Document And Entity Information
Document And Entity Information - shares | 3 Months Ended | |
Mar. 31, 2016 | Apr. 21, 2016 | |
Entity Information [Line Items] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Mar. 31, 2016 | |
Document Fiscal Year Focus | 2,016 | |
Document Fiscal Period Focus | Q1 | |
Entity Registrant Name | LaSalle Hotel Properties | |
Entity Central Index Key | 1,053,532 | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Large Accelerated Filer | |
Entity Common Stock, Shares Outstanding | 113,059,456 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Mar. 31, 2016 | Dec. 31, 2015 |
Assets: | ||
Investment in hotel properties, net (Note 3) | $ 3,824,755 | $ 3,817,676 |
Note receivable (Note 3) | 80,000 | 80,000 |
Property under development | 29,767 | 54,066 |
Cash and cash equivalents | 9,387 | 5,700 |
Restricted cash reserves (Note 5) | 24,124 | 26,443 |
Hotel receivables (net of allowance for doubtful accounts of $692 and $355, respectively) | 41,152 | 39,038 |
Debt issuance costs for borrowings under credit facilities, net | 2,928 | 3,347 |
Deferred tax assets | 9,473 | 3,566 |
Prepaid expenses and other assets | 38,420 | 39,510 |
Total assets | 4,060,006 | 4,069,346 |
Liabilities: | ||
Borrowings under credit facilities (Note 4) | 343,000 | 21,000 |
Term loans, net of unamortized debt issuance costs (Note 4) | 852,342 | 852,203 |
Bonds payable, net of unamortized debt issuance costs (Note 4) | 42,359 | 42,316 |
Mortgage loans, net of unamortized debt issuance costs (Note 4) | 222,787 | 508,804 |
Accounts payable and accrued expenses | 190,274 | 181,854 |
Advance deposits | 31,897 | 28,471 |
Accrued interest | 2,485 | 3,276 |
Distributions payable | 53,984 | 53,939 |
Total liabilities | $ 1,739,128 | $ 1,691,863 |
Commitments and contingencies (Note 5) | ||
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; 113,115,442 shares issued and 113,059,456 shares outstanding, and 113,115,442 shares issued and 112,959,547 shares outstanding, respectively (Note 6) | 1,131 | 1,131 |
Treasury shares, at cost (Note 6) | (1,433) | (4,798) |
Additional paid-in capital, net of offering costs of $80,284 and $80,205, respectively | 2,681,620 | 2,684,010 |
Accumulated other comprehensive loss (Note 4) | (12,553) | (97) |
Distributions in excess of retained earnings | (351,109) | (306,051) |
Total shareholders’ equity | 2,317,728 | 2,374,267 |
Noncontrolling Interests: | ||
Noncontrolling interests in consolidated entities | 18 | 18 |
Noncontrolling interests of common units in Operating Partnership (Note 6) | 3,132 | 3,198 |
Total noncontrolling interests | 3,150 | 3,216 |
Total equity | 2,320,878 | 2,377,483 |
Total liabilities and equity | $ 4,060,006 | $ 4,069,346 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended |
Mar. 31, 2016 | Dec. 31, 2015 | |
Statement of Financial Position [Abstract] | ||
Allowance for doubtful accounts | $ 692 | $ 355 |
Preferred shares of beneficial interest, par value (usd per share) | $ 0.01 | $ 0.01 |
Preferred shares of beneficial interest, liquidation preference value | $ 178,750 | $ 178,750 |
Preferred shares of beneficial interest, shares authorized | 40,000,000 | 40,000,000 |
Preferred shares of beneficial interest, shares issued | 7,150,000 | 7,150,000 |
Preferred shares of beneficial interest, shares outstanding | 7,150,000 | 7,150,000 |
Common shares of beneficial interest, par value (usd per share) | $ 0.01 | $ 0.01 |
Common shares of beneficial interest, shares authorized | 200,000,000 | 200,000,000 |
Common shares of beneficial interest, shares issued | 113,115,442 | 113,115,442 |
Common shares of beneficial interest, shares outstanding | 113,059,456 | 112,959,547 |
Offering costs | $ 80,284 | $ 80,205 |
Consolidated Statements of Oper
Consolidated Statements of Operations and Comprehensive Loss - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2016 | Mar. 31, 2015 | |
Hotel operating revenues: | ||
Room | $ 181,420 | $ 170,591 |
Food and beverage | 56,347 | 60,915 |
Other operating department | 20,643 | 18,017 |
Total hotel operating revenues | 258,410 | 249,523 |
Other income | 1,694 | 1,280 |
Total revenues | 260,104 | 250,803 |
Hotel operating expenses: | ||
Room | 52,291 | 48,721 |
Food and beverage | 42,908 | 45,118 |
Other direct | 3,683 | 3,920 |
Other indirect (Note 8) | 71,915 | 70,002 |
Total hotel operating expenses | 170,797 | 167,761 |
Depreciation and amortization | 47,628 | 42,878 |
Real estate taxes, personal property taxes and insurance | 16,191 | 15,934 |
Ground rent (Note 5) | 3,813 | 3,662 |
General and administrative | 5,830 | 6,267 |
Acquisition transaction costs (Note 3) | 0 | 447 |
Other expenses | 2,178 | 2,345 |
Total operating expenses | 246,437 | 239,294 |
Operating income | 13,667 | 11,509 |
Interest income | 1,654 | 6 |
Interest expense | (11,867) | (13,645) |
Income (loss) before income tax benefit | 3,454 | (2,130) |
Income tax benefit (Note 9) | 5,620 | 4,868 |
Net income | 9,074 | 2,738 |
Noncontrolling interests of common units in Operating Partnership (Note 6) | (15) | (15) |
Net income attributable to the Company | 9,059 | 2,723 |
Distributions to preferred shareholders | (3,042) | (3,042) |
Net income (loss) attributable to common shareholders | $ 6,017 | $ (319) |
Earnings per Common Share - Basic (Note 11): | ||
Net income attributable to common shareholders excluding amounts attributable to unvested restricted shares | $ 0.05 | $ 0 |
Earnings per Common Share - Diluted (Note 11): | ||
Net income attributable to common shareholders excluding amounts attributable to unvested restricted shares | $ 0.05 | $ 0 |
Weighted average number of common shares outstanding: | ||
Basic | 112,748,492 | 112,647,715 |
Diluted | 113,108,158 | 112,647,715 |
Comprehensive Loss: | ||
Net income | $ 9,074 | $ 2,738 |
Other comprehensive loss: | ||
Unrealized loss on interest rate derivative instruments (Note 4) | (14,252) | (4,398) |
Reclassification adjustment for amounts recognized in net income (Note 4) | 1,780 | 1,070 |
Comprehensive loss | (3,398) | (590) |
Noncontrolling interests of common units in Operating Partnership (Note 6) | 1 | (6) |
Comprehensive loss attributable to the Company | $ (3,397) | $ (596) |
Consolidated Statements of Equi
Consolidated Statements of Equity - USD ($) $ in Thousands | 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] |
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 ($0.38 and $0.45 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 income | 2,738 | 2,723 | 0 | 0 | 0 | 0 | 0 | 2,723 | 15 | 0 | 15 |
Other comprehensive loss: | |||||||||||
Unrealized 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 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 |
Balance, Beginning of year at Dec. 31, 2015 | 2,377,483 | 2,374,267 | 72 | 1,131 | (4,798) | 2,684,010 | (97) | (306,051) | 3,216 | 18 | 3,198 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||||
Issuance of shares, net of offering costs | 401 | 401 | 0 | 0 | 1,584 | (1,183) | 0 | 0 | 0 | 0 | 0 |
Repurchase of common shares into treasury | (1,240) | (1,240) | 0 | 0 | (1,240) | 0 | 0 | 0 | 0 | 0 | 0 |
Deferred compensation, net | 1,814 | 1,814 | 0 | 0 | 3,021 | (1,207) | 0 | 0 | 0 | 0 | 0 |
Distributions on earned shares from share awards with market conditions | (151) | (151) | 0 | 0 | 0 | 0 | 0 | (151) | 0 | 0 | 0 |
Distributions on common shares/units ($0.38 and $0.45 per share/unit, respectively) | (50,989) | (50,924) | 0 | 0 | 0 | 0 | 0 | (50,924) | (65) | 0 | (65) |
Distributions on preferred shares | (3,042) | (3,042) | 0 | 0 | 0 | 0 | 0 | (3,042) | 0 | 0 | 0 |
Net income | 9,074 | 9,059 | 0 | 0 | 0 | 0 | 0 | 9,059 | 15 | 0 | 15 |
Other comprehensive loss: | |||||||||||
Unrealized loss on interest rate derivative instruments | (14,252) | (14,234) | 0 | 0 | 0 | 0 | (14,234) | 0 | (18) | 0 | (18) |
Reclassification adjustment for amounts recognized in net income | 1,780 | 1,778 | 0 | 0 | 0 | 0 | 1,778 | 0 | 2 | 0 | 2 |
Balance, End of period at Mar. 31, 2016 | $ 2,320,878 | $ 2,317,728 | $ 72 | $ 1,131 | $ (1,433) | $ 2,681,620 | $ (12,553) | $ (351,109) | $ 3,150 | $ 18 | $ 3,132 |
Consolidated Statements of Equ6
Consolidated Statements of Equity (Parenthetical) - $ / shares | 3 Months Ended | |
Mar. 31, 2016 | Mar. 31, 2015 | |
Statement of Stockholders' Equity [Abstract] | ||
Distributions on common shares/units (per share/unit) | $ 0.45 | $ 0.38 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2016 | Mar. 31, 2015 | |
Cash flows from operating activities: | ||
Net income | $ 9,074 | $ 2,738 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Depreciation and amortization | 47,628 | 42,878 |
Amortization of debt issuance costs | 878 | 547 |
Amortization of deferred compensation | 1,814 | 1,854 |
Deferred income tax benefit | (5,907) | (5,097) |
Allowance for doubtful accounts | 337 | 29 |
Other | 154 | 0 |
Changes in assets and liabilities: | ||
Restricted cash reserves | 3,053 | 147 |
Hotel receivables | (2,451) | (10,416) |
Prepaid expenses and other assets | (1,425) | 5,439 |
Accounts payable and accrued expenses | 3,867 | 6,029 |
Advance deposits | 3,426 | 8,011 |
Accrued interest | (791) | 122 |
Net cash provided by operating activities | 59,657 | 52,281 |
Cash flows from investing activities: | ||
Additions to properties | (27,025) | (23,508) |
Improvements to properties | (9,343) | (3,577) |
Acquisition of properties | 0 | (439,157) |
Deposit on acquisition | 0 | 25,000 |
Purchase of office furniture and equipment | (4) | (70) |
Restricted cash reserves | (734) | (971) |
Property insurance proceeds | 780 | 154 |
Net cash used in investing activities | (36,326) | (442,129) |
Cash flows from financing activities: | ||
Borrowings under credit facilities | 378,990 | 388,524 |
Repayments under credit facilities | (56,990) | (46,524) |
Repayments of mortgage loans | (286,294) | (1,231) |
Payment of debt issuance costs | 0 | (8) |
Purchase of treasury shares | (1,240) | (1,671) |
Payment of common offering costs | (19) | (192) |
Distributions on earned shares from share awards with market conditions | (151) | (334) |
Distributions on preferred shares | (3,042) | (3,042) |
Distributions on common shares/units | (50,898) | (42,420) |
Net cash (used in) provided by financing activities | (19,644) | 293,102 |
Net change in cash and cash equivalents | 3,687 | (96,746) |
Cash and cash equivalents, beginning of period | 5,700 | 114,131 |
Cash and cash equivalents, end of period | $ 9,387 | $ 17,385 |
Organization
Organization | 3 Months Ended |
Mar. 31, 2016 | |
Organization, Consolidation and Presentation of Financial Statements [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, is subject to taxation at normal corporate rates. As of March 31, 2016 , 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 2016 and December 2018 . 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. (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, 99.9% of the common units of the Operating Partnership at March 31, 2016 . The remaining 0.1% is held by limited partners who held 145,223 common units of the Operating Partnership at March 31, 2016 . See Note 6 for additional disclosures related to common units of the Operating Partnership. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 3 Months Ended |
Mar. 31, 2016 | |
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, 2016 are not necessarily indicative of the results that may be expected for the year ending December 31, 2016 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, 2015 . 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 shares under the 2014 Equity Incentive Plan (“2014 Plan”), which has approximately eight 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, 2016 , 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. Variable Interest Entities In 2016, the Company adopted Accounting Standards Update (“ASU”) No. 2015-02, Consolidation (Topic 810): Amendments to the Consolidation Analysis . The Company evaluated the application of ASU No. 2015-02 and concluded that no change was required to its accounting of its interests in less than wholly owned joint ventures, however, the Operating Partnership now meets the criteria as a variable interest entity. The Company’s significant asset is its investment in the Operating Partnership, and consequently, substantially all of the Company’s assets and liabilities represent those assets and liabilities of the Operating Partnership. All of the Company’s debt is an obligation of the Operating Partnership. Notes Receivable Notes receivable are carried at cost, net of any premiums or discounts which are recognized as an adjustment of yield over the remaining life of the note using the effective interest method. Any costs related to notes receivable are expensed as incurred. Interest income is recorded on the accrual basis consistent with the terms of the notes receivable. A note is deemed to be impaired when, based on current information and events, including a review of factors that would impact the fair value of the underlying collateral, it is probable that the Company will be unable to collect all principal and interest contractually due. The Company considers current and projected cash flow, historical payment patterns, general and industry specific economic factors and operating results in determining the probability of default. Interest previously accrued but not collected becomes part of the Company’s recorded investment in the note receivable for purposes of assessing impairment. The Company applies interest payments received on non-accrual notes receivable first to accrued interest and then as interest income. Notes receivable return to accrual status when contractually current and the collection of future payments is reasonably assured. Recently Issued Accounting Pronouncements In May 2014, the Financial Accounting Standards Board (“FASB”) issued ASU No. 2014-09, Revenue from Contracts with Customers , which requires an entity to recognize the amount of revenue to which it expects to be entitled for the transfer of promised goods or services to customers. The ASU will replace most existing revenue recognition guidance in GAAP when it becomes effective. The new standard is effective for the Company on January 1, 2018. Early adoption is permitted. The standard permits the use of either the retrospective or cumulative effect transition method. The Company is evaluating the effect that ASU No. 2014-09 will have on its consolidated financial statements and related disclosures. The Company has not yet selected a transition method nor has it determined the effect of the standard on its ongoing financial reporting. In April 2015, the FASB issued ASU No. 2015-03, Simplifying the Presentation of Debt Issuance Costs , which requires debt issuance costs to be presented on the balance sheet as a direct deduction from the carrying amount of the debt liability. The Company adopted ASU No. 2015-03 effective January 1, 2016 and applied its provisions retrospectively. The adoption of this standard only affects the presentation of the Company’s consolidated balance sheet. In February 2016, the FASB issued ASU No. 2016-02, Leases (Topic 842), which requires lessees to record operating and financing leases as assets and liabilities on the balance sheet and lessors to expense costs that are not initial direct leasing costs. This standard will be effective for the first annual reporting period beginning after December 15, 2018. The Company is evaluating the effect that ASU No. 2016-02 will have on its consolidated financial statements and related disclosures. Reclassification Certain amounts in the 2015 financial statements have been reclassified to conform with the 2016 presentation. |
Investment in Hotel Properties
Investment in Hotel Properties | 3 Months Ended |
Mar. 31, 2016 | |
Real Estate [Abstract] | |
Investment in Hotel Properties | Investment in Hotel Properties Investment in hotel properties as of March 31, 2016 and December 31, 2015 consists of the following: March 31, 2016 December 31, 2015 Land $ 731,921 $ 731,796 Buildings and improvements 3,620,915 3,613,724 Furniture, fixtures and equipment 748,872 701,742 Investment in hotel properties, gross 5,101,708 5,047,262 Accumulated depreciation (1,276,953 ) (1,229,586 ) Investment in hotel properties, net $ 3,824,755 $ 3,817,676 As of March 31, 2016 and December 31, 2015 , buildings and improvements included capital lease assets of $183,503 and accumulated depreciation included amounts related to capital lease assets of $22,244 and $20,915 , 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 $47,494 and $42,752 for the three months ended March 31, 2016 and 2015 , respectively. Acquisitions 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 Hotel Name Acquisition Date Number of Location Purchase Manager For the three months ended March 31, 2015 Park Central San Francisco January 23, 2015 681 San Francisco, CA $ 350,000 Highgate Hotels $ 230 The Marker Waterfront Resort March 16, 2015 96 Key West, FL 96,250 Highgate Hotels 217 Total $ 446,250 $ 447 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 . Note Receivable On July 20, 2015 , the Company provided a junior mezzanine loan (the “Mezzanine Loan”) secured by pledges of equity interests in the entities that own the hotel properties, Shutters on the Beach and Casa Del Mar, in Santa Monica, CA. The Company entered into the Mezzanine Loan for a total purchase price of $80,000 before closing costs. The Mezzanine Loan bears interest at a variable interest rate equal to LIBOR plus 7.75% , which rate was 8.19% as of March 31, 2016 . Interest-only payments are to be received monthly with the option of prepayment, pursuant to certain terms and conditions. The Mezzanine Loan matures on August 9, 2017 and has five one -year extension options, subject to conditions. The Mezzanine Loan is subordinate to a $235,000 first mortgage loan and a $90,000 senior mezzanine loan secured by the properties that also mature on August 9, 2017 . 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, 2016 2015 General and administrative $ 24,601 $ 23,907 Sales and marketing 18,581 17,951 Repairs and maintenance 9,836 9,611 Management and incentive fees 7,631 7,328 Utilities and insurance 8,233 8,817 Franchise fees 2,277 1,828 Other expenses 756 560 Total other indirect expenses $ 71,915 $ 70,002 As of March 31, 2016 , 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 Triton San Francisco, CA 9. Hotel Vitale San Francisco, CA 10. Park Central San Francisco San Francisco, CA 11. Serrano Hotel San Francisco, CA 12. The Marker San Francisco 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. Hotel George Washington, D.C. 21. Hotel Madera Washington, D.C. 22. Hotel Palomar, Washington, DC Washington, D.C. 23. Hotel Rouge Washington, D.C. 24. Mason & Rook Hotel Washington, D.C. 25. Sofitel Washington, DC Lafayette Square Washington, D.C. 26. The Donovan Washington, D.C. 27. The Liaison Capitol Hill Washington, D.C. 28. Topaz Hotel Washington, D.C. 29. Southernmost Beach Resort Key West 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 Regency 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 New York (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 |
Long-Term Debt
Long-Term Debt | 3 Months Ended |
Mar. 31, 2016 | |
Debt Disclosure [Abstract] | |
Long-Term Debt | Long-Term Debt Debt Summary Debt as of March 31, 2016 and December 31, 2015 consisted of the following: Balance Outstanding as of Debt Interest Maturity March 31, December 31, Credit facilities Senior unsecured credit facility Floating (a) January 2018 (a) $ 343,000 $ 21,000 LHL unsecured credit facility Floating (b) January 2018 (b) 0 0 Total borrowings under credit facilities 343,000 21,000 Term loans Second Term Loan Floating/Fixed (c) January 2019 300,000 300,000 Third Term Loan Floating/Fixed (c) January 2021 555,000 555,000 Debt issuance costs, net (2,658 ) (2,797 ) Total term loans, net of unamortized debt issuance costs 852,342 852,203 Massport Bonds Hyatt Regency Boston Harbor (taxable) Floating (d) March 2018 5,400 5,400 Hyatt Regency Boston Harbor (tax exempt) Floating (d) March 2018 37,100 37,100 Debt issuance costs, net (141 ) (184 ) Total bonds payable, net of unamortized debt issuance costs 42,359 42,316 Mortgage loans Westin Michigan Avenue 5.75% - (e) 0 131,262 Indianapolis Marriott Downtown 5.99% - (e) 0 96,097 The Roger 6.31% - (f) 0 58,935 Westin Copley Place Floating (g) August 2018 (g) 225,000 225,000 Debt issuance costs, net (2,213 ) (2,490 ) Total mortgage loans, net of unamortized debt issuance costs 222,787 508,804 Total debt $ 1,460,488 $ 1,424,323 (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 (as defined in the credit agreement) plus an applicable margin. As of March 31, 2016 , the rate, including the applicable margin, for the Company’s outstanding LIBOR borrowings of $42,000 and $301,000 were 2.15% and 2.14% , respectively. As of December 31, 2015 , the rate, including the applicable margin, for the Company’s outstanding LIBOR borrowing of $21,000 was 2.13% . 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 (as defined in the credit agreement) plus an applicable margin. There were no borrowings outstanding at March 31, 2016 and December 31, 2015 . 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. On November 5, 2015 , the Company repaid the First Term Loan and entered into the Third Term Loan (as defined below). The Company entered into separate interest rate swap agreements with an aggregate notional amount of $377,500 for the full term of the Third Term Loan. The interest rate swaps for the First Term Loan continue to be in place and were redesignated as hedging instruments through May 2019 for the Third Term Loan. At March 31, 2016 and December 31, 2015 , the fixed all-in interest rates for the Second Term Loan and Third Term Loan were 2.38% and 2.95% , 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 that expire in September 2016 . The letters of credit have two one -year extension options and are secured by the Hyatt Regency 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, 2016 were 0.39% and 0.43% for the $5,400 and $37,100 bonds, respectively. The interest rates as of December 31, 2015 were 0.39% and 0.02% for the $5,400 and $37,100 bonds, respectively. The Company incurs an annual letter of credit fee of 1.35% . (e) The Company repaid the mortgage loans on January 4, 2016 through borrowings on its senior unsecured credit facility. (f) The Company repaid the mortgage loan on February 11, 2016 through borrowings on its senior unsecured credit facility. (g) The mortgage loan matures on August 14, 2018 with three options to extend the maturity date to January 5, 2021 , pursuant to certain terms and conditions. The interest-only mortgage loan bears interest at a variable rate ranging from LIBOR plus 1.75% to LIBOR plus 2.00% , depending on Westin Copley Place’s net cash flow (as defined in the loan agreement). The interest rate as of March 31, 2016 was LIBOR plus 1.75% , which equaled 2.19% . The interest rate as of December 31, 2015 was LIBOR plus 1.75% , which equaled 2.09% . The mortgage loan allows for prepayments without penalty after one year , subject to certain terms and conditions. Future scheduled debt principal payments as of March 31, 2016 are as follows: 2016 $ 0 2017 0 2018 610,500 2019 300,000 2020 0 Thereafter 555,000 Total debt $ 1,465,500 A summary of the Company’s interest expense and weighted average interest rates for unswapped variable rate debt for the three months ended March 31, 2016 and 2015 is as follows: For the three months ended March 31, 2016 2015 Interest Expense: Interest incurred $ 11,184 $ 13,322 Amortization of debt issuance costs 878 547 Capitalized interest (195 ) (224 ) Interest expense $ 11,867 $ 13,645 Weighted Average Interest Rates for Unswapped Variable Rate Debt: Senior unsecured credit facility 2.13 % 1.88 % LHL unsecured credit facility 2.13 % 1.87 % Massport Bonds 0.11 % 0.04 % Mortgage loan (Westin Copley Place) 2.17 % N/A 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 (as defined in the credit agreement) 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 (as defined in the credit agreement) 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 (the “First Term Loan”) with a seven -year term maturing on May 16, 2019 . The First Term Loan bears interest at a variable rate, but was hedged to a fixed interest rate. On November 5, 2015 , the Company repaid the First Term Loan and redesignated the interest rate swaps as hedging instruments for the Third Term Loan as described 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, 2016 , through August 2, 2017 (see “Derivative and Hedging Activities” below). On November 5, 2015, the Company entered into a $555,000 unsecured term loan (the “Third Term Loan”) with a five -year term maturing on January 29, 2021 . The Third 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 $700,000 . The Third 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 2.95% at March 31, 2016 through May 16, 2019 for $177,500 of the Third Term Loan and through January 29, 2021 for the remaining $377,500 of the Third Term Loan (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). As discussed above, the First Term Loan was repaid on November 5, 2015 . The interest rate swaps for the First Term Loan continue to be in place and are designated as hedging instruments for the Third Term Loan. 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, 2016 . Effective November 5, 2015, the Company entered into seven interest rate swap agreements with an aggregate notional amount of $377,500 for the Third Term Loan’s full five -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 2.95% at March 31, 2016 . 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 table presents the effect of derivative instruments on the Company’s accompanying consolidated statements of operations and comprehensive loss, including the location and amount of unrealized loss on outstanding derivative instruments in cash flow hedging relationships, for the three months ended March 31, 2016 and 2015 : Amount of Loss Recognized in OCL on Derivative Instruments Location of Loss Reclassified from AOCL into Net Income Amount of Loss Reclassified from AOCL into Net Income (Effective Portion) (Effective Portion) (Effective Portion) For the three months ended For the three months ended March 31, March 31, 2016 2015 2016 2015 Derivatives in cash flow hedging relationships: Interest rate swaps $ (14,252 ) $ (4,398 ) Interest expense $ 1,780 $ 1,070 During the three months ended March 31, 2016 and 2015 , 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, 2016 , there was $12,569 in cumulative unrealized loss of which $12,553 was included in AOCL and $16 was attributable to noncontrolling interests. As of December 31, 2015 , there was $97 in cumulative unrealized loss of which $97 was included in AOCL and zero was attributable to noncontrolling interests. The Company expects that approximately $6,901 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, 2016 . 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. On January 4, 2016 , the Company repaid without fee or penalty the Westin Michigan Avenue mortgage loan in the amount of $131,262 plus accrued interest through borrowings under its senior unsecured credit facility. The loan was due to mature in April 2016 . On January 4, 2016 , the Company repaid without fee or penalty the Indianapolis Marriott Downtown mortgage loan in the amount of $96,097 plus accrued interest through borrowings under its senior unsecured credit facility. The loan was due to mature in July 2016 . On February 11, 2016 , the Company repaid without fee or penalty The Roger mortgage loan in the amount of $58,831 plus accrued interest through borrowings under its senior unsecured credit facility. The loan was due to mature in August 2016 . The Company’s 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 may 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, 2016 , 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 loan. |
Commitments and Contingencies
Commitments and Contingencies | 3 Months Ended |
Mar. 31, 2016 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies Ground, Land and Building, and Air Rights Leases A summary of the Company’s hotels subject to non-cancelable operating leases as of March 31, 2016 is as follows: Lease Properties Lease Type Lease Expiration Date Southernmost Beach Resort Key West (Restaurant facility) Ground lease April 2019 (1) Hyatt Regency Boston Harbor Ground lease March 2026 (2) The Hilton San Diego Resort and Spa Ground lease December 2045 San Diego Paradise Point Resort and Spa Ground lease May 2050 Hotel Vitale Ground lease March 2056 Viceroy Santa Monica Ground lease September 2065 Westin Copley Place (4) Air rights lease December 2077 The Liberty Hotel Ground lease May 2080 Indianapolis Marriott Downtown (5) Ground lease June 2099 Hotel Solamar Ground lease December 2102 (1) The Company can begin negotiating a renewal one year in advance of the lease expiration date. (2) The Company has options, subject to certain terms and conditions, to extend the ground lease for 51 years to 2077 . (3) The Company has the option, subject to certain terms and conditions, to extend the ground lease for 14 years to 2070 . (4) No payments are required through maturity. (5) Requires future ground rent payments of one dollar per year. The Company has options, subject to certain terms and conditions, to extend the ground lease for 50 years to 2149 . 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 $477 and $493 for the three months ended March 31, 2016 and 2015 , respectively, which is included in total ground rent expense. Total ground rent expense for the three months ended March 31, 2016 and 2015 was $3,813 and $3,662 , 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. A summary of the Company’s hotels subject to capital leases of land and building as of March 31, 2016 is as follows: Lease Properties Estimated Present Value of Remaining Rent Payments (1) Lease Expiration Date The Roger $ 4,892 December 2044 Harbor Court Hotel $ 18,424 April 2048 Hotel Triton (2) $ 25,625 December 2049 (1) At acquisition, the estimated present value of the remaining rent payments 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. (2) In 2015, the hotel lease was amended, extending the lease expiration date from January 2048 to December 2049 . At acquisition, the estimated present value of the remaining payments recorded as a capital lease obligation was $27,752 . Due to the lease amendment, the recalculated estimated present value of the remaining rent payments is $25,625 , which net of amortization, is included in accounts payable and accrued expenses in the accompanying consolidated balance sheets. Future minimum rent payments, including capital lease payments, (without reflecting future applicable Consumer Price Index increases) are as follows: 2016 $ 9,623 2017 13,052 2018 13,195 2019 13,172 2020 13,559 Thereafter 600,780 $ 663,381 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, 2016 , $22,136 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, 2016 , the Company held $24,124 in restricted cash reserves. Included in such amounts are $22,136 of reserve funds for future capital expenditures and $1,988 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, 2016 | |
Stockholders' Equity Note [Abstract] | |
Equity | Equity Common Shares of Beneficial Interest On January 1, 2016, the Company issued 13,864 common shares of beneficial interest and authorized an additional 4,910 deferred shares to the independent members of its Board of Trustees for their 2015 compensation. These common shares of beneficial interest were issued under the 2014 Plan. On March 1, 2016, the Company issued 36,926 common shares of beneficial interest to executives related to the nonvested share awards with market conditions granted on January 30, 2013 (see Note 7 for additional details including vesting information). These common shares of beneficial interest were issued under the 2009 Plan. On March 18, 2016, the Company issued 98,787 nonvested shares with service conditions to the Company’s executives and employees. The nonvested shares will vest in three annual installments starting January 1, 2017, subject to continued employment. These common shares of beneficial interest were issued under the 2014 Plan. Common Dividends The Company paid the following dividends on common shares/units during the three months ended March 31, 2016 : Dividend per (1) For the Quarter Ended Record Date Payable Date $ 0.45 December 31, 2015 December 31, 2015 January 15, 2016 (1) Amounts are 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, 2016 , the Company received 49,668 common shares of beneficial interest related to employees surrendering shares to pay minimum withholding taxes at the time nonvested shares vested. The Company’s Board of Trustees previously 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, 2016 , the Company had availability under the Repurchase Program to acquire up to $69,807 of common shares of beneficial interest. The timing, manner, price and actual number of shares repurchased will depend on a variety of factors including price, corporate and regulatory requirements, market conditions, and other corporate liquidity requirements and priorities. The Repurchase Program may be suspended, modified or terminated at any time for any reason without prior notice. The Repurchase Program does not obligate the Company to acquire any specific number of shares, and all open market repurchases will be made in accordance with applicable rules and regulations setting forth certain restrictions on the method, timing, price and volume of open market share repurchases. During the three months ended March 31, 2016 , the Company re-issued 13,864 treasury shares related to earned 2015 compensation for the Board of Trustees, 36,926 treasury shares related to earned 2013 long term performance-based shares awards, and 98,787 treasury shares related to the grants of nonvested shares with service conditions. At March 31, 2016 , there were 55,986 common shares of beneficial interest in treasury. Preferred Shares The following preferred shares of beneficial interest were outstanding as of March 31, 2016 : Security Type Number of 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 (the “Series H Preferred Shares”) and the 6 ⅜% Series I Cumulative Redeemable Preferred Shares (the “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 optionally redeem the Series H Preferred Shares as of January 24, 2016. The Company may not optionally redeem the Series I Preferred Shares prior to March 4, 2018, 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, 2016 : Security Type Dividend per Share (1) For the Quarter Ended Record Date Payable Date 7 ½% Series H $ 0.47 December 31, 2015 January 1, 2016 January 15, 2016 6 ⅜% Series I $ 0.40 December 31, 2015 January 1, 2016 January 15, 2016 (1) Amounts are rounded to the nearest whole cent for presentation purposes. Noncontrolling Interests of Common Units in Operating Partnership As of March 31, 2016 , the Operating Partnership had 145,223 common units of limited partnership interest outstanding, representing a 0.1% partnership interest held by the limited partners. As of March 31, 2016 , approximately $3,676 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 $3,676 is based on the Company’s closing common share price of $25.31 on March 31, 2016 , 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, 2016 | |
Disclosure of Compensation Related Costs, Share-based Payments [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, 2016 , there were 2,683,281 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, 2016 is as follows: Number of Weighted - Nonvested at January 1, 2016 228,835 $ 33.29 Granted 98,787 25.14 Vested (68,438 ) 32.37 Forfeited 0 0.00 Nonvested at March 31, 2016 (1) 259,184 $ 30.43 (1) Amount excludes 36,258 share awards with market conditions which were earned but nonvested due to a service condition as of March 31, 2016 . As of March 31, 2016 and December 31, 2015 , there were $5,541 and $3,914 , respectively, of total unrecognized compensation costs related to nonvested share awards with service conditions. As of March 31, 2016 and December 31, 2015 , these costs were expected to be recognized over a weighted-average period of 1.5 and 1.4 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, 2016 and 2015 was $1,722 and $2,964 , 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 $775 and $822 for the three months ended March 31, 2016 and 2015, respectively. Nonvested Share Awards with Market or Performance Conditions On January 30, 2013, the Company’s Board of Trustees granted a target of 80,559 nonvested share awards with either market or performance conditions to executives. On March 1, 2016, the executives earned 91.7% of their 40,280 target number of shares, or 36,926 shares, and all of the earned shares vested immediately. The shares representing the difference between 91.7% and 100% of the target, or 3,354 shares, were forfeited on March 1, 2016. The executives also received a cash payment of $151 on the shares equal to the value of all dividends paid on common shares from January 1, 2013 until the determination date, February 29, 2016. As of March 1, 2016, the executives are entitled to receive dividends as declared and paid on the earned shares and to vote the shares. The actual amounts of the shares awarded with respect to the remaining 40,279 of the 80,559 shares will be determined on or about July 1, 2016, based on the performance measurement period of July 1, 2013 through June 30, 2016, in accordance with the terms of the award 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 award 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 performance measurement period, all of the earned shares will be issued and outstanding on the date. 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 determination date. Such amounts will be paid to the awardees on or about July 1, 2016. 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 40,280 shares, amortization commenced on January 30, 2013, the beginning of the requisite service period, and, with respect to 40,279 shares, amortization commenced on July 1, 2013, the beginning of the requisite service period. On March 18, 2016, the Company’s Board of Trustees granted a target of 97,175 nonvested share awards with either market or performance conditions to executives (the “March 18, 2016 Awards”). The actual amounts of the shares awarded with respect to 48,587 of the 97,175 shares will be determined on or about January 1, 2019, based on the performance measurement period of January 1, 2016 through December 31, 2018, in accordance with the terms of the agreements. The actual amounts of the shares awarded with respect to the remaining 48,588 of the 97,175 shares will be determined on or about July 1, 2019, based on the performance measurement period of July 1, 2016 through June 30, 2019, 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, 2019 and July 1, 2019, 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 48,587 shares, amortization commenced on March 18, 2016, the beginning of the requisite service period, and, with respect to 48,588 shares, amortization will commence on July 1, 2016, the beginning of the requisite service period. The terms stipulated in the March 18, 2016 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 up to 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 up to 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 18, 2016 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 2016 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, 2016 is as follows: Number of Shares Weighted- Average Grant Date Fair Value Nonvested at January 1, 2016 348,587 $ 33.98 Granted (1) 97,175 25.14 Vested (85,069 ) 37.32 Forfeited (3,354 ) 38.10 Nonvested at March 31, 2016 357,339 $ 30.74 (1) Amount includes 48,588 shares awarded on March 18, 2016 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, 2016. As of March 31, 2016 and December 31, 2015 , there were $6,747 and $5,342 , respectively, of total unrecognized compensation costs related to nonvested share awards with market or performance conditions. As of March 31, 2016 and December 31, 2015 , these costs were expected to be recognized over a weighted-average period of 2.0 and 1.7 years, respectively. As of March 31, 2016 and December 31, 2015 , there were 393,138 and 308,069 share awards with market or performance conditions vested, respectively. Additionally, there were 36,258 and 84,401 nonvested share awards with market or performance conditions earned but nonvested due to a service condition as of March 31, 2016 and December 31, 2015 , 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 $1,038 and $1,032 for the three months ended March 31, 2016 and 2015 , respectively. |
LHL
LHL | 3 Months Ended |
Mar. 31, 2016 | |
Real Estate Investment Trust, Operating Support [Abstract] | |
LHL | Investment in Hotel Properties Investment in hotel properties as of March 31, 2016 and December 31, 2015 consists of the following: March 31, 2016 December 31, 2015 Land $ 731,921 $ 731,796 Buildings and improvements 3,620,915 3,613,724 Furniture, fixtures and equipment 748,872 701,742 Investment in hotel properties, gross 5,101,708 5,047,262 Accumulated depreciation (1,276,953 ) (1,229,586 ) Investment in hotel properties, net $ 3,824,755 $ 3,817,676 As of March 31, 2016 and December 31, 2015 , buildings and improvements included capital lease assets of $183,503 and accumulated depreciation included amounts related to capital lease assets of $22,244 and $20,915 , 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 $47,494 and $42,752 for the three months ended March 31, 2016 and 2015 , respectively. Acquisitions 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 Hotel Name Acquisition Date Number of Location Purchase Manager For the three months ended March 31, 2015 Park Central San Francisco January 23, 2015 681 San Francisco, CA $ 350,000 Highgate Hotels $ 230 The Marker Waterfront Resort March 16, 2015 96 Key West, FL 96,250 Highgate Hotels 217 Total $ 446,250 $ 447 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 . Note Receivable On July 20, 2015 , the Company provided a junior mezzanine loan (the “Mezzanine Loan”) secured by pledges of equity interests in the entities that own the hotel properties, Shutters on the Beach and Casa Del Mar, in Santa Monica, CA. The Company entered into the Mezzanine Loan for a total purchase price of $80,000 before closing costs. The Mezzanine Loan bears interest at a variable interest rate equal to LIBOR plus 7.75% , which rate was 8.19% as of March 31, 2016 . Interest-only payments are to be received monthly with the option of prepayment, pursuant to certain terms and conditions. The Mezzanine Loan matures on August 9, 2017 and has five one -year extension options, subject to conditions. The Mezzanine Loan is subordinate to a $235,000 first mortgage loan and a $90,000 senior mezzanine loan secured by the properties that also mature on August 9, 2017 . 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, 2016 2015 General and administrative $ 24,601 $ 23,907 Sales and marketing 18,581 17,951 Repairs and maintenance 9,836 9,611 Management and incentive fees 7,631 7,328 Utilities and insurance 8,233 8,817 Franchise fees 2,277 1,828 Other expenses 756 560 Total other indirect expenses $ 71,915 $ 70,002 As of March 31, 2016 , 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 Triton San Francisco, CA 9. Hotel Vitale San Francisco, CA 10. Park Central San Francisco San Francisco, CA 11. Serrano Hotel San Francisco, CA 12. The Marker San Francisco 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. Hotel George Washington, D.C. 21. Hotel Madera Washington, D.C. 22. Hotel Palomar, Washington, DC Washington, D.C. 23. Hotel Rouge Washington, D.C. 24. Mason & Rook Hotel Washington, D.C. 25. Sofitel Washington, DC Lafayette Square Washington, D.C. 26. The Donovan Washington, D.C. 27. The Liaison Capitol Hill Washington, D.C. 28. Topaz Hotel Washington, D.C. 29. Southernmost Beach Resort Key West 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 Regency 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 New York (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, 2016 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes Income tax benefit was comprised of the following for the three months ended March 31, 2016 and 2015 : For the three months ended March 31, 2016 2015 LHL’s income tax benefit $ (5,873 ) $ (5,079 ) Operating Partnership’s income tax expense 253 211 Total income tax benefit $ (5,620 ) $ (4,868 ) The Company has estimated LHL’s income tax benefit for the three months ended March 31, 2016 by applying an estimated combined federal and state effective tax rate of 40.8% to LHL’s net loss of $14,469 . 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, 2016 | |
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 March 31, 2016 December 31, 2015 Using Significant Other Observable Inputs (Level 2) Description Consolidated Balance Sheet Location Derivative interest rate instruments Prepaid expenses and other assets $ 0 $ 1,605 Derivative interest rate instruments Accounts payable and accrued expenses $ 12,569 $ 1,702 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, 2016 and December 31, 2015 : March 31, 2016 December 31, 2015 Carrying Value Estimated Fair Value Carrying Value Estimated Fair Value Note receivable $ 80,000 $ 80,000 $ 80,000 $ 80,000 Borrowings under credit facilities $ 343,000 $ 343,905 $ 21,000 $ 21,061 Term loans $ 855,000 $ 856,001 $ 855,000 $ 856,038 Bonds payable $ 42,500 $ 42,500 $ 42,500 $ 42,500 Mortgage loans $ 225,000 $ 225,276 $ 511,294 $ 511,786 The Company estimated the fair value of its borrowings under credit facilities, term loans, bonds payable and mortgage loans using interest rates ranging from 1.5% to 1.8% as of March 31, 2016 and from 1.5% to 4.4% as of December 31, 2015 with a weighted average effective interest rate of 1.5% and 2.1% as of March 31, 2016 and December 31, 2015 , respectively. The assumptions reflect the terms currently available on similar borrowings to borrowers with credit profiles similar to the Company’s. At March 31, 2016 , the carrying amount of the note receivable was representative of its fair value due to the short-term nature and recent acquisition of this instrument. At March 31, 2016 and December 31, 2015 , the carrying amounts of certain of the Company’s financial instruments, including cash and cash equivalents, restricted cash, accounts receivable, accounts payable and accrued expenses and distributions payable 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, 2016 | |
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 payment awards expected to vest 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 , 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 , there were 405,526 anti-dilutive compensation-related shares outstanding. The computation of basic and diluted earnings per common share is as follows: For the three months ended March 31, 2016 2015 Numerator: Net income (loss) attributable to common shareholders $ 6,017 $ (319 ) Dividends paid on unvested restricted shares (133 ) (119 ) Undistributed earnings attributable to unvested restricted shares 0 0 Net income (loss) attributable to common shareholders excluding amounts attributable to unvested restricted shares $ 5,884 $ (438 ) Denominator: Weighted average number of common shares - basic 112,748,492 112,647,715 Effect of dilutive securities: Compensation-related shares 359,666 0 Weighted average number of common shares - diluted 113,108,158 112,647,715 Earnings per Common Share - Basic: Net income attributable to common shareholders excluding amounts attributable to unvested restricted shares $ 0.05 $ 0.00 Earnings per Common Share - Diluted: Net income attributable to common shareholders excluding amounts attributable to unvested restricted shares $ 0.05 $ 0.00 |
Supplemental Information to Sta
Supplemental Information to Statements of Cash Flows | 3 Months Ended |
Mar. 31, 2016 | |
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, 2016 2015 Interest paid, net of capitalized interest $ 11,780 $ 12,976 Interest capitalized 195 224 Income taxes paid (refunded), net 208 (160 ) Increase in distributions payable on common shares 45 53 Write-off of fully amortized debt issuance costs 563 0 Decrease in accrued capital expenditures (5,341 ) (1,066 ) Grant of nonvested shares and awards to employees and executives, net 4,926 3,686 Issuance of common shares for Board of Trustees compensation 480 691 In conjunction with the acquisition of properties, the Company assumed the following assets and liabilities: Investment in properties (after credits at closing) $ 0 $ (445,734 ) Other assets 0 (1,897 ) Liabilities 0 8,474 Acquisition of properties $ 0 $ (439,157 ) |
Subsequent Events
Subsequent Events | 3 Months Ended |
Mar. 31, 2016 | |
Subsequent Events [Abstract] | |
Subsequent Events | Subsequent Events The Company paid the following common and preferred dividends subsequent to March 31, 2016 : Dividend per For the Quarter Record Payable Security Type Share/Unit (1) Ended Date Date Common Shares/Units $ 0.45 March 31, 2016 March 31, 2016 April 15, 2016 7 ½% Series H Preferred Shares $ 0.47 March 31, 2016 April 1, 2016 April 15, 2016 6 ⅜% Series I Preferred Shares $ 0.40 March 31, 2016 April 1, 2016 April 15, 2016 (1) Amounts are rounded to the nearest whole cent for presentation purposes. On April 1, 2016, the Company announced that the Company and Bruce A. Riggins, the Company’s Executive Vice President, Chief Financial Officer, Secretary and Treasurer, agreed that Mr. Riggins’ employment with the Company would terminate no later than April 29, 2016. This decision was not due to any disagreement with the Company relating to the Company’s operations, policies or practices. Upon the satisfaction of certain conditions on April 9, 2016, the Company finalized Mr. Riggins’ severance package pursuant to the terms and conditions of his change of control severance agreement and time-based and performance-based restricted share agreements. The Company currently estimates that it will recognize an expense of approximately $1,500 to $2,000 for the three months ending June 30, 2016 related to Mr. Riggins’ severance package from the Company. In conjunction, the Company announced that its Board of Trustees appointed Kenneth G. Fuller as Executive Vice President, Chief Financial Officer, Secretary and Treasurer, effective when he joins the Company on or about April 25, 2016. |
Summary of Significant Accoun21
Summary of Significant Accounting Policies (Policy) | 3 Months Ended |
Mar. 31, 2016 | |
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 shares under the 2014 Equity Incentive Plan (“2014 Plan”), which has approximately eight 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, 2016 , 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. |
Variable Interest Entities | Variable Interest Entities In 2016, the Company adopted Accounting Standards Update (“ASU”) No. 2015-02, Consolidation (Topic 810): Amendments to the Consolidation Analysis . The Company evaluated the application of ASU No. 2015-02 and concluded that no change was required to its accounting of its interests in less than wholly owned joint ventures, however, the Operating Partnership now meets the criteria as a variable interest entity. The Company’s significant asset is its investment in the Operating Partnership, and consequently, substantially all of the Company’s assets and liabilities represent those assets and liabilities of the Operating Partnership. All of the Company’s debt is an obligation of the Operating Partnership. |
Notes Receivable | Notes Receivable Notes receivable are carried at cost, net of any premiums or discounts which are recognized as an adjustment of yield over the remaining life of the note using the effective interest method. Any costs related to notes receivable are expensed as incurred. Interest income is recorded on the accrual basis consistent with the terms of the notes receivable. A note is deemed to be impaired when, based on current information and events, including a review of factors that would impact the fair value of the underlying collateral, it is probable that the Company will be unable to collect all principal and interest contractually due. The Company considers current and projected cash flow, historical payment patterns, general and industry specific economic factors and operating results in determining the probability of default. Interest previously accrued but not collected becomes part of the Company’s recorded investment in the note receivable for purposes of assessing impairment. The Company applies interest payments received on non-accrual notes receivable first to accrued interest and then as interest income. Notes receivable return to accrual status when contractually current and the collection of future payments is reasonably assured. |
Recently Issued Accounting Pronouncements | Recently Issued Accounting Pronouncements In May 2014, the Financial Accounting Standards Board (“FASB”) issued ASU No. 2014-09, Revenue from Contracts with Customers , which requires an entity to recognize the amount of revenue to which it expects to be entitled for the transfer of promised goods or services to customers. The ASU will replace most existing revenue recognition guidance in GAAP when it becomes effective. The new standard is effective for the Company on January 1, 2018. Early adoption is permitted. The standard permits the use of either the retrospective or cumulative effect transition method. The Company is evaluating the effect that ASU No. 2014-09 will have on its consolidated financial statements and related disclosures. The Company has not yet selected a transition method nor has it determined the effect of the standard on its ongoing financial reporting. In April 2015, the FASB issued ASU No. 2015-03, Simplifying the Presentation of Debt Issuance Costs , which requires debt issuance costs to be presented on the balance sheet as a direct deduction from the carrying amount of the debt liability. The Company adopted ASU No. 2015-03 effective January 1, 2016 and applied its provisions retrospectively. The adoption of this standard only affects the presentation of the Company’s consolidated balance sheet. In February 2016, the FASB issued ASU No. 2016-02, Leases (Topic 842), which requires lessees to record operating and financing leases as assets and liabilities on the balance sheet and lessors to expense costs that are not initial direct leasing costs. This standard will be effective for the first annual reporting period beginning after December 15, 2018. The Company is evaluating the effect that ASU No. 2016-02 will have on its consolidated financial statements and related disclosures. |
Reclassification | Reclassification Certain amounts in the 2015 financial statements have been reclassified to conform with the 2016 presentation. |
Investment in Hotel Properties
Investment in Hotel Properties (Tables) | 3 Months Ended |
Mar. 31, 2016 | |
Real Estate [Abstract] | |
Property, Plant and Equipment | Investment in hotel properties as of March 31, 2016 and December 31, 2015 consists of the following: March 31, 2016 December 31, 2015 Land $ 731,921 $ 731,796 Buildings and improvements 3,620,915 3,613,724 Furniture, fixtures and equipment 748,872 701,742 Investment in hotel properties, gross 5,101,708 5,047,262 Accumulated depreciation (1,276,953 ) (1,229,586 ) Investment in hotel properties, net $ 3,824,755 $ 3,817,676 |
Summary of Acquisitions | The following is a summary of the acquisitions: Acquisition Hotel Name Acquisition Date Number of Location Purchase Manager For the three months ended March 31, 2015 Park Central San Francisco January 23, 2015 681 San Francisco, CA $ 350,000 Highgate Hotels $ 230 The Marker Waterfront Resort March 16, 2015 96 Key West, FL 96,250 Highgate Hotels 217 Total $ 446,250 $ 447 |
Long-Term Debt (Tables)
Long-Term Debt (Tables) | 3 Months Ended |
Mar. 31, 2016 | |
Debt Disclosure [Abstract] | |
Components of Long-Term Debt | Debt as of March 31, 2016 and December 31, 2015 consisted of the following: Balance Outstanding as of Debt Interest Maturity March 31, December 31, Credit facilities Senior unsecured credit facility Floating (a) January 2018 (a) $ 343,000 $ 21,000 LHL unsecured credit facility Floating (b) January 2018 (b) 0 0 Total borrowings under credit facilities 343,000 21,000 Term loans Second Term Loan Floating/Fixed (c) January 2019 300,000 300,000 Third Term Loan Floating/Fixed (c) January 2021 555,000 555,000 Debt issuance costs, net (2,658 ) (2,797 ) Total term loans, net of unamortized debt issuance costs 852,342 852,203 Massport Bonds Hyatt Regency Boston Harbor (taxable) Floating (d) March 2018 5,400 5,400 Hyatt Regency Boston Harbor (tax exempt) Floating (d) March 2018 37,100 37,100 Debt issuance costs, net (141 ) (184 ) Total bonds payable, net of unamortized debt issuance costs 42,359 42,316 Mortgage loans Westin Michigan Avenue 5.75% - (e) 0 131,262 Indianapolis Marriott Downtown 5.99% - (e) 0 96,097 The Roger 6.31% - (f) 0 58,935 Westin Copley Place Floating (g) August 2018 (g) 225,000 225,000 Debt issuance costs, net (2,213 ) (2,490 ) Total mortgage loans, net of unamortized debt issuance costs 222,787 508,804 Total debt $ 1,460,488 $ 1,424,323 (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 (as defined in the credit agreement) plus an applicable margin. As of March 31, 2016 , the rate, including the applicable margin, for the Company’s outstanding LIBOR borrowings of $42,000 and $301,000 were 2.15% and 2.14% , respectively. As of December 31, 2015 , the rate, including the applicable margin, for the Company’s outstanding LIBOR borrowing of $21,000 was 2.13% . 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 (as defined in the credit agreement) plus an applicable margin. There were no borrowings outstanding at March 31, 2016 and December 31, 2015 . 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. On November 5, 2015 , the Company repaid the First Term Loan and entered into the Third Term Loan (as defined below). The Company entered into separate interest rate swap agreements with an aggregate notional amount of $377,500 for the full term of the Third Term Loan. The interest rate swaps for the First Term Loan continue to be in place and were redesignated as hedging instruments through May 2019 for the Third Term Loan. At March 31, 2016 and December 31, 2015 , the fixed all-in interest rates for the Second Term Loan and Third Term Loan were 2.38% and 2.95% , 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 that expire in September 2016 . The letters of credit have two one -year extension options and are secured by the Hyatt Regency 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, 2016 were 0.39% and 0.43% for the $5,400 and $37,100 bonds, respectively. The interest rates as of December 31, 2015 were 0.39% and 0.02% for the $5,400 and $37,100 bonds, respectively. The Company incurs an annual letter of credit fee of 1.35% . (e) The Company repaid the mortgage loans on January 4, 2016 through borrowings on its senior unsecured credit facility. (f) The Company repaid the mortgage loan on February 11, 2016 through borrowings on its senior unsecured credit facility. (g) The mortgage loan matures on August 14, 2018 with three options to extend the maturity date to January 5, 2021 , pursuant to certain terms and conditions. The interest-only mortgage loan bears interest at a variable rate ranging from LIBOR plus 1.75% to LIBOR plus 2.00% , depending on Westin Copley Place’s net cash flow (as defined in the loan agreement). The interest rate as of March 31, 2016 was LIBOR plus 1.75% , which equaled 2.19% . The interest rate as of December 31, 2015 was LIBOR plus 1.75% , which equaled 2.09% . The mortgage loan allows for prepayments without penalty after one year , subject to certain terms and conditions. |
Schedule of Maturities of Long-term Debt | Future scheduled debt principal payments as of March 31, 2016 are as follows: 2016 $ 0 2017 0 2018 610,500 2019 300,000 2020 0 Thereafter 555,000 Total debt $ 1,465,500 |
Summary Interest Expense and Weighted Average Interest Rates for Borrowings | A summary of the Company’s interest expense and weighted average interest rates for unswapped variable rate debt for the three months ended March 31, 2016 and 2015 is as follows: For the three months ended March 31, 2016 2015 Interest Expense: Interest incurred $ 11,184 $ 13,322 Amortization of debt issuance costs 878 547 Capitalized interest (195 ) (224 ) Interest expense $ 11,867 $ 13,645 Weighted Average Interest Rates for Unswapped Variable Rate Debt: Senior unsecured credit facility 2.13 % 1.88 % LHL unsecured credit facility 2.13 % 1.87 % Massport Bonds 0.11 % 0.04 % Mortgage loan (Westin Copley Place) 2.17 % N/A |
Schedule of Derivative Instruments, Gain (Loss) in Statement of Financial Performance | The following table presents the effect of derivative instruments on the Company’s accompanying consolidated statements of operations and comprehensive loss, including the location and amount of unrealized loss on outstanding derivative instruments in cash flow hedging relationships, for the three months ended March 31, 2016 and 2015 : Amount of Loss Recognized in OCL on Derivative Instruments Location of Loss Reclassified from AOCL into Net Income Amount of Loss Reclassified from AOCL into Net Income (Effective Portion) (Effective Portion) (Effective Portion) For the three months ended For the three months ended March 31, March 31, 2016 2015 2016 2015 Derivatives in cash flow hedging relationships: Interest rate swaps $ (14,252 ) $ (4,398 ) Interest expense $ 1,780 $ 1,070 |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 3 Months Ended |
Mar. 31, 2016 | |
Commitments and Contingencies Disclosure [Abstract] | |
Operating Leases of Lessee | A summary of the Company’s hotels subject to non-cancelable operating leases as of March 31, 2016 is as follows: Lease Properties Lease Type Lease Expiration Date Southernmost Beach Resort Key West (Restaurant facility) Ground lease April 2019 (1) Hyatt Regency Boston Harbor Ground lease March 2026 (2) The Hilton San Diego Resort and Spa Ground lease December 2045 San Diego Paradise Point Resort and Spa Ground lease May 2050 Hotel Vitale Ground lease March 2056 Viceroy Santa Monica Ground lease September 2065 Westin Copley Place (4) Air rights lease December 2077 The Liberty Hotel Ground lease May 2080 Indianapolis Marriott Downtown (5) Ground lease June 2099 Hotel Solamar Ground lease December 2102 (1) The Company can begin negotiating a renewal one year in advance of the lease expiration date. (2) The Company has options, subject to certain terms and conditions, to extend the ground lease for 51 years to 2077 . (3) The Company has the option, subject to certain terms and conditions, to extend the ground lease for 14 years to 2070 . (4) No payments are required through maturity. (5) Requires future ground rent payments of one dollar per year. The Company has options, subject to certain terms and conditions, to extend the ground lease for 50 years to 2149 . |
Capital Leases of Lessee | A summary of the Company’s hotels subject to capital leases of land and building as of March 31, 2016 is as follows: Lease Properties Estimated Present Value of Remaining Rent Payments (1) Lease Expiration Date The Roger $ 4,892 December 2044 Harbor Court Hotel $ 18,424 April 2048 Hotel Triton (2) $ 25,625 December 2049 (1) At acquisition, the estimated present value of the remaining rent payments 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. (2) In 2015, the hotel lease was amended, extending the lease expiration date from January 2048 to December 2049 . At acquisition, the estimated present value of the remaining payments recorded as a capital lease obligation was $27,752 . Due to the lease amendment, the recalculated estimated present value of the remaining rent payments is $25,625 , which net of amortization, is included in accounts payable and accrued expenses in the accompanying consolidated balance sheets. |
Future Minimum Rent Payments | Future minimum rent payments, including capital lease payments, (without reflecting future applicable Consumer Price Index increases) are as follows: 2016 $ 9,623 2017 13,052 2018 13,195 2019 13,172 2020 13,559 Thereafter 600,780 $ 663,381 |
Equity (Tables)
Equity (Tables) | 3 Months Ended |
Mar. 31, 2016 | |
Stockholders' Equity Note [Abstract] | |
Schedule of Dividends Paid | The Company paid the following dividends on preferred shares during the three months ended March 31, 2016 : Security Type Dividend per Share (1) For the Quarter Ended Record Date Payable Date 7 ½% Series H $ 0.47 December 31, 2015 January 1, 2016 January 15, 2016 6 ⅜% Series I $ 0.40 December 31, 2015 January 1, 2016 January 15, 2016 (1) Amounts are rounded to the nearest whole cent for presentation purposes. The Company paid the following dividends on common shares/units during the three months ended March 31, 2016 : Dividend per (1) For the Quarter Ended Record Date Payable Date $ 0.45 December 31, 2015 December 31, 2015 January 15, 2016 (1) Amounts are rounded to the nearest whole cent for presentation purposes. The Company paid the following common and preferred dividends subsequent to March 31, 2016 : Dividend per For the Quarter Record Payable Security Type Share/Unit (1) Ended Date Date Common Shares/Units $ 0.45 March 31, 2016 March 31, 2016 April 15, 2016 7 ½% Series H Preferred Shares $ 0.47 March 31, 2016 April 1, 2016 April 15, 2016 6 ⅜% Series I Preferred Shares $ 0.40 March 31, 2016 April 1, 2016 April 15, 2016 (1) Amounts are 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, 2016 : Security Type Number of 7 ½% Series H Preferred Shares 2,750,000 6 ⅜% Series I Preferred Shares 4,400,000 |
Equity Incentive Plan (Tables)
Equity Incentive Plan (Tables) | 3 Months Ended |
Mar. 31, 2016 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Schedule of Nonvested Share Activity | A summary of the Company’s nonvested share awards with service conditions as of March 31, 2016 is as follows: Number of Weighted - Nonvested at January 1, 2016 228,835 $ 33.29 Granted 98,787 25.14 Vested (68,438 ) 32.37 Forfeited 0 0.00 Nonvested at March 31, 2016 (1) 259,184 $ 30.43 (1) Amount excludes 36,258 share awards with market conditions which were earned but nonvested due to a service condition as of March 31, 2016 . |
Schedule of Nonvested Performance-based Units Activity | A summary of the Company’s nonvested share awards with either market or performance conditions as of March 31, 2016 is as follows: Number of Shares Weighted- Average Grant Date Fair Value Nonvested at January 1, 2016 348,587 $ 33.98 Granted (1) 97,175 25.14 Vested (85,069 ) 37.32 Forfeited (3,354 ) 38.10 Nonvested at March 31, 2016 357,339 $ 30.74 (1) Amount includes 48,588 shares awarded on March 18, 2016 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, 2016. |
LHL (Tables)
LHL (Tables) | 3 Months Ended |
Mar. 31, 2016 | |
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, 2016 2015 General and administrative $ 24,601 $ 23,907 Sales and marketing 18,581 17,951 Repairs and maintenance 9,836 9,611 Management and incentive fees 7,631 7,328 Utilities and insurance 8,233 8,817 Franchise fees 2,277 1,828 Other expenses 756 560 Total other indirect expenses $ 71,915 $ 70,002 |
Schedule of Hotels Owned | As of March 31, 2016 , 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 Triton San Francisco, CA 9. Hotel Vitale San Francisco, CA 10. Park Central San Francisco San Francisco, CA 11. Serrano Hotel San Francisco, CA 12. The Marker San Francisco 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. Hotel George Washington, D.C. 21. Hotel Madera Washington, D.C. 22. Hotel Palomar, Washington, DC Washington, D.C. 23. Hotel Rouge Washington, D.C. 24. Mason & Rook Hotel Washington, D.C. 25. Sofitel Washington, DC Lafayette Square Washington, D.C. 26. The Donovan Washington, D.C. 27. The Liaison Capitol Hill Washington, D.C. 28. Topaz Hotel Washington, D.C. 29. Southernmost Beach Resort Key West 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 Regency 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 New York (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, 2016 | |
Income Tax Disclosure [Abstract] | |
Summary of Income Tax Expense | Income tax benefit was comprised of the following for the three months ended March 31, 2016 and 2015 : For the three months ended March 31, 2016 2015 LHL’s income tax benefit $ (5,873 ) $ (5,079 ) Operating Partnership’s income tax expense 253 211 Total income tax benefit $ (5,620 ) $ (4,868 ) |
Fair Value Measurements Fair Va
Fair Value Measurements Fair Value Measurements (Tables) | 3 Months Ended |
Mar. 31, 2016 | |
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 March 31, 2016 December 31, 2015 Using Significant Other Observable Inputs (Level 2) Description Consolidated Balance Sheet Location Derivative interest rate instruments Prepaid expenses and other assets $ 0 $ 1,605 Derivative interest rate instruments Accounts payable and accrued expenses $ 12,569 $ 1,702 |
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, 2016 and December 31, 2015 : March 31, 2016 December 31, 2015 Carrying Value Estimated Fair Value Carrying Value Estimated Fair Value Note receivable $ 80,000 $ 80,000 $ 80,000 $ 80,000 Borrowings under credit facilities $ 343,000 $ 343,905 $ 21,000 $ 21,061 Term loans $ 855,000 $ 856,001 $ 855,000 $ 856,038 Bonds payable $ 42,500 $ 42,500 $ 42,500 $ 42,500 Mortgage loans $ 225,000 $ 225,276 $ 511,294 $ 511,786 |
Earnings Per Common Share (Tabl
Earnings Per Common Share (Tables) | 3 Months Ended |
Mar. 31, 2016 | |
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, 2016 2015 Numerator: Net income (loss) attributable to common shareholders $ 6,017 $ (319 ) Dividends paid on unvested restricted shares (133 ) (119 ) Undistributed earnings attributable to unvested restricted shares 0 0 Net income (loss) attributable to common shareholders excluding amounts attributable to unvested restricted shares $ 5,884 $ (438 ) Denominator: Weighted average number of common shares - basic 112,748,492 112,647,715 Effect of dilutive securities: Compensation-related shares 359,666 0 Weighted average number of common shares - diluted 113,108,158 112,647,715 Earnings per Common Share - Basic: Net income attributable to common shareholders excluding amounts attributable to unvested restricted shares $ 0.05 $ 0.00 Earnings per Common Share - Diluted: Net income attributable to common shareholders excluding amounts attributable to unvested restricted shares $ 0.05 $ 0.00 |
Supplemental Information to S31
Supplemental Information to Statements of Cash Flows (Tables) | 3 Months Ended |
Mar. 31, 2016 | |
Supplemental Cash Flow Information [Abstract] | |
Supplemental Information to Statements of Cash Flows | For the three months ended March 31, 2016 2015 Interest paid, net of capitalized interest $ 11,780 $ 12,976 Interest capitalized 195 224 Income taxes paid (refunded), net 208 (160 ) Increase in distributions payable on common shares 45 53 Write-off of fully amortized debt issuance costs 563 0 Decrease in accrued capital expenditures (5,341 ) (1,066 ) Grant of nonvested shares and awards to employees and executives, net 4,926 3,686 Issuance of common shares for Board of Trustees compensation 480 691 In conjunction with the acquisition of properties, the Company assumed the following assets and liabilities: Investment in properties (after credits at closing) $ 0 $ (445,734 ) Other assets 0 (1,897 ) Liabilities 0 8,474 Acquisition of properties $ 0 $ (439,157 ) |
Subsequent Events (Tables)
Subsequent Events (Tables) | 3 Months Ended |
Mar. 31, 2016 | |
Subsequent Events [Abstract] | |
Schedule of Dividends Paid | The Company paid the following dividends on preferred shares during the three months ended March 31, 2016 : Security Type Dividend per Share (1) For the Quarter Ended Record Date Payable Date 7 ½% Series H $ 0.47 December 31, 2015 January 1, 2016 January 15, 2016 6 ⅜% Series I $ 0.40 December 31, 2015 January 1, 2016 January 15, 2016 (1) Amounts are rounded to the nearest whole cent for presentation purposes. The Company paid the following dividends on common shares/units during the three months ended March 31, 2016 : Dividend per (1) For the Quarter Ended Record Date Payable Date $ 0.45 December 31, 2015 December 31, 2015 January 15, 2016 (1) Amounts are rounded to the nearest whole cent for presentation purposes. The Company paid the following common and preferred dividends subsequent to March 31, 2016 : Dividend per For the Quarter Record Payable Security Type Share/Unit (1) Ended Date Date Common Shares/Units $ 0.45 March 31, 2016 March 31, 2016 April 15, 2016 7 ½% Series H Preferred Shares $ 0.47 March 31, 2016 April 1, 2016 April 15, 2016 6 ⅜% Series I Preferred Shares $ 0.40 March 31, 2016 April 1, 2016 April 15, 2016 (1) Amounts are rounded to the nearest whole cent for presentation purposes. |
Organization (Details)
Organization (Details) | 3 Months Ended |
Mar. 31, 2016HotelsGuest_RoomsStatesshares | |
Number of hotels | Hotels | 47 |
Number of guest rooms | Guest_Rooms | 12,000 |
Number of states in which hotels located | States | 10 |
Ownership percentage by the company | 99.90% |
Ownership percentage by limited partners | 0.10% |
Common units of Operating Partnership interest held by limited partners | shares | 145,223 |
Minimum [Member] | |
Lease Expiration Date | Dec. 31, 2016 |
Maximum [Member] | |
Lease Expiration Date | Dec. 31, 2018 |
Summary of Significant Accoun34
Summary of Significant Accounting Policies (Narrative) (Details) | 3 Months Ended |
Mar. 31, 2016 | |
Building [Member] | Minimum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, Plant and Equipment, Useful Life | 30 years |
Building [Member] | Maximum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, Plant and Equipment, Useful Life | 40 years |
Building Improvements [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, Plant and Equipment, Useful Life | 15 years |
Land Improvements [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, Plant and Equipment, Useful Life | 7 years |
Golf Course Land Improvements [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, Plant and Equipment, Useful Life | 20 years |
Swimming Pool Assets [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, Plant and Equipment, Useful Life | 20 years |
Furniture and Fixtures [Member] | Minimum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, Plant and Equipment, Useful Life | 3 years |
Furniture and Fixtures [Member] | Maximum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, Plant and Equipment, Useful Life | 5 years |
2014 Plan [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Remaining years | 8 years |
Vesting period (in years) | 3 years |
Investment in Hotel Propertie35
Investment in Hotel Properties Schedule of Investment in Hotel Properties (Details) - USD ($) $ in Thousands | Mar. 31, 2016 | Dec. 31, 2015 |
Real Estate [Abstract] | ||
Land | $ 731,921 | $ 731,796 |
Buildings and improvements | 3,620,915 | 3,613,724 |
Furniture, fixtures and equipment | 748,872 | 701,742 |
Investment in hotel properties, gross | 5,101,708 | 5,047,262 |
Accumulated depreciation | (1,276,953) | (1,229,586) |
Investment in hotel properties, net | $ 3,824,755 | $ 3,817,676 |
Investment in Properties (Narra
Investment in Properties (Narrative) (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2016 | Mar. 31, 2015 | Dec. 31, 2015 | |
Real Estate Properties [Line Items] | |||
Buildings and Improvements, Gross | $ 3,620,915 | $ 3,613,724 | |
Real Estate Investment Property, Accumulated Depreciation | 1,276,953 | 1,229,586 | |
Depreciation | 47,494 | $ 42,752 | |
Capital Lease Assets [Member] | |||
Real Estate Properties [Line Items] | |||
Buildings and Improvements, Gross | 183,503 | 183,503 | |
Real Estate Investment Property, Accumulated Depreciation | $ 22,244 | $ 20,915 |
Investment in Hotel Propertie37
Investment in Hotel Properties Acquisitions (Narrative) (Details) $ in Thousands | 3 Months Ended |
Mar. 31, 2015USD ($)Hotels | |
Acquisition [Line Items] | |
Ownership Percent | 100.00% |
Number of Hotels Acquired | Hotels | 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 |
Investment in Hotel Propertie38
Investment in Hotel Properties Acquisitions (Details) $ in Thousands | 3 Months Ended | |
Mar. 31, 2016USD ($) | Mar. 31, 2015USD ($)Guest_Rooms | |
Acquisition [Line Items] | ||
Purchase Price | $ 446,250 | |
Acquisition Transaction Costs | $ 0 | $ 447 |
Park Central San Francisco [Member] | ||
Acquisition [Line Items] | ||
Acquisition Date | Jan. 23, 2015 | |
Number of Rooms | Guest_Rooms | 681 | |
Location | San Francisco, CA | |
Purchase Price | $ 350,000 | |
Manager | Highgate Hotels | |
Acquisition Transaction Costs | $ 230 | |
The Marker Waterfront Resort [Member] | ||
Acquisition [Line Items] | ||
Acquisition Date | Mar. 16, 2015 | |
Number of Rooms | Guest_Rooms | 96 | |
Location | Key West, FL | |
Purchase Price | $ 96,250 | |
Manager | Highgate Hotels | |
Acquisition Transaction Costs | $ 217 |
Investment in Hotel Propertie39
Investment in Hotel Properties Note Receivable (Narrative) (Details) $ in Thousands | Jul. 20, 2015USD ($)extensions | Mar. 31, 2016 |
Mezzanine Loan [Member] | ||
Loan Receivable, Date Provided | Jul. 20, 2015 | |
Loans Receivable with Variable Rates of Interest | $ 80,000 | |
Loans Receivable, Interest Rate, Effective Yield | 8.19% | |
Loan Receivable, Maturity Date | Aug. 9, 2017 | |
Loan Receivable, Number of Extension Options | extensions | 5 | |
Loan Receivable, Term of Extension Option | 1 year | |
Mezzanine Loan [Member] | London Interbank Offered Rate (LIBOR) [Member] | ||
Loans Receivable, Basis Spread on Variable Rate | 7.75% | |
Mortgage Receivable [Member] | ||
Loans Receivable with Variable Rates of Interest | $ 235,000 | |
Loan Receivable, Maturity Date | Aug. 9, 2017 | |
Senior Mezzanine Loan [Member] | ||
Loans Receivable with Variable Rates of Interest | $ 90,000 | |
Loan Receivable, Maturity Date | Aug. 9, 2017 |
Debt Summary (Details)
Debt Summary (Details) $ in Thousands | Mar. 31, 2016USD ($) | Feb. 11, 2016 | Jan. 04, 2016 | Dec. 31, 2015USD ($) | Nov. 05, 2015USD ($) | Jan. 08, 2014USD ($) | Aug. 02, 2012USD ($) | May. 16, 2012USD ($) | Mar. 31, 2016USD ($)extensions | |
Debt Instrument [Line Items] | ||||||||||
Credit facilities | $ 343,000 | $ 21,000 | $ 343,000 | |||||||
Term loans | 852,342 | 852,203 | 852,342 | |||||||
Massport Bonds | 42,359 | 42,316 | 42,359 | |||||||
Mortgage loans | 222,787 | 508,804 | 222,787 | |||||||
Debt issuance costs, net | (2,928) | (3,347) | (2,928) | |||||||
Total debt | 1,465,500 | $ 1,465,500 | ||||||||
Interest Rate Swap [Member] | Designated as Hedging Instrument [Member] | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Derivative, Notional Amount | $ 377,500 | $ 300,000 | $ 177,500 | |||||||
Line of Credit [Member] | Senior Unsecured Credit Facility [Member] | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Line of Credit Facility, Interest Rate Description | [1] | Floating | ||||||||
Credit facility maturity date | [1] | Jan. 8, 2018 | ||||||||
Credit facilities | 343,000 | $ 21,000 | $ 343,000 | |||||||
Long-term Debt, Percentage Bearing Variable Interest, Percentage Rate | 2.13% | |||||||||
Number of extension options | extensions | 2 | |||||||||
Extension option period | 6 months | |||||||||
Line of Credit [Member] | Senior Unsecured Credit Facility [Member] | Tranche One [Member] | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Credit facilities | $ 42,000 | $ 42,000 | ||||||||
Long-term Debt, Percentage Bearing Variable Interest, Percentage Rate | 2.15% | 2.15% | ||||||||
Line of Credit [Member] | Senior Unsecured Credit Facility [Member] | Tranche Two [Member] | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Credit facilities | $ 301,000 | $ 301,000 | ||||||||
Long-term Debt, Percentage Bearing Variable Interest, Percentage Rate | 2.14% | 2.14% | ||||||||
Line of Credit [Member] | LHL Unsecured Credit Facility [Member] | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Line of Credit Facility, Interest Rate Description | [2] | Floating | ||||||||
Credit facility maturity date | [2] | Jan. 8, 2018 | ||||||||
Credit facilities | $ 0 | $ 0 | $ 0 | |||||||
Number of extension options | extensions | 2 | |||||||||
Extension option period | 6 months | |||||||||
Term Loan [Member] | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Debt issuance costs, net | $ (2,658) | $ (2,797) | $ (2,658) | |||||||
Term Loan [Member] | First Term Loan [Member] | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Debt maturity date | May 16, 2019 | |||||||||
Term loans | $ 177,500 | |||||||||
Debt Instrument, Term | 7 years | |||||||||
Repayment date of debt instrument | Nov. 5, 2015 | |||||||||
Term Loan [Member] | Second Term Loan [Member] | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Debt Instrument, Interest Rate Terms | [3] | Floating/Fixed | ||||||||
Long-term Debt, Percentage Bearing Fixed Interest, Percentage Rate | 2.38% | 2.38% | 2.38% | |||||||
Debt maturity date | Jan. 8, 2019 | |||||||||
Term loans | $ 300,000 | $ 300,000 | $ 300,000 | $ 300,000 | ||||||
Debt Instrument, Term | 5 years | |||||||||
Term loan, Swap Duration | 5 years | |||||||||
Derivative, Maturity Date | Aug. 2, 2017 | |||||||||
Term Loan [Member] | Third Term Loan [Member] | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Debt Instrument, Interest Rate Terms | [3] | Floating/Fixed | ||||||||
Long-term Debt, Percentage Bearing Fixed Interest, Percentage Rate | 2.95% | 2.95% | 2.95% | |||||||
Debt maturity date | Jan. 29, 2021 | |||||||||
Term loans | $ 555,000 | $ 555,000 | $ 555,000 | $ 555,000 | ||||||
Debt Instrument, Term | 5 years | |||||||||
Term Loan [Member] | Third Term Loan [Member] | Tranche One [Member] | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Term loans | 177,500 | |||||||||
Derivative, Maturity Date | May 16, 2019 | |||||||||
Term Loan [Member] | Third Term Loan [Member] | Tranche Two [Member] | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Term loans | $ 377,500 | |||||||||
Derivative, Maturity Date | Jan. 29, 2021 | |||||||||
Bonds Payable [Member] | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Debt issuance costs, net | (141) | (184) | $ (141) | |||||||
Bonds Payable [Member] | Taxable Bond of Hyatt Boston Harbor [Member] | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Debt Instrument, Interest Rate Terms | [4] | Floating | ||||||||
Debt maturity date | Mar. 1, 2018 | |||||||||
Massport Bonds | $ 5,400 | $ 5,400 | $ 5,400 | |||||||
Long-term Debt, Percentage Bearing Variable Interest, Percentage Rate | 0.39% | 0.39% | 0.39% | |||||||
Bonds Payable [Member] | Tax Exempted Bond of Hyatt Boston Harbor [Member] | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Debt Instrument, Interest Rate Terms | [4] | Floating | ||||||||
Debt maturity date | Mar. 1, 2018 | |||||||||
Massport Bonds | $ 37,100 | $ 37,100 | $ 37,100 | |||||||
Long-term Debt, Percentage Bearing Variable Interest, Percentage Rate | 0.43% | 0.02% | 0.43% | |||||||
Bonds Payable [Member] | Massport Bonds [Member] | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Credit facility maturity date | Sep. 30, 2016 | |||||||||
Number of extension options | extensions | 2 | |||||||||
Extension option period | 1 year | |||||||||
Line of Credit Annual Fees Percentage | 1.35% | |||||||||
Mortgages [Member] | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Debt issuance costs, net | $ (2,213) | $ (2,490) | $ (2,213) | |||||||
Mortgages [Member] | Westin Michigan Avenue [Member] | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Long-term Debt, Percentage Bearing Fixed Interest, Percentage Rate | 5.75% | 5.75% | ||||||||
Debt maturity date | Apr. 1, 2016 | |||||||||
Mortgage loans | $ 0 | 131,262 | $ 0 | |||||||
Repayment date of debt instrument | Jan. 4, 2016 | |||||||||
Mortgages [Member] | Indianapolis Marriott Downtown [Member] | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Long-term Debt, Percentage Bearing Fixed Interest, Percentage Rate | 5.99% | 5.99% | ||||||||
Debt maturity date | Jul. 1, 2016 | |||||||||
Mortgage loans | $ 0 | 96,097 | $ 0 | |||||||
Repayment date of debt instrument | Jan. 4, 2016 | |||||||||
Mortgages [Member] | The Roger [Member] | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Long-term Debt, Percentage Bearing Fixed Interest, Percentage Rate | 6.31% | 6.31% | ||||||||
Debt maturity date | Aug. 1, 2016 | |||||||||
Mortgage loans | $ 0 | 58,935 | $ 0 | |||||||
Repayment date of debt instrument | Feb. 11, 2016 | |||||||||
Mortgages [Member] | Westin Copley Place [Member] | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Debt Instrument, Interest Rate Terms | [5] | Floating | ||||||||
Mortgage loans | $ 225,000 | $ 225,000 | $ 225,000 | |||||||
Debt Instrument, Number of Extension Options | extensions | 3 | |||||||||
Debt Instrument, Interest Rate, Effective Percentage | 2.19% | 2.09% | 2.19% | |||||||
Prepayment period of debt instrument with penalty | 1 year | |||||||||
Mortgages [Member] | Westin Copley Place [Member] | Minimum [Member] | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Debt maturity date | [5] | Aug. 14, 2018 | ||||||||
Mortgages [Member] | Westin Copley Place [Member] | Maximum [Member] | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Debt maturity date | Jan. 5, 2021 | |||||||||
Mortgages [Member] | Westin Copley Place [Member] | London Interbank Offered Rate (LIBOR) [Member] | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Debt Instrument, Basis Spread on Variable Rate | 1.75% | 1.75% | ||||||||
Mortgages [Member] | Westin Copley Place [Member] | London Interbank Offered Rate (LIBOR) [Member] | Minimum [Member] | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Debt Instrument, Basis Spread on Variable Rate | 1.75% | |||||||||
Mortgages [Member] | Westin Copley Place [Member] | London Interbank Offered Rate (LIBOR) [Member] | Maximum [Member] | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Debt Instrument, Basis Spread on Variable Rate | 2.00% | |||||||||
Total debt [Member] | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Total debt | $ 1,460,488 | $ 1,424,323 | $ 1,460,488 | |||||||
[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 (as defined in the credit agreement) plus an applicable margin. As of March 31, 2016, the rate, including the applicable margin, for the Company’s outstanding LIBOR borrowings of $42,000 and $301,000 were 2.15% and 2.14%, respectively. As of December 31, 2015, the rate, including the applicable margin, for the Company’s outstanding LIBOR borrowing of $21,000 was 2.13%. 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 (as defined in the credit agreement) plus an applicable margin. There were no borrowings outstanding at March 31, 2016 and December 31, 2015. 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. On November 5, 2015, the Company repaid the First Term Loan and entered into the Third Term Loan (as defined below). The Company entered into separate interest rate swap agreements with an aggregate notional amount of $377,500 for the full term of the Third Term Loan. The interest rate swaps for the First Term Loan continue to be in place and were redesignated as hedging instruments through May 2019 for the Third Term Loan. At March 31, 2016 and December 31, 2015, the fixed all-in interest rates for the Second Term Loan and Third Term Loan were 2.38% and 2.95%, 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 that expire in September 2016. The letters of credit have two one-year extension options and are secured by the Hyatt Regency 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, 2016 were 0.39% and 0.43% for the $5,400 and $37,100 bonds, respectively. The interest rates as of December 31, 2015 were 0.39% and 0.02% for the $5,400 and $37,100 bonds, respectively. The Company incurs an annual letter of credit fee of 1.35%. | |||||||||
[5] | The mortgage loan matures on August 14, 2018 with three options to extend the maturity date to January 5, 2021, pursuant to certain terms and conditions. The interest-only mortgage loan bears interest at a variable rate ranging from LIBOR plus 1.75% to LIBOR plus 2.00%, depending on Westin Copley Place’s net cash flow (as defined in the loan agreement). The interest rate as of March 31, 2016 was LIBOR plus 1.75%, which equaled 2.19%. The interest rate as of December 31, 2015 was LIBOR plus 1.75%, which equaled 2.09%. The mortgage loan allows for prepayments without penalty after one year, subject to certain terms and conditions. |
Long-Term Debt Debt Summary (Fu
Long-Term Debt Debt Summary (Future Scheduled Debt Principal Payments) (Details) $ in Thousands | Mar. 31, 2016USD ($) |
Debt Disclosure [Abstract] | |
2,016 | $ 0 |
2,017 | 0 |
2,018 | 610,500 |
2,019 | 300,000 |
2,020 | 0 |
Thereafter | 555,000 |
Total debt | $ 1,465,500 |
Debt Summary (Schedule of Inter
Debt Summary (Schedule of Interest Expense and Weighted Average Interest Rates) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2016 | Mar. 31, 2015 | |
Interest Expense: [Abstract] | ||
Interest incurred | $ 11,184 | $ 13,322 |
Amortization of debt issuance costs | 878 | 547 |
Capitalized interest | (195) | (224) |
Interest Expense | $ 11,867 | $ 13,645 |
Senior Unsecured Credit Facility [Member] | Line of Credit [Member] | ||
Interest Expense: [Abstract] | ||
Weighted Average Interest Rates for Unswapped Variable Rate Debt | 2.13% | 1.88% |
LHL Unsecured Credit Facility [Member] | Line of Credit [Member] | ||
Interest Expense: [Abstract] | ||
Weighted Average Interest Rates for Unswapped Variable Rate Debt | 2.13% | 1.87% |
Massport Bonds [Member] | Bonds Payable [Member] | ||
Interest Expense: [Abstract] | ||
Weighted Average Interest Rates for Unswapped Variable Rate Debt | 0.11% | 0.04% |
Westin Copley Place [Member] | Mortgages [Member] | ||
Interest Expense: [Abstract] | ||
Weighted Average Interest Rates for Unswapped Variable Rate Debt | 2.17% |
Credit Facilities (Narrative) (
Credit Facilities (Narrative) (Details) - Line of Credit [Member] $ in Thousands | Jan. 08, 2014USD ($) | Mar. 31, 2016USD ($)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 | [1] | Jan. 8, 2018 | |
Line of Credit Facility Number of Extension Options | extensions | 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 | [2] | Jan. 8, 2018 | |
Line of Credit Facility Number of Extension Options | extensions | 2 | ||
Extension option period | 6 months | ||
Maximum borrowing capacity under unsecured credit facility | $ 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 (as defined in the credit agreement) plus an applicable margin. As of March 31, 2016, the rate, including the applicable margin, for the Company’s outstanding LIBOR borrowings of $42,000 and $301,000 were 2.15% and 2.14%, respectively. As of December 31, 2015, the rate, including the applicable margin, for the Company’s outstanding LIBOR borrowing of $21,000 was 2.13%. The Company has the option, pursuant to certain terms and conditions, to extend the maturity date for two six-month extensions. | ||
[2] | Borrowings bear interest at floating rates equal to, at LHL’s option, either (i) LIBOR plus an applicable margin, or (ii) an Adjusted Base Rate (as defined in the credit agreement) plus an applicable margin. There were no borrowings outstanding at March 31, 2016 and December 31, 2015. LHL has the option, pursuant to certain terms and conditions, to extend the maturity date for two six-month extensions. |
Term Loans (Narrative) (Details
Term Loans (Narrative) (Details) - USD ($) $ in Thousands | Nov. 05, 2015 | Jan. 08, 2014 | Aug. 02, 2012 | May. 16, 2012 | Mar. 31, 2016 | Dec. 31, 2015 |
Debt Instrument [Line Items] | ||||||
Unsecured Debt | $ 852,342 | $ 852,203 | ||||
Term Loan [Member] | First Term Loan [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Unsecured Debt | $ 177,500 | |||||
Debt Instrument, Term | 7 years | |||||
Debt maturity date | May 16, 2019 | |||||
Repayment date of debt instrument | Nov. 5, 2015 | |||||
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 | Jan. 8, 2019 | |||||
Derivative, Maturity Date | Aug. 2, 2017 | |||||
Total lender commitments | $ 500,000 | |||||
Long-term Debt, Percentage Bearing Fixed Interest, Percentage Rate | 2.38% | 2.38% | ||||
Term Loan [Member] | Third Term Loan [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Unsecured Debt | $ 555,000 | $ 555,000 | $ 555,000 | |||
Debt Instrument, Term | 5 years | |||||
Debt maturity date | Jan. 29, 2021 | |||||
Total lender commitments | $ 700,000 | |||||
Long-term Debt, Percentage Bearing Fixed Interest, Percentage Rate | 2.95% | 2.95% | ||||
Term Loan [Member] | Third Term Loan [Member] | Tranche One [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Unsecured Debt | $ 177,500 | |||||
Derivative, Maturity Date | May 16, 2019 | |||||
Term Loan [Member] | Third Term Loan [Member] | Tranche Two [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Unsecured Debt | $ 377,500 | |||||
Derivative, Maturity Date | Jan. 29, 2021 |
Derivative and Hedging Activiti
Derivative and Hedging Activities (Narrative) (Details) $ in Thousands | Nov. 05, 2015USD ($)agreement | Aug. 02, 2012USD ($)agreement | Mar. 31, 2016USD ($) | Dec. 31, 2015USD ($) | May. 16, 2012USD ($)agreement |
Debt Instrument [Line Items] | |||||
Accumulated other comprehensive income (loss) | $ (12,553) | $ (97) | |||
First Term Loan [Member] | Term Loan [Member] | |||||
Debt Instrument [Line Items] | |||||
Debt Instrument, Term | 7 years | ||||
Repayment date of debt instrument | Nov. 5, 2015 | ||||
Second Term Loan [Member] | Term Loan [Member] | |||||
Debt Instrument [Line Items] | |||||
Debt Instrument, Term | 5 years | ||||
Derivative, Maturity Date | Aug. 2, 2017 | ||||
Long-term Debt, Percentage Bearing Fixed Interest, Percentage Rate | 2.38% | 2.38% | |||
Third Term Loan [Member] | Term Loan [Member] | |||||
Debt Instrument [Line Items] | |||||
Debt Instrument, Term | 5 years | ||||
Long-term Debt, Percentage Bearing Fixed Interest, Percentage Rate | 2.95% | 2.95% | |||
Designated as Hedging Instrument [Member] | Interest Rate Swap [Member] | |||||
Debt Instrument [Line Items] | |||||
Number of interest rate swap agreements | agreement | 7 | 5 | 3 | ||
Derivative, Notional Amount | $ 377,500 | $ 300,000 | $ 177,500 | ||
Unrealized gain (loss) included in accumulated other comprehensive income (loss) | $ (12,569) | $ (97) | |||
Accumulated other comprehensive income (loss) | (12,553) | (97) | |||
Derivative change in fair value recorded in other comprehensive income (loss) attributable to noncontrolling interests | (16) | $ 0 | |||
Amount reclassified from AOCL and noncontrolling interests and recognized as a reduction to income in the next 12 months | $ 6,901 |
Derivative and Hedging Activi46
Derivative and Hedging Activities (Details) - Cash Flow Hedging [Member] - Interest Rate Swap [Member] - Designated as Hedging Instrument [Member] - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2016 | Mar. 31, 2015 | |
Derivative Instruments, Gain (Loss) [Line Items] | ||
Amount of Loss Recognized in OCL on Derivative Instruments (Effective Portion) | $ (14,252) | $ (4,398) |
Interest Expense [Member] | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Amount of Loss Reclassified from AOCL into Net Income (Effective Portion) | $ 1,780 | $ 1,070 |
Long-Term Debt Mortgage Loans (
Long-Term Debt Mortgage Loans (Narrative) (Details) - USD ($) $ in Thousands | Feb. 11, 2016 | Jan. 04, 2016 | Mar. 31, 2016 | Mar. 31, 2015 |
Debt Instrument [Line Items] | ||||
Repayments of Secured Debt | $ 286,294 | $ 1,231 | ||
Mortgages [Member] | Westin Michigan Avenue [Member] | ||||
Debt Instrument [Line Items] | ||||
Repayment date of debt instrument | Jan. 4, 2016 | |||
Repayments of Secured Debt | $ 131,262 | |||
Debt maturity date | Apr. 1, 2016 | |||
Mortgages [Member] | Indianapolis Marriott Downtown [Member] | ||||
Debt Instrument [Line Items] | ||||
Repayment date of debt instrument | Jan. 4, 2016 | |||
Repayments of Secured Debt | $ 96,097 | |||
Debt maturity date | Jul. 1, 2016 | |||
Mortgages [Member] | The Roger [Member] | ||||
Debt Instrument [Line Items] | ||||
Repayment date of debt instrument | Feb. 11, 2016 | |||
Repayments of Secured Debt | $ 58,831 | |||
Debt maturity date | Aug. 1, 2016 |
Commitments and Contingencies G
Commitments and Contingencies Ground, Land and Building, and Air Rights Leases (Details) | 3 Months Ended | |
Mar. 31, 2016$ / yr | ||
Southernmost Beach Resort Key West [Member] | ||
Lease Type | Ground lease | |
Lease Expiration Date | Apr. 1, 2019 | [1] |
Hyatt Regency Boston Harbor [Member] | ||
Lease Type | Ground lease | |
Lease Expiration Date | Mar. 1, 2026 | [2] |
Lease Renewal Term | 51 years | |
Extended Lease Expiration Date | Jan. 1, 2077 | |
The Hilton San Diego Resort And Spa [Member] | ||
Lease Type | Ground lease | |
Lease Expiration Date | Dec. 1, 2045 | |
San Diego Paradise Point Resort And Spa [Member] | ||
Lease Type | Ground lease | |
Lease Expiration Date | May 1, 2050 | |
Hotel Vitale [Member] | ||
Lease Type | Ground lease | |
Lease Expiration Date | Mar. 1, 2056 | [3] |
Lease Renewal Term | 14 years | |
Extended Lease Expiration Date | Jan. 1, 2070 | |
Viceroy Santa Monica [Member] | ||
Lease Type | Ground lease | |
Lease Expiration Date | Sep. 1, 2065 | |
Westin Copley Place [Member] | ||
Lease Type | Air rights lease | |
Lease Expiration Date | Dec. 1, 2077 | |
Future Ground Rent Payments Per Year | 0 | |
The Liberty Hotel [Member] | ||
Lease Type | Ground lease | |
Lease Expiration Date | May 1, 2080 | |
Indianapolis Marriott Downtown [Member] | ||
Lease Type | Ground lease | |
Lease Expiration Date | Jun. 1, 2099 | [4] |
Lease Renewal Term | 50 years | |
Extended Lease Expiration Date | Jan. 1, 2149 | |
Future Ground Rent Payments Per Year | 1 | |
Hotel Solamar [Member] | ||
Lease Type | Ground lease | |
Lease Expiration Date | Dec. 1, 2102 | |
[1] | The Company can begin negotiating a renewal one year in advance of the lease expiration date. | |
[2] | The Company has options, subject to certain terms and conditions, to extend the ground lease for 51 years to 2077. | |
[3] | The Company has the option, subject to certain terms and conditions, to extend the ground lease for 14 years to 2070. | |
[4] | Requires future ground rent payments of one dollar per year. The Company has options, subject to certain terms and conditions, to extend the ground lease for 50 years to 2149. |
Ground, Land and Building, and
Ground, Land and Building, and Air Rights Leases (Narrative) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2016 | Mar. 31, 2015 | |
Commitments and Contingencies Disclosure [Abstract] | ||
Straight-line ground rent | $ 477 | $ 493 |
Ground rent | $ 3,813 | $ 3,662 |
Commitments and Contingencies50
Commitments and Contingencies Ground, Land and Building, and Air Rights Leases - Capital Leases (Details) - USD ($) $ in Thousands | Jan. 01, 2015 | Mar. 31, 2016 | ||
The Roger [Member] | ||||
Estimated Present Value of Remaining Rent Payments | [1] | $ 4,892 | ||
Lease Expiration Date | Dec. 1, 2044 | |||
Harbor Court Hotel [Member] | ||||
Estimated Present Value of Remaining Rent Payments | [1] | $ 18,424 | ||
Lease Expiration Date | Apr. 1, 2048 | |||
Hotel Triton [Member] | ||||
Estimated Present Value of Remaining Rent Payments | $ 27,752 | $ 25,625 | [1],[2] | |
Lease Expiration Date | Jan. 1, 2048 | Dec. 1, 2049 | ||
[1] | At acquisition, the estimated present value of the remaining rent payments 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. | |||
[2] | In 2015, the hotel lease was amended, extending the lease expiration date from January 2048 to December 2049. At acquisition, the estimated present value of the remaining payments recorded as a capital lease obligation was $27,752. Due to the lease amendment, the recalculated estimated present value of the remaining rent payments is $25,625, which net of amortization, is included in accounts payable and accrued expenses in the accompanying consolidated balance sheets. |
Schedule of Future Minimum Rent
Schedule of Future Minimum Rent Payments (Details) - Operating and Capital Leases [Member] $ in Thousands | Mar. 31, 2016USD ($) |
2,016 | $ 9,623 |
2,017 | 13,052 |
2,018 | 13,195 |
2,019 | 13,172 |
2,020 | 13,559 |
Thereafter | 600,780 |
Total | $ 663,381 |
Reserve Funds for Future Capita
Reserve Funds for Future Capital Expenditures (Narrative) (Details) $ in Thousands | 3 Months Ended |
Mar. 31, 2016USD ($) | |
Commitments and Contingencies Disclosure [Abstract] | |
Percentage of reserve funds provided by the company | 4.00% |
Restricted cash and cash equivalents available for capital expenditures | $ 22,136 |
Commitments and Contingencies R
Commitments and Contingencies Restricted Cash Reserves (Narrative) (Details) - USD ($) $ in Thousands | Mar. 31, 2016 | Dec. 31, 2015 |
Commitments and Contingencies Disclosure [Abstract] | ||
Restricted cash reserves | $ 24,124 | $ 26,443 |
Restricted cash and cash equivalents available for capital expenditures | 22,136 | |
Restricted cash and cash equivalents available for insurance or management liabilities | $ 1,988 |
Common Shares of Beneficial Int
Common Shares of Beneficial Interest (Narrative) (Details) | Mar. 18, 2016Installmentsshares | Mar. 01, 2016shares | Jan. 01, 2016shares |
2014 Plan [Member] | |||
Class of Stock [Line Items] | |||
Additional deferred shares issued | 4,910 | ||
Restricted Stock [Member] | 2014 Plan [Member] | |||
Class of Stock [Line Items] | |||
Stock Issued During Period, Shares, Restricted Stock Award, Net of Forfeitures | 98,787 | ||
Deferred Shares Issued in Annual Installments | Installments | 3 | ||
Common Stock [Member] | 2014 Plan [Member] | |||
Class of Stock [Line Items] | |||
Common shares, shares issued | 13,864 | ||
Common Stock [Member] | 2009 Plan [Member] | |||
Class of Stock [Line Items] | |||
Common shares, shares issued | 36,926 |
Schedule of Common Dividends Pa
Schedule of Common Dividends Paid (Details) - $ / shares | 3 Months Ended | ||
Mar. 31, 2016 | Mar. 31, 2015 | ||
Class of Stock [Line Items] | |||
Dividend per Share/Unit | $ 0.45 | $ 0.38 | |
Common Stock [Member] | |||
Class of Stock [Line Items] | |||
Dividend per Share/Unit | [1] | $ 0.45 | |
For the Quarter Ended | Dec. 31, 2015 | ||
Record Date | Dec. 31, 2015 | ||
Payable Date | Jan. 15, 2016 | ||
[1] | Amounts are rounded to the nearest whole cent for presentation purposes. |
Treasury Shares (Narrative) (De
Treasury Shares (Narrative) (Details) - USD ($) | Mar. 01, 2016 | Jan. 01, 2016 | Mar. 31, 2016 |
Stockholders' Equity Note [Abstract] | |||
Treasury Stock, Shares, Acquired | 49,668 | ||
Stock repurchase program, authorized | $ 100,000,000 | ||
Stock repurchase program, remaining authorized | $ 69,807,000 | ||
Issuance of shares of beneficial interest from treasury | 36,926 | 13,864 | 98,787 |
Common shares held in treasury | 55,986 |
Schedule of Preferred Shares Ou
Schedule of Preferred Shares Outstanding (Details) - shares | 3 Months Ended | |
Mar. 31, 2016 | Dec. 31, 2015 | |
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] | ||
Dividend rate | 7.50% | |
Number of Shares | 2,750,000 | |
6 3/8% Series I Preferred Stock [Member] | ||
Class of Stock [Line Items] | ||
Dividend rate | 6.375% | |
Number of Shares | 4,400,000 |
Preferred Shares (Narrative) (D
Preferred Shares (Narrative) (Details) | 3 Months Ended |
Mar. 31, 2016$ / sharesshares | |
Series H Preferred Stock [Member] | |
Class of Stock [Line Items] | |
Dividend rate | 7.50% |
Redeemable preferred stock redemption price per share | $ / shares | $ 25 |
Preferred stock redeemable term (in days) | 120 days |
Shares issued upon conversion | shares | 4,680,500 |
Series I Preferred Stock [Member] | |
Class of Stock [Line Items] | |
Dividend rate | 6.375% |
Redeemable preferred stock redemption price per share | $ / shares | $ 25 |
Preferred stock redeemable term (in days) | 120 days |
Shares issued upon conversion | shares | 8,835,200 |
Schedule of Preferred Dividends
Schedule of Preferred Dividends Paid (Details) | 3 Months Ended | |
Mar. 31, 2016$ / shares | ||
7 1/2% Series H Preferred Shares [Member] | ||
Class of Stock [Line Items] | ||
Dividend rate | 7.50% | |
Dividend per Share | $ 0.47 | [1] |
For the Quarter Ended | Dec. 31, 2015 | |
Record Date | Jan. 1, 2016 | |
Payable Date | Jan. 15, 2016 | |
6 3/8% Series I Preferred Stock [Member] | ||
Class of Stock [Line Items] | ||
Dividend rate | 6.375% | |
Dividend per Share | $ 0.40 | [1] |
For the Quarter Ended | Dec. 31, 2015 | |
Record Date | Jan. 1, 2016 | |
Payable Date | Jan. 15, 2016 | |
[1] | Amounts are rounded to the nearest whole cent for presentation purposes. |
Noncontrolling Interest of Comm
Noncontrolling Interest of Common Units in Operating Partnership (Narrative) (Details) $ / shares in Units, $ in Thousands | Mar. 31, 2016USD ($)$ / sharesshares |
Class of Stock [Line Items] | |
Common units of limited partnership | shares | 145,223 |
Partnership interest held by limited partners | 0.10% |
Common units of operating partnership interest for cash or common shares | $ | $ 3,676 |
Share Price | $ / shares | $ 25.31 |
Equity Incentive Plan (Narrativ
Equity Incentive Plan (Narrative) (Details) - 2014 Plan [Member] | 3 Months Ended |
Mar. 31, 2016shares | |
Share-based Compensation Arrangement by Share-based Payment Award [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 | Feb. 17, 2024 |
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 | 2,683,281 |
Nonvested Share Awards with Ser
Nonvested Share Awards with Service Conditions (Narrative) (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |
Mar. 31, 2016 | Mar. 31, 2015 | Dec. 31, 2015 | |
2014 Plan [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Vesting period (in years) | 3 years | ||
Restricted Stock [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Unrecognized compensation costs | $ 6,747 | $ 5,342 | |
Weighted-average recognized period (in years) | 2 years | 1 year 8 months 12 days | |
Compensation costs | $ 1,038 | $ 1,032 | |
Restricted Stock [Member] | Nonvested Share Awards with Service Conditions [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Unrecognized compensation costs | $ 5,541 | $ 3,914 | |
Weighted-average recognized period (in years) | 1 year 6 months | 1 year 4 months 24 days | |
Total fair value of vested shares | $ 1,722 | 2,964 | |
Compensation costs | $ 775 | $ 822 | |
Restricted Stock [Member] | Nonvested Share Awards with Service Conditions [Member] | 2014 Plan [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Vesting period (in years) | 3 years |
Nonvested Share Awards with S63
Nonvested Share Awards with Service Conditions (Details) - Restricted Stock [Member] - $ / shares | Mar. 18, 2016 | Mar. 01, 2016 | Jan. 30, 2013 | Mar. 31, 2016 | Dec. 31, 2015 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested [Roll Forward] | |||||||
Nonvested, Number of Shares Beginning Balance | 348,587 | ||||||
Number of Shares, Granted | 97,175 | 80,559 | 97,175 | [1] | |||
Number of Shares, Vested | (85,069) | ||||||
Number of Shares, Forfeited | (3,354) | (3,354) | |||||
Nonvested, Number of Shares Ending Balance | 357,339 | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Nonvested, Weighted Average Grant Date Fair Value [Abstract] | |||||||
Nonvested, Weighted - Average Grant Date Fair Value Beginning Balance | $ 33.98 | ||||||
Weighted- Average Grant Date Fair Value, Granted | 25.14 | ||||||
Weighted - Average Grant Date Fair Value, Vested | 37.32 | ||||||
Weighted - Average Grant Date Fair Value, Forfeited | 38.10 | ||||||
Nonvested, Weighted - Average Grant Date Fair Value Ending Balance | $ 30.74 | ||||||
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 | 228,835 | ||||||
Number of Shares, Granted | 98,787 | ||||||
Number of Shares, Vested | (68,438) | ||||||
Number of Shares, Forfeited | 0 | ||||||
Nonvested, Number of Shares Ending Balance | [2] | 259,184 | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Nonvested, Weighted Average Grant Date Fair Value [Abstract] | |||||||
Nonvested, Weighted - Average Grant Date Fair Value Beginning Balance | $ 33.29 | ||||||
Weighted- Average Grant Date Fair Value, Granted | 25.14 | ||||||
Weighted - Average Grant Date Fair Value, Vested | 32.37 | ||||||
Weighted - Average Grant Date Fair Value, Forfeited | 0 | ||||||
Nonvested, Weighted - Average Grant Date Fair Value Ending Balance | $ 30.43 | ||||||
Nonvested Share Awards with Market or Performance Conditions [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Nonvested, Weighted Average Grant Date Fair Value [Abstract] | |||||||
Shares awards with market conditions which were earned but nonvested | 36,258 | 84,401 | |||||
[1] | Amount includes 48,588 shares awarded on March 18, 2016 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, 2016. | ||||||
[2] | Amount excludes 36,258 share awards with market conditions which were earned but nonvested due to a service condition as of March 31, 2016. |
Nonvested Share Awards with Mar
Nonvested Share Awards with Market or Performance Conditions (Narrative) (Details) - USD ($) $ in Thousands | Mar. 18, 2016 | Mar. 01, 2016 | Jan. 30, 2013 | Mar. 31, 2016 | Mar. 31, 2015 | Dec. 31, 2015 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Distributions on earned shares from share awards with market conditions | $ (151) | $ (334) | |||||
Restricted Stock [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Number of Shares, Granted | 97,175 | 80,559 | 97,175 | [1] | |||
Number of Shares Earned as a Percentage of Target Shares | 91.70% | ||||||
Number of Shares Earned | 36,926 | ||||||
Percentage of Target Shares | 100.00% | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Forfeited in Period | 3,354 | 3,354 | |||||
Distributions on earned shares from share awards with market conditions | $ 151 | ||||||
Performance Shares Outstanding | 0 | 0 | |||||
Unrecognized compensation costs | $ 6,747 | $ 5,342 | |||||
Weighted-average recognized period (in years) | 2 years | 1 year 8 months 12 days | |||||
Compensation costs | $ 1,038 | $ 1,032 | |||||
Restricted Stock [Member] | Minimum [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Percentage of Target Shares | 0.00% | 0.00% | |||||
Restricted Stock [Member] | Maximum [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Percentage of Target Shares | 200.00% | 200.00% | |||||
Restricted Stock [Member] | Tranche One | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Number of Shares, Granted | 48,587 | 40,280 | |||||
Restricted Stock [Member] | Tranche Two | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Number of Shares, Granted | 48,588 | 40,279 | |||||
Restricted Stock [Member] | Nonvested Share Awards with Market or Performance Conditions [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Number of shares vested | 393,138 | 308,069 | |||||
Shares awards with market conditions which were earned but nonvested | 36,258 | 84,401 | |||||
[1] | Amount includes 48,588 shares awarded on March 18, 2016 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, 2016. |
Nonvested Share Awards with M65
Nonvested Share Awards with Market or Performance Conditions (Summary of Nonvested Share Awards) (Details) - Restricted Stock [Member] - $ / shares | Mar. 18, 2016 | Mar. 01, 2016 | Jan. 30, 2013 | Mar. 31, 2016 | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested [Roll Forward] | |||||
Nonvested, Number of Shares Beginning Balance | 348,587 | ||||
Number of Shares, Granted | 97,175 | 80,559 | 97,175 | [1] | |
Number of Shares, Vested | (85,069) | ||||
Number of Shares, Forfeited | (3,354) | (3,354) | |||
Nonvested, Number of Shares Ending Balance | 357,339 | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Abstract] | |||||
Nonvested, Weighted - Average Grant Date Fair Value Beginning Balance | $ 33.98 | ||||
Weighted- Average Grant Date Fair Value, Granted | 25.14 | ||||
Weighted - Average Grant Date Fair Value, Vested | 37.32 | ||||
Weighted - Average Grant Date Fair Value, Forfeited | 38.10 | ||||
Nonvested, Weighted - Average Grant Date Fair Value Ending Balance | $ 30.74 | ||||
Share-based Compensation Award, Tranche Two [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested [Roll Forward] | |||||
Number of Shares, Granted | 48,588 | 40,279 | |||
[1] | Amount includes 48,588 shares awarded on March 18, 2016 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, 2016. |
Schedule of Other Indirect Hote
Schedule of Other Indirect Hotel Operating Expenses (Details) $ in Thousands | 3 Months Ended | |
Mar. 31, 2016USD ($)Hotels | Mar. 31, 2015USD ($) | |
Real Estate Properties [Line Items] | ||
General and administrative | $ 5,830 | $ 6,267 |
Other expenses | 2,178 | 2,345 |
Total other indirect expenses | $ 71,915 | 70,002 |
Number of hotels | Hotels | 47 | |
LHL [Member] | ||
Real Estate Properties [Line Items] | ||
General and administrative | $ 24,601 | 23,907 |
Sales and marketing | 18,581 | 17,951 |
Repairs and maintenance | 9,836 | 9,611 |
Management and incentive fees | 7,631 | 7,328 |
Utilities and insurance | 8,233 | 8,817 |
Franchise fees | 2,277 | 1,828 |
Other expenses | 756 | 560 |
Total other indirect expenses | $ 71,915 | $ 70,002 |
Number of hotels | Hotels | 47 |
Schedule of Income Tax Expense
Schedule of Income Tax Expense (Benefit) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2016 | Mar. 31, 2015 | |
Schedule of Income Tax [Line Items] | ||
Total income tax (benefit) expense | $ (5,620) | $ (4,868) |
LHL's income tax benefit [Member] | ||
Schedule of Income Tax [Line Items] | ||
Total income tax (benefit) expense | (5,873) | (5,079) |
Operating Partnership's income tax expense [Member] | ||
Schedule of Income Tax [Line Items] | ||
Total income tax (benefit) expense | $ 253 | $ 211 |
Income Taxes Income Taxes (Narr
Income Taxes Income Taxes (Narrative) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2016 | Mar. 31, 2015 | |
Investments, Owned, Federal Income Tax Note [Line Items] | ||
Loss before income tax benefit | $ (3,454) | $ 2,130 |
LHL [Member] | ||
Investments, Owned, Federal Income Tax Note [Line Items] | ||
Federal and State Effective Tax Rate | 40.80% | |
Loss before income tax benefit | $ 14,469 |
Schedule of Assets and Liabilit
Schedule of Assets and Liabilities Measured at Fair Value on a Recurring Basis (Details) - USD ($) $ in Thousands | Mar. 31, 2016 | Dec. 31, 2015 |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Derivative interest rate instruments, Prepaid expenses and other assets | $ 0 | $ 1,605 |
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 | $ 12,569 | $ 1,702 |
Schedule of Fair Value and Carr
Schedule of Fair Value and Carrying Value of Financial Instruments (Details) - Fair Value, Inputs, Level 2 [Member] - USD ($) $ in Thousands | Mar. 31, 2016 | Dec. 31, 2015 |
Carrying Value | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Note receivable | $ 80,000 | $ 80,000 |
Borrowings under credit facilities | 343,000 | 21,000 |
Estimated Fair Value | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Note receivable | 80,000 | 80,000 |
Borrowings under credit facilities | 343,905 | 21,061 |
Term loans [Member] | Carrying Value | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Debt Instrument | 855,000 | 855,000 |
Term loans [Member] | Estimated Fair Value | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Debt Instrument | 856,001 | 856,038 |
Bonds payable [Member] | Carrying Value | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Debt Instrument | 42,500 | 42,500 |
Bonds payable [Member] | Estimated Fair Value | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Debt Instrument | 42,500 | 42,500 |
Mortgage loans [Member] | Carrying Value | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Debt Instrument | 225,000 | 511,294 |
Mortgage loans [Member] | Estimated Fair Value | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Debt Instrument | $ 225,276 | $ 511,786 |
Fair Value Measurements Financi
Fair Value Measurements Financial Instruments Not Measured at Fair Value (Narrative) (Details) | Mar. 31, 2016 | Dec. 31, 2015 |
Fair Value Assumptions, Weighted Average Effective Debt Interest Rate | 1.50% | 2.10% |
Minimum [Member] | ||
Fair Value Inputs, Discount Rate | 1.50% | 1.50% |
Maximum [Member] | ||
Fair Value Inputs, Discount Rate | 1.80% | 4.40% |
Earnings Per Common Share Earni
Earnings Per Common Share Earnings Per Common Share (Narrative) (Details) | 3 Months Ended |
Mar. 31, 2015shares | |
Earnings Per Common Share [Abstract] | |
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 405,526 |
Schedule of Computation of Basi
Schedule of Computation of Basic And Diluted Earnings Per Common Share (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | |
Mar. 31, 2016 | Mar. 31, 2015 | |
Numerator: | ||
Net income (loss) attributable to common shareholders | $ 6,017 | $ (319) |
Dividends paid on unvested restricted shares | (133) | (119) |
Undistributed earnings attributable to unvested restricted shares | 0 | 0 |
Net income (loss) attributable to common shareholders excluding amounts attributable to unvested restricted shares | $ 5,884 | $ (438) |
Denominator: | ||
Weighted average number of common shares - basic | 112,748,492 | 112,647,715 |
Compensation-related shares | 359,666 | 0 |
Weighted average number of common shares - diluted | 113,108,158 | 112,647,715 |
Earnings per Common Share - Basic: | ||
Net income attributable to common shareholders excluding amounts attributable to unvested restricted shares | $ 0.05 | $ 0 |
Earnings per Common Share - Diluted: | ||
Net income attributable to common shareholders excluding amounts attributable to unvested restricted shares | $ 0.05 | $ 0 |
Schedule of Supplemental Inform
Schedule of Supplemental Information to Statements of Cash Flows (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2016 | Mar. 31, 2015 | |
Supplemental Cash Flow Information [Abstract] | ||
Interest paid, net of capitalized interest | $ 11,780 | $ 12,976 |
Interest capitalized | 195 | 224 |
Income taxes paid (refunded), net | 208 | (160) |
Increase in distributions payable on common shares | 45 | 53 |
Write-off of fully amortized debt issuance costs | 563 | 0 |
Decrease in accrued capital expenditures | (5,341) | (1,066) |
Grant of nonvested shares and awards to employees and executives, net | 4,926 | 3,686 |
Issuance of common shares for Board of Trustees compensation | 480 | 691 |
Investment in properties (after credits at closing) | 0 | (445,734) |
Other assets | 0 | (1,897) |
Liabilities | 0 | 8,474 |
Acquisition of properties | $ 0 | $ (439,157) |
Schedule of Common and Preferre
Schedule of Common and Preferred Subsequent Events Dividends (Details) - $ / shares | 3 Months Ended | |||
Jun. 30, 2016 | Mar. 31, 2016 | Mar. 31, 2015 | ||
Subsequent Event [Line Items] | ||||
Dividend per Share/Unit | $ 0.45 | $ 0.38 | ||
Common Shares of Beneficial Interest [Member] | ||||
Subsequent Event [Line Items] | ||||
Dividend per Share/Unit | [1] | $ 0.45 | ||
For the Quarter Ended | Dec. 31, 2015 | |||
Record Date | Dec. 31, 2015 | |||
Payable Date | Jan. 15, 2016 | |||
7 1/2% Series H Preferred Shares [Member] | ||||
Subsequent Event [Line Items] | ||||
Dividend rate | 7.50% | |||
Dividend per Share/Unit | [2] | $ 0.47 | ||
For the Quarter Ended | Dec. 31, 2015 | |||
Record Date | Jan. 1, 2016 | |||
Payable Date | Jan. 15, 2016 | |||
6 3/8% Series I Preferred Stock [Member] | ||||
Subsequent Event [Line Items] | ||||
Dividend rate | 6.375% | |||
Dividend per Share/Unit | [2] | $ 0.40 | ||
For the Quarter Ended | Dec. 31, 2015 | |||
Record Date | Jan. 1, 2016 | |||
Payable Date | Jan. 15, 2016 | |||
Subsequent Event [Member] | Common Shares of Beneficial Interest [Member] | ||||
Subsequent Event [Line Items] | ||||
Dividend per Share/Unit | [3] | $ 0.45 | ||
For the Quarter Ended | Mar. 31, 2016 | |||
Record Date | Mar. 31, 2016 | |||
Payable Date | Apr. 15, 2016 | |||
Subsequent Event [Member] | 7 1/2% Series H Preferred Shares [Member] | ||||
Subsequent Event [Line Items] | ||||
Dividend rate | 7.50% | |||
Dividend per Share/Unit | [3] | $ 0.47 | ||
For the Quarter Ended | Mar. 31, 2016 | |||
Record Date | Apr. 1, 2016 | |||
Payable Date | Apr. 15, 2016 | |||
Subsequent Event [Member] | 6 3/8% Series I Preferred Stock [Member] | ||||
Subsequent Event [Line Items] | ||||
Dividend rate | 6.375% | |||
Dividend per Share/Unit | [3] | $ 0.40 | ||
For the Quarter Ended | Mar. 31, 2016 | |||
Record Date | Apr. 1, 2016 | |||
Payable Date | Apr. 15, 2016 | |||
[1] | Amounts are rounded to the nearest whole cent for presentation purposes. | |||
[2] | Amounts are rounded to the nearest whole cent for presentation purposes. | |||
[3] | Amounts are rounded to the nearest whole cent for presentation purposes. |
Subsequent Events Subsequent Ev
Subsequent Events Subsequent Events (Narrative) (Details) - Subsequent Event [Member] $ in Thousands | 3 Months Ended |
Jun. 30, 2016USD ($) | |
Minimum [Member] | |
Subsequent Event [Line Items] | |
Severance expense | $ 1,500 |
Maximum [Member] | |
Subsequent Event [Line Items] | |
Severance expense | $ 2,000 |