Sunstone Hotel Investors 8K Reports Results for Fourth Quarter and Full Year 2020 | SHO 11 Feb 21

Exhibit 99.2

Supplemental Financial Information
February 11, 2021





Supplemental Financial Information For the quarter and year ended December 31, 2020 February 11, 2021

Supplemental Financial Information
February 11, 2021

Table of Contents


CORPORATE PROFILE, FINANCIAL DISCLOSURES, AND SAFE HARBOR								3
About Sunstone								4
Forward-Looking Statement								5
Non-GAAP Financial Measures								6
CORPORATE FINANCIAL INFORMATION								9
Condensed Consolidated Balance Sheets Q4 2020 – Q4 2019								10
Consolidated Statements of Operations Q4 and FY 2020/2019								12
Reconciliation of Net (Loss) Income to EBITDAre and Adjusted EBITDAre, Excluding Noncontrolling Interest Q4 and FY 2020/2019								13
Reconciliation of Net (Loss) Income to FFO and Adjusted FFO Attributable to Common Stockholders Q4 and FY 2020/2019								14
Pro Forma Consolidated Statements of Operations FY 2020, Q4 2020 – Q1 2020								15
Pro Forma Consolidated Statements of Operations FY 2019, Q4 2019 – Q1 2019								16
Pro Forma Reconciliation of Net Loss to EBITDAre, Adjusted EBITDAre, Excluding Noncontrolling Interest, FFO and Adjusted FFO Attributable to Common Stockholders FY 2020								17
Pro Forma Reconciliation of Net Income to EBITDAre, Adjusted EBITDAre, Excluding Noncontrolling Interest, FFO and Adjusted FFO Attributable to Common Stockholders FY 2019								20
Pro Forma Reconciliation of Net Income to EBITDAre, Adjusted EBITDAre, Excluding Noncontrolling Interest, FFO and Adjusted FFO Attributable to Common Stockholders Q4 2019								23
Pro Forma Reconciliation of Net Income to EBITDAre, Adjusted EBITDAre, Excluding Noncontrolling Interest, FFO and Adjusted FFO Attributable to Common Stockholders Q3 2019								25
Pro Forma Reconciliation of Net Income to EBITDAre, Adjusted EBITDAre, Excluding Noncontrolling Interest, FFO and Adjusted FFO Attributable to Common Stockholders Q2 2019								27
Pro Forma Reconciliation of Net Income to EBITDAre, Adjusted EBITDAre, Excluding Noncontrolling Interest, FFO and Adjusted FFO Attributable to Common Stockholders Q1 2019								29
CAPITALIZATION								32
Comparative Capitalization Q4 2020 – Q4 2019								33

BPP-Lobby-Bar

Wailea Beach Resort Slide

Outside Shot

Supplemental Financial Information
February 11, 2021

Table of Contents


Consolidated Debt Summary Schedule								34
Consolidated Amortization and Debt Maturity Schedule as of December 31, 2020								35
PROPERTY-LEVEL DATA								36
Hotel Information as of February 11, 2021								37
PROPERTY-LEVEL OPERATING STATISTICS								38
Property-Level Operating Statistics October 2020/2019								39
Property-Level Operating Statistics November 2020/2019								40
Property-Level Operating Statistics December 2020/2019								41
Property-Level Operating Statistics Q4 2020/2019								42
Property-Level Operating Statistics FY 2020/2019								43
PROPERTY-LEVEL ADJUSTED EBITDAre & ADJUSTED EBITDAre MARGINS								45
Property-Level Adjusted EBITDAre & Adjusted EBITDAre Margins Q4 2020								46
Property-Level Adjusted EBITDAre & Adjusted EBITDAre Margins FY 2020								47


	Supplemental Financial Information February 11, 2021

CORPORATE PROFILE, FINANCIAL DISCLOSURES,
AND SAFE HARBOR


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	Supplemental Financial Information February 11, 2021

About Sunstone

Sunstone Hotel Investors, Inc. (the “Company,” “we,” and “our”) (NYSE: SHO) is a lodging real estate investment trust (“REIT”) that as of February 11, 2021 has interests in 17 hotels comprised of 9,017 rooms. Sunstone is the premier steward of Long-Term Relevant Real Estate® (“LTRR®”) in the lodging industry. Sunstone’s business is to acquire, own, asset manage and renovate or reposition hotels that the Company considers to be LTRR® in the United States, specifically hotels in urban, resort and destination locations that benefit from significant barriers to entry by competitors and diverse economic drivers. The majority of Sunstone’s hotels are operated under nationally recognized brands, such as Marriott, Hilton and Hyatt.

As demand for lodging generally fluctuates with the overall economy, the Company seeks to own Long-Term Relevant Real Estate® that will maintain a high appeal with lodging travelers over long periods of time and will generate superior economic earnings materially in excess of recurring capital requirements. Sunstone’s strategy is to maximize stockholder value through focused asset management and disciplined capital recycling, which is likely to include selective acquisitions and dispositions, while maintaining balance sheet flexibility and strength. Sunstone’s goal is to maintain appropriate leverage and financial flexibility to position the Company to create value throughout all phases of the operating and financial cycles.

Corporate Headquarters
200 Spectrum Center Drive, 21^st Floor
Irvine, CA 92618
(949) 330-4000

Company Contacts
John Arabia
President and Chief Executive Officer
(949) 382-3008

Bryan Giglia
Executive Vice President and Chief Financial Officer
(949) 382-3036

Aaron Reyes
Senior Vice President, Corporate Finance and Treasurer
(949) 382-3018


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	Supplemental Financial Information February 11, 2021

Forward-Looking Statement

This presentation contains forward-looking statements within the meaning of federal securities laws and regulations. These forward-looking statements are identified by their use of terms and phrases such as “anticipate,” “believe,” “continue,” “could,” “estimate,” “expect,” “intend,” “may,” “plan,” “predict,” “project,” “should,” “will” and other similar terms and phrases, including opinions, references to assumptions and forecasts of future results. Forward-looking statements are not guarantees of future performance and involve known and unknown risks, uncertainties and other factors that may cause the actual results to differ materially from those anticipated at the time the forward-looking statements are made. These risks include, but are not limited to: the impact on the Company’s business of the COVID-19 pandemic and the response of governments and the Company to the outbreak; increased risks related to employee matters, including increased employment litigation and claims for severance or other benefits tied to termination or furloughs as a result of temporary hotel suspensions or reduced hotel operations due to COVID-19; the impact on our business of potential defaults by us on our debt agreements or leases; general economic and business conditions, including a U.S. recession; trade conflicts and tariffs between the U.S. and its trading partners; changes impacting global travel; regional or global economic slowdowns, which may diminish the desire for leisure travel or the need for business travel; any type of flu or disease-related pandemic that impacts travel or the ability to travel, including COVID-19; the adverse effects of climate change affecting the lodging and travel industry, internationally, nationally and locally; the Company’s need to operate as a REIT and comply with other applicable laws and regulations, including new laws, interpretations or court decisions that may change the federal or state tax laws or the federal or state income tax consequences of the Company’s qualification as a REIT; rising hotel operating costs due to labor costs, workers’ compensation and health-care related costs, utility costs, insurance and unanticipated costs such as acts of nature and their consequences and other factors that may not be offset by increased room rates; relationships with, and the requirements and reputation of, the Company’s franchisors and hotel brands; relationships with, and the requirements, performance and reputation of, the managers of the Company’s hotels; the ground, building or airspace leases for three of the 17 Hotels the Company has interests in as of the date of this presentation; competition for the acquisition of hotels, and the Company’s ability to complete acquisitions and dispositions; performance of hotels after they are acquired; new hotel supply, or alternative lodging options such as timeshare, vacation rentals or sharing services such as Airbnb, in the Company’s markets, which could harm its occupancy levels and revenue at its hotels; competition from hotels not owned by the Company; the need for renovations, repositionings and other capital expenditures for the Company’s hotels; the impact, including any delays, of renovations and repositionings on hotel operations; changes in the Company’s business strategy or acquisition or disposition plans; the Company’s level of debt, including secured, unsecured, fixed and variable rate debt; financial and other covenants in the Company’s debt and preferred stock; the Company’s hotels may become impaired, or its hotels which have previously become impaired may become further impaired in the future, which may adversely affect its financial condition and results of operations; volatility in the capital markets and the effect on lodging demand or the Company’s ability to obtain capital on favorable terms or at all; potential adverse tax consequences in the event that the Company’s operating leases with its taxable REIT subsidiaries are not held to have been made on an arm’s-length basis; system security risks, data protection breaches, cyber-attacks, including those impacting the Company’s hotel managers or other third parties, and systems integration issues; other events beyond the Company’s control, including natural disasters, terrorist attacks or civil unrest; and other risks and uncertainties associated with our business described in the Company’s filings with the Securities and Exchange Commission. Although the Company believes the expectations reflected in such forward-looking statements are based upon reasonable assumptions, it can give no assurance that the expectations will be attained or that any deviation will not be material. All forward-looking information provided herein is as of the date of this presentation, and the Company undertakes no obligation to update any forward-looking statement to conform the statement to actual results or changes in the Company’s expectations.

This presentation contains unaudited information, and should be read together with the consolidated financial statements and notes thereto included in our most recent reports on Form 10-K and Form 10-Q. Copies of these reports are available on our website at www.sunstonehotels.com and through the SEC’s Electronic Data Gathering Analysis and Retrieval System (“EDGAR”) at www.sec.gov.


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	Supplemental Financial Information February 11, 2021

Non-GAAP Financial Measures

We present the following non-GAAP financial measures that we believe are useful to investors as key supplemental measures of our operating performance: earnings before interest expense, taxes, depreciation and amortization for real estate, or EBITDAre; Adjusted EBITDAre, excluding noncontrolling interest (as defined below); funds from operations attributable to common stockholders, or FFO attributable to common stockholders; Adjusted FFO attributable to common stockholders (as defined below); hotel Adjusted EBITDAre; and hotel Adjusted EBITDAre margins. These measures should not be considered in isolation or as a substitute for measures of performance in accordance with GAAP. In addition, our calculation of these measures may not be comparable to other companies that do not define such terms exactly the same as the Company. These non-GAAP measures are used in addition to and in conjunction with results presented in accordance with GAAP. They should not be considered as alternatives to net income (loss), cash flow from operations, or any other operating performance measure prescribed by GAAP. These non-GAAP financial measures reflect additional ways of viewing our operations that we believe, when viewed with our GAAP results and the reconciliations to the corresponding GAAP financial measures, provide a more complete understanding of factors and trends affecting our business than could be obtained absent this disclosure. We strongly encourage investors to review our financial information in its entirety and not to rely on a single financial measure.

We present EBITDAre in accordance with guidelines established by the National Association of Real Estate Investment Trusts (“NAREIT”), as defined in its September 2017 white paper “Earnings Before Interest, Taxes, Depreciation and Amortization for Real Estate.” We believe EBITDAre is a useful performance measure to help investors evaluate and compare the results of our operations from period to period in comparison to our peers. NAREIT defines EBITDAre as net income (calculated in accordance with GAAP) plus interest expense, income tax expense, depreciation and amortization, gains or losses on the disposition of depreciated property (including gains or losses on change in control), impairment write-downs of depreciated property and of investments in unconsolidated affiliates caused by a decrease in the value of depreciated property in the affiliate, and adjustments to reflect the entity’s share of EBITDAre of unconsolidated affiliates.

We make additional adjustments to EBITDAre when evaluating our performance because we believe that the exclusion of certain additional items described below provides useful information to investors regarding our operating performance, and that the presentation of Adjusted EBITDAre, excluding noncontrolling interest, when combined with the primary GAAP presentation of net income, is beneficial to an investor’s complete understanding of our operating performance. In addition, we use both EBITDAre and Adjusted EBITDAre, excluding noncontrolling interest as measures in determining the value of hotel acquisitions and dispositions.

We believe that the presentation of FFO attributable to common stockholders provides useful information to investors regarding our operating performance because it is a measure of our operations without regard to specified noncash items such as real estate depreciation and amortization, any real estate impairment loss and any gain or loss on sale of real estate assets, all of which are based on historical cost accounting and may be of lesser significance in evaluating our current performance. Our presentation of FFO attributable to common stockholders conforms to NAREIT’s definition of “FFO applicable to common shares.” Our presentation may not be comparable to FFO reported by other REITs that do not define the terms in accordance with the current NAREIT definition, or that interpret the current NAREIT definition differently that we do.


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	Supplemental Financial Information February 11, 2021

We also present Adjusted FFO attributable to common stockholders when evaluating our operating performance because we believe that the exclusion of certain additional items described below provides useful supplemental information to investors regarding our ongoing operating performance, and may facilitate comparisons of operating performance between periods and our peer companies.

We adjust EBITDAre and FFO attributable to common stockholders for the following items, which may occur in any period, and refer to these measures as either Adjusted EBITDAre, excluding noncontrolling interest or Adjusted FFO attributable to common stockholders:

●

Amortization of favorable and unfavorable contracts: we exclude the noncash amortization of the favorable management contract asset recorded in conjunction with our acquisition of the Hilton Garden Inn Chicago Downtown/Magnificent Mile, along with the favorable and unfavorable tenant lease contracts, as applicable, recorded in conjunction with our acquisitions of the Boston Park Plaza, the Hilton Garden Inn Chicago Downtown/Magnificent Mile, the Hyatt Regency San Francisco and the Wailea Beach Resort. We exclude the noncash amortization of favorable and unfavorable contracts because it is based on historical cost accounting and is of lesser significance in evaluating our actual performance for the current period.

●

Gains or losses from debt transactions: we exclude the effect of finance charges and premiums associated with the extinguishment of debt, including the acceleration of deferred financing costs from the original issuance of the debt being redeemed or retired because, like interest expense, their removal helps investors evaluate and compare the results of our operations from period to period by removing the impact of our capital structure.

●

Acquisition costs: under GAAP, costs associated with acquisitions that meet the definition of a business are expensed in the year incurred. We exclude the effect of these costs because we believe they are not reflective of the ongoing performance of the Company or our hotels.

●

Cumulative effect of a change in accounting principle: from time to time, the FASB promulgates new accounting standards that require the consolidated statement of operations to reflect the cumulative effect of a change in accounting principle. We exclude these one-time adjustments, which include the accounting impact from prior periods, because they do not reflect our actual performance for that period.

●

Other adjustments: we exclude other adjustments that we believe are outside the ordinary course of business because we do not believe these costs reflect our actual performance for the period and/or the ongoing operations of our hotels. Such items may include: lawsuit settlement costs; prior year property tax assessments or credits; the write-off of development costs associated with abandoned projects; property-level restructuring, severance and management transition costs; debt resolution costs; lease terminations; and property insurance proceeds or uninsured losses.

In addition, to derive Adjusted EBITDAre, excluding noncontrolling interest we exclude the noncontrolling partner’s pro rata share of the net (income) loss allocated to the Hilton San Diego Bayfront partnership, as well as the noncontrolling partner’s pro rata share of any EBITDAre and Adjusted EBITDAre components. We also exclude the noncash expense incurred with the amortization of deferred stock compensation as this expense is based on historical stock prices at the date of grant to our corporate employees and does not reflect the underlying performance of our hotels. In addition, we exclude the amortization of our right-of-use assets and liabilities as these expenses are based on historical cost accounting and do not reflect the actual rent amounts due to the respective lessors or the underlying performance of our hotels. Additionally, we include an adjustment for the cash


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	Supplemental Financial Information February 11, 2021

finance lease expenses recorded on the ground lease at the Courtyard by Marriott Los Angeles (prior to the hotel’s sale in October 2019) and the building lease at the Hyatt Centric Chicago Magnificent Mile. We determined that both of these leases are finance leases, and, therefore, we include a portion of the lease payments each month in interest expense. We adjust EBITDAre for these two finance leases in order to more accurately reflect the actual rent due to both hotels’ lessors in the current period, as well as the operating performance of both hotels. We also exclude the effect of gains and losses on the disposition of undepreciated assets because we believe that including them in Adjusted EBITDAre, excluding noncontrolling interest is not consistent with reflecting the ongoing performance of our assets.

To derive Adjusted FFO attributable to common stockholders, we also exclude the noncash interest on our derivatives and finance lease obligations as we believe that these items are not reflective of our ongoing finance costs. Additionally, we exclude the noncontrolling partner’s pro rata share of any FFO adjustments related to our consolidated Hilton San Diego Bayfront partnership. We also exclude the real estate amortization of our right-of-use assets and liabilities, which includes the amortization of both our finance and operating lease intangibles (with the exception of our corporate operating lease), as these expenses are based on historical cost accounting and do not reflect the actual rent amounts due to the respective lessors or the underlying performance of our hotels. In addition, we exclude changes to deferred tax assets, liabilities or valuation allowances, and income tax benefits or provisions associated with the application of net operating loss carryforwards, uncertain tax positions or with the sale of assets other than real estate investments.

In presenting hotel Adjusted EBITDAre and hotel Adjusted EBITDAre margins, miscellaneous non-hotel items have been excluded. We believe the calculation of hotel Adjusted EBITDAre results in a more accurate presentation of the hotel Adjusted EBITDAre margins for our hotels, and that these non-GAAP financial measures are useful to investors in evaluating our property-level operating performance.

Reconciliations of net (loss) income to EBITDAre, Adjusted EBITDAre, excluding noncontrolling interest, FFO attributable to common stockholders, Adjusted FFO attributable to common stockholders, hotel Adjusted EBITDAre and hotel Adjusted EBITDAre margins are set forth in the following pages of this supplemental package.

The 17 Hotel Portfolio includes all hotels owned by the Company as of December 31, 2020.


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	Supplemental Financial Information February 11, 2021

CORPORATE FINANCIAL INFORMATION


CORPORATE FINANCIAL INFORMATION								Page 9


	Supplemental Financial Information February 11, 2021

Condensed Consolidated Balance Sheets
Q4 2020 – Q4 2019


(In thousands)	December 31, 2020 ⁽¹⁾		September 30, 2020 ⁽²⁾		June 30, 2020 ⁽³⁾		March 31, 2020 ⁽⁴⁾		December 31, 2019 ⁽⁵⁾
Assets
Investment in hotel properties:
Land	$	571,212	$	581,426	$	581,426	$	600,649	$	601,181
Buildings & improvements		2,523,750		2,707,102		2,694,935		2,800,187		2,950,534
Furniture, fixtures, & equipment		431,918		464,588		460,526		496,312		506,754
Other		37,766		64,880		72,775		71,327		73,992
		3,564,646		3,817,996		3,809,662		3,968,475		4,132,461
Less accumulated depreciation & amortization		(1,103,148)		(1,196,520)		(1,164,181)		(1,212,063)		(1,260,108)
		2,461,498		2,621,476		2,645,481		2,756,412		2,872,353

Finance lease right-of-use asset, net		46,182		46,549		46,917		47,284		47,652
Operating lease right-of-use assets, net		26,093		39,489		40,351		41,198		60,629
Other noncurrent assets, net		16,799		16,510		15,415		16,390		24,608

Current assets:
Cash and cash equivalents		368,406		461,288		540,420		847,445		816,857
Restricted cash		47,733		42,346		45,960		53,485		48,116
Other current assets, net		19,006		19,124		12,474		37,326		48,759
Assets held for sale, net		—		—		76,683		—		—
Total assets	$	2,985,717	$	3,246,782	$	3,423,701	$	3,799,540	$	3,918,974

*Footnotes on following page


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	Supplemental Financial Information February 11, 2021

Condensed Consolidated Balance Sheets
Q4 2020– Q4 2019 (cont.)


(In thousands)	December 31, 2020 ⁽¹⁾		September 30, 2020 ⁽²⁾		June 30, 2020 ⁽³⁾		March 31, 2020 ⁽⁴⁾		December 31, 2019 ⁽⁵⁾
Liabilities
Current liabilities:
Current portion of notes payable, net	$	2,261	$	188,096	$	188,757	$	82,189	$	82,109
Other current liabilities		88,532		99,679		97,129		104,029		243,443
Total current liabilities		90,793		287,775		285,886		186,218		325,552

Notes payable, less current portion, net		742,528		743,545		829,673		1,187,468		888,954
Finance lease obligation, less current portion		15,569		15,569		15,570		15,570		15,570
Operating lease obligations, less current portion		29,954		45,939		47,206		48,460		49,691
Other liabilities		17,494		25,909		25,374		24,818		18,136
Total liabilities		896,338		1,118,737		1,203,709		1,462,534		1,297,903

Equity
Stockholders' equity:
6.95% Series E cumulative redeemable preferred stock		115,000		115,000		115,000		115,000		115,000
6.45% Series F cumulative redeemable preferred stock		75,000		75,000		75,000		75,000		75,000
Common stock, $0.01 par value, 500,000,000 shares authorized		2,156		2,156		2,156		2,155		2,249
Additional paid in capital		2,586,108		2,584,005		2,581,637		2,578,445		2,683,913
Retained earnings		913,766		951,765		1,041,056		1,156,394		1,318,455
Cumulative dividends and distributions		(1,643,386)		(1,640,178)		(1,636,970)		(1,633,763)		(1,619,779)
Total stockholders' equity		2,048,644		2,087,748		2,177,879		2,293,231		2,574,838
Noncontrolling interest in consolidated joint venture		40,735		40,297		42,113		43,775		46,233
Total equity		2,089,379		2,128,045		2,219,992		2,337,006		2,621,071
Total liabilities and equity	$	2,985,717	$	3,246,782	$	3,423,701	$	3,799,540	$	3,918,974

(1)	As presented on Form 10-K to be filed in February 2021.

(2)	As presented on Form 10-Q filed on November 6, 2020.

(3)	As presented on Form 10-Q filed on August 5, 2020.

(4)	As presented on Form 10-Q filed on May 11, 2020.

(5)	As presented on Form 10-K filed on February 19, 2020.


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	Supplemental Financial Information February 11, 2021

Consolidated Statements of Operations
Q4 and FY 2020/2019


	Quarter Ended December 31,				Year Ended December 31,
(In thousands, except per share data)	2020		2019		2020		2019
Revenues
Room	$	21,987	$	186,557	$	169,522	$	767,392
Food and beverage		4,588		66,686		54,900		272,869
Other operating		10,785		19,709		43,484		74,906
Total revenues		37,360		272,952		267,906		1,115,167
Operating expenses
Room		11,940		50,283		76,977		202,889
Food and beverage		8,607		46,287		63,140		186,436
Other operating		1,353		4,100		7,636		16,594
Advertising and promotion		3,294		13,371		23,741		54,369
Repairs and maintenance		5,585		10,512		27,084		41,619
Utilities		4,073		6,655	��	17,311		27,311
Franchise costs		723		8,241		7,060		32,265
Property tax, ground lease and insurance		16,873		20,423		76,848		83,265
Other property-level expenses		2,745		32,553		49,854		130,321
Corporate overhead		5,735		7,275		28,149		30,264
Depreciation and amortization		32,761		37,264		137,051		147,748
Impairment losses		13,478		24,713		146,944		24,713
Total operating expenses		107,167		261,677		661,795		977,794

Interest and other income		85		3,060		2,836		16,557
Interest expense		(10,108)		(10,822)		(53,307)		(54,223)
Gain on sale of assets		34,109		42,935		34,298		42,935
Gain on extinguishment of debt, net		6,356		—		6,146		—
(Loss) income before income taxes		(39,365)		46,448		(403,916)		142,642
Income tax (provision) benefit, net		(15)		(1,034)		(6,590)		151
Net (loss) income		(39,380)		45,414		(410,506)		142,793
Loss (income) from consolidated joint venture attributable to noncontrolling interest		1,381		(998)		5,817		(7,060)
Preferred stock dividends		(3,208)		(3,208)		(12,830)		(12,830)
(Loss) income attributable to common stockholders	$	(41,207)	$	41,208	$	(417,519)	$	122,903

Basic and diluted per share amounts:
Basic and diluted (loss) income attributable to common stockholders per common share	$	(0.19)	$	0.18	$	(1.93)	$	0.54

Basic and diluted weighted average common shares outstanding		214,257		223,638		215,934		225,681

Distributions declared per common share	$	—	$	0.59	$	0.05	$	0.74


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	Supplemental Financial Information February 11, 2021

Reconciliation of Net (Loss) Income to EBITDAre and Adjusted EBITDAre, Excluding Noncontrolling Interest
Q4 and FY 2020/2019


	Quarter Ended December 31,				Year Ended December 31,
(In thousands)		2020		2019		2020		2019
Net (loss) income	$	(39,380)	$	45,414	$	(410,506)	$	142,793
Operations held for investment:
Depreciation and amortization		32,761		37,264		137,051		147,748
Interest expense		10,108		10,822		53,307		54,223
Income tax provision (benefit), net		15		1,034		6,590		(151)
Gain on sale of assets		(34,109)		(42,935)		(34,298)		(42,935)
Impairment losses - hotel properties		13,478		24,713		144,642		24,713
EBITDAre		(17,127)		76,312		(103,214)		326,391

Operations held for investment:
Amortization of deferred stock compensation		2,067		2,145		9,576		9,313
Amortization of right-of-use assets and liabilities		(337)		(259)		(1,260)		(782)
Finance lease obligation interest - cash ground rent		(351)		(407)		(1,404)		(2,175)
Gain on extinguishment of debt, net		(6,356)		—		(6,146)		—
Property-level severance		3,081		—		11,038		—
Prior year property tax adjustments, net		(490)		(121)		(276)		168
Prior owner contingency funding		—		—		—		(900)
Impairment loss - abandoned development costs		—		—		2,302		—
Noncontrolling interest:
Loss (income) from consolidated joint venture attributable to noncontrolling interest		1,381		(998)		5,817		(7,060)
Depreciation and amortization		(810)		(803)		(3,228)		(2,875)
Interest expense		(224)		(476)		(1,194)		(2,126)
Amortization of right-of-use asset and liability		73		73		290		290
Impairment loss - abandoned development costs		—		—		(449)		—
Adjustments to EBITDAre, net		(1,966)		(846)		15,066		(6,147)
Adjusted EBITDAre, excluding noncontrolling interest	$	(19,093)	$	75,466	$	(88,148)	$	320,244


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	Supplemental Financial Information February 11, 2021

Reconciliation of Net (Loss) Income to FFO and Adjusted FFO Attributable to Common Stockholders
Q4 and FY 2020/2019


	Quarter Ended December 31,				Year Ended December 31,
(In thousands, except per share data)		2020		2019		2020		2019
Net (loss) income	$	(39,380)	$	45,414	$	(410,506)	$	142,793
Preferred stock dividends		(3,208)		(3,208)		(12,830)		(12,830)
Operations held for investment:
Real estate depreciation and amortization		32,133		36,639		134,555		145,260
Gain on sale of assets		(34,109)		(42,935)		(34,298)		(42,935)
Impairment losses - hotel properties		13,478		24,713		144,642		24,713
Noncontrolling interest:
Loss (income) from consolidated joint venture attributable to noncontrolling interest		1,381		(998)		5,817		(7,060)
Real estate depreciation and amortization		(810)		(803)		(3,228)		(2,875)
FFO attributable to common stockholders		(30,515)		58,822		(175,848)		247,066

Operations held for investment:
Real estate amortization of right-of-use assets and liabilities		78		147		376		590
Noncash interest on derivatives and finance lease obligations, net		(794)		(857)		4,740		6,051
Gain on extinguishment of debt, net		(6,356)		—		(6,146)		—
Property-level severance		3,081		—		11,038		—
Prior year property tax adjustments, net		(490)		(121)		(276)		168
Prior owner contingency funding		—		—		—		(900)
Impairment loss - abandoned development costs		—		—		2,302		—
Noncash income tax provision, net		—		934		7,415		688
Noncontrolling interest:
Real estate amortization of right-of-use asset and liability		73		73		290		290
Noncash interest on derivatives, net		—		—		(27)		—
Impairment loss - abandoned development costs		—		—		(449)		—
Adjustments to FFO attributable to common stockholders, net		(4,408)		176		19,263		6,887
Adjusted FFO attributable to common stockholders	$	(34,923)	$	58,998	$	(156,585)	$	253,953
FFO attributable to common stockholders per diluted share	$	(0.14)	$	0.26	$	(0.81)	$	1.09
Adjusted FFO attributable to common stockholders per diluted share	$	(0.16)	$	0.26	$	(0.73)	$	1.12

Basic weighted average shares outstanding		214,257		223,638		215,934		225,681
Shares associated with unvested restricted stock awards		185		448		—		276
Diluted weighted average shares outstanding		214,442		224,086		215,934		225,957


CORPORATE FINANCIAL INFORMATION								Page 14


	Supplemental Financial Information February 11, 2021

Pro Forma Consolidated Statements of Operations

FY 2020, Q4 2020 – Q1 2020


	Year Ended (1)		Quarter Ended (1)
(Unaudited and in thousands)		December 31,		December 31,	September 30,		June 30,		March 31,
		2020		2020	2020		2020		2020
Revenues
Room	$	151,641	$	21,026	$	14,745	$	2,395	$	113,475
Food and beverage		50,986		4,493		1,979		142		44,372
Other operating		41,183		10,592		10,252		6,144		14,195
Total revenues		243,810		36,111		26,976		8,681		172,042

Operating Expenses
Room		63,081		11,519		9,326		4,995		37,241
Food and beverage		55,961		8,392		5,719		4,379		37,471
Other expenses		179,949		30,293		39,741		35,607		74,308
Corporate overhead		28,149		5,735		6,582		8,438		7,394
Depreciation and amortization		125,865		31,505		31,121		31,363		31,876
Impairment losses		20,987		13,478		—		—		7,509
Total operating expenses		473,992		100,922		92,489		84,782		195,799


Interest and other income		2,836		85		139		306		2,306
Interest expense		(47,228)		(9,291)		(10,644)		(10,979)		(16,314)
Loss on extinguishment of debt		(243)		(33)		(210)		—		—
Loss before income taxes		(274,817)		(74,050)		(76,228)		(86,774)		(37,765)
Income tax (provision) benefit, net		(6,590)		(15)		83		12		(6,670)
Net loss	$	(281,407)	$	(74,065)	$	(76,145)	$	(86,762)	$	(44,435)

Adjusted EBITDAre, excluding noncontrolling interest (2)	$	(66,826)	$	(14,886)	$	(30,656)	$	(39,588)	$	18,304

(1)

Includes the Company's ownership results for the 17 hotels owned by the Company as of December 31, 2020. Excludes the Company's ownership results for the Renaissance Harborplace and the Renaissance Los Angeles Airport due to their sales in July 2020 and December 2020, respectively. In addition, excludes the Company's ownership results for the Hilton Times Square due to the assignment-in-lieu agreement executed in December 2020 between the Company and the hotel's mortgage holder, which transferred the Company's leasehold interest in the hotel to the mortgage holder.

(2)	Adjusted EBITDAre, excluding noncontrolling interest reconciliation for the year ended December 31, 2020 can be found on page 17 in this supplemental package.


CORPORATE FINANCIAL INFORMATION								Page 15


	Supplemental Financial Information February 11, 2021

Pro Forma Consolidated Statements of Operation

FY 2019, Q4 2019 – Q1 2019


	Year Ended (1)		Quarter Ended (1)
(Unaudited and in thousands)		December 31,		December 31,	September 30,		June 30,		March 31,
		2019		2019	2019		2019		2019
Revenues
Room	$	662,486	$	160,370	$	171,544	$	179,838	$	150,734
Food and beverage		248,862		60,403		56,052		68,588		63,819
Other operating		68,131		17,555		18,275		16,943		15,358
Total revenues		979,479		238,328		245,871		265,369		229,911

Operating Expenses
Room		170,816		42,414		43,947		43,744		40,711
Food and beverage		166,855		41,382		40,143		43,201		42,129
Other expenses		330,602		82,501		82,373		84,012		81,716
Corporate overhead		30,264		7,275		7,395		8,078		7,516
Depreciation and amortization		125,907		31,780		31,854		31,217		31,056
Total operating expenses		824,444		205,352		205,712		210,252		203,128


Interest and other income		16,557		3,060		3,762		4,811		4,924
Interest expense		(48,469)		(9,547)		(11,755)		(14,323)		(12,844)
Income before income taxes		123,123		26,489		32,166		45,605		18,863
Income tax benefit (provision), net		151		(1,034)		749		(2,676)		3,112
Net income	$	123,274	$	25,455	$	32,915	$	42,929	$	21,975

Adjusted EBITDAre, excluding noncontrolling interest (2)	$	291,894	$	66,968	$	73,500	$	89,511	$	61,915

(1)

Includes the Company's ownership results for the 17 hotels owned by the Company as of December 31, 2020. Excludes the Company's ownership results for the Courtyard by Marriott Los Angeles, the Renaissance Harborplace and the Renaissance Los Angeles Airport due to their sales in October 2019, July 2020 and December 2020, respectively. In addition, excludes the Company's ownership results for the Hilton Times Square due to the assignment-in-lieu agreement executed in December 2020 between the Company and the hotel's mortgage holder, which transferred the Company's leasehold interest in the hotel to the mortgage holder.

(2)	Adjusted EBITDAre, excluding noncontrolling interest reconciliation for the year ended December 31, 2019 as well as the fourth, third, second and first quarters of 2019, can be found on pages 20, 23, 25, 27 and 29, respectively, in this supplemental package.


CORPORATE FINANCIAL INFORMATION								Page 16


	Supplemental Financial Information February 11, 2021

Pro Forma Reconciliation of Net Loss to EBITDAre and Adjusted EBITDAre, Excluding Noncontrolling Interest

FY 2020


	Year Ended December 31, 2020
				Disposition:		Disposition:		Disposition:		Repurchase:
				Renaissance		Renaissance		Hilton		Common		Pro
(In thousands)		Actual (1)		Harborplace (2)		Los Angeles Airport (2)		Times Square (2)		Stock (3)		Forma (4)

Net loss	$	(410,506)	$	23,386	$	(29,132)	$	134,845	$	—	$	(281,407)
Operations held for investment:
Depreciation and amortization		137,051		(2,622)		(3,897)		(4,667)		—		125,865
Interest expense		53,307		—		—		(6,079)		—		47,228
Income tax provision, net		6,590		—		—		—		—		6,590
Gain on sale of assets		(34,298)		189		34,109		—		—		—
Impairment losses		144,642		(18,100)		—		(107,857)		—		18,685
EBITDAre		(103,214)		2,853		1,080		16,242		—		(83,039)

Operations held for investment:
Amortization of deferred stock compensation		9,576		—		—		—		—		9,576
Amortization of right-of-use assets and liabilities		(1,260)		—		—		(34)		—		(1,294)
Finance lease obligation interest - cash ground rent		(1,404)		—		—		—		—		(1,404)
Gain on extinguishment of debt, net		(6,146)		—		—		6,389		—		243
Property-level severance		11,038		—		(109)		(5,637)		—		5,292
Prior year property tax adjustments, net		(276)		57		481		—		—		262
Impairment loss - abandoned development costs		2,302		—		—		—		—		2,302
Noncontrolling interest:
Loss from consolidated joint venture attributable to noncontrolling interest		5,817		—		—		—		—		5,817
Depreciation and amortization		(3,228)		—		—		—		—		(3,228)
Interest expense		(1,194)		—		—		—		—		(1,194)
Amortization of right-of-use asset and liability		290		—		—		—		—		290
Impairment loss - abandoned development costs		(449)		—		—		—		—		(449)
Adjustments to EBITDAre, net		15,066		57		372		718		—		16,213

Adjusted EBITDAre, excluding noncontrolling interest	$	(88,148)	$	2,910	$	1,452	$	16,960	$	—	$	(66,826)

*Footnotes on Page 19


CORPORATE FINANCIAL INFORMATION								Page 17


	Supplemental Financial Information February 11, 2021

Pro Forma Reconciliation of Net Loss to FFO and Adjusted FFO Attributable to Common Stockholders

FY 2020


	Year Ended December 31, 2020
				Disposition:		Disposition:		Disposition:		Repurchase:
				Renaissance		Renaissance		Hilton		Common		Pro
(In thousands, except per share amounts)		Actual (1)		Harborplace (2)		Los Angeles Airport (2)		Times Square (2)		Stock (3)		Forma (4)

Net loss	$	(410,506)	$	23,386	$	(29,132)	$	134,845	$	—	$	(281,407)
Preferred stock dividends		(12,830)		—		—		—		—		(12,830)
Operations held for investment:
Real estate depreciation and amortization		134,555		(2,622)		(3,897)		(4,667)		—		123,369
Gain on sale of assets		(34,298)		189		34,109		—		—		—
Impairment losses		144,642		(18,100)		—		(107,857)		—		18,685
Noncontrolling interest:
Loss from consolidated joint venture attributable to noncontrolling interest		5,817		—		—		—		—		5,817
Real estate depreciation and amortization		(3,228)		—		—		—		—		(3,228)
FFO attributable to common stockholders		(175,848)		2,853		1,080		22,321		—		(149,594)

Operations held for investment:
Real estate amortization of right-of-use assets and liabilities		376		—		—		(34)		—		342
Noncash interest on derivatives and finance lease obligation, net		4,740		—		—		—		—		4,740
Gain on extinguishment of debt, net		(6,146)		—		—		6,389		—		243
Property-level severance		11,038		—		(109)		(5,637)		—		5,292
Prior year property tax adjustments, net		(276)		57		481		—		—		262
Impairment loss - abandoned development costs		2,302		—		—		—		—		2,302
Noncash income tax provision, net		7,415		—		—		—		—		7,415
Noncontrolling interest:
Real estate amortization of right-of-use asset and liability		290		—		—		—		—		290
Noncash interest on derivatives, net		(27)		—		—		—		—		(27)
Impairment loss - abandoned development costs		(449)		—		—		—		—		(449)
Adjustments to FFO attributable to common stockholders, net		19,263		57		372		718		—		20,410

Adjusted FFO attributable to common stockholders	$	(156,585)	$	2,910	$	1,452	$	23,039	$	—	$	(129,184)

FFO attributable to common stockholders per diluted share	$	(0.81)									$	(0.70)

Adjusted FFO attributable to common stockholders per diluted share	$	(0.73)									$	(0.60)

Basic weighted average shares outstanding		215,934								(1,742)		214,192
Shares associated with unvested restricted stock awards		—								—		—
Diluted weighted average shares outstanding		215,934								(1,742)		214,192

*Footnotes on Page 19


CORPORATE FINANCIAL INFORMATION								Page 18


	Supplemental Financial Information February 11, 2021

Pro Forma Reconciliation of Net Loss to EBITDAre, Adjusted EBITDAre, Excluding Noncontrolling Interest,

FFO and Adjusted FFO Attributable to Common Stockholders

FY 2020 Footnotes

(1)

Actual represents the Company's ownership results for the 17 hotels owned by the Company as of December 31, 2020, as well as results for the Renaissance Harborplace and the Renaissance Los Angeles Airport prior to their sales in July 2020 and December 2020, respectively. In addition, Actual includes the Company's ownership results for the Hilton Times Square prior to the assignment-in-lieu agreement executed in December 2020 between the Company and the hotel's mortgage holder, which transferred the Company's leasehold interest in the hotel to the mortgage holder.

(2)

Disposition: represents the Company's ownership results for the Renaissance Harborplace and the Renaissance Los Angeles Airport prior to their sales in July 2020 and December 2020, respectively. In addition, Disposition includes the Company's ownership results for the Hilton Times Square prior to the assignment-in-lieu agreement executed in December 2020 between the Company and the hotel's mortgage holder, which transferred the Company's leasehold interest in the hotel to the mortgage holder.

(3)	Repurchase: Common Stock represents the 9,770,081 shares repurchased in the first quarter of 2020.

(4)	Pro Forma represents the Company's ownership results for the 17 Hotel Portfolio, as well as the common stock repurchases in the first quarter of 2020.


CORPORATE FINANCIAL INFORMATION								Page 19


	Supplemental Financial Information February 11, 2021

Pro Forma Reconciliation of Net Income to EBITDAre and Adjusted EBITDAre, Excluding Noncontrolling Interest

FY 2019


	Year Ended December 31, 2019
				Disposition:		Disposition:		Disposition:		Disposition:		Repurchase:
				Courtyard by Marriott		Renaissance		Renaissance		Hilton		Common		Pro
(In thousands)		Actual (1)		Los Angeles (2)		Harborplace (2)		Los Angeles Airport (2)		Times Square (2)		Stock (3)		Forma (4)

Net income	$	142,793	$	(44,979)	$	21,507	$	(3,331)	$	7,284	$	—	$	123,274
Operations held for investment:
Depreciation and amortization		147,748		(760)		(6,719)		(4,205)		(10,157)		—		125,907
Interest expense		54,223		(955)		—		—		(4,799)		—		48,469
Income tax benefit, net		(151)		—		—		—		—		—		(151)
Gain on sale of assets		(42,935)		42,935		—		—		—		—		—
Impairment loss		24,713		—		(24,713)		—		—		—		—
EBITDAre		326,391		(3,759)		(9,925)		(7,536)		(7,672)		—		297,499

Operations held for investment:
Amortization of deferred stock compensation		9,313		—		—		—		—		—		9,313
Amortization of right-of-use assets and liabilities		(782)		—		—		—		(239)		—		(1,021)
Finance lease obligation interest - cash ground rent		(2,175)		772		—		—		—		—		(1,403)
Prior year property tax adjustments, net		168		—		—		9		—		—		177
Prior owner contingency funding		(900)		—		—		—		—		—		(900)
Noncontrolling interest:
Income from consolidated joint venture attributable to noncontrolling interest		(7,060)		—		—		—		—		—		(7,060)
Depreciation and amortization		(2,875)		—		—		—		—		—		(2,875)
Interest expense		(2,126)		—		—		—		—		—		(2,126)
Amortization of right-of-use asset and liability		290		—		—		—		—		—		290
Adjustments to EBITDAre, net		(6,147)		772		—		9		(239)		—		(5,605)

Adjusted EBITDAre, excluding noncontrolling interest	$	320,244	$	(2,987)	$	(9,925)	$	(7,527)	$	(7,911)	$	—	$	291,894

*Footnotes on Page 22


CORPORATE FINANCIAL INFORMATION								Page 20


	Supplemental Financial Information February 11, 2021

Pro Forma Reconciliation of Net Income to FFO and Adjusted FFO Attributable to Common Stockholders

FY 2019


	Year Ended December 31, 2019
				Disposition:		Disposition:		Disposition:		Disposition:		Repurchase:
				Courtyard by Marriott		Renaissance		Renaissance		Hilton		Common		Pro
(In thousands, except per share amounts)		Actual (1)		Los Angeles (2)		Harborplace (2)		Los Angeles Airport (2)		Times Square (2)		Stock (3)		Forma (4)

Net income	$	142,793	$	(44,979)	$	21,507	$	(3,331)	$	7,284	$	—	$	123,274
Preferred stock dividends		(12,830)		—		—		—		—		—		(12,830)
Operations held for investment:
Real estate depreciation and amortization		145,260		(760)		(6,719)		(4,205)		(10,157)		—		123,419
Gain on sale of assets		(42,935)		42,935		—		—		—		—		—
Impairment loss		24,713		—		(24,713)		—		—		—		—
Noncontrolling interest:
Income from consolidated joint venture attributable to noncontrolling interest		(7,060)		—		—		—		—		—		(7,060)
Real estate depreciation and amortization		(2,875)		—		—		—		—		—		(2,875)
FFO attributable to common stockholders		247,066		(2,804)		(9,925)		(7,536)		(2,873)		—		223,928

Operations held for investment:
Real estate amortization of right-of-use assets and liabilities		590		—		—		—		(239)		—		351
Noncash interest on derivatives and finance lease obligations, net		6,051		(183)		—		—		—		—		5,868
Prior year property tax adjustments, net		168		—		—		9		—		—		177
Prior owner contingency funding		(900)		—		—		—		—		—		(900)
Noncash income tax provision, net		688		—		—		—		—		—		688
Noncontrolling interest:
Real estate amortization of right-of-use asset and liability		290		—		—		—		—		—		290
Adjustments to FFO attributable to common stockholders, net		6,887		(183)		—		9		(239)		—		6,474

Adjusted FFO attributable to common stockholders	$	253,953	$	(2,987)	$	(9,925)	$	(7,527)	$	(3,112)	$	—	$	230,402

FFO attributable to common stockholders per diluted share	$	1.09											$	1.05

Adjusted FFO attributable to common stockholders per diluted share	$	1.12											$	1.08

Basic weighted average shares outstanding		225,681										(11,868)		213,813
Shares associated with unvested restricted stock awards		276										—		276
Diluted weighted average shares outstanding		225,957										(11,868)		214,089

*Footnotes on Page 22


CORPORATE FINANCIAL INFORMATION								Page 21


	Supplemental Financial Information February 11, 2021

Pro Forma Reconciliation of Net Income to EBITDAre, Adjusted EBITDAre, Excluding Noncontrolling Interest,

FFO and Adjusted FFO Attributable to Common Stockholders

FY 2019 Footnotes

(1)	Actual represents the Company's ownership results for the 20 hotels owned by the Company as of December 31, 2019, as well as results for the Courtyard by Marriott Los Angeles prior to its sale in October 2019.

(2)

Disposition: represents the Company's ownership results for the Courtyard by Marriott Los Angeles, the Renaissance Harborplace and the Renaissance Los Angeles Airport prior to their sales in October 2019, July 2020 and December 2020, respectively. In addition, Disposition includes the Company's ownership results for the Hilton Times Square prior to the assignment-in-lieu agreement executed in December 2020 between the Company and the hotel's mortgage holder, which transferred the Company's leasehold interest in the hotel to the mortgage holder.

(3)	Repurchase: Common Stock represents the 3,783,936 shares repurchased in the second, third and fourth quarters of 2019, and the 9,770,081 shares repurchased in the first quarter of 2020.

(4)	Pro Forma represents the Company's ownership results for the 17 Hotel Portfolio, as well as the common stock repurchases in 2019 and 2020.


CORPORATE FINANCIAL INFORMATION								Page 22


	Supplemental Financial Information February 11, 2021

Pro Forma Reconciliation of Net Income to EBITDAre and Adjusted EBITDAre, Excluding Noncontrolling Interest

Q4 2019


	Quarter Ended December 31, 2019
				Disposition:		Disposition:		Disposition:		Disposition:		Repurchase:
				Courtyard by Marriott		Renaissance		Renaissance		Hilton		Common		Pro
(In thousands)		Actual (1)		Los Angeles (2)		Harborplace (2)		Los Angeles Airport (2)		Times Square (2)		Stock (3)		Forma (4)

Net income	$	45,414	$	(43,081)	$	24,020	$	(790)	$	(108)	$	—	$	25,455
Operations held for investment:
Depreciation and amortization		37,264		—		(1,892)		(1,056)		(2,536)		—		31,780
Interest expense		10,822		(70)		—		—		(1,205)		—		9,547
Income tax provision, net		1,034		—		—		—		—		—		1,034
Gain on sale of assets		(42,935)		42,935		—		—		—		—		—
Impairment loss		24,713		—		(24,713)		—		—		—		—
EBITDAre		76,312		(216)		(2,585)		(1,846)		(3,849)		—		67,816

Operations held for investment:
Amortization of deferred stock compensation		2,145		—		—		—		—		—		2,145
Amortization of right-of-use assets and liabilities		(259)		—		—		—		(57)		—		(316)
Finance lease obligation interest - cash ground rent		(407)		55		—		—		—		—		(352)
Prior year property tax adjustments, net		(121)		—		—		—		—		—		(121)
Noncontrolling interest:
Income from consolidated joint venture attributable to noncontrolling interest		(998)		—		—		—		—		—		(998)
Depreciation and amortization		(803)		—		—		—		—		—		(803)
Interest expense		(476)		—		—		—		—		—		(476)
Amortization of right-of-use asset and liability		73		—		—		—		—		—		73
Adjustments to EBITDAre, net		(846)		55		—		—		(57)		—		(848)

Adjusted EBITDAre, excluding noncontrolling interest	$	75,466	$	(161)	$	(2,585)	$	(1,846)	$	(3,906)	$	—	$	66,968

*Footnotes on Page 31


CORPORATE FINANCIAL INFORMATION								Page 23


	Supplemental Financial Information February 11, 2021

Pro Forma Reconciliation of Net Income to FFO and Adjusted FFO Attributable to Common Stockholders

Q4 2019


	Quarter Ended December 31, 2019
				Disposition:		Disposition:		Disposition:		Disposition:		Repurchase:
				Courtyard by Marriott		Renaissance		Renaissance		Hilton		Common		Pro
(In thousands, except per share amounts)		Actual (1)		Los Angeles (2)		Harborplace (2)		Los Angeles Airport (2)		Times Square (2)		Stock (3)		Forma (4)

Net income	$	45,414	$	(43,081)	$	24,020	$	(790)	$	(108)	$	—	$	25,455
Preferred stock dividends		(3,208)		—		—		—		—		—		(3,208)
Operations held for investment:
Real estate depreciation and amortization		36,639		—		(1,892)		(1,056)		(2,536)		—		31,155
Gain on sale of assets		(42,935)		42,935		—		—		—		—		—
Impairment loss		24,713		—		(24,713)		—		—		—		—
Noncontrolling interest:
Income from consolidated joint venture attributable to noncontrolling interest		(998)		—		—		—		—		—		(998)
Real estate depreciation and amortization		(803)		—		—		—		—		—		(803)
FFO attributable to common stockholders		58,822		(146)		(2,585)		(1,846)		(2,644)		—		51,601

Operations held for investment:
Real estate amortization of right-of-use assets and liabilities		147		—		—		—		(57)		—		90
Noncash interest on derivatives and finance lease obligations, net		(857)		(15)		—		—		—		—		(872)
Prior year property tax adjustments, net		(121)		—		—		—		—		—		(121)
Noncash income tax provision, net		934		—		—		—		—		—		934
Noncontrolling interest:
Real estate amortization of right-of-use asset and liability		73		—		—		—		—		—		73
Adjustments to FFO attributable to common stockholders, net		176		(15)		—		—		(57)		—		104

Adjusted FFO attributable to common stockholders	$	58,998	$	(161)	$	(2,585)	$	(1,846)	$	(2,701)	$	—	$	51,705

FFO attributable to common stockholders per diluted share	$	0.26											$	0.24

Adjusted FFO attributable to common stockholders per diluted share	$	0.26											$	0.24

Basic weighted average shares outstanding		223,638										(9,771)		213,867
Shares associated with unvested restricted stock awards		448										—		448
Diluted weighted average shares outstanding		224,086										(9,771)		214,315

*Footnotes on Page 31


CORPORATE FINANCIAL INFORMATION								Page 24


	Supplemental Financial Information February 11, 2021

Pro Forma Reconciliation of Net Income to EBITDAre and Adjusted EBITDAre, Excluding Noncontrolling Interest

Q3 2019


	Quarter Ended September 30, 2019
				Disposition:		Disposition:		Disposition:		Disposition:		Repurchase:
				Courtyard by Marriott		Renaissance		Renaissance		Hilton		Common		Pro
(In thousands)		Actual (1)		Los Angeles (2)		Harborplace (2)		Los Angeles Airport (2)		Times Square (2)		Stock (3)		Forma (4)

Net income	$	33,545	$	(674)	$	(1,233)	$	(933)	$	2,210	$	—	$	32,915
Operations held for investment:
Depreciation and amortization		37,573		(254)		(1,877)		(1,054)		(2,534)		—		31,854
Interest expense		13,259		(296)		—		—		(1,208)		—		11,755
Income tax benefit, net		(749)		—		—		—		—		—		(749)
EBITDAre		83,628		(1,224)		(3,110)		(1,987)		(1,532)		—		75,775

Operations held for investment:
Amortization of deferred stock compensation		2,146		—		—		—		—		—		2,146
Amortization of right-of-use assets and liabilities		(253)		—		—		—		(57)		—		(310)
Finance lease obligation interest - cash ground rent		(589)		239		—		—		—		—		(350)
Prior year property tax adjustments, net		(9)		—		—		9		—		—		—
Noncontrolling interest:
Income from consolidated joint venture attributable to noncontrolling interest		(2,508)		—		—		—		—		—		(2,508)
Depreciation and amortization		(793)		—		—		—		—		—		(793)
Interest expense		(532)		—		—		—		—		—		(532)
Amortization of right-of-use asset and liability		72		—		—		—		—		—		72
Adjustments to EBITDAre, net		(2,466)		239		—		9		(57)		—		(2,275)

Adjusted EBITDAre, excluding noncontrolling interest	$	81,162	$	(985)	$	(3,110)	$	(1,978)	$	(1,589)	$	—	$	73,500

*Footnotes on Page 31


CORPORATE FINANCIAL INFORMATION								Page 25


	Supplemental Financial Information February 11, 2021

Pro Forma Reconciliation of Net Income to FFO and Adjusted FFO Attributable to Common Stockholders

Q3 2019


	Quarter Ended September 30, 2019
				Disposition:		Disposition:		Disposition:		Disposition:		Repurchase:
				Courtyard by Marriott		Renaissance		Renaissance		Hilton		Common		Pro
(In thousands, except per share amounts)		Actual (1)		Los Angeles (2)		Harborplace (2)		Los Angeles Airport (2)		Times Square (2)		Stock (3)		Forma (4)

Net income	$	33,545	$	(674)	$	(1,233)	$	(933)	$	2,210	$	—	$	32,915
Preferred stock dividends		(3,208)		—		—		—		—		—		(3,208)
Operations held for investment:
Real estate depreciation and amortization		36,951		(254)		(1,877)		(1,054)		(2,534)		—		31,232
Noncontrolling interest:
Income from consolidated joint venture attributable to noncontrolling interest		(2,508)		—		—		—		—		—		(2,508)
Real estate depreciation and amortization		(793)		—		—		—		—		—		(793)
FFO attributable to common stockholders		63,987		(928)		(3,110)		(1,987)		(324)		—		57,638

Operations held for investment:
Real estate amortization of right-of-use assets and liabilities		146		—		—		—		(57)		—		89
Noncash interest on derivatives and finance lease obligations, net		1,155		(57)		—		—		—		—		1,098
Prior year property tax adjustments, net		(9)		—		—		9		—		—		—
Noncash income tax provision, net		390		—		—		—		—		—		390
Noncontrolling interest:
Real estate amortization of right-of-use asset and liability		72		—		—		—		—		—		72
Adjustments to FFO attributable to common stockholders, net		1,754		(57)		—		9		(57)		—		1,649

Adjusted FFO attributable to common stockholders	$	65,741	$	(985)	$	(3,110)	$	(1,978)	$	(381)	$	—	$	59,287

FFO attributable to common stockholders per diluted share	$	0.28											$	0.27

Adjusted FFO attributable to common stockholders per diluted share	$	0.29											$	0.28

Basic weighted average shares outstanding		224,530										(10,663)		213,867
Shares associated with unvested restricted stock awards		253										—		253
Diluted weighted average shares outstanding		224,783										(10,663)		214,120

*Footnotes on Page 31


CORPORATE FINANCIAL INFORMATION								Page 26


	Supplemental Financial Information February 11, 2021

Pro Forma Reconciliation of Net Income to EBITDAre and Adjusted EBITDAre, Excluding Noncontrolling Interest

Q2 2019


	Quarter Ended June 30, 2019
				Disposition:		Disposition:		Disposition:		Disposition:		Repurchase:
				Courtyard by Marriott		Renaissance		Renaissance		Hilton		Common		Pro
(In thousands)		Actual (1)		Los Angeles (2)		Harborplace (2)		Los Angeles Airport (2)		Times Square (2)		Stock (3)		Forma (4)

Net income	$	45,918	$	(657)	$	(2,413)	$	(755)	$	836	$	—	$	42,929
Operations held for investment:
Depreciation and amortization		36,524		(253)		(1,460)		(1,052)		(2,542)		—		31,217
Interest expense		15,816		(295)		—		—		(1,198)		—		14,323
Income tax provision, net		2,676		—		—		—		—		—		2,676
EBITDAre		100,934		(1,205)		(3,873)		(1,807)		(2,904)		—		91,145

Operations held for investment:
Amortization of deferred stock compensation		2,900		—		—		—		—		—		2,900
Amortization of right-of-use assets and liabilities		(251)		—		—		—		(61)		—		(312)
Finance lease obligation interest - cash ground rent		(590)		239		—		—		—		—		(351)
Prior year property tax adjustments, net		109		—		—		—		—		—		109
Prior owner contingency funding		(900)		—		—		—		—		—		(900)
Noncontrolling interest:
Income from consolidated joint venture attributable to noncontrolling interest		(1,955)		—		—		—		—		—		(1,955)
Depreciation and amortization		(640)		—		—		—		—		—		(640)
Interest expense		(558)		—		—		—		—		—		(558)
Amortization of right-of-use asset and liability		73		—		—		—		—		—		73
Adjustments to EBITDAre, net		(1,812)		239		—		—		(61)		—		(1,634)

Adjusted EBITDAre, excluding noncontrolling interest	$	99,122	$	(966)	$	(3,873)	$	(1,807)	$	(2,965)	$	—	$	89,511

*Footnotes on Page 31


CORPORATE FINANCIAL INFORMATION								Page 27


	Supplemental Financial Information February 11, 2021

Pro Forma Reconciliation of Net Income to FFO and Adjusted FFO Attributable to Common Stockholders

Q2 2019


	Quarter Ended June 30, 2019
				Disposition:		Disposition:		Disposition:		Disposition:		Repurchase:
				Courtyard by Marriott		Renaissance		Renaissance		Hilton		Common		Pro
(In thousands, except per share amounts)		Actual (1)		Los Angeles (2)		Harborplace (2)		Los Angeles Airport (2)		Times Square (2)		Stock (3)		Forma (4)

Net income	$	45,918	$	(657)	$	(2,413)	$	(755)	$	836	$	—	$	42,929
Preferred stock dividends		(3,207)		—		—		—		—		—		(3,207)
Operations held for investment:
Real estate depreciation and amortization		35,900		(253)		(1,460)		(1,052)		(2,542)		—		30,593
Noncontrolling interest:
Income from consolidated joint venture attributable to noncontrolling interest		(1,955)		—		—		—		—		—		(1,955)
Real estate depreciation and amortization		(640)		—		—		—		—		—		(640)
FFO attributable to common stockholders		76,016		(910)		(3,873)		(1,807)		(1,706)		—		67,720

Operations held for investment:
Real estate amortization of right-of-use assets and liabilities		146		—		—		—		(61)		—		85
Noncash interest on derivatives and finance lease obligations, net		3,634		(56)		—		—		—		—		3,578
Prior year property tax adjustments, net		109		—		—		—		—		—		109
Prior owner contingency funding		(900)		—		—		—		—		—		(900)
Noncash income tax provision, net		2,648		—		—		—		—		—		2,648
Noncontrolling interest:
Amortization of right-of-use asset and liability		73		—		—		—		—		—		73
Adjustments to FFO attributable to common stockholders, net		5,710		(56)		—		—		(61)		—		5,593

Adjusted FFO attributable to common stockholders	$	81,726	$	(966)	$	(3,873)	$	(1,807)	$	(1,767)	$	—	$	73,313

FFO attributable to common stockholders per diluted share	$	0.33											$	0.32

Adjusted FFO attributable to common stockholders per diluted share	$	0.36											$	0.34

Basic weighted average shares outstanding		227,389										(13,540)		213,849
Shares associated with unvested restricted stock awards		145										—		145
Diluted weighted average shares outstanding		227,534										(13,540)		213,994

*Footnotes on Page 31


CORPORATE FINANCIAL INFORMATION								Page 28


	Supplemental Financial Information February 11, 2021

Pro Forma Reconciliation of Net Income to EBITDAre and Adjusted EBITDAre, Excluding Noncontrolling Interest

Q1 2019


	Quarter Ended March 31, 2019
				Disposition:		Disposition:		Disposition:		Disposition:		Repurchase:
				Courtyard by Marriott		Renaissance		Renaissance		Hilton		Common		Pro
(In thousands)		Actual (1)		Los Angeles (2)		Harborplace (2)		Los Angeles Airport (2)		Times Square (2)		Stock (3)		Forma (4)

Net income	$	17,916	$	(567)	$	1,133	$	(853)	$	4,346	$	—	$	21,975
Operations held for investment:
Depreciation and amortization		36,387		(253)		(1,490)		(1,043)		(2,545)		—		31,056
Interest expense		14,326		(294)		—		—		(1,188)		—		12,844
Income tax benefit, net		(3,112)		—		—		—		—		—		(3,112)
EBITDAre		65,517		(1,114)		(357)		(1,896)		613		—		62,763

Operations held for investment:
Amortization of deferred stock compensation		2,122		—		—		—		—		—		2,122
Amortization of right-of-use assets and liabilities		(19)		—		—		—		(64)		—		(83)
Finance lease obligation interest - cash ground rent		(589)		239		—		—		—		—		(350)
Prior year property tax adjustments, net		189		—		—		—		—		—		189
Noncontrolling interest:
Income from consolidated joint venture attributable to noncontrolling interest		(1,599)		—		—		—		—		—		(1,599)
Depreciation and amortization		(639)		—		—		—		—		—		(639)
Interest expense		(560)		—		—		—		—		—		(560)
Amortization of right-of-use asset and liability		72		—		—		—		—		—		72
Adjustments to EBITDAre, net		(1,023)		239		—		—		(64)		—		(848)

Adjusted EBITDAre, excluding noncontrolling interest	$	64,494	$	(875)	$	(357)	$	(1,896)	$	549	$	—	$	61,915

*Footnotes on Page 31


CORPORATE FINANCIAL INFORMATION								Page 29


	Supplemental Financial Information February 11, 2021

Pro Forma Reconciliation of Net Income to FFO and Adjusted FFO Attributable to Common Stockholders

Q1 2019


	Quarter Ended March 31, 2019
				Disposition:		Disposition:		Disposition:		Disposition:		Repurchase:
				Courtyard by Marriott		Renaissance		Renaissance		Hilton		Common		Pro
(In thousands, except per share amounts)		Actual (1)		Los Angeles (2)		Harborplace (2)		Los Angeles Airport (2)		Times Square (2)		Stock (3)		Forma (4)

Net income	$	17,916	$	(567)	$	1,133	$	(853)	$	4,346	$	—	$	21,975
Preferred stock dividends		(3,207)		—		—		—		—		—		(3,207)
Operations held for investment:
Real estate depreciation and amortization		35,770		(253)		(1,490)		(1,043)		(2,545)		—		30,439
Noncontrolling interest:
Income from consolidated joint venture attributable to noncontrolling interest		(1,599)		—		—		—		—		—		(1,599)
Real estate depreciation and amortization		(639)		—		—		—		—		—		(639)
FFO attributable to common stockholders		48,241		(820)		(357)		(1,896)		1,801		—		46,969

Operations held for investment:
Real estate amortization of right-of-use assets and liabilities		151		—		—		—		(64)		—		87
Noncash interest on derivatives and finance lease obligations, net		2,119		(55)		—		—		—		—		2,064
Prior year property tax adjustments, net		189		—		—		—		—		—		189
Noncash income tax benefit		(3,284)		—		—		—		—		—		(3,284)
Noncontrolling interest:
Real estate amortization of right-of-use asset and liability		72		—		—		—		—		—		72
Adjustments to FFO attributable to common stockholders, net		(753)		(55)		—		—		(64)		—		(872)

Adjusted FFO attributable to common stockholders	$	47,488	$	(875)	$	(357)	$	(1,896)	$	1,737	$	—	$	46,097

FFO attributable to common stockholders per diluted share	$	0.21											$	0.22

Adjusted FFO attributable to common stockholders per diluted share	$	0.21											$	0.22

Basic weighted average shares outstanding		227,219										(13,554)		213,665
Shares associated with unvested restricted stock awards		260										—		260
Diluted weighted average shares outstanding		227,479										(13,554)		213,925

*Footnotes on Page 31


CORPORATE FINANCIAL INFORMATION								Page 30


	Supplemental Financial Information February 11, 2021

Pro Forma Reconciliation of Net Income to EBITDAre and Adjusted EBITDAre, Excluding Noncontrolling Interest,

FFO and Adjusted FFO Attributable to Common Stockholders

Q4, Q3, Q2 and Q1 2019 Footnotes

(1)

Actual for the fourth quarter of 2019 represents the Company’s ownership results for the 20 hotels owned by the Company as of December 31, 2019, as well as results for the Courtyard by Marriott Los Angeles prior to its sale in October 2019. Actual for the third, second and first quarters of 2019 represents the Company's ownership results for the 21 hotels owned by the Company as of September 30, 2019, June 30, 2019 and March 31, 2019.

(2)

(3)	Repurchase: Common Stock represents the 3,783,936 shares repurchased in the second, third and fourth quarters of 2019, and the 9,770,081 shares repurchased in the first quarter of 2020.

(4)	Pro Forma represents the Company's ownership results for the 17 Hotel Portfolio, as well as the common stock repurchases in 2019 and 2020.


CORPORATE FINANCIAL INFORMATION								Page 31


	Supplemental Financial Information February 11, 2021

CAPITALIZATION


CAPITALIZATION								Page 32


	Supplemental Financial Information February 11, 2021

Comparative Capitalization
Q4 2020 – Q4 2019


	December 31,			September 30,			June 30,			March 31,			December 31,
(In thousands, except per share data)	2020			2020			2020			2020			2019

Common Share Price & Dividends
At the end of the quarter	$	11.33		$	7.94		$	8.15		$	8.71		$	13.92
High during quarter ended	$	11.42		$	8.70		$	10.65		$	13.81		$	14.41
Low during quarter ended	$	7.27		$	7.27		$	7.04		$	6.99		$	13.25
Common dividends per share	$	—		$	—		$	—		$	0.05		$	0.59

Common Shares & Units
Common shares outstanding		215,593			215,636			215,636			215,541			224,855
Units outstanding		—			—			—			—			—
Total common shares and units outstanding		215,593			215,636			215,636			215,541			224,855

Capitalization
Market value of common equity	$	2,442,673		$	1,712,146		$	1,757,430		$	1,877,363		$	3,129,982
Liquidation value of preferred equity - Series E		115,000			115,000			115,000			115,000			115,000
Liquidation value of preferred equity - Series F		75,000			75,000			75,000			75,000			75,000
Consolidated debt		747,945			934,673			1,021,247			1,272,965			974,863
Consolidated total capitalization		3,380,618			2,836,819			2,968,677			3,340,328			4,294,845

Noncontrolling interest in consolidated debt		(55,000)			(55,000)			(55,000)			(55,000)			(55,000)
Pro rata total capitalization	$	3,325,618		$	2,781,819		$	2,913,677		$	3,285,328		$	4,239,845

Consolidated debt to consolidated total capitalization		22.1	%		32.9	%		34.4	%		38.1	%		22.7	%
Pro rata debt to pro rata total capitalization		20.8	%		31.6	%		33.2	%		37.1	%		21.7	%
Consolidated debt and preferred equity to consolidated total capitalization		27.7	%		39.6	%		40.8	%		43.8	%		27.1	%
Pro rata debt and preferred equity to pro rata total capitalization		26.5	%		38.5	%		39.7	%		42.9	%		26.2	%


CAPITALIZATION								Page 33


	Supplemental Financial Information February 11, 2021

Consolidated Debt Summary Schedule

(In thousands)

Interest Rate /

Maturity

December 31, 2020

Balance At

Debt

Collateral

Spread

Date

Balance

Maturity

Fixed Rate Debt

Term Loan Facility (1)

Unsecured

3.94%

09/03/2022

85,000

Term Loan Facility (1)

Unsecured

4.20%

01/31/2023

100,000

Secured Mortgage Debt

JW Marriott New Orleans

4.15%

12/11/2024

80,055

72,071

Secured Mortgage Debt

Embassy Suites La Jolla

4.12%

01/06/2025

57,890

51,987

Series A Senior Notes (2)

Unsecured

5.94%

01/10/2026

90,000

Series B Senior Notes (2)

Unsecured

6.04%

01/10/2028

115,000

Total Fixed Rate Debt

527,945

514,058

Variable Rate Debt

Secured Mortgage Debt (3)

Hilton San Diego Bayfront

1.19%

12/09/2023

220,000

Credit Facility (1)

Unsecured

L + 1.40% - 2.40%

04/14/2023

—

Total Variable Rate Debt

220,000

TOTAL CONSOLIDATED DEBT

747,945

734,058

Preferred Stock

Series E cumulative redeemable preferred

6.95%

perpetual

115,000

Series F cumulative redeemable preferred

6.45%

perpetual

75,000

Total Preferred Stock

190,000

Debt Statistics

% Fixed Rate Debt

70.6

% Floating Rate Debt

29.4

Average Interest Rate (4)

3.77

Weighted Average Maturity of Debt (3)

3.8 years

(1)

In July and December 2020, the Company executed amendments to the agreement governing its revolving credit facility and term loan facilities, providing covenant relief through the first quarter of 2022, with the first quarterly covenant test as of the period ended March 31, 2022. Under the terms of the July 2020 amendment, a 25-basis point LIBOR floor was added for the remaining term of the facilities and the applicable LIBOR margin was increased to 225 basis points for the revolving credit facility and 220 basis points for the term loan facilities, the high points of the pricing grid. The December 2020 amendment fixed the applicable LIBOR margin at 240 basis points for the revolving credit facility and 235 basis points for the term loan facilities. After the covenant relief period, the LIBOR margin will revert back to the original terms of the pricing grid with a range of 140 to 225 basis points for the revolving credit facility and 135 to 220 basis points for the term loan facilities, depending on the Company’s leverage ratios. The interest rates presented reflect the terms of the amended agreements and the effects of the Company’s interest rate derivative agreements.

(2)

In July and December 2020, the Company executed amendments to the agreement governing the Senior Notes, providing covenant relief through the first quarter of 2022, with the first quarterly covenant test as of the period ended March 31, 2022. The July and December 2020 amendments increased the annual interest rates on the Senior Notes by 1.0% and an additional 0.25%, respectively. After the covenant relief period, the interest rates on the Senior Notes will decrease by 0.25% until the Company’s leverage ratio is below 5.0x. The interest rates presented reflect the terms of the amended agreements. In September 2020, the Company repaid $30.0 million and $5.0 million of its Series A and Series B Senior Notes, respectively, at par.

(3)

In December 2020, the Company exercised its first option to extend the maturity date of the $220.0 million loan secured by the Hilton San Diego Bayfront from December 2020 to December 2021. Two additional one-year options to extend remain, which the Company also intends to exercise, extending the maturity date to December 2023. By extending this loan, the Company's weighted average maturity of debt increases from 3.2 years to 3.8 years.

(4)	Average Interest Rate is calculated based on rates at December 31, 2020, and includes the effect of the Company's interest rate derivative agreements.


CAPITALIZATION								Page 34


	Supplemental Financial Information February 11, 2021

Consolidated Amortization and Debt Maturity Schedule

As of December 31, 2020

(1)

(2)	Percent of Current Total Capitalization is calculated by dividing the sum of scheduled principal amortization and maturity payments by the December 31, 2020 consolidated total capitalization as presented on page 33.


CAPITALIZATION								Page 35


	Supplemental Financial Information February 11, 2021

PROPERTY-LEVEL DATA


PROPERTY-LEVEL DATA								Page 36


	Supplemental Financial Information February 11, 2021

Hotel Information as of February 11, 2021

Hotel

Location

Brand

Number of
Rooms

% of Total
Rooms

Interest

Open / Suspension Date (1)

Resumption

Date (1)

Year Acquired

Hilton San Diego Bayfront (2) (3)

California

Hilton

1,190

13.20%

Leasehold

March 23, 2020

August 11, 2020

2011

Boston Park Plaza

Massachusetts

Independent

1,060

11.76%

Fee Simple

Open

N/A

2013

Hyatt Regency San Francisco

California

Hyatt

821

9.11%

Fee Simple

March 22, 2020

October 1, 2020

2013

Renaissance Washington DC

Washington DC

Marriott

807

8.95%

Fee Simple

March 26, 2020

August 24, 2020

2005

Renaissance Orlando at SeaWorld®

Florida

Marriott

781

8.66%

Fee Simple

March 20, 2020

October 1, 2020

2005

Wailea Beach Resort

Hawaii

Marriott

547

6.07%

Fee Simple

March 25, 2020

November 1, 2020

2014

JW Marriott New Orleans (4)

Louisiana

Marriott

501

5.56%

Fee Simple

March 28, 2020

July 14, 2020

2011

Hyatt Centric Chicago Magnificent Mile (3)

Illinois

Hyatt

419

4.65%

Leasehold

April 6, 2020

July 13, 2020

2012

Marriott Boston Long Wharf

Massachusetts

Marriott

415

4.60%

Fee Simple

March 12, 2020

July 7, 2020

2007

Renaissance Long Beach

California

Marriott

374

4.15%

Fee Simple

Open

N/A

2005

Embassy Suites Chicago

Illinois

Hilton

368

4.08%

Fee Simple

April 1, 2020

July 1, 2020

2002

Hilton Garden Inn Chicago Downtown/Magnificent Mile

Illinois

Hilton

361

4.00%

Fee Simple

March 27, 2020

2012

Renaissance Westchester

New York

Marriott

348

3.86%

Fee Simple

April 4, 2020

2010

Embassy Suites La Jolla

California

Hilton

340

3.77%

Fee Simple

Open

N/A

2006

The Bidwell Marriott Portland

Oregon

Marriott

258

2.86%

Fee Simple

March 27, 2020

October 5, 2020

2000

Hilton New Orleans St. Charles

Louisiana

Hilton

252

2.79%

Fee Simple

March 28, 2020

July 13, 2020

2013

Oceans Edge Resort & Marina

Florida

Independent

175

1.94%

Fee Simple

March 22, 2020

June 4, 2020

2017

Total 17 Hotel Portfolio

9,017

100%

(1)

In March 2020, the COVID-19 pandemic was declared a National Public Health Emergency, which led to material group cancellations, corporate and government travel restrictions and an unprecedented decline in hotel demand. As a result of these cancellations, restrictions and the health concerns related to COVID-19, the Company determined that it was in the best interest of its hotel employees and the communities in which its hotels operate to temporarily suspend operations at the majority of its hotels. As of the date of this release, operations continue to be temporarily suspended at two of the Company’s hotels, and 15 hotels are operating under a significantly reduced capacity.

(2)	The Company owns 75% of the joint venture that owns the Hilton San Diego Bayfront.

(3)	Assuming the full exercise of all lease extensions, the ground lease at the Hilton San Diego Bayfront and the building lease Hyatt Centric Chicago Magnificent Mile mature in 2071 and 2097, respectively.

(4)	Hotel is subject to a municipal airspace lease that matures in 2044 and applies only to certain balcony space fronting Canal Street that is not integral to the hotel’s operations.


PROPERTY-LEVEL DATA								Page 37


	Supplemental Financial Information February 11, 2021

PROPERTY-LEVEL OPERATING STATISTICS


PROPERTY-LEVEL OPERATING STATISTICS								Page 38


	Supplemental Financial Information February 11, 2021

Property-Level Operating Statistics

October 2020/2019


		ADR					Occupancy				RevPAR
	Hotels sorted by number of rooms	October					October			October
		2020			2019	Change	2020	2019	Change	2020		2019		Change
1	Hilton San Diego Bayfront	$	162.23	$	259.55	(37.5)%	21.0%	83.9%	(75.0)%	$	34.07	$	217.76	(84.4)%
2	Boston Park Plaza	$	139.90	$	254.87	(45.1)%	22.9%	98.0%	(76.6)%	$	32.04	$	249.77	(87.2)%
3	Hyatt Regency San Francisco	$	170.26	$	350.80	(51.5)%	15.1%	96.4%	(84.3)%	$	25.71	$	338.17	(92.4)%
4	Renaissance Washington DC	$	117.29	$	281.89	(58.4)%	4.8%	87.5%	(94.5)%	$	5.63	$	246.65	(97.7)%
5	Renaissance Orlando at SeaWorld®	$	111.81	$	179.07	(37.6)%	7.0%	82.8%	(91.5)%	$	7.83	$	148.27	(94.7)%
6	JW Marriott New Orleans	$	135.22	$	230.90	(41.4)%	28.2%	90.7%	(68.9)%	$	38.13	$	209.43	(81.8)%
7	Hyatt Centric Chicago Magnificent Mile	$	169.52	$	236.49	(28.3)%	7.1%	89.9%	(92.1)%	$	12.04	$	212.60	(94.3)%
8	Marriott Boston Long Wharf	$	230.98	$	390.87	(40.9)%	18.7%	92.3%	(79.7)%	$	43.19	$	360.77	(88.0)%
9	Renaissance Long Beach	$	142.93	$	192.85	(25.9)%	28.8%	83.2%	(65.4)%	$	41.16	$	160.45	(74.3)%
10	Embassy Suites Chicago	$	134.20	$	240.59	(44.2)%	12.1%	94.8%	(87.2)%	$	16.24	$	228.08	(92.9)%
11	Embassy Suites La Jolla	$	120.39	$	192.10	(37.3)%	61.7%	82.3%	(25.0)%	$	74.28	$	158.10	(53.0)%
12	Hilton New Orleans St. Charles	$	117.89	$	183.52	(35.8)%	29.0%	74.0%	(60.8)%	$	34.19	$	135.80	(74.8)%
13	Oceans Edge Resort & Marina	$	198.95	$	180.00	10.5%	40.5%	80.5%	(49.7)%	$	80.57	$	144.90	(44.4)%

	13 Hotels Open for the Entire Fourth Quarter of 2020	$	148.63	$	257.63	(42.3)%	19.5%	88.8%	(78.0)%	$	28.98	$	228.78	(87.3)%

14	Wailea Beach Resort	$	—	$	429.32	(100.0)%	0.0%	90.9%	(100.0)%	$	—	$	390.25	(100.0)%
15	The Bidwell Marriott Portland	$	140.31	$	198.56	(29.3)%	2.7%	84.4%	(96.8)%	$	3.79	$	167.58	(97.7)%

	2 Hotels Open During a Portion of the Fourth Quarter of 2020	$	140.31	$	360.73	(61.1)%	0.8%	88.8%	(99.1)%	$	1.12	$	320.33	(99.7)%

	2 Hotels with Suspended Operations During All of the Fourth Quarter of 2020	$	—	$	199.69	(100.0)%	0.0%	84.0%	(100.0)%	$	—	$	167.74	(100.0)%

	17 Hotel Portfolio (1)	$	148.51	$	262.46	(43.4)%	16.3%	88.4%	(81.6)%	$	24.21	$	232.01	(89.6)%

	Add: Sold/Disposed Hotels (2)
	Renaissance Los Angeles Airport	$	109.91	$	151.27	(27.3)%	26.5%	88.2%	(70.0)%	$	29.13	$	133.42	(78.2)%
	Hilton Times Square	$	—	$	315.27	(100.0)%	0.0%	99.4%	(100.0)%	$	—	$	313.38	(100.0)%

	Actual Portfolio (3)	$	145.32	$	259.74	(44.1)%	16.1%	88.9%	(81.9)%	$	23.40	$	230.91	(89.9)%

*Footnotes on page 44


PROPERTY-LEVEL OPERATING STATISTICS								Page 39


	Supplemental Financial Information February 11, 2021

Property-Level Operating Statistics

November 2020/2019


		ADR					Occupancy				RevPAR
	Hotels sorted by number of rooms	November					November			November
		2020			2019	Change	2020	2019	Change	2020		2019		Change
1	Hilton San Diego Bayfront	$	103.39	$	218.55	(52.7)%	50.5%	87.1%	(42.0)%	$	52.21	$	190.36	(72.6)%
2	Boston Park Plaza	$	143.00	$	187.43	(23.7)%	14.9%	90.4%	(83.5)%	$	21.31	$	169.44	(87.4)%
3	Hyatt Regency San Francisco	$	171.62	$	338.77	(49.3)%	11.5%	86.8%	(86.8)%	$	19.74	$	294.05	(93.3)%
4	Renaissance Washington DC	$	119.95	$	237.37	(49.5)%	2.7%	74.5%	(96.4)%	$	3.24	$	176.84	(98.2)%
5	Renaissance Orlando at SeaWorld®	$	121.11	$	174.88	(30.7)%	10.9%	76.2%	(85.7)%	$	13.20	$	133.26	(90.1)%
6	JW Marriott New Orleans	$	139.98	$	210.15	(33.4)%	41.8%	82.7%	(49.5)%	$	58.51	$	173.79	(66.3)%
7	Hyatt Centric Chicago Magnificent Mile	$	151.19	$	180.00	(16.0)%	4.4%	85.7%	(94.9)%	$	6.65	$	154.26	(95.7)%
8	Marriott Boston Long Wharf	$	220.06	$	298.87	(26.4)%	7.8%	82.7%	(90.6)%	$	17.16	$	247.17	(93.1)%
9	Renaissance Long Beach	$	141.27	$	180.82	(21.9)%	18.4%	80.9%	(77.3)%	$	25.99	$	146.28	(82.2)%
10	Embassy Suites Chicago	$	110.27	$	175.71	(37.2)%	8.5%	91.3%	(90.7)%	$	9.37	$	160.42	(94.2)%
11	Embassy Suites La Jolla	$	113.73	$	197.11	(42.3)%	40.1%	77.6%	(48.3)%	$	45.61	$	152.96	(70.2)%
12	Hilton New Orleans St. Charles	$	99.78	$	177.04	(43.6)%	21.8%	71.4%	(69.5)%	$	21.75	$	126.41	(82.8)%
13	Oceans Edge Resort & Marina	$	201.20	$	223.52	(10.0)%	54.0%	83.9%	(35.6)%	$	108.65	$	187.53	(42.1)%

	13 Hotels Open for the Entire Fourth Quarter of 2020	$	128.40	$	220.66	(41.8)%	21.4%	83.3%	(74.3)%	$	27.48	$	183.81	(85.0)%

14	Wailea Beach Resort	$	483.10	$	427.43	13.0%	19.1%	88.1%	(78.3)%	$	92.27	$	376.57	(75.5)%
15	The Bidwell Marriott Portland	$	134.27	$	165.54	(18.9)%	2.7%	69.4%	(96.1)%	$	3.63	$	114.88	(96.8)%

	2 Hotels Open During a Portion of the Fourth Quarter of 2020	$	461.38	$	358.30	28.8%	13.8%	82.2%	(83.2)%	$	63.67	$	294.52	(78.4)%

	2 Hotels with Suspended Operations During All of the Fourth Quarter of 2020	$	—	$	153.77	(100.0)%	0.0%	79.3%	(100.0)%	$	—	$	121.94	(100.0)%

	17 Hotel Portfolio (1)	$	150.03	$	227.69	(34.1)%	19.0%	82.9%	(77.1)%	$	28.51	$	188.76	(84.9)%

	Add: Sold/Disposed Hotels (2)
	Renaissance Los Angeles Airport	$	92.65	$	137.53	(32.6)%	32.0%	91.3%	(65.0)%	$	29.65	$	125.56	(76.4)%
	Hilton Times Square	$	—	$	274.96	(100.0)%	0.0%	99.0%	(100.0)%	$	—	$	272.21	(100.0)%

	Actual Portfolio (3)	$	145.12	$	225.43	(35.6)%	18.8%	84.1%	(77.6)%	$	27.28	$	189.59	(85.6)%

*Footnotes on page 44


PROPERTY-LEVEL OPERATING STATISTICS								Page 40


	Supplemental Financial Information February 11, 2021

Property-Level Operating Statistics

December 2020/2019


		ADR					Occupancy				RevPAR
	Hotels sorted by number of rooms	December					December			December
		2020			2019	Change	2020	2019	Change	2020		2019		Change
1	Hilton San Diego Bayfront	$	106.74	$	170.63	(37.4)%	18.3%	76.4%	(76.0)%	$	19.53	$	130.36	(85.0)%
2	Boston Park Plaza	$	151.42	$	144.51	4.8%	14.5%	76.0%	(80.9)%	$	21.96	$	109.83	(80.0)%
3	Hyatt Regency San Francisco	$	183.22	$	263.65	(30.5)%	5.6%	81.6%	(93.1)%	$	10.26	$	215.14	(95.2)%
4	Renaissance Washington DC	$	122.61	$	173.53	(29.3)%	2.5%	58.3%	(95.7)%	$	3.07	$	101.17	(97.0)%
5	Renaissance Orlando at SeaWorld®	$	112.33	$	169.47	(33.7)%	13.5%	84.4%	(84.0)%	$	15.16	$	143.03	(89.4)%
6	JW Marriott New Orleans	$	118.83	$	180.78	(34.3)%	17.9%	74.6%	(76.0)%	$	21.27	$	134.86	(84.2)%
7	Hyatt Centric Chicago Magnificent Mile	$	146.56	$	143.66	2.0%	6.8%	79.4%	(91.4)%	$	9.97	$	114.07	(91.3)%
8	Marriott Boston Long Wharf	$	208.54	$	241.74	(13.7)%	7.0%	78.3%	(91.1)%	$	14.60	$	189.28	(92.3)%
9	Renaissance Long Beach (4)	$	149.27	$	161.35	(7.5)%	8.7%	69.5%	(87.5)%	$	12.99	$	112.14	(88.4)%
10	Embassy Suites Chicago	$	125.69	$	134.20	(6.3)%	8.4%	94.8%	(91.1)%	$	10.56	$	127.22	(91.7)%
11	Embassy Suites La Jolla	$	108.49	$	162.92	(33.4)%	28.0%	79.1%	(64.6)%	$	30.38	$	128.87	(76.4)%
12	Hilton New Orleans St. Charles	$	99.26	$	154.48	(35.7)%	16.8%	58.1%	(71.1)%	$	16.68	$	89.75	(81.4)%
13	Oceans Edge Resort & Marina	$	283.97	$	290.47	(2.2)%	63.9%	88.7%	(28.0)%	$	181.46	$	257.65	(29.6)%

	13 Hotels Open for the Entire Fourth Quarter of 2020	$	144.00	$	180.90	(20.4)%	13.4%	76.3%	(82.4)%	$	19.30	$	138.03	(86.0)%

14	Wailea Beach Resort	$	500.96	$	656.06	(23.6)%	23.4%	90.4%	(74.1)%	$	117.22	$	593.08	(80.2)%
15	The Bidwell Marriott Portland	$	122.40	$	121.57	0.7%	5.1%	41.5%	(87.7)%	$	6.24	$	50.45	(87.6)%

	2 Hotels Open During a Portion of the Fourth Quarter of 2020	$	465.61	$	563.65	(17.4)%	17.6%	75.1%	(76.6)%	$	81.95	$	423.30	(80.6)%

	2 Hotels with Suspended Operations During All of the Fourth Quarter of 2020	$	—	$	128.63	(100.0)%	0.0%	73.6%	(100.0)%	$	—	$	94.67	(100.0)%

	17 Hotel Portfolio (1)	$	183.71	$	210.35	(12.7)%	12.7%	76.0%	(83.3)%	$	23.33	$	159.87	(85.4)%

	Add: Sold/Disposed Hotels (2)
	Renaissance Los Angeles Airport	$	92.94	$	128.66	(27.8)%	18.7%	89.7%	(79.2)%	$	17.38	$	115.41	(84.9)%
	Hilton Times Square	$	—	$	364.50	(100.0)%	0.0%	98.2%	(100.0)%	$	—	$	357.94	(100.0)%

	Actual Portfolio (3)	$	182.05	$	214.93	(15.3)%	12.3%	77.7%	(84.2)%	$	22.39	$	167.00	(86.6)%

*Footnotes on page 44


PROPERTY-LEVEL OPERATING STATISTICS								Page 41


	Supplemental Financial Information February 11, 2021

Property-Level Operating Statistics

Q4 2020/2019


		ADR					Occupancy				RevPAR
	Hotels sorted by number of rooms	Quarter Ended December 31,					Quarter Ended December 31,			Quarter Ended December 31,
		2020			2019	Change	2020	2019	Change	2020		2019		Change
1	Hilton San Diego Bayfront	$	118.11	$	217.65	(45.7)%	29.7%	82.4%	(64.0)%	$	35.08	$	179.34	(80.4)%
2	Boston Park Plaza	$	143.98	$	200.21	(28.1)%	17.5%	88.1%	(80.1)%	$	25.20	$	176.39	(85.7)%
3	Hyatt Regency San Francisco	$	173.02	$	319.68	(45.9)%	10.7%	88.2%	(87.9)%	$	18.51	$	281.96	(93.4)%
4	Renaissance Washington DC	$	119.33	$	238.17	(49.9)%	3.3%	73.4%	(95.5)%	$	3.94	$	174.82	(97.7)%
5	Renaissance Orlando at SeaWorld®	$	115.21	$	174.42	(33.9)%	10.5%	81.2%	(87.1)%	$	12.10	$	141.63	(91.5)%
6	JW Marriott New Orleans	$	134.04	$	208.88	(35.8)%	29.2%	82.6%	(64.6)%	$	39.14	$	172.53	(77.3)%
7	Hyatt Centric Chicago Magnificent Mile	$	156.61	$	188.69	(17.0)%	6.1%	85.0%	(92.8)%	$	9.55	$	160.39	(94.0)%
8	Marriott Boston Long Wharf	$	223.79	$	314.91	(28.9)%	11.2%	84.4%	(86.7)%	$	25.06	$	265.78	(90.6)%
9	Renaissance Long Beach (4)	$	143.39	$	179.29	(20.0)%	18.6%	77.8%	(76.1)%	$	26.67	$	139.49	(80.9)%
10	Embassy Suites Chicago	$	124.89	$	183.68	(32.0)%	9.7%	93.7%	(89.6)%	$	12.11	$	172.11	(93.0)%
11	Embassy Suites La Jolla	$	115.79	$	183.93	(37.0)%	43.3%	79.7%	(45.7)%	$	50.14	$	146.59	(65.8)%
12	Hilton New Orleans St. Charles	$	107.50	$	172.91	(37.8)%	22.6%	67.8%	(66.7)%	$	24.30	$	117.23	(79.3)%
13	Oceans Edge Resort & Marina	$	234.38	$	233.25	0.5%	52.8%	84.4%	(37.4)%	$	123.75	$	196.86	(37.1)%

	13 Hotels Open for the Entire Fourth Quarter of 2020	$	139.66	$	221.66	(37.0)%	18.1%	82.8%	(78.1)%	$	25.28	$	183.53	(86.2)%

14	Wailea Beach Resort	$	493.09	$	505.64	(2.5)%	14.1%	89.8%	(84.3)%	$	69.53	$	454.06	(84.7)%
15	The Bidwell Marriott Portland	$	129.96	$	170.52	(23.8)%	3.5%	65.1%	(94.6)%	$	4.55	$	111.01	(95.9)%

	2 Hotels Open During a Portion of the Fourth Quarter of 2020	$	455.13	$	422.53	7.7%	10.7%	82.1%	(87.0)%	$	48.70	$	346.90	(86.0)%

	2 Hotels with Suspended Operations During All of the Fourth Quarter of 2020	$	—	$	162.33	(100.0)%	0.0%	79.0%	(100.0)%	$	—	$	128.24	(100.0)%

	17 Hotel Portfolio (1)	$	158.52	$	234.86	(32.5)%	16.0%	82.4%	(80.6)%	$	25.36	$	193.52	(86.9)%

	Add: Sold/Disposed Hotels (2)
	Renaissance Los Angeles Airport	$	100.08	$	139.09	(28.0)%	28.1%	89.7%	(68.7)%	$	28.12	$	124.76	(77.5)%
	Hilton Times Square	$	—	$	318.59	(100.0)%	0.0%	98.9%	(100.0)%	$	—	$	315.09	(100.0)%

	Actual Portfolio (3)	$	154.57	$	234.43	(34.1)%	15.7%	83.6%	(81.2)%	$	24.27	$	195.98	(87.6)%

*Footnotes on page 44


PROPERTY-LEVEL OPERATING STATISTICS								Page 42


	Supplemental Financial Information February 11, 2021

Property-Level Operating Statistics

FY 2020/2019


		ADR					Occupancy			RevPAR
	Hotels sorted by number of rooms	Year Ended December 31,					Year Ended December 31,			Year Ended December 31,
		2020		2019		Change	2020	2019	Change	2020		2019		Change
1	Hilton San Diego Bayfront	$	192.17	$	247.20	(22.3)%	26.8%	81.4%	(67.1)%	$	51.50	$	201.22	(74.4)%
2	Boston Park Plaza	$	146.44	$	213.07	(31.3)%	23.9%	90.6%	(73.6)%	$	35.00	$	193.04	(81.9)%
3	Hyatt Regency San Francisco	$	298.61	$	322.08	(7.3)%	17.6%	89.0%	(80.2)%	$	52.56	$	286.65	(81.7)%
4	Renaissance Washington DC	$	215.98	$	232.64	(7.2)%	15.4%	78.1%	(80.3)%	$	33.26	$	181.69	(81.7)%
5	Renaissance Orlando at SeaWorld®	$	181.69	$	168.18	8.0%	17.1%	78.9%	(78.3)%	$	31.07	$	132.69	(76.6)%
6	JW Marriott New Orleans	$	192.13	$	206.47	(6.9)%	26.3%	83.9%	(68.7)%	$	50.53	$	173.23	(70.8)%
7	Hyatt Centric Chicago Magnificent Mile	$	133.75	$	192.11	(30.4)%	15.0%	83.1%	(81.9)%	$	20.06	$	159.64	(87.4)%
8	Marriott Boston Long Wharf	$	229.18	$	332.29	(31.0)%	21.9%	86.7%	(74.7)%	$	50.19	$	288.10	(82.6)%
9	Renaissance Long Beach (4)	$	159.10	$	189.85	(16.2)%	33.1%	81.6%	(59.4)%	$	52.66	$	154.92	(66.0)%
10	Embassy Suites Chicago	$	124.00	$	189.98	(34.7)%	21.1%	90.0%	(76.6)%	$	26.16	$	170.98	(84.7)%
11	Embassy Suites La Jolla	$	141.59	$	200.89	(29.5)%	50.8%	86.6%	(41.3)%	$	71.93	$	173.97	(58.7)%
12	Hilton New Orleans St. Charles	$	150.62	$	169.29	(11.0)%	28.3%	74.3%	(61.9)%	$	42.63	$	125.78	(66.1)%
13	Oceans Edge Resort & Marina	$	271.75	$	242.04	12.3%	46.7%	88.7%	(47.4)%	$	126.91	$	214.69	(40.9)%

	13 Hotels Open for the Entire Fourth Quarter of 2020	$	186.27	$	230.05	(19.0)%	23.8%	84.1%	(71.7)%	$	44.33	$	193.47	(77.1)%

14	Wailea Beach Resort	$	541.90	$	478.47	13.3%	22.5%	91.2%	(75.3)%	$	121.93	$	436.36	(72.1)%
15	The Bidwell Marriott Portland	$	140.79	$	186.05	(24.3)%	10.5%	80.1%	(86.9)%	$	14.78	$	149.03	(90.1)%

	2 Hotels Open During a Portion of the Fourth Quarter of 2020	$	470.62	$	394.94	19.2%	18.7%	87.7%	(78.7)%	$	88.01	$	346.36	(74.6)%

	2 Hotels with Suspended Operations During All of the Fourth Quarter of 2020	$	123.66	$	164.41	(24.8)%	12.4%	77.7%	(84.0)%	$	15.33	$	127.75	(88.0)%

	17 Hotel Portfolio (1)	$	204.52	$	240.51	(15.0)%	22.5%	83.9%	(73.2)%	$	46.02	$	201.79	(77.2)%

	Add: Sold/Disposed Hotels (2)
	Renaissance Harborplace	$	134.41	$	164.19	(18.1)%	26.7%	64.0%	(58.3)%	$	35.89	$	105.08	(65.8)%
	Renaissance Los Angeles Airport	$	126.58	$	146.93	(13.9)%	36.5%	90.6%	(59.7)%	$	46.20	$	133.12	(65.3)%
	Hilton Times Square	$	163.52	$	277.47	(41.1)%	20.6%	99.1%	(79.2)%	$	33.69	$	274.97	(87.7)%
		��
	Actual Portfolio (3)	$	196.99	$	237.56	(17.1)%	23.1%	85.0%	(72.8)%	$	45.50	$	201.93	(77.5)%

*Footnotes on page 44


PROPERTY-LEVEL OPERATING STATISTICS								Page 43


	Supplemental Financial Information February 11, 2021

Property-Level Operating Statistics

October, November, December, Q4 and FY 2020/2019

(1)	17 Hotel Portfolio includes all hotels owned by the Company as of December 31, 2020.

(2)

Sold/Disposed Hotels for October, November, December and the fourth quarter of 2020 include results for the Renaissance Los Angeles Airport, sold in December 2020, and the Hilton Times Square, assigned to its mortgage holder in December 2020. Sold/Disposed Hotels for the year ended December 31, 2020 also include results for the Renaissance Harborplace, sold in July 2020.

(3)	Actual Portfolio includes the 17 Hotel Portfolio plus the Sold/Disposed Hotels.

(4)	Excludes the effects of adjustments to airline crew revenue totaling $(0.4) million and $(23,000) recorded in June and December 2020, respectively.


PROPERTY-LEVEL OPERATING STATISTICS								Page 44


	Supplemental Financial Information February 11, 2021

PROPERTY-LEVEL ADJUSTED EBITDAre &

ADJUSTED EBITDAre MARGINS


PROPERTY-LEVEL ADJUSTED EBITDAre & ADJUSTED EBITDAre MARGINS								Page 45


	Supplemental Financial Information February 11, 2021

Property-Level Adjusted EBITDAre and Adjusted EBITDAre Margins

Q4 2020


	Hotels sorted by number of rooms	Quarter Ended December 31, 2020
	(In thousands)					Plus:		Plus:		Plus:		Equals:		Hotel
		Total		Net Income /		Other						Hotel Adjusted		Adjusted EBITDAre
		Revenues		(Loss)		Adjustments (1)		Depreciation		Interest Expense		EBITDAre (2)		Margins (2)
1	Hilton San Diego Bayfront	$	7,564	$	(5,528)	$	(467)	$	3,241	$	896	$	(1,858)	(24.6)%
2	Boston Park Plaza		3,245		(6,638)		—		4,518		—		(2,120)	(65.3)%
3	Hyatt Regency San Francisco		2,086		(6,934)		(169)		3,269		—		(3,834)	(183.8)%
4	Renaissance Washington DC		527		(6,100)		637		1,898		1,615		(1,950)	(370.0)%
5	Renaissance Orlando at SeaWorld®		1,856		(4,063)		8		2,423		—		(1,632)	(87.9)%
6	JW Marriott New Orleans		2,297		(2,576)		(21)		1,613		866		(118)	(5.1)%
7	Hyatt Centric Chicago Magnificent Mile		414		(3,303)		(350)		1,153		350		(2,150)	(519.3)%
8	Marriott Boston Long Wharf		1,363		(4,310)		(103)		2,780		—		(1,633)	(119.8)%
9	Renaissance Long Beach (2)		1,180		(1,318)		(28)		940		—		(406)	(34.4)%
10	Embassy Suites Chicago		609		(1,089)		(56)		760		—		(385)	(63.2)%
11	Embassy Suites La Jolla		1,910		(1,685)		(51)		1,010		621		(105)	(5.5)%
12	Hilton New Orleans St. Charles		734		(927)		(5)		621		—		(311)	(42.4)%
13	Oceans Edge Resort & Marina		3,354		85		—		882		—		967	28.8%

	13 Hotels Open for the Entire Fourth Quarter of 2020		27,139		(44,386)		(605)		25,108		4,348		(15,535)	(57.2)%

14	Wailea Beach Resort		4,780		(4,072)		(204)		4,068		—		(208)	(4.4)%
15	The Bidwell Marriott Portland		137		(1,881)		(16)		870		—		(1,027)	(749.6)%

	2 Hotels Open During a Portion of the Fourth Quarter of 2020		4,917		(5,953)		(220)		4,938		—		(1,235)	(25.1)%

	2 Hotels with Suspended Operations During All of the Fourth Quarter of 2020		272		(4,451)		2,373		1,199		—		(879)	(323.2)%

	17 Hotel Portfolio (3)		32,328		(54,790)		1,548		31,245		4,348		(17,649)	(54.6)%

	Add: Sold/Disposed Hotels (4)
��	Renaissance Los Angeles Airport (2)		1,245		(428)		(575)		704		—		(299)	(24.0)%
	Hilton Times Square		4		(5,385)		43		552		817		(3,973)	(99325.0)%

	Actual Portfolio (5)	$	33,577	$	(60,603)	$	1,016	$	32,501	$	5,165	$	(21,921)	(65.3)%

*Footnotes on page 48


PROPERTY-LEVEL ADJUSTED EBITDAre & ADJUSTED EBITDAre MARGINS								Page 46


	Supplemental Financial Information February 11, 2021

Property-Level Adjusted EBITDAre and Adjusted EBITDAre Margins

FY 2020


	Hotels sorted by number of rooms	Year Ended December 31, 2020
	(In thousands)					Plus:		Plus:		Plus:		Equals:		Hotel
		Total				Other						Hotel Adjusted		Adjusted EBITDAre
		Revenues		Net Loss		Adjustments (6)		Depreciation		Interest Expense		EBITDAre (2)		Margins (2)
1	Hilton San Diego Bayfront	$	40,331	$	(21,476)	$	(1,311)	$	12,911	$	4,778	$	(5,098)	(12.6)%
2	Boston Park Plaza		18,625		(30,190)		(179)		18,066		—		(12,303)	(66.1)%
3	Hyatt Regency San Francisco		23,529		(22,945)		(87)		13,003		—		(10,029)	(42.6)%
4	Renaissance Washington DC		16,109		(23,910)		1,113		7,933		6,586		(8,278)	(51.4)%
5	Renaissance Orlando at SeaWorld®		20,702		(13,361)		632		10,129		—		(2,600)	(12.6)%
6	JW Marriott New Orleans		12,657		(10,166)		91		6,485		3,480		(110)	(0.9)%
7	Hyatt Centric Chicago Magnificent Mile (2)		4,199		(13,873)		(1,755)		5,109		1,401		(9,118)	(217.1)%
8	Marriott Boston Long Wharf		11,576		(18,345)		60		11,023		—		(7,262)	(62.7)%
9	Renaissance Long Beach (2)		9,100		(5,103)		261		3,858		—		(984)	(10.8)%
10	Embassy Suites Chicago (2)		4,581		(7,412)		175		3,010		—		(4,227)	(92.3)%
11	Embassy Suites La Jolla		10,714		(5,403)		(51)		4,152		2,496		1,194	11.1%
12	Hilton New Orleans St. Charles		4,717		(3,028)		4		2,535		—		(489)	(10.4)%
13	Oceans Edge Resort & Marina		13,523		(90)		(13)		3,447		—		3,344	24.7%

	13 Hotels Open for the Entire Fourth Quarter of 2020		190,363		(175,302)		(1,060)		101,661		18,741		(55,960)	(29.4)%

14	Wailea Beach Resort		34,943		(12,237)		70		16,095		—		3,928	11.2%
15	The Bidwell Marriott Portland		1,577		(5,267)		(16)		1,945		—		(3,338)	(211.7)%

	2 Hotels Open During a Portion of the Fourth Quarter of 2020		36,520		(17,504)		54		18,040		—		590	1.6%

	2 Hotels with Suspended Operations During All of the Fourth Quarter of 2020 (2)		6,111		(16,621)		3,271		5,139		—		(8,211)	(134.4)%

	17 Hotel Portfolio (3)		232,994		(209,427)		2,265		124,840		18,741		(63,581)	(27.3)%

	Add: Sold/Disposed Hotels (4)
	Renaissance Harborplace (2)		6,330		(5,475)		(57)		2,622		—		(2,910)	(46.0)%
	Renaissance Los Angeles Airport (2)		10,586		(4,977)		(437)		3,897		—		(1,517)	(14.3)%
	Hilton Times Square		7,180		(33,377)		5,508		4,667		6,079		(17,123)	(238.5)%

	Actual Portfolio (5)	$	257,090	$	(253,256)	$	7,279	$	136,026	$	24,820	$	(85,131)	(33.1)%

*Footnotes on page 48


PROPERTY-LEVEL ADJUSTED EBITDAre & ADJUSTED EBITDAre MARGINS								Page 47


	Supplemental Financial Information February 11, 2021

Property-Level Adjusted EBITDAre and Adjusted EBITDAre Margins

Q4 and FY 2020 Footnotes

(1)

Other Adjustments for the fourth quarter of 2020 include: $(0.3) million in amortization of the operating lease right-of-use assets at the Hilton Garden Inn Chicago Downtown/Magnificent Mile, the Hilton San Diego Bayfront, the Hilton Times Square and the JW Marriott New Orleans; $(0.4) million in finance lease obligation interest - cash ground rent at the Hyatt Centric Chicago Magnificent Mile; a total of $3.1 million in severance recorded at a majority of the Company's hotels; a total of $(1.0) million in credit card merchant class action settlement proceeds received at a majority of the Company's hotels; $0.1 million in legal fees at the Renaissance Westchester; and a total of $(0.5) million in prior year property tax credits received at the Renaissance Long Beach and the Renaissance Los Angeles Airport.

(2)

Both Hotel Adjusted EBITDAre and Hotel Adjusted EBITDAre Margins are presented excluding any prior year property tax assessments and credits, net of any appeal fees. In the fourth quarter of 2020, a total of $(0.5) million in prior year property tax credits were received at the Renaissance Long Beach and the Renaissance Los Angeles Airport. For the year ended December 31, 2020, total prior year property tax net credits of $(0.3) million were received at the Embassy Suites Chicago, the Hilton Garden Inn Chicago Downtown/Magnificent Mile, the Hyatt Centric Chicago Magnificent Mile, the Renaissance Harborplace, the Renaissance Long Beach and the Renaissance Los Angeles Airport.

(3)	17 Hotel Portfolio includes all hotels owned by the Company as of December 31, 2020.

(4)

Sold/Disposed Hotels for the fourth quarter of 2020 include results for the Renaissance Los Angeles Airport, sold in December 2020, and the Hilton Times Square, assigned to its mortgage holder in December 2020. Sold/Disposed Hotels for the year ended December 31, 2020 also include results for the Renaissance Harborplace, sold in July 2020.

(5)	Actual Portfolio includes the 17 Hotel Portfolio plus the Sold/Disposed Hotels.

(6)

Other Adjustments for the year ended December 31, 2020 include: $(1.1) million in amortization of the operating lease right-of-use assets at the Hilton Garden Inn Chicago Downtown/Magnificent Mile, the Hilton San Diego Bayfront, the Hilton Times Square and the JW Marriott New Orleans; $(1.4) million in finance lease obligation interest - cash ground rent at the Hyatt Centric Chicago Magnificent Mile; $10,000 in city taxes assessed on commercial rents at the Hyatt Regency San Francisco; a total of $11.0 million in severance recorded at a majority of the Company's hotels; a total of $(1.6) million in credit card merchant class action settlement proceeds received at a majority of the Company's hotels; $0.6 million in legal fees at the Renaissance Westchester; and a total of $(0.3) million in prior year property tax net credits received at the Embassy Suites Chicago, the Hilton Garden Inn Chicago Downtown/Magnificent Mile, the Hyatt Centric Chicago Magnificent Mile, the Renaissance Harborplace, the Renaissance Long Beach and the Renaissance Los Angeles Airport.


PROPERTY-LEVEL ADJUSTED EBITDAre & ADJUSTED EBITDAre MARGINS								Page 48

Sunstone Hotel Investors (SHO) 8-KSunstone Hotel Investors Reports Results for Fourth Quarter and Full Year 2020