715 | 103,691,657 | ||||||
Earnings per Common Share - Basic: | ||||||||
Net loss attributable to common shareholders excluding amounts attributable to unvested restricted shares | $ | 0 | $ | (0.09 | ) | |||
Earnings per Common Share - Diluted: | ||||||||
Net loss attributable to common shareholders excluding amounts attributable to unvested restricted shares | $ | 0 | $ | (0.09 | ) | |||
Supplemental_Information_to_St1
Supplemental Information to Statements of Cash Flows (Tables) | 3 Months Ended | |||||||
Mar. 31, 2015 | ||||||||
Supplemental Cash Flow Information [Abstract] | ||||||||
Supplemental Information to Statements of Cash Flows | ||||||||
For the three months ended | ||||||||
March 31, | ||||||||
2015 | 2014 | |||||||
Interest paid, net of capitalized interest | $ | 12,976 | $ | 13,587 | ||||
Interest capitalized | 224 | 59 | ||||||
Income taxes refunded, net | 160 | 164 | ||||||
Increase in distributions payable on common shares | 53 | 27 | ||||||
Write-off of fully amortized deferred financing costs | 0 | 23 | ||||||
Decrease in accrued capital expenditures | (1,066 | ) | (1,841 | ) | ||||
Grant of nonvested shares and awards to employees and executives, net | 3,686 | 3,762 | ||||||
Issuance of common shares for Board of Trustees compensation | 691 | 602 | ||||||
In conjunction with the acquisition of properties, the Company assumed | ||||||||
the following assets and liabilities: | ||||||||
Investment in properties (after credits at closing) | $ | (445,734 | ) | $ | 0 | |||
Other assets | (1,897 | ) | 0 | |||||
Liabilities | 8,474 | 0 | ||||||
Acquisition of properties | $ | (439,157 | ) | $ | 0 | |||
Subsequent_Events_Tables
Subsequent Events (Tables) | 3 Months Ended | ||||||||||
Mar. 31, 2015 | |||||||||||
Subsequent Events [Abstract] | |||||||||||
Components of Common and Preferred Share Dividends | The Company paid the following common and preferred dividends subsequent to March 31, 2015: | ||||||||||
Dividend per | For the Quarter | Record | Payable | ||||||||
Security Type | Share/Unit (1) | Ended | Date | Date | |||||||
Common Shares/Units | $ | 0.38 | March 31, 2015 | March 31, 2015 | April 15, 2015 | ||||||
7 ½% Series H Preferred Shares | $ | 0.47 | March 31, 2015 | April 1, 2015 | April 15, 2015 | ||||||
6 ⅜% Series I Preferred Shares | $ | 0.4 | March 31, 2015 | April 1, 2015 | April 15, 2015 | ||||||
(1)Amounts are rounded to the nearest whole cent for presentation purposes. |
Organization_Details
Organization (Details) | 3 Months Ended |
Mar. 31, 2015 | |
Hotels | |
Guest_Rooms | |
States | |
Organization [Abstract] | |
Number of hotels | 47 |
Number of guest rooms | 12,000 |
Number of states in which hotels located | 10 |
LHL leases expiration dates | between December 2015 and December 2017 |
Ownership percentage by the company | 99.70% |
Ownership percentage by limited partners | 0.30% |
Common units of Operating Partnership interest held by limited partners | 296,300 |
Summary_of_Significant_Account2
Summary of Significant Accounting Policies (Narrative) (Details) | 3 Months Ended |
Mar. 31, 2015 | |
2014 Plan [Member] | |
Significant Accounting Policies [Line Items] | |
Remaining years | 9 years |
Vesting period (in years) | 3 years |
Building Improvements [Member] | |
Significant Accounting Policies [Line Items] | |
Property, Plant and Equipment, Useful Life | 15 years |
Land Improvements [Member] | |
Significant Accounting Policies [Line Items] | |
Property, Plant and Equipment, Useful Life | 7 years |
Golf Course Land Improvements [Member] | |
Significant Accounting Policies [Line Items] | |
Property, Plant and Equipment, Useful Life | 20 years |
Swimming Pool Assets [Member] | |
Significant Accounting Policies [Line Items] | |
Property, Plant and Equipment, Useful Life | 20 years |
Minimum [Member] | Building [Member] | |
Significant Accounting Policies [Line Items] | |
Property, Plant and Equipment, Useful Life | 30 years |
Minimum [Member] | Furniture and Fixtures [Member] | |
Significant Accounting Policies [Line Items] | |
Property, Plant and Equipment, Useful Life | 3 years |
Maximum [Member] | Building [Member] | |
Significant Accounting Policies [Line Items] | |
Property, Plant and Equipment, Useful Life | 40 years |
Maximum [Member] | Furniture and Fixtures [Member] | |
Significant Accounting Policies [Line Items] | |
Property, Plant and Equipment, Useful Life | 5 years |
Investment_in_Hotel_Properties2
Investment in Hotel Properties Schedule of Investment in Hotel Properties (Details) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Thousands, unless otherwise specified | ||
Investments [Abstract] | ||
Land | $730,735 | $601,962 |
Buildings and improvements | 3,595,465 | 3,295,233 |
Furniture, fixtures and equipment | 659,946 | 596,879 |
Investment in hotel properties, gross | 4,986,146 | 4,494,074 |
Accumulated depreciation | -1,108,270 | -1,065,518 |
Investment in hotel properties, net | $3,877,876 | $3,428,556 |
Investment_in_Properties_Narra
Investment in Properties (Narrative) (Details) (USD $) | 3 Months Ended | ||
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 | Dec. 31, 2014 |
Investment In Hotel Properties [Line Items] | |||
Buildings and Improvements, Gross | $3,595,465 | $3,295,233 | |
Real Estate Investment Property, Accumulated Depreciation | 1,108,270 | 1,065,518 | |
Depreciation | 42,752 | 37,658 | |
Capital Lease Assets [Member] | |||
Investment In Hotel Properties [Line Items] | |||
Buildings and Improvements, Gross | 186,711 | 186,711 | |
Capital Lease Assets, Accumulated Depreciation [Member] | |||
Investment In Hotel Properties [Line Items] | |||
Real Estate Investment Property, Accumulated Depreciation | $16,866 | $15,513 |
Investment_in_Hotel_Properties3
Investment in Hotel Properties Acquisitions (Narrative) (Details) (USD $) | 3 Months Ended | 0 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 | Apr. 02, 2014 |
Hotels | |||
Business Acquisition [Line Items] | |||
Acquisition Transaction Costs | $447 | $107 | |
Ownership Percent | 100.00% | ||
Number of Hotels Acquired | 2 | ||
Business Combination, Pro Forma Information, Revenue of Acquiree since Acquisition Date, Actual | 14,466 | ||
Business Combination, Pro Forma Information, Earnings or Loss of Acquiree since Acquisition Date, Actual | 786 | ||
Hotel Vitale [Member] | |||
Business Acquisition [Line Items] | |||
Business Acquisition, Effective Date of Acquisition | 2-Apr-14 | ||
Acquisition Transaction Costs | 107 | ||
Park Central San Francisco [Member] | |||
Business Acquisition [Line Items] | |||
Business Acquisition, Effective Date of Acquisition | 23-Jan-15 | ||
Acquisition Transaction Costs | 230 | ||
The Marker Waterfront Resort [Member] | |||
Business Acquisition [Line Items] | |||
Business Acquisition, Effective Date of Acquisition | 16-Mar-15 | ||
Acquisition Transaction Costs | $217 |
Investment_in_Hotel_Properties4
Investment in Hotel Properties Acquisitions (Details) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Business Acquisition [Line Items] | ||
Purchase Price | $446,250 | |
Acquisition Transaction Costs | 447 | 107 |
Park Central San Francisco [Member] | ||
Business Acquisition [Line Items] | ||
Acquisition Date | 23-Jan-15 | |
Number of Rooms | 681 | |
Location | San Francisco, CA | |
Purchase Price | 350,000 | |
Manager | Highgate Hotels | |
Acquisition Transaction Costs | 230 | |
The Marker Waterfront Resort [Member] | ||
Business Acquisition [Line Items] | ||
Acquisition Date | 16-Mar-15 | |
Number of Rooms | 96 | |
Location | Key West, FL | |
Purchase Price | 96,250 | |
Manager | Highgate Hotels | |
Acquisition Transaction Costs | $217 |
Debt_Summary_Details
Debt Summary (Details) (USD $) | 0 Months Ended | 3 Months Ended | 0 Months Ended | ||||
In Thousands, unless otherwise specified | Jan. 08, 2014 | Mar. 31, 2015 | 16-May-12 | Aug. 02, 2012 | Dec. 31, 2014 | ||
extensions | |||||||
Debt Instrument [Line Items] | |||||||
Credit facilities | $342,000 | $0 | |||||
Term loans | 477,500 | 477,500 | |||||
Massport Bonds | 42,500 | 42,500 | |||||
Total mortgage loans | 499,859 | 501,090 | |||||
Total debt | 1,361,859 | 1,021,090 | |||||
Line of Credit [Member] | Senior Unsecured Credit Facility [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Line of Credit Facility, Interest Rate Description | Floating | [1] | |||||
Credit facility maturity date | 8-Jan-18 | [1] | |||||
Credit facilities | 342,000 | 0 | |||||
Interest rate on variable rate debt | 1.88% | ||||||
Number of extension options | 2 | ||||||
Extension option period | 6 months | ||||||
Line of Credit [Member] | LHL Unsecured Credit Facility [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Line of Credit Facility, Interest Rate Description | Floating | [2] | |||||
Credit facility maturity date | 8-Jan-18 | [2] | |||||
Credit facilities | 0 | 0 | |||||
Number of extension options | 2 | ||||||
Extension option period | 6 months | ||||||
Term Loan [Member] | First Term Loan [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Debt Instrument, Interest Rate Terms | Floating | [3] | |||||
Debt maturity date | 16-May-19 | ||||||
Term loans | 177,500 | 177,500 | 177,500 | ||||
Debt Instrument, Term | 7 years | ||||||
Long-term Debt, Percentage Bearing Fixed Interest, Percentage Rate | 3.62% | 3.62% | |||||
Term Loan [Member] | Second Term Loan [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Debt Instrument, Interest Rate Terms | Floating | [3] | |||||
Debt maturity date | 8-Jan-19 | ||||||
Term loans | 300,000 | 300,000 | 300,000 | ||||
Debt Instrument, Term | 5 years | ||||||
Term loan, Swap Duration | 5 years | ||||||
Derivative, Maturity Date | 2-Aug-17 | ||||||
Long-term Debt, Percentage Bearing Fixed Interest, Percentage Rate | 2.38% | 2.38% | |||||
Notes Payable, Other Payables [Member] | Taxable Bond of Hyatt Boston Harbor [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Debt Instrument, Interest Rate Terms | Floating | [4] | |||||
Debt maturity date | 1-Mar-18 | ||||||
Massport Bonds | 5,400 | 5,400 | |||||
Interest rate on variable rate debt | 0.13% | 0.13% | |||||
Notes Payable, Other Payables [Member] | Tax Exempted Bond of Hyatt Boston Harbor [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Debt Instrument, Interest Rate Terms | Floating | [4] | |||||
Debt maturity date | 1-Mar-18 | ||||||
Massport Bonds | 37,100 | 37,100 | |||||
Interest rate on variable rate debt | 0.03% | 0.03% | |||||
Notes Payable, Other Payables [Member] | Massport Bonds [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Credit facility maturity date | 30-Sep-16 | ||||||
Number of extension options | 2 | ||||||
Extension option period | 1 year | ||||||
Line of Credit Annual Fees Percentage | 1.35% | ||||||
Mortgages [Member] | Westin Copley Place [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Debt maturity date | 1-Sep-15 | [5] | |||||
Mortgage loans | 210,000 | 210,000 | |||||
Long-term Debt, Percentage Bearing Fixed Interest, Percentage Rate | 5.28% | ||||||
Mortgages [Member] | Westin Michigan Avenue [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Debt maturity date | 1-Apr-16 | ||||||
Mortgage loans | 132,811 | 133,347 | |||||
Long-term Debt, Percentage Bearing Fixed Interest, Percentage Rate | 5.75% | ||||||
Mortgages [Member] | Indianapolis Marriott Downtown [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Debt maturity date | 1-Jul-16 | ||||||
Mortgage loans | 97,158 | 97,528 | |||||
Long-term Debt, Percentage Bearing Fixed Interest, Percentage Rate | 5.99% | ||||||
Mortgages [Member] | The Roger [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Debt maturity date | 1-Aug-16 | ||||||
Mortgage loans | $59,890 | $60,215 | |||||
Long-term Debt, Percentage Bearing Fixed Interest, Percentage Rate | 6.31% | ||||||
[1] | Borrowings bear interest at floating rates equal to, at the Company’s option, either (i) LIBOR plus an applicable margin, or (ii) an Adjusted Base Rate plus an applicable margin. As of March 31, 2015, the rate, including the applicable margin, for the Company’s outstanding LIBOR borrowing of $342,000 was 1.88%. There were no borrowings outstanding at December 31, 2014. The Company has the option, pursuant to certain terms and conditions, to extend the maturity date for two six-month extensions. | ||||||
[2] | Borrowings bear interest at floating rates equal to, at LHL’s option, either (i) LIBOR plus an applicable margin, or (ii) an Adjusted Base Rate plus an applicable margin. There were no borrowings outstanding at March 31, 2015 and December 31, 2014. LHL has the option, pursuant to certain terms and conditions, to extend the maturity date for two six-month extensions. | ||||||
[3] | Term loans bear interest at floating rates equal to LIBOR plus an applicable margin. The Company entered into separate interest rate swap agreements for the full seven-year term of the First Term Loan (as defined below) and a five-year term ending in August 2017 for the Second Term Loan (as defined below), resulting in fixed all-in interest rates at March 31, 2015 and December 31, 2014 of 3.62% and 2.38%, respectively, at the Company’s current leverage ratio (as defined in the swap agreements). | ||||||
[4] | The Massport Bonds are secured by letters of credit issued by U.S. Bank National Association (“U.S. Bankâ€) that expire in September 2016. The letters of credit have two one-year extension options and are secured by the Hyatt Boston Harbor. The letters of credit cannot be extended beyond the Massport Bonds’ maturity date. The bonds bear interest based on weekly floating rates. The interest rates as of March 31, 2015 and December 31, 2014 were 0.13% and 0.03% for the $5,400 and $37,100 bonds, respectively. The Company incurs an annual letter of credit fee of 1.35%. | ||||||
[5] | The Company intends to repay the mortgage loan upon maturity through either borrowings on its credit facilities, placement of corporate-level debt or proceeds from a property-level mortgage financing. |
LongTerm_Debt_Debt_Summary_Fut
Long-Term Debt Debt Summary (Future Scheduled Debt Principal Payments) (Details) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Thousands, unless otherwise specified | ||
Debt Summary (Future Scheduled Principal Payments) [Abstract] | ||
2015 | $213,565 | |
2016 | 286,294 | |
2017 | 0 | |
2018 | 384,500 | |
2019 | 477,500 | |
Total debt | $1,361,859 | $1,021,090 |
Debt_Summary_Schedule_of_Inter
Debt Summary (Schedule of Interest Expense and Weighted Average Interest Rates) (Details) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Interest Expense: [Abstract] | ||
Interest incurred | $13,322 | $13,519 |
Amortization of deferred financing costs | 547 | 528 |
Capitalized interest | -224 | -59 |
Interest Expense | $13,645 | $13,988 |
Senior Unsecured Credit Facility [Member] | Line of Credit [Member] | ||
Interest Expense: [Abstract] | ||
Weighted Average Interest Rates for Variable Rate Debt | 1.88% | 1.87% |
LHL Unsecured Credit Facility [Member] | Line of Credit [Member] | ||
Interest Expense: [Abstract] | ||
Weighted Average Interest Rates for Variable Rate Debt | 1.87% | 1.91% |
Massport Bonds [Member] | Notes Payable, Other Payables [Member] | ||
Interest Expense: [Abstract] | ||
Weighted Average Interest Rates for Variable Rate Debt | 0.04% | 0.45% |
Credit_Facilities_Narrative_De
Credit Facilities (Narrative) (Details) (Line of Credit [Member], USD $) | 0 Months Ended | 3 Months Ended | ||
In Thousands, unless otherwise specified | Jan. 08, 2014 | Mar. 31, 2015 | Jan. 08, 2014 | |
extensions | ||||
Senior Unsecured Credit Facility [Member] | ||||
Debt Instrument [Line Items] | ||||
Line of Credit Facility, Current Borrowing Capacity | $750,000 | $750,000 | ||
Credit facility maturity date | 8-Jan-18 | [1] | ||
Line of Credit Facility Number of Extension Options | 2 | |||
Extension option period | 6 months | |||
Maximum borrowing capacity under unsecured credit facility | 1,050,000 | |||
Senior Unsecured Credit Facility [Member] | Minimum [Member] | ||||
Debt Instrument [Line Items] | ||||
Line of Credit Facility, Unused Capacity, Commitment Fee Percentage | 0.25% | |||
Senior Unsecured Credit Facility [Member] | Maximum [Member] | ||||
Debt Instrument [Line Items] | ||||
Line of Credit Facility, Unused Capacity, Commitment Fee Percentage | 0.30% | |||
LHL Unsecured Credit Facility [Member] | ||||
Debt Instrument [Line Items] | ||||
Credit facility maturity date | 8-Jan-18 | [2] | ||
Line of Credit Facility Number of Extension Options | 2 | |||
Extension option period | 6 months | |||
Maximum borrowing capacity under unsecured credit facility | $25,000 | $25,000 | ||
LHL Unsecured Credit Facility [Member] | Minimum [Member] | ||||
Debt Instrument [Line Items] | ||||
Line of Credit Facility, Unused Capacity, Commitment Fee Percentage | 0.25% | |||
LHL Unsecured Credit Facility [Member] | Maximum [Member] | ||||
Debt Instrument [Line Items] | ||||
Line of Credit Facility, Unused Capacity, Commitment Fee Percentage | 0.30% | |||
[1] | Borrowings bear interest at floating rates equal to, at the Company’s option, either (i) LIBOR plus an applicable margin, or (ii) an Adjusted Base Rate plus an applicable margin. As of March 31, 2015, the rate, including the applicable margin, for the Company’s outstanding LIBOR borrowing of $342,000 was 1.88%. There were no borrowings outstanding at December 31, 2014. The Company has the option, pursuant to certain terms and conditions, to extend the maturity date for two six-month extensions. | |||
[2] | Borrowings bear interest at floating rates equal to, at LHL’s option, either (i) LIBOR plus an applicable margin, or (ii) an Adjusted Base Rate plus an applicable margin. There were no borrowings outstanding at March 31, 2015 and December 31, 2014. LHL has the option, pursuant to certain terms and conditions, to extend the maturity date for two six-month extensions. |
Term_Loans_Narrative_Details
Term Loans (Narrative) (Details) (USD $) | 0 Months Ended | 3 Months Ended | 0 Months Ended | ||
In Thousands, unless otherwise specified | 16-May-12 | Mar. 31, 2015 | Jan. 08, 2014 | Aug. 02, 2012 | Dec. 31, 2014 |
Debt Instrument [Line Items] | |||||
Unsecured Debt | $477,500 | $477,500 | |||
Term Loan [Member] | First Term Loan [Member] | |||||
Debt Instrument [Line Items] | |||||
Unsecured Debt | 177,500 | 177,500 | 177,500 | ||
Debt Instrument, Term | 7 years | ||||
Debt maturity date | 16-May-19 | ||||
Long-term Debt, Percentage Bearing Fixed Interest, Percentage Rate | 3.62% | 3.62% | |||
Term Loan [Member] | Second Term Loan [Member] | |||||
Debt Instrument [Line Items] | |||||
Unsecured Debt | 300,000 | 300,000 | 300,000 | ||
Debt Instrument, Term | 5 years | ||||
Debt maturity date | 8-Jan-19 | ||||
Total lender commitments | $500,000 | ||||
Long-term Debt, Percentage Bearing Fixed Interest, Percentage Rate | 2.38% | 2.38% | |||
Derivative, Maturity Date | 2-Aug-17 |
Derivative_and_Hedging_Activit
Derivative and Hedging Activities (Narrative) (Details) (USD $) | 3 Months Ended | 0 Months Ended | ||
In Thousands, unless otherwise specified | Mar. 31, 2015 | Aug. 02, 2012 | Dec. 31, 2014 | 16-May-12 |
agreement | ||||
First Term Loan [Member] | Term Loan [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt Instrument, Term | 7 years | |||
Long-term Debt, Percentage Bearing Fixed Interest, Percentage Rate | 3.62% | 3.62% | ||
Second Term Loan [Member] | Term Loan [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt Instrument, Term | 5 years | |||
Derivative, Maturity Date | 2-Aug-17 | |||
Long-term Debt, Percentage Bearing Fixed Interest, Percentage Rate | 2.38% | 2.38% | ||
Designated as Hedging Instrument [Member] | Interest Rate Swap [Member] | ||||
Debt Instrument [Line Items] | ||||
Number of interest rate swap agreements | 5 | 3 | ||
Derivative, Notional Amount | 300,000 | $177,500 | ||
Derivative change in fair value recorded in other comprehensive income (loss) | -2,578 | 750 | ||
Unrealized gain (loss) included in accumulated other comprehensive income (loss) | -2,571 | 748 | ||
Derivative change in fair value recorded in other comprehensive income (loss) attributable to noncontrolling interests | -7 | 2 | ||
Amount reclassified from AOCL and noncontrolling interests and recognized as a reduction to income in the next 12 months | 4,332 |
Derivative_and_Hedging_Activit1
Derivative and Hedging Activities (Details) (Cash Flow Hedging [Member], Interest Rate Swap [Member], Designated as Hedging Instrument [Member], USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Derivative Instruments, Gain (Loss) [Line Items] | ||
Amount of (Loss) Gain Recognized in OCL on Derivative Instruments (Effective Portion) | ($4,398) | $111 |
Interest Expense [Member] | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Amount of Gain (Loss) Reclassified from AOCL into Net Income (Loss) (Effective Portion) | $1,070 | ($1,083) |
LongTerm_Debt_Extinguishment_o
Long-Term Debt Extinguishment of Debt (Narrative) (Details) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Long-term Debt, Other Disclosures [Abstract] | ||
Loss from extinguishment of debt | $0 | $2,487 |
Ground_Land_And_Building_And_A
Ground, Land And Building, And Air Rights Leases (Narrative) (Details) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
ground_lease | ||
Hotels | ||
Commitments And Contingencies [Line Items] | ||
Number of hotels subject to ground leases under non-cancelable operating leases | 8 | |
Lease expiration date | 1-Jan-45 | |
Number of ground leases that expire prior to 2045 | 0 | |
Ground rent | $3,662 | $2,933 |
Minimum [Member] | ||
Commitments And Contingencies [Line Items] | ||
Lease expiration date | 1-Mar-26 | |
Maximum [Member] | ||
Commitments And Contingencies [Line Items] | ||
Lease expiration date | 1-Dec-02 | |
Southernmost Hotel Collection [Member] | ||
Commitments And Contingencies [Line Items] | ||
Lease expiration date | 1-Apr-19 | |
Hyatt Boston Harbor [Member] | ||
Commitments And Contingencies [Line Items] | ||
Lease expiration date | 1-Mar-26 | |
Lease extension period (in years) | 50 years | |
Extended Lease Expiration Date | 1/1/77 | |
Westin Copley Place [Member] | ||
Commitments And Contingencies [Line Items] | ||
Lease expiration date | 1-Dec-77 | |
Future ground rent payments per year | 0 | |
Indianapolis Marriott Downtown [Member] | ||
Commitments And Contingencies [Line Items] | ||
Future ground rent payments per year | 1 | |
The Roger [Member] | ||
Commitments And Contingencies [Line Items] | ||
Lease expiration date | 1-Dec-44 | |
Present value of the remaining rent payments | 4,892 | |
Harbor Court Hotel [Member] | ||
Commitments And Contingencies [Line Items] | ||
Lease expiration date | 1-Apr-48 | |
Present value of the remaining rent payments | 18,424 | |
Hotel Triton [Member] | ||
Commitments And Contingencies [Line Items] | ||
Lease expiration date | 1-Jan-48 | |
Present value of the remaining rent payments | 27,752 | |
Properties Subject to Straight-Line Rent [Member] | ||
Commitments And Contingencies [Line Items] | ||
Noncash straight-line rent expense | $493 | $324 |
Schedule_of_Future_Minimum_Ren
Schedule of Future Minimum Rent Payments (Details) (USD $) | Mar. 31, 2015 |
In Thousands, unless otherwise specified | |
Commitments and Contingencies Disclosure [Abstract] | |
2015 | $8,896 |
2016 | 12,074 |
2017 | 12,344 |
2018 | 12,531 |
2019 | 12,506 |
Thereafter | 584,139 |
Operating leases, future minimum payments due, total | $642,490 |
Reserve_Funds_for_Future_Capit
Reserve Funds for Future Capital Expenditures (Narrative) (Details) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Dec. 31, 2014 |
Commitments And Contingencies [Line Items] | ||
Percentage of reserve funds provided by the company | 4.00% | |
Restricted cash reserves | $22,394 | $21,570 |
Capital Expenditure [Member] | ||
Commitments And Contingencies [Line Items] | ||
Restricted cash reserves | $15,167 |
Recovered_Sheet1
Commitments and Contingencies Restricted Cash Reserves (Narrative) (Details) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Thousands, unless otherwise specified | ||
Restricted Cash and Cash Equivalents Items [Line Items] | ||
Restricted cash reserves | $22,394 | $21,570 |
Capital Expenditure [Member] | ||
Restricted Cash and Cash Equivalents Items [Line Items] | ||
Restricted cash reserves | 15,167 | |
Operating Expenses and Debt Payments [Member] | ||
Restricted Cash and Cash Equivalents Items [Line Items] | ||
Restricted cash reserves | 5,018 | |
Refund Future Liabilities [Member] | ||
Restricted Cash and Cash Equivalents Items [Line Items] | ||
Restricted cash reserves | $2,209 |
Common_Shares_of_Beneficial_In
Common Shares of Beneficial Interest (Narrative) (Details) (USD $) | 0 Months Ended | ||||
Mar. 19, 2015 | Jan. 01, 2015 | Mar. 31, 2015 | Dec. 31, 2014 | Feb. 20, 2013 | |
Equity [Line Items] | |||||
Common shares, shares issued | 112,963,432 | 112,828,536 | |||
2014 Plan [Member] | |||||
Equity [Line Items] | |||||
Common shares, shares issued | 11,682 | ||||
Additional deferred shares issued | 4,183 | ||||
2009 Plan [Member] | |||||
Equity [Line Items] | |||||
Common shares, shares issued | 9,757 | ||||
Deferred Shares Issued in Annual Installments | 5 | ||||
2013 Agreement [Member] | |||||
Equity [Line Items] | |||||
Common shares, shares issued | 0 | ||||
Common shares of beneficial interest, potential available offereing price with aggregate gross proceeds | $250,000,000 | ||||
Common shares of beneficial interest, potential offering price remaining | 230,057,000 | ||||
Nonvested Share Awards with Service Conditions [Member] | 2014 Plan [Member] | |||||
Equity [Line Items] | |||||
Deferred Shares Issued in Annual Installments | 3 | ||||
Issuance of nonvested shares with service conditions | 62,742 | ||||
January 26, 2012 Awards [Member] | Nonvested Restricted Share Awards with Market or Performance Conditions [Member] | 2009 Plan [Member] | |||||
Equity [Line Items] | |||||
Number of Shares Earned | 108,779 |
Schedule_of_Common_Dividends_P
Schedule of Common Dividends Paid (Details) (USD $) | 3 Months Ended | ||
Mar. 31, 2015 | Mar. 31, 2014 | ||
Stockholders' Equity Note [Abstract] | |||
Dividend per Share/Unit | $0.38 | [1] | $0.28 |
For the Quarter Ended | 31-Dec-14 | ||
Record Date | 31-Dec-14 | ||
Payable Date | 15-Jan-15 | ||
[1] | Amount is rounded to the nearest whole cent for presentation purposes. |
Treasury_Shares_Narrative_Deta
Treasury Shares (Narrative) (Details) (USD $) | 3 Months Ended | |
Mar. 31, 2015 | Aug. 29, 2011 | |
Equity [Line Items] | ||
Treasury Stock, Shares, Acquired | 54,036 | |
Stock repurchase program, authorized | $100,000,000 | |
Stock repurchase program, remaining authorized | $75,498,000 | |
Issuance of shares of beneficial interest from treasury | 58,064 | |
Common shares held in treasury | 0 |
Schedule_of_Preferred_Shares_O
Schedule of Preferred Shares Outstanding (Details) | Mar. 31, 2015 | Dec. 31, 2014 |
Class of Stock [Line Items] | ||
Number of Shares | 7,150,000 | 7,150,000 |
7 1/2% Series H Preferred Shares [Member] | ||
Class of Stock [Line Items] | ||
Number of Shares | 2,750,000 | |
6 3/8% Series I Preferred Stock [Member] | ||
Class of Stock [Line Items] | ||
Number of Shares | 4,400,000 |
Preferred_Shares_Narrative_Det
Preferred Shares (Narrative) (Details) (USD $) | 3 Months Ended |
Mar. 31, 2015 | |
Series H and I Preferred Stock [Member] | |
Class of Stock [Line Items] | |
Redeemable preferred stock redemption price per share | $25 |
Preferred stock redeemable term (in days) | 120 days |
7 1/2% Series H Preferred Shares [Member] | |
Class of Stock [Line Items] | |
Cumulative Redeemable Preferred Shares, Stated Percentage | 7.50% |
Shares issued upon conversion | 4,680,500 |
6 3/8% Series I Preferred Stock [Member] | |
Class of Stock [Line Items] | |
Cumulative Redeemable Preferred Shares, Stated Percentage | 6.38% |
Shares issued upon conversion | 8,835,200 |
Schedule_of_Preferred_Dividend
Schedule of Preferred Dividends Paid (Details) (USD $) | 3 Months Ended | |
Mar. 31, 2015 | ||
Class of Stock [Line Items] | ||
For the Quarter Ended | 31-Dec-14 | |
Record Date | 31-Dec-14 | |
Payable Date | 15-Jan-15 | |
7 1/2% Series H Preferred Shares [Member] | ||
Class of Stock [Line Items] | ||
Dividend per Share | 0.47 | [1] |
For the Quarter Ended | 31-Dec-14 | |
Record Date | 1-Jan-15 | |
Payable Date | 15-Jan-15 | |
6 3/8% Series I Preferred Stock [Member] | ||
Class of Stock [Line Items] | ||
Dividend per Share | 0.4 | [1] |
For the Quarter Ended | 31-Dec-14 | |
Record Date | 1-Jan-15 | |
Payable Date | 15-Jan-15 | |
[1] | Amounts are rounded to the nearest whole cent for presentation purposes. |
Noncontrolling_Interest_Of_Com
Noncontrolling Interest Of Common Units In Operating Partnership (Narrative) (Details) (USD $) | Mar. 31, 2015 |
In Thousands, except Share data, unless otherwise specified | |
Stockholders' Equity Note [Abstract] | |
Common units of limited partnership | 296,300 |
Partnership interest held by limited partners | 0.30% |
Common units of operating partnership interest for cash or common shares | $11,514 |
Closing common share price, per share | $38.86 |
Equity_Incentive_Narrative_Det
Equity Incentive (Narrative) (Details) (2014 Plan [Member]) | 3 Months Ended |
Mar. 31, 2015 | |
2014 Plan [Member] | |
Equity Incentive Plan [Line Items] | |
Maximum common shares of beneficial interest to be issued | 2,900,000 |
Common shares of beneficial interest to be issued per individual limit | 500,000 |
Equity Plan Termination | 17-Feb-24 |
Exercise price of share options as a percentage of fair market value, minimum | 100.00% |
Vesting period (in years) | 3 years |
Common shares available for grant | 2,805,689 |
Nonvested_Share_Awards_with_Se
Nonvested Share Awards with Service Conditions (Narrative) (Details) (USD $) | 3 Months Ended | 12 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 | Dec. 31, 2014 |
Nonvested Share Awards with Service Conditions [Member] | |||
Equity Incentive Plan [Line Items] | |||
Unrecognized compensation costs | $6,380 | $5,113 | |
Weighted-average recognized period (in years) | 1 year 8 months 12 days | 1 year 10 months 24 days | |
Total fair value of vested shares | 2,964 | 2,377 | |
Compensation costs | $822 | $740 | |
2014 Plan [Member] | |||
Equity Incentive Plan [Line Items] | |||
Vest period (in years) | 3 years |
Nonvested_Share_Awards_with_Se1
Nonvested Share Awards with Service Conditions (Details) (Nonvested Share Awards with Service Conditions [Member], USD $) | 3 Months Ended | |
Mar. 31, 2015 | ||
Nonvested Share Awards with Service Conditions [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested [Roll Forward] | ||
Nonvested, Number of Shares Beginning Balance | 256,379 | |
Nonvested, Weighted - Average Grant Date Fair Value Beginning Balance | $31 | |
Number of Shares, Granted | 62,742 | |
Weighted- Average Grant Date Fair Value, Granted | $38.84 | |
Number of Shares, Vested | -73,234 | |
Weighted - Average Grant Date Fair Value, Vested | $28.74 | |
Number of Shares, Forfeited | -12,736 | |
Weighted - Average Grant Date Fair Value, Forfeited | $27.31 | |
Nonvested, Number of Shares Ending Balance | 233,151 | [1] |
Nonvested, Weighted - Average Grant Date Fair Value Ending Balance | $34.02 | |
Shares awards with market conditions which were earned but nonvested | 84,401 | |
[1] | Amount excludes 84,401 share awards with market conditions which were earned but nonvested due to a service condition as of March 31, 2015. |
Nonvested_Share_Awards_with_Ma
Nonvested Share Awards with Market or Performance Conditions (Narrative) (Details) (USD $) | 3 Months Ended | 0 Months Ended | 12 Months Ended | 0 Months Ended | |||
In Thousands, except Share data, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 | Jan. 01, 2015 | Dec. 31, 2014 | Jan. 26, 2012 | Mar. 19, 2015 | |
Equity Incentive Plan [Line Items] | |||||||
Distributions on earned shares from share awards with market conditions | ($334) | ($75) | |||||
Nonvested Restricted Share Awards with Market or Performance Conditions [Member] | |||||||
Equity Incentive Plan [Line Items] | |||||||
Number of Shares, Granted | 90,616 | [1],[2] | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Vested in Period | 53,654 | ||||||
Distributions on earned shares from share awards with market conditions | 334 | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Forfeited in Period | 0 | ||||||
Unrecognized compensation costs | 7,202 | 6,637 | |||||
Weighted-average recognized period (in years) | 2 years 2 months 12 days | 2 years | |||||
Number of shares vested | 308,069 | 254,415 | |||||
Number of shares to be vested | 348,587 | 311,625 | |||||
Compensation costs | $1,032 | $809 | |||||
January 26, 2012 Awards [Member] | Nonvested Restricted Share Awards with Market or Performance Conditions [Member] | |||||||
Equity Incentive Plan [Line Items] | |||||||
Number of Shares, Granted | 79,823 | ||||||
Number of Shares Earned as a Percentage of Target Shares | 136.30% | ||||||
January 26, 2012 Awards [Member] | Nonvested Restricted Share Awards with Market or Performance Conditions [Member] | 2009 Plan [Member] | |||||||
Equity Incentive Plan [Line Items] | |||||||
Number of Shares Earned | 108,779 | ||||||
January 26, 2012 Awards [Member] | Vesting Period One [Member] | Nonvested Restricted Share Awards with Market or Performance Conditions [Member] | |||||||
Equity Incentive Plan [Line Items] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Vested in Period | 36,261 | ||||||
January 26, 2012 Awards [Member] | Vesting Period Two [Member] | Nonvested Restricted Share Awards with Market or Performance Conditions [Member] | |||||||
Equity Incentive Plan [Line Items] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Vested in Period | 72,518 | ||||||
March 19, 2015 Awards [Member] | Nonvested Restricted Share Awards with Market or Performance Conditions [Member] | |||||||
Equity Incentive Plan [Line Items] | |||||||
Number of Shares, Granted | 61,660 | ||||||
Performance Shares Outstanding | 0 | ||||||
March 19, 2015 Awards [Member] | Nonvested Restricted Share Awards with Market or Performance Conditions [Member] | Performance Period January 1, 2015 - December 31, 2017 [Member] | |||||||
Equity Incentive Plan [Line Items] | |||||||
Number of Shares, Granted | 30,829 | ||||||
March 19, 2015 Awards [Member] | Nonvested Restricted Share Awards with Market or Performance Conditions [Member] | Performance Period July 1, 2015 - June 30, 2018 [Member] | |||||||
Equity Incentive Plan [Line Items] | |||||||
Number of Shares, Granted | 30,831 | ||||||
March 19, 2015 Awards [Member] | Minimum [Member] | Nonvested Restricted Share Awards with Market or Performance Conditions [Member] | |||||||
Equity Incentive Plan [Line Items] | |||||||
Percentage of Target Shares | 0.00% | ||||||
March 19, 2015 Awards [Member] | Maximum [Member] | Nonvested Restricted Share Awards with Market or Performance Conditions [Member] | |||||||
Equity Incentive Plan [Line Items] | |||||||
Percentage of Target Shares | 200.00% | ||||||
Restricted Stock [Member] | Nonvested Restricted Share Awards with Market or Performance Conditions [Member] | |||||||
Equity Incentive Plan [Line Items] | |||||||
Number of shares to be vested | 84,401 | 29,276 | |||||
[1] | Amount includes an additional 28,956 shares issued on January 1, 2015 from the January 26, 2012 grant, which were earned in excess of the target amount. | ||||||
[2] | Amount includes 30,831 shares awarded on March 19, 2015 for which fair value has been estimated, but amortization into expense has not yet commenced. Amortization of fair value into expense will commence at the beginning of the performance measurement period on July 1, 2015. |
Nonvested_Share_Awards_with_Ma1
Nonvested Share Awards with Market or Performance Conditions (Summary of Nonvested Share Awards) (Details) (Nonvested Share Awards with Market or Performance Conditions [Member], USD $) | 3 Months Ended | 0 Months Ended | |||
Mar. 31, 2015 | Mar. 19, 2015 | Jan. 26, 2012 | Jan. 01, 2015 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested [Roll Forward] | |||||
Nonvested, Number of Shares Beginning Balance | 311,625 | 311,625 | |||
Nonvested, Weighted - Average Grant Date Fair Value Beginning Balance | $33.62 | 33.62 | |||
Number of Shares, Granted | 90,616 | [1],[2] | |||
Weighted- Average Grant Date Fair Value, Granted | $37.80 | ||||
Number of Shares, Vested | -53,654 | ||||
Weighted - Average Grant Date Fair Value, Vested | $35.99 | ||||
Number of Shares, Forfeited | 0 | ||||
Weighted - Average Grant Date Fair Value, Forfeited | $0 | ||||
Nonvested, Number of Shares Ending Balance | 348,587 | ||||
Nonvested, Weighted - Average Grant Date Fair Value Ending Balance | $34.35 | ||||
March 19, 2015 Awards [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested [Roll Forward] | |||||
Number of Shares, Granted | 61,660 | ||||
March 19, 2015 Awards [Member] | Performance Period July 1, 2015 - June 30, 2018 [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested [Roll Forward] | |||||
Number of Shares, Granted | 30,831 | ||||
January 26, 2012 Awards [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested [Roll Forward] | |||||
Number of Shares, Granted | 79,823 | ||||
2009 Plan [Member] | January 26, 2012 Awards [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested [Roll Forward] | |||||
Number of Shares Earned in Excess of Target | 28,956 | ||||
[1] | Amount includes an additional 28,956 shares issued on January 1, 2015 from the January 26, 2012 grant, which were earned in excess of the target amount. | ||||
[2] | Amount includes 30,831 shares awarded on March 19, 2015 for which fair value has been estimated, but amortization into expense has not yet commenced. Amortization of fair value into expense will commence at the beginning of the performance measurement period on July 1, 2015. |
Schedule_of_Other_Indirect_Hot
Schedule of Other Indirect Hotel Operating Expenses (Details) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Hotels | ||
Statement [Line Items] | ||
General and administrative | $6,267 | $5,492 |
Other expenses | 2,345 | 3,207 |
Total other indirect expenses | 70,002 | 60,423 |
Number of hotels | 47 | |
LHL [Member] | ||
Statement [Line Items] | ||
General and administrative | 23,907 | 20,047 |
Sales and marketing | 17,951 | 14,788 |
Repairs and maintenance | 9,611 | 9,026 |
Management and incentive fees | 7,328 | 6,164 |
Utilities and insurance | 8,817 | 8,136 |
Franchise fees | 1,828 | 1,822 |
Other expenses | 560 | 440 |
Total other indirect expenses | $70,002 | $60,423 |
Number of hotels | 47 |
Schedule_of_Income_Tax_Expense
Schedule of Income Tax Expense (Benefit) (Details) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Schedule of Income Tax [Line Items] | ||
Total income tax expense (benefit) | ($4,868) | ($6,392) |
LHL's income tax expense (benefit) [Member] | ||
Schedule of Income Tax [Line Items] | ||
Total income tax expense (benefit) | -5,079 | -6,627 |
Operating Partnership's income tax expense (benefit) [Member] | ||
Schedule of Income Tax [Line Items] | ||
Total income tax expense (benefit) | $211 | $235 |
Income_Taxes_Income_Taxes_Narr
Income Taxes Income Taxes (Narrative) (Details) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Investments, Owned, Federal Income Tax Note [Line Items] | ||
Income (Loss) from Continuing Operations before Equity Method Investments, Income Taxes, Extraordinary Items, Noncontrolling Interest | $2,130 | $11,263 |
LHL [Member] | ||
Investments, Owned, Federal Income Tax Note [Line Items] | ||
Federal and State Effective Tax Rate | 32.60% | |
Income (Loss) from Continuing Operations before Equity Method Investments, Income Taxes, Extraordinary Items, Noncontrolling Interest | $15,637 |
Schedule_of_Assets_and_Liabili
Schedule of Assets and Liabilities Measured at Fair Value on a Recurring Basis (Details) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Thousands, unless otherwise specified | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Derivative interest rate instruments, Prepaid expenses and other assets | $44 | $1,520 |
Fair Value, Inputs, Level 2 [Member] | Designated as Hedging Instrument [Member] | Interest Rate Swap [Member] | Accounts Payable and Accrued Expenses [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Derivative interest rate instruments, Accounts payable and accrued expenses | $2,622 | $770 |
Schedule_of_Fair_Value_and_Car
Schedule of Fair Value and Carrying Value of Financial Instruments (Details) (Fair Value, Inputs, Level 2 [Member], USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Thousands, unless otherwise specified | ||
Carrying Value [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Borrowings under credit facilities | $342,000 | $0 |
Term loans | 477,500 | 477,500 |
Bonds payable | 42,500 | 42,500 |
Mortgage loans | 499,859 | 501,090 |
Estimated Fair Value [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Borrowings under credit facilities | 342,376 | 0 |
Term loans | 477,048 | 476,996 |
Bonds payable | 42,500 | 42,500 |
Mortgage loans | $508,470 | $510,250 |
Fair_Value_Measurements_Financ
Fair Value Measurements Financial Instruments Not Measured at Fair Value (Narrative) (Details) | Mar. 31, 2015 | Dec. 31, 2014 |
Weighted average effective interest rate | 2.50% | 2.90% |
Minimum [Member] | ||
Interest Rate Used for Estimated Fair Value | 1.60% | 1.60% |
Maximum [Member] | ||
Interest Rate Used for Estimated Fair Value | 4.00% | 4.30% |
Earnings_Per_Common_Share_Earn
Earnings Per Common Share Earnings Per Common Share (Narrative) (Details) | 3 Months Ended | |
Mar. 31, 2015 | Mar. 31, 2014 | |
Earnings Per Common Share [Abstract] | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 405,526 | 310,385 |
Schedule_of_Computation_of_Bas
Schedule of Computation of Basic And Diluted Earnings Per Common Share (Details) (USD $) | 3 Months Ended | |
In Thousands, except Share data, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Numerator: | ||
Net loss attributable to common shareholders | ($319) | ($8,972) |
Dividends paid on unvested restricted shares | -119 | -102 |
Undistributed earnings attributable to unvested restricted shares | 0 | 0 |
Net loss attributable to common shareholders excluding amounts attributable to unvested restricted shares | ($438) | ($9,074) |
Denominator: | ||
Weighted average number of common shares - basic | 112,647,715 | 103,691,657 |
Compensation-related shares | 0 | 0 |
Weighted average number of common shares - diluted | 112,647,715 | 103,691,657 |
Earnings per Common Share - Basic: | ||
Net loss attributable to common shareholders excluding amounts attributable to unvested restricted shares | $0 | ($0.09) |
Earnings per Common Share - Diluted: | ||
Net loss attributable to common shareholders excluding amounts attributable to unvested restricted shares | $0 | ($0.09) |
Schedule_of_Supplemental_Infor
Schedule of Supplemental Information to Statements of Cash Flows (Details) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Supplemental Cash Flow Information [Abstract] | ||
Interest paid, net of capitalized interest | $12,976 | $13,587 |
Interest capitalized | 224 | 59 |
Income taxes refunded, net | 160 | 164 |
Increase in distributions payable on common shares | 53 | 27 |
Write-off of fully amortized deferred financing costs | 0 | 23 |
Decrease in accrued capital expenditures | -1,066 | -1,841 |
Grant of nonvested shares and awards to employees and executives, net | 3,686 | 3,762 |
Issuance of common shares for Board of Trustees compensation | 691 | 602 |
Investment in properties (after credits at closing) | -445,734 | 0 |
Other assets | -1,897 | 0 |
Liabilities | 8,474 | 0 |
Acquisition of properties | ($439,157) | $0 |
Schedule_of_Common_and_Preferr
Schedule of Common and Preferred Subsequent Events Dividends (Details) (USD $) | 3 Months Ended | ||||
Mar. 31, 2015 | Mar. 31, 2014 | Jun. 30, 2015 | |||
Subsequent Event [Line Items] | |||||
Common Dividend per Share/Unit | $0.38 | [1] | $0.28 | ||
For the Quarter Ended | 31-Dec-14 | ||||
Record Date | 31-Dec-14 | ||||
Payable Date | 15-Jan-15 | ||||
7 1/2% Series H Preferred Shares [Member] | |||||
Subsequent Event [Line Items] | |||||
Preferred Dividend per Share/Unit | $0.47 | [2] | |||
For the Quarter Ended | 31-Dec-14 | ||||
Record Date | 1-Jan-15 | ||||
Payable Date | 15-Jan-15 | ||||
6 3/8% Series I Preferred Stock [Member] | |||||
Subsequent Event [Line Items] | |||||
Preferred Dividend per Share/Unit | $0.40 | [2] | |||
For the Quarter Ended | 31-Dec-14 | ||||
Record Date | 1-Jan-15 | ||||
Payable Date | 15-Jan-15 | ||||
Subsequent Event [Member] | Common Shares of Beneficial Interest [Member] | |||||
Subsequent Event [Line Items] | |||||
Common Dividend per Share/Unit | $0.38 | [2] | |||
For the Quarter Ended | 31-Mar-15 | ||||
Record Date | 31-Mar-15 | ||||
Payable Date | 15-Apr-15 | ||||
Subsequent Event [Member] | 7 1/2% Series H Preferred Shares [Member] | |||||
Subsequent Event [Line Items] | |||||
Preferred Dividend per Share/Unit | $0.47 | [2] | |||
For the Quarter Ended | 31-Mar-15 | ||||
Record Date | 1-Apr-15 | ||||
Payable Date | 15-Apr-15 | ||||
Subsequent Event [Member] | 6 3/8% Series I Preferred Stock [Member] | |||||
Subsequent Event [Line Items] | |||||
Preferred Dividend per Share/Unit | $0.40 | [2] | |||
For the Quarter Ended | 31-Mar-15 | ||||
Record Date | 1-Apr-15 | ||||
Payable Date | 15-Apr-15 | ||||
[1] | Amount is rounded to the nearest whole cent for presentation purposes. | ||||
[2] | Amounts are rounded to the nearest whole cent for presentation purposes. |