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8-K - 8-K - Sunstone Hotel Investors, Inc.sho-20150504x8k.htm
EX-99.1 - EX-99.1 - Sunstone Hotel Investors, Inc.sho-20150504ex9912f81b3.htm

Exhibit 99.2

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Supplemental Financial Information
May 4, 2015

 

 

 

 

 

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Supplemental Financial Information

For the quarter ended March 31, 2015

May 4, 2015

 

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Supplemental Financial Information
May 4, 2015

 

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 Q1 2015 – Q1 2014 

10

Consolidated Statements of Operations Q1 2015/2014 

12

Reconciliation of Net Income (Loss) to EBITDA and Adjusted EBITDA Q1 2015/2014 

13

Reconciliation of Net Income (Loss) to FFO and Adjusted FFO Available to Common Stockholders Q1 2015/2014 

14

Pro Forma Consolidated Statements of Operations Q1 2015 – Q2 2014,  FY 2014 

15

EARNINGS GUIDANCE 

16

Earnings Guidance for Q2 and FY 2015 

17

Reconciliation of Net Income to Adjusted EBITDA and Adjusted FFO Available to Common Stockholders Q2 and FY 2015 

19

CAPITALIZATION 

20

Comparative Capitalization Q1 2015   Q1 2014 

21

Consolidated Debt Summary Schedule 

22

Consolidated Amortization and Debt Maturity Schedule 

23

PROPERTY-LEVEL DATA 

24

 

 

 

 

 

 

 

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May 4, 2015

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

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Supplemental Financial Information
May 4, 2015

 

CORPORATE PROFILE, FINANCIAL DISCLOSURES,
AND SAFE HARBOR

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

CORPORATE PROFILE, FINANCIAL DISCLOSURES, AND SAFE HARBOR

 

 

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Supplemental Financial Information
May 4, 2015

 

About Sunstone

Sunstone Hotel Investors, Inc. (NYSE:SHO) is a lodging real estate investment trust (REIT) that, as of May 4, 2015, has interests in 30 hotels held for investment comprised of 14,306 rooms. Sunstone’s hotels are primarily in the upper upscale segment and are operated under nationally recognized brands, such as Marriott, Hilton, Hyatt,  Fairmont and Sheraton.

Sunstone’s mission is to create meaningful value for our stockholders by becoming the premier hotel owner. Our values include transparency, trust, ethical conduct, communication and discipline. As demand for lodging generally fluctuates with the overall economy, we seek to employ a balanced, cycle-appropriate corporate strategy that encompasses the following:

·

Proactive portfolio management;

·

Intensive asset management;

·

Disciplined external growth; and

·

Continued balance sheet strength.

Corporate Headquarters
120 Vantis,  Suite 350
Aliso Viejo, CA 92656
(949) 330-4000

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

Bryan Giglia
Chief Financial Officer 
(949) 382-3036

 

 

 

 

 

 

 

 

 

 

 

 

 

CORPORATE PROFILE, FINANCIAL DISCLOSURES, AND SAFE HARBOR

 

 

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Supplemental Financial Information
May 4, 2015

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: volatility in the debt or equity markets affecting our ability to acquire or sell hotel assets; international, national and local economic and business conditions, including the likelihood of a U.S. recession or global economic slowdown, as well as any type of flu or disease-related pandemic, affecting the lodging and travel industry; the ability to maintain sufficient liquidity and our access to capital markets; potential terrorist attacks or civil unrest, which would affect occupancy rates at our hotels and the demand for hotel products and services; operating risks associated with the hotel business; risks associated with the level of our indebtedness and our ability to meet covenants in our debt and equity agreements; relationships with property managers and franchisors; our ability to maintain our properties in a first-class manner, including meeting capital expenditure requirements; our ability to compete effectively in areas such as access, location, quality of accommodations and room rate structures; changes in travel patterns, taxes and government regulations, which influence or determine wages, prices, construction procedures and costs; our ability to identify, successfully compete for and complete acquisitions; the performance of hotels after they are acquired; necessary capital expenditures and our ability to fund them and complete them with minimum disruption; our ability to continue to satisfy complex rules in order for us to qualify as a REIT for federal income tax purposes; 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 in this presentation is as of May 4, 2015, 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 should be read in conjunction 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.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

CORPORATE PROFILE, FINANCIAL DISCLOSURES, AND SAFE HARBOR

 

 

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Supplemental Financial Information
May 4, 2015

Non-GAAP Financial Measures

We present the following non-GAAP financial measures that we believe are useful to investors as key measures of our operating performance: Earnings Before Interest Expense, Taxes, Depreciation and Amortization, or EBITDA; Adjusted EBITDA (as defined below); Funds From Operations, or FFO; Adjusted FFO Available to Common Stockholders (as defined below); hotel EBITDA; and hotel EBITDA margin.  These measures should not be considered in isolation or as a substitute for measures of performance in accordance with GAAP. EBITDA, Adjusted EBITDA, FFO, Adjusted FFO Available to Common Stockholders,  hotel EBITDA and hotel EBITDA margin as calculated by us, may not be comparable to other companies that do not define such terms exactly 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 operating profit, 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.

EBITDA is a commonly used measure of performance in many industries. We believe EBITDA is useful to investors in evaluating our operating performance because this measure helps investors evaluate and compare the results of our operations from period to period by removing the impact of our capital structure (primarily interest expense) and our asset base (primarily depreciation and amortization) from our operating results. We also believe the use of EBITDA facilitates comparisons between us and other lodging REITs, hotel owners who are not REITs and other capital-intensive companies. In addition, certain covenants included in our indebtedness use EBITDA as a measure of financial compliance. We also use EBITDA as a measure in determining the value of hotel acquisitions and dispositions.

Historically, we have adjusted EBITDA 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 EBITDA, when combined with the primary GAAP presentation of net income, is beneficial to an investor’s complete understanding of our operating performance.

We believe that the presentation of FFO provides useful information to investors regarding our operating performance because it is a measure of our operations without regard to specified non-cash items such as real estate depreciation and amortization, amortization of lease intangibles, 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 conforms to the National Association of Real Estate Investment Trusts’ (“NAREIT”) definition of FFO. This 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.  

We also present Adjusted FFO Available 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.

 

 

 

 

 

 

 

 

 

 

CORPORATE PROFILE, FINANCIAL DISCLOSURES, AND SAFE HARBOR

 

 

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Supplemental Financial Information
May 4, 2015

 

 

We adjust EBITDA and FFO for the following items, which may occur in any period, and refer to these measures as either Adjusted EBITDA or Adjusted FFO Available to Common Stockholders:

·

Amortization of favorable and unfavorable contracts:  we exclude the non-cash 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 Hilton New Orleans St. Charles, the Hyatt Regency San Francisco and the Marriott Wailea. The amortization of favorable and unfavorable contracts does not reflect the underlying performance of our hotels.

·

Ground rent adjustments: we exclude the non-cash expense incurred from straightlining our ground lease obligations as this expense does not reflect the underlying performance of our hotels.

·

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 completed acquisitions 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.

·

Non-controlling interests: we deduct the non-controlling partner’s pro rata share of any EBITDA or FFO adjustments related to our consolidated Hilton San Diego Bayfront partnership, as well as any preferred dividends earned by investors from an entity that owns the Doubletree Guest Suites Times Square, including related administrative fees.  

·

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 because they do not reflect our actual performance for that period.

·

Impairment losses: we exclude the effect of impairment losses because we believe that including them in Adjusted EBITDA and Adjusted FFO Available to Common Stockholders is not consistent with reflecting the ongoing performance of our remaining assets.

·

Other adjustments: we exclude other adjustments such as executive severance costs, lawsuit settlement costs, prior year property tax assessments and/or credits, management company transition costs, lease buyouts, and restructurings and departmental closing costs, including severance, because we do not believe these costs reflect our actual performance for that period and/or the ongoing operations of our hotels.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

CORPORATE PROFILE, FINANCIAL DISCLOSURES, AND SAFE HARBOR

 

 

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Supplemental Financial Information
May 4, 2015

 

 

In addition, to derive Adjusted EBITDA we exclude the non-cash expense incurred with the amortization of deferred stock compensation as this expense does not reflect the underlying performance of our hotels.  We also include an adjustment for the cash ground lease expense recorded on the Hyatt Chicago Magnificent Mile’s building lease. Upon acquisition of this hotel, we determined that the building lease was a capital lease, and, therefore, we include a portion of the capital lease payment each month in interest expense. We include an adjustment for ground lease expense on capital leases in order to more accurately reflect the operating performance of the Hyatt Chicago Magnificent Mile.  We  also exclude the effect of gains and losses on the disposition of depreciable assets because we believe that including them in Adjusted EBITDA is not consistent with reflecting the ongoing performance of our assets. In addition, material gains or losses from the depreciated value of the disposed assets could be less important to investors given that the depreciated asset value often does not reflect its market value.

To derive Adjusted FFO Available to Common Stockholders, we also exclude the non-cash gains or losses on our derivatives, as well as preferred stock dividends and any original issuance costs associated with the redemption of preferred stock, and any federal and state taxes associated with the application of net operating loss carryforwards. We believe that these items are not reflective of our ongoing finance costs.

Reconciliations of net income (loss) to EBITDA and Adjusted EBITDA are set forth on page  13 of this supplemental package.  Reconciliations of net income (loss) to FFO and Adjusted FFO Available to Common Stockholders are set forth on page  14 of this supplemental package.

Our 30 comparable hotels include all hotels held for investment by the Company as of March 31, 2015,  and also include prior ownership results for the Marriott Wailea acquired in July 2014.

Presentation of 2014 information conforms to the industry’s Uniform System of Accounts for the Lodging Industry, Eleventh Revised Edition, which became effective in January 2015.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

CORPORATE PROFILE, FINANCIAL DISCLOSURES, AND SAFE HARBOR

 

 

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Supplemental Financial Information
May 4, 2015

 

CORPORATE FINANCIAL INFORMATION

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

CORPORATE  FINANCIAL INFORMATION

 

 

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Supplemental Financial Information
May 4, 2015

 

Condensed Consolidated Balance Sheets
Q1 2015 – Q1 2014 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(In thousands)

 

March 31, 2015 (1)

 

December 31, 2014 (2)

 

September 30, 2014 (3)

 

June 30, 2014 (4)

 

March 31, 2014 (5)

Assets

    

 

    

 

    

 

    

 

    

 

Investment in hotel properties:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Land

 

$

570,011 

 

$

570,011 

 

$

570,011 

 

$

450,304 

 

$

439,304 

Buildings & improvements

 

 

3,245,398 

 

 

3,237,596 

 

 

3,216,923 

 

 

3,013,911 

 

 

2,986,687 

Furniture, fixtures, & equipment

 

 

457,249 

 

 

450,057 

 

 

447,712 

 

 

432,572 

 

 

422,676 

Other

 

 

242,508 

 

 

217,389 

 

 

236,739 

 

 

218,300 

 

 

224,863 

 

 

 

4,515,166 

 

 

4,475,053 

 

 

4,471,385 

 

 

4,115,087 

 

 

4,073,530 

Less accumulated depreciation & amortization

 

 

(978,041)

 

 

(936,924)

 

 

(924,857)

 

 

(884,192)

 

 

(845,751)

 

 

 

3,537,125 

 

 

3,538,129 

 

 

3,546,528 

 

 

3,230,895 

 

 

3,227,779 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other assets, net

 

 

31,832 

 

 

32,091 

 

 

32,292 

 

 

47,449 

 

 

38,871 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current assets:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cash and cash equivalents

 

 

156,972 

 

 

222,096 

 

 

135,427 

 

 

360,702 

 

 

94,792 

Restricted cash

 

 

87,260 

 

 

82,074 

 

 

93,124 

 

 

87,975 

 

 

82,748 

Other current assets, net

 

 

68,168 

 

 

50,575 

 

 

61,959 

 

 

55,939 

 

 

52,852 

Total assets

 

$

3,881,357 

 

$

3,924,965 

 

$

3,869,330 

 

$

3,782,960 

 

$

3,497,042 

 

*Footnotes on following page.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

CORPORATE  FINANCIAL INFORMATION

 

 

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Supplemental Financial Information
May 4, 2015

 

Condensed Consolidated Balance Sheets
Q1 2015 – Q1 2014 (cont.)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(In thousands)

 

March 31, 2015 (1)

 

December 31, 2014 (2)

 

September 30, 2014 (3)

 

June 30, 2014 (4)

 

March 31, 2014 (5)

Liabilities

    

 

    

 

    

 

    

 

    

 

Current liabilities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current portion of notes payable

 

$

235,970 

 

$

121,328 

 

$

159,696 

 

$

122,835 

 

$

24,008 

Other current liabilities

 

 

115,668 

 

 

177,656 

 

 

119,683 

 

 

107,198 

 

 

102,320 

Total current liabilities

 

 

351,638 

 

 

298,984 

 

 

279,379 

 

 

230,033 

 

 

126,328 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Notes payable, less current portion

 

 

1,187,447 

 

 

1,307,964 

 

 

1,226,796 

 

 

1,269,587 

 

 

1,374,394 

Capital lease obligations, less current portion

 

 

15,576 

 

 

15,576 

 

 

15,576 

 

 

15,576 

 

 

15,577 

Other liabilities

 

 

34,670 

 

 

33,607 

 

 

34,934 

 

 

34,106 

 

 

40,610 

Total liabilities

 

 

1,589,331 

 

 

1,656,131 

 

 

1,556,685 

 

 

1,549,302 

 

 

1,556,909 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Equity

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Stockholders' equity:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

8% Series D cumulative redeemable preferred stock

 

 

115,000 

 

 

115,000 

 

 

115,000 

 

 

115,000 

 

 

115,000 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Common stock, $0.01 par value, 500,000,000 shares authorized

 

 

2,075 

 

 

2,048 

 

 

2,035 

 

 

1,994 

 

 

1,814 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Additional paid in capital

 

 

2,454,720 

 

 

2,418,567 

 

 

2,397,196 

 

 

2,335,709 

 

 

2,071,421 

Retained earnings

 

 

304,525 

 

 

305,503 

 

 

292,250 

 

 

260,410 

 

 

218,542 

Cumulative dividends

 

 

(637,279)

 

 

(624,545)

 

 

(547,851)

 

 

(535,281)

 

 

(522,911)

Total stockholders' equity

 

 

2,239,041 

 

 

2,216,573 

 

 

2,258,630 

 

 

2,177,832 

 

 

1,883,866 

Non-controlling interest in consolidated joint ventures

 

 

52,985 

 

 

52,261 

 

 

54,015 

 

 

55,826 

 

 

56,267 

Total equity

 

 

2,292,026 

 

 

2,268,834 

 

 

2,312,645 

 

 

2,233,658 

 

 

1,940,133 

Total liabilities and equity

 

$

3,881,357 

 

$

3,924,965 

 

$

3,869,330 

 

$

3,782,960 

 

$

3,497,042 

 

(1)

As presented on Form 10-Q to be filed in May 2015.

(2)

As presented on Form 10-K filed February 19, 2015.

(3)

As presented on Form 10-Q filed November 4, 2014.

(4)

As presented on Form 10-Q filed August 8, 2014.

(5)

As presented on Form 10-Q filed May 7, 2014.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

CORPORATE  FINANCIAL INFORMATION

 

 

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Supplemental Financial Information
May 4, 2015

Consolidated Statements of Operations
Q1 2015/2014

 

 

 

 

 

 

 

 

 

 

 

Three Months Ended March 31,

(In thousands, except per share data)

    

    

2015

    

 

2014

Revenues

 

 

 

 

 

 

Room

 

$

193,291 

 

$

167,529 

Food and beverage

 

 

72,184 

 

 

64,429 

Other operating

 

 

18,910 

 

 

15,473 

Total revenues

 

 

284,385 

 

 

247,431 

Operating expenses

 

 

 

 

 

 

Room

 

 

53,842 

 

 

48,321 

Food and beverage

 

 

50,219 

 

 

47,539 

Other operating

 

 

5,131 

 

 

5,023 

Advertising and promotion

 

 

15,360 

 

 

12,971 

Repairs and maintenance

 

 

11,558 

 

 

10,881 

Utilities

 

 

8,985 

 

 

8,289 

Franchise costs

 

 

8,600 

 

 

8,077 

Property tax, ground lease and insurance

 

 

23,613 

 

 

19,052 

Property general and administrative

 

 

34,449 

 

 

28,809 

Corporate overhead

 

 

14,253 

 

 

6,559 

Depreciation and amortization

 

 

40,707 

 

 

37,615 

Total operating expenses

 

 

266,717 

 

 

233,136 

Operating income

 

 

17,668 

 

 

14,295 

Interest and other income

 

 

946 

 

 

716 

Interest expense

 

 

(17,326)

 

 

(18,283)

Income (loss) before income taxes

 

 

1,288 

 

 

(3,272)

Income tax provision

 

 

(85)

 

 

(224)

Net income (loss)

 

 

1,203 

 

 

(3,496)

Income from consolidated joint ventures attributable to non-controlling interests

 

 

(2,181)

 

 

(2,234)

Preferred stock dividends

 

 

(2,300)

 

 

(2,300)

Loss attributable to common stockholders

 

$

(3,278)

 

$

(8,030)

 

 

 

 

 

 

 

Basic and diluted per share amounts:

 

 

 

 

 

 

       Basic and diluted loss attributable to common stockholders per common share

 

$

(0.02)

 

$

(0.04)

Basic and diluted weighted average common shares outstanding

 

 

206,600 

 

 

181,061 

Dividends declared per common share

 

$

0.05 

 

$

0.05 

 

 

 

 

 

 

 

 

 

 

 

CORPORATE  FINANCIAL INFORMATION

 

 

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Supplemental Financial Information
May 4, 2015

Reconciliation of Net Income (Loss) to EBITDA and Adjusted EBITDA
Q1 2015/2014

 

 

 

 

 

 

 

 

 

 

Three Months Ended March 31,

(In thousands)

    

 

2015

    

 

2014

Net income (loss)

 

$

1,203 

 

$

(3,496)

Operations held for investment:

 

 

 

 

 

 

  Depreciation and amortization

 

 

40,707 

 

 

37,615 

  Amortization of lease intangibles

 

 

1,028 

 

 

1,028 

  Interest expense

 

 

17,326 

 

 

18,283 

  Income tax provision

 

 

85 

 

 

224 

Non-controlling interests:

 

 

 

 

 

 

  Income from consolidated joint ventures attributable to non-controlling interests

 

 

(2,181)

 

 

(2,234)

  Depreciation and amortization

 

 

(847)

 

 

(821)

  Interest expense

 

 

(378)

 

 

(567)

EBITDA

 

 

56,943 

 

 

50,032 

 

 

 

 

 

 

 

Operations held for investment:

 

 

 

 

 

 

  Amortization of deferred stock compensation

 

 

2,895 

 

 

1,372 

  Amortization of favorable and unfavorable contracts, net

 

 

(221)

 

 

46 

  Non-cash straightline lease expense

 

 

504 

 

 

512 

  Capital lease obligation interest - cash ground rent

 

 

(351)

 

 

(351)

  Gain on sale of assets

 

 

 —

 

 

(6)

  Closing costs - completed acquisitions

 

 

 —

 

 

56 

  Prior year property tax adjustments, net

 

 

(188)

 

 

(2,878)

  Boston Park Plaza relaunch costs

 

 

683 

 

 

 —

  Lease termination costs

 

 

300 

 

 

 —

  Costs associated with CEO severance

 

 

5,257 

 

 

 —

Non-controlling interests:

 

 

 

 

 

 

  Non-cash straightline lease expense

 

 

(113)

 

 

(113)

  Prior year property tax adjustments, net

 

 

 —

 

 

696 

 

 

 

8,766 

 

 

(666)

Adjusted EBITDA

 

$

65,709 

 

$

49,366 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

CORPORATE  FINANCIAL INFORMATION

 

 

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Supplemental Financial Information
May 4, 2015

 

 

Reconciliation of Net Income (Loss) to FFO and Adjusted FFO Available to Common Stockholders 
Q1 2015/2014

 

 

 

 

 

 

 

 

 

Three Months Ended March 31,

(In thousands, except per share data)

    

 

2015

    

 

2014

Net income (loss)

 

$

1,203 

 

$

(3,496)

Operations held for investment:

 

 

 

 

 

 

  Real estate depreciation and amortization

 

 

40,310 

 

 

37,226 

  Amortization of lease intangibles

 

 

1,028 

 

 

1,028 

  Gain on sale of assets

 

 

 —

 

 

(6)

Non-controlling interests:

 

 

 

 

 

 

  Income from consolidated joint ventures attributable to non-controlling interests

 

 

(2,181)

 

 

(2,234)

  Real estate depreciation and amortization

 

 

(847)

 

 

(821)

FFO

 

 

39,513 

 

 

31,697 

 

 

 

 

 

 

 

Operations held for investment:

 

 

 

 

 

 

  Preferred stock dividends

 

 

(2,300)

 

 

(2,300)

  Amortization of favorable and unfavorable contracts, net

 

 

(221)

 

 

46 

  Non-cash straightline lease expense

 

 

504 

 

 

512 

  Non-cash interest related to gain on derivatives, net

 

 

 —

 

 

(109)

  Closing costs - completed acquisitions

 

 

 —

 

 

56 

  Prior year property tax adjustments, net

 

 

(188)

 

 

(2,878)

  Boston Park Plaza relaunch costs

 

 

683 

 

 

 —

  Lease termination costs

 

 

300 

 

 

 —

  Costs associated with CEO severance

 

 

5,257 

 

 

 —

  Amortization of deferred stock compensation associated with CEO severance

 

 

1,623 

 

 

 —

Non-controlling interests:

 

 

 

 

 

 

  Non-cash straightline lease expense

 

 

(113)

 

 

(113)

  Prior year property tax adjustments, net

 

 

 —

 

 

696 

 

 

 

5,545 

 

 

(4,090)

Adjusted FFO available to common stockholders

 

$

45,058 

 

$

27,607 

FFO per diluted share

 

$

0.19 

 

$

0.17 

Adjusted FFO available to common stockholders per diluted share

 

$

0.22 

 

$

0.15 

Basic weighted average shares outstanding

 

 

206,600 

 

 

181,061 

Shares associated with unvested restricted stock awards

 

 

398 

 

 

469 

Diluted weighted average shares outstanding

 

 

206,998 

 

 

181,530 

 

 

 

 

 

 

 

 

 

 

 

 

CORPORATE  FINANCIAL INFORMATION

 

 

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Supplemental Financial Information
May 4, 2015

Pro Forma Consolidated Statements of Operations
Q1 2015   Q2 2014,  FY 2014

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Three Months Ended (1)

 

Year Ended (1)

(Unaudited and in thousands)

 

 

March 31,

 

 

Dec. 31,

 

 

Sept. 30,

 

 

June 30,

 

 

Dec. 31,

 

 

    

 

2015

    

 

2014

    

 

2014

    

 

2014

    

 

2014

 

Revenues

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Room

 

 

$

193,291 

 

$

204,208 

 

$

224,926 

 

$

223,843 

 

$

833,383 

 

Food and beverage

 

 

 

72,184 

 

 

71,190 

 

 

69,134 

 

 

76,531 

 

 

284,519 

 

Other operating

 

 

 

18,910 

 

 

18,719 

 

 

19,918 

 

 

18,436 

 

 

73,938 

 

Total revenues

 

 

284,385 

 

 

294,117 

 

 

313,978 

 

 

318,810 

 

 

1,191,840 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Operating Expenses

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Room

 

 

 

53,842 

 

 

54,513 

 

 

57,064 

 

 

55,327 

 

 

218,198 

 

Food and beverage

 

 

 

50,219 

 

 

51,242 

 

 

50,575 

 

 

52,429 

 

 

204,148 

 

Other expenses

 

 

 

107,696 

 

 

105,046 

 

 

107,480 

 

 

105,469 

 

 

416,278 

 

Corporate overhead

 

 

 

14,253 

 

 

7,329 

 

 

7,177 

 

 

7,674 

 

 

28,739 

 

Depreciation and amortization

 

 

 

40,707 

 

 

40,257 

 

 

40,000 

 

 

40,103 

 

 

160,105 

 

Total operating expenses

 

 

266,717 

 

 

258,387 

 

 

262,296 

 

 

261,002 

 

 

1,027,468 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Operating Income

 

 

 

17,668 

 

 

35,730 

 

 

51,682 

 

 

57,808 

 

 

164,372 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest and other income

 

 

 

946 

 

 

891 

 

 

981 

 

 

891 

 

 

3,479 

 

Interest expense

 

 

 

(17,326)

 

 

(17,649)

 

 

(18,052)

 

 

(18,331)

 

 

(72,315)

 

Loss on extinguishment of debt

 

 

 

 —

 

 

(4,107)

 

 

(531)

 

 

 —

 

 

(4,638)

 

Income before income taxes and discontinued operations

 

 

 

1,288 

 

 

14,865 

 

 

34,080 

 

 

40,368 

 

 

90,898 

 

Income tax (provision) benefit

 

 

 

(85)

 

 

(258)

 

 

413 

 

 

(110)

 

 

(179)

 

Income from continuing operations

 

 

 

1,203 

 

 

14,607 

 

 

34,493 

 

 

40,258 

 

 

90,719 

 

Income (loss) from discontinued operations

 

 

 

 —

 

 

(350)

 

 

 —

 

 

5,199 

 

 

4,849 

 

Net Income

 

 

$

1,203 

 

$

14,257 

 

$

34,493 

 

$

45,457 

 

$

95,568 

 

Adjusted EBITDA (2)

 

 

$

65,709 

 

$

77,838 

 

$

92,270 

 

$

98,504 

 

$

324,973 

 

 

(1)

Includes the Company's ownership results and prior ownership results for the 30 hotel comparable portfolio held for investment by the Company as of March 31, 2015. Includes the reduction of ground lease expense on the Fairmont Newport Beach due to the Company's land acquisition in June 2014, along with prior ownership results for the Marriott Wailea acquired on July 17, 2014. Data for each 2014 period presented has been adjusted to conform to the industry's Uniform System of Accounts for the Lodging Industry, Eleventh Revised Edition, which became effective January 1, 2015.

(2)

The Adjusted EBITDA reconciliation for Q1 2015 can be found on page 13 of this supplemental package. The Adjusted EBITDA reconciliations for Q4 2014 and full year 2014 can be found in the supplemental package furnished on Form 8-K to the SEC on February 17, 2015. The Adjusted EBITDA reconciliations for Q3 2014 and Q2 2014 can be found in the supplemental packages furnished on Form 8-K to the SEC on November 3, 2014, and August 7, 2014, respectively.

 

 

 

 

 

 

 

 

 

 

 

 

 

CORPORATE  FINANCIAL INFORMATION

 

 

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Supplemental Financial Information
May 4, 2015

EARNINGS GUIDANCE

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

EARNINGS GUIDANCE

 

 

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Supplemental Financial Information
May 4, 2015

Earnings Guidance for Q2 and FY 2015

The Company is providing guidance at this time, but does not undertake to make updates for any unanticipated developments in its business or changes in the operating environment. Achievement of the anticipated results is subject to risks and uncertainties, including those disclosed in the Company’s filings with the Securities and Exchange Commission.  The Company’s guidance does not take into account the impact of any unannounced hotel acquisitions, dispositions, re-brandings, management changes, transition costs, early lease termination costs,  prior year property tax assessments and/or credits, debt repurchases or unannounced financings during 2015.  The guidance presented takes into account various accounting changes as stipulated by the industry’s Uniform System of Accounts for the Lodging Industry, Eleventh Revised Edition (the “USALI Eleventh Revised Edition”), which became effective in January 2015. Guidance for 2015 Comparable Hotel RevPAR and Comparable Hotel EBITDA Margins has been presented to reflect growth rates compared to prior year as if these 2014 statistics included the USALI Eleventh Revised Edition changes. Actual Comparable Hotel RevPAR and Comparable Hotel EBITDA Margin change from prior year will differ slightly. The Company is presenting 2014 Comparable Hotel RevPAR and Comparable Hotel EBITDA Margins on an as reported basis and on a pro forma basis, which will include the USALI Eleventh Revised Edition changes.

For the second quarter of 2015, the Company expects:

 

 

 

Metric

Quarter Ended June 30, 2015 Guidance

Comparable Hotel RevPAR Growth

+ 6.0% - 7.5%

Net Income ($ millions)

$47 - $51

Adjusted EBITDA ($ millions)

$103 - $107

Adjusted FFO Available to Common Stockholders ($ millions)

$83 - $87

Adjusted FFO Available to Common Stockholders per Diluted Share

$0.40 - $0.42

Diluted Weighted Average Shares Outstanding

207,800,000

 

For the full year of 2015, the Company expects: 

 

 

 

 

 

Metric

Prior Full Year 2015               Guidance (1)

Revised Full Year 2015               Guidance

Change in Full Year 2015 Guidance Midpoint

Comparable Hotel RevPAR Growth

+ 5.0% - 7.0%

+ 5.0% - 7.0%

0.00%

Net Income ($ millions)

$117 - $139

$109 - $123

$(12)

Adjusted EBITDA ($ millions)

$336 - $356

$344 - $356

+$4

Adjusted FFO Available to Common Stockholders ($ millions)

$254 - $274

$262 - $274

+$4

Adjusted FFO Available to Common Stockholders per Diluted Share

$1.22 - $1.32

$1.26 - $1.32

+$0.02

Diluted Weighted Average Shares Outstanding

207,400,000

207,700,000

300,000

 

(1)

Reflects guidance presented on February 17, 2015.

 

 

 

 

 

 

 

 

 

 

 

EARNINGS GUIDANCE

 

 

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Supplemental Financial Information
May 4, 2015

Earnings Guidance for Q2 and FY 2015

Second quarter and full year 2015 guidance are based in part on the following assumptions:

·

Full year guarantee payment of $2 million related to the Marriott Wailea.

·

Full year Comparable Hotel EBITDA Margin (as compared to 2014 adjusted for the USALI Eleventh Revised Edition) expansion of approximately 50 to 100 basis points, which excludes any guarantee payments.

·

Full year corporate overhead expense (excluding stock amortization and one-time expenses related to acquisition closing costs and severance charges) of approximately $22.5 million to $23.5 million.

·

Full year interest expense of approximately $66 million to $67 million, including approximately $3 million in amortization of deferred financing fees.

·

Full year expense of approximately $0.7 million in one-time costs related to the Boston Park Plaza retail, meeting space and lobby relaunch, and $0.3 million in one-time costs related to an early lease termination at the Boston Park Plaza.  

·

Full year hotel revenue disruption of $0.5 million to $1.0 million related to cancellations resulting from civil unrest in Baltimore, Maryland.

·

Full year preferred dividends of $9.2 million for the Series D cumulative redeemable preferred stock.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

EARNINGS GUIDANCE

 

 

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Supplemental Financial Information
May 4, 2015

Reconciliation of Net Income to Adjusted EBITDA and Adjusted FFO Available to Common Stockholders
Q2 and FY 2015


Reconciliation of Net Income to Adjusted EBITDA


 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Quarter Ended

 

 

Year Ended

 

 

 

June 30, 2015

 

 

December 31, 2015

(In thousands, except per share data)

    

 

Low

    

 

High

    

 

Low

    

 

High

 

 

 

 

 

 

 

 

 

 

 

 

 

Net income

 

$

46,500 

 

$

50,900 

 

$

108,800 

 

$

123,100 

  Depreciation and amortization

 

 

40,500 

 

 

40,500 

 

 

162,000 

 

 

162,000 

  Amortization of lease intangibles

 

 

1,000 

 

 

1,000 

 

 

4,000 

 

 

4,000 

  Interest expense

 

 

16,300 

 

 

16,300 

 

 

66,400 

 

 

66,700 

  Income tax provision

 

 

100 

 

 

100 

 

 

1,000 

 

 

1,000 

  Non-controlling interests

 

 

(3,300)

 

 

(3,700)

 

 

(11,700)

 

 

(14,300)

  Amortization of deferred stock compensation

 

 

1,900 

 

 

1,900 

 

 

7,100 

 

 

7,100 

  Non-cash straightline lease expense

 

 

400 

 

 

400 

 

 

1,700 

 

 

1,700 

  Capital lease obligation interest - cash ground rent

 

 

(400)

 

 

(400)

 

 

(1,400)

 

 

(1,400)

  Prior year property tax adjustments, net

 

 

 —

 

 

 —

 

 

(200)

 

 

(200)

  Boston Park Plaza relaunch costs

 

 

 —

 

 

 —

 

 

700 

 

 

700 

  Lease termination costs

 

 

 —

 

 

 —

 

 

300 

 

 

300 

  Costs associated with CEO severance

 

 

 —

 

 

 —

 

 

5,300 

 

 

5,300 

Adjusted EBITDA

 

$

103,000 

 

$

107,000 

 

$

344,000 

 

$

356,000 

 


Reconciliation of Net Income to Adjusted FFO Available to Common Stockholders


 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net income

    

$

46,500 

    

$

50,900 

    

$

108,800 

    

$

123,100 

  Real estate depreciation and amortization

 

 

39,900 

 

 

39,900 

 

 

159,400 

 

 

159,400 

  Amortization of lease intangibles

 

 

1,000 

 

 

1,000 

 

 

4,000 

 

 

4,000 

  Non-controlling interests

 

 

(2,900)

 

 

(3,200)

 

 

(10,400)

 

 

(12,700)

  Preferred stock dividends

 

 

(2,300)

 

 

(2,300)

 

 

(9,200)

 

 

(9,200)

  Non-cash straightline lease expense

 

 

400 

 

 

400 

 

 

1,700 

 

 

1,700 

  Prior year property tax adjustments, net

 

 

 —

 

 

 —

 

 

(200)

 

 

(200)

  Boston Park Plaza relaunch costs

 

 

 —

 

 

 —

 

 

700 

 

 

700 

  Lease termination costs

 

 

 —

 

 

 —

 

 

300 

 

 

300 

  Costs associated with CEO severance

 

 

 —

 

 

 —

 

 

5,300 

 

 

5,300 

  Amortization of deferred stock compensation associated with CEO severance

 

 

 —

 

 

 —

 

 

1,600 

 

 

1,600 

Adjusted FFO available to common stockholders

 

$

82,600 

 

$

86,700 

 

$

262,000 

 

$

274,000 

 

 

 

 

 

 

 

 

 

 

 

 

 

Adjusted FFO available to common stockholders per diluted share

 

$

0.40 

 

$

0.42 

 

$

1.26 

 

$

1.32 

 

 

 

 

 

 

 

 

 

 

 

 

 

Diluted weighted average shares outstanding

 

 

207,800 

 

 

207,800 

 

 

207,700 

 

 

207,700 

 

 

 

 

 

 

 

 

 

 

 

EARNINGS GUIDANCE

 

 

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Supplemental Financial Information
May 4, 2015

 

CAPITALIZATION

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

CAPITALIZATION

 

 

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Supplemental Financial Information
May 4, 2015

Comparative Capitalization
Q1 2015    Q1 2014

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

March 31,

 

 

Dec. 31,

 

 

Sept. 30,

 

 

June 30,

 

 

March 31,

 

(In thousands, except per share data)

    

 

2015

    

 

2014

    

 

2014

    

 

2014

    

 

2014

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Common Share Price & Dividends

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

At the end of the quarter

 

$

16.67 

 

$

16.51 

 

$

13.82 

 

$

14.93 

 

$

13.73 

 

High during quarter ended

 

$

17.98 

 

$

17.17 

 

$

15.17 

 

$

15.25 

 

$

14.00 

 

Low during quarter ended

 

$

16.18 

 

$

13.42 

 

$

13.71 

 

$

13.22 

 

$

12.46 

 

Common dividends per share (1)

 

$

0.05 

 

$

0.36 

 

$

0.05 

 

$

0.05 

 

$

0.05 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Common Shares & Units

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Common shares outstanding (2)

 

 

208,686 

 

 

206,650 

 

 

205,397 

 

 

205,432 

 

 

183,349 

 

Units outstanding

 

 

 

 

 

 

 

 

 

 

 

Total common shares and units outstanding

 

 

208,686 

 

 

206,650 

 

 

205,397 

 

 

205,432 

 

 

183,349 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Capitalization 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Market value of common equity

 

$

3,478,793 

 

$

3,411,792 

 

$

2,838,583 

 

$

3,067,094 

 

$

2,517,379 

 

Liquidation value of preferred equity - Series D

 

 

115,000 

 

 

115,000 

 

 

115,000 

 

 

115,000 

 

 

115,000 

 

Consolidated debt (3)

 

 

1,324,078 

 

 

1,429,292 

 

 

1,386,492 

 

 

1,392,422 

 

 

1,398,402 

 

Consolidated total capitalization

 

 

4,917,871 

 

 

4,956,084 

 

 

4,340,075 

 

 

4,574,516 

 

 

4,030,781 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Non-controlling interest in consolidated debt

 

 

(56,897)

 

 

(57,074)

 

 

(57,248)

 

 

(57,435)

 

 

(57,650)

 

Pro rata total capitalization

 

$

4,860,974 

 

$

4,899,010 

 

$

4,282,827 

 

$

4,517,081 

 

$

3,973,131 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Consolidated debt to total capitalization

 

 

26.9 

%  

 

28.8 

%  

 

31.9 

%  

 

30.4 

%  

 

34.7 

%  

Pro rata debt to pro rata total capitalization

 

 

26.1 

%  

 

28.0 

%  

 

31.0 

%  

 

29.6 

%  

 

33.7 

%  

Consolidated debt and preferred equity to total capitalization

 

 

29.3 

%  

 

31.2 

%  

 

34.6 

%  

 

33.0 

%  

 

37.5 

%  

Pro rata debt and preferred equity to total capitalization

 

 

28.4 

%  

 

30.4 

%  

 

33.7 

%  

 

32.1 

%  

 

36.6 

%  

 

(1)

Fourth quarter 2014 dividends were paid in a combination of cash and shares of the Company's common stock, pursuant to elections by individual stockholders.

(2)

Reflects shares outstanding at respective dates. Common shares outstanding at June 30, 2014 includes the effects of the Company's direct issuance of 4,034,970 shares to the seller of the Marriott Wailea in July 2014.

(3)

First quarter 2015 includes the effects of the Company's May 1, 2015 repayment of debt secured by four of its hotels: the Marriott Houston, the Marriott Park City, the Marriott Philadelphia and the Marriott Tysons Corner.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

CAPITALIZATION

 

 

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Picture 1159

Supplemental Financial Information
May 4, 2015

Consolidated Debt Summary Schedule

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(In thousands)

 

 

 

Interest Rate /

 

Maturity

 

 

March 31, 2015

 

 

Subsequent

 

 

May 4, 2015

 

 

Balance At

Debt

    

Collateral

    

Spread

    

Date

    

 

Balance

 

 

Event (1)

 

 

Balance

    

 

Maturity

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Fixed Rate Debt

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Secured Mortgage Debt

 

Marriott Houston

 

5.34%

 

05/01/2015

 

$

20,763 

 

$

(20,763)

 

$

 —

 

$

20,706 

Secured Mortgage Debt

 

Marriott Park City

 

5.34%

 

05/01/2015

 

 

13,535 

 

 

(13,535)

 

 

 —

 

 

13,498 

Secured Mortgage Debt

 

Marriott Philadelphia

 

5.34%

 

05/01/2015

 

 

24,525 

 

 

(24,525)

 

 

 —

 

 

24,457 

Secured Mortgage Debt

 

Marriott Tysons Corner

 

5.34%

 

05/01/2015

 

 

40,516 

 

 

(40,516)

 

 

 —

 

 

40,404 

Secured Mortgage Debt

 

Renaissance Harborplace

 

5.13%

 

01/01/2016

 

 

87,985 

 

 

 —

 

 

87,985 

 

 

85,227 

Secured Mortgage Debt

 

Hilton North Houston

 

5.66%

 

03/11/2016

 

 

31,105 

 

 

 —

 

 

31,105 

 

 

30,579 

Secured Mortgage Debt

 

Renaissance Orlando at SeaWorld®

 

5.52%

 

07/01/2016

 

 

75,344 

 

 

 —

 

 

75,344 

 

 

72,418 

Secured Mortgage Debt

 

Embassy Suites Chicago

 

5.58%

 

03/01/2017

 

 

69,075 

 

 

 —

 

 

69,075 

 

 

65,756 

Secured Mortgage Debt

 

Marriott Boston Long Wharf

 

5.58%

 

04/11/2017

 

 

176,000 

 

 

 —

 

 

176,000 

 

 

176,000 

Secured Mortgage Debt

 

Boston Park Plaza

 

4.40%

 

02/01/2018

 

 

115,917 

 

 

 —

 

 

115,917 

 

 

109,813 

Secured Mortgage Debt

 

Hilton Times Square

 

4.97%

 

11/01/2020

 

 

86,321 

 

 

 —

 

 

86,321 

 

 

76,145 

Secured Mortgage Debt

 

Renaissance Washington DC

 

5.95%

 

05/01/2021

 

 

123,678 

 

 

 —

 

 

123,678 

 

 

106,855 

Secured Mortgage Debt

 

JW Marriott New Orleans

 

4.15%

 

12/11/2024

 

 

89,620 

 

 

 —

 

 

89,620 

 

 

72,071 

Secured Mortgage Debt

 

Embassy Suites La Jolla

 

4.12%

 

01/06/2025

 

 

64,809 

 

 

 —

 

 

64,809 

 

 

51,987 

Total Fixed Rate Debt

 

 

 

 

 

 

 

 

1,019,193 

 

 

(99,339)

 

 

919,854 

 

 

945,916 

Secured Mortgage Debt

 

Doubletree Guest Suites Times Square 

 

L + 3.25%

 

10/07/2018

 

 

176,634 

 

 

 —

 

 

176,634 

 

 

167,738 

Secured Mortgage Debt

 

Hilton San Diego Bayfront

 

L + 2.25%

 

08/08/2019

 

 

227,590 

 

 

 —

 

 

227,590 

 

 

213,513 

Credit Facility

 

Unsecured

 

L + 1.55% - 2.30%

 

04/02/2019

 

 

 —

 

 

 —

 

 

 —

 

 

 —

Total Variable Rate Debt

 

 

 

 

 

 

 

 

404,224 

 

 

 —

 

 

404,224 

 

 

381,251 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

TOTAL CONSOLIDATED DEBT

 

 

 

 

 

 

 

$

1,423,417 

 

$

(99,339)

 

$

1,324,078 

 

$

1,327,167 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Preferred Stock

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Series D cumulative redeemable preferred

 

 

 

8.00%

 

perpetual

 

$

115,000 

 

$

 

$

115,000 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Debt Statistics

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

% Fixed Rate Debt

 

 

 

 

 

 

 

 

71.6 

%  

 

 

 

 

69.5 

%  

 

 

% Floating Rate Debt

 

 

 

 

 

 

 

 

28.4 

%  

 

 

 

 

30.5 

%  

 

 

Average Interest Rate (2)

 

 

 

 

 

 

 

 

4.5 

%  

 

 

 

 

4.3 

%  

 

 

Weighted Average Maturity of Debt

 

 

 

 

 

 

 

 

3.8 years

 

 

 

 

 

3.9 years

 

 

 

 

(1)

Subsequent Event includes  the Company's May 1, 2015 repayment of debt secured by four of its hotels (the Marriott Houston, the Marriott Park City, the Marriott Philadelphia and the Marriott Tysons Corner), and excludes scheduled loan amortization payments on the Company's remaining debt.

(2)

Average Interest Rate on variable-rate debt obligations is calculated based on the variable rates at March 31, 2015, and includes the effect of the Company's interest rate derivative agreements.

 

 

 

 

 

 

 

 

 

 

 

CAPITALIZATION

 

 

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Picture 1169

Supplemental Financial Information
May 4, 2015

Consolidated Amortization and Debt Maturity Schedule

Picture 5

(1)

Principal Payment at Maturity and Scheduled Principal Amortization excludes the Company's debt secured by the Marriott Houston, the Marriott Park City, the Marriott Philadelphia and the Marriott Tysons Corner due to its repayment on May 1, 2015.

(2)

Percent of Current Total Capitalization is calculated by dividing the sum of scheduled principal amortization and maturity payments by the March  31, 2015 consolidated total capitalization as presented on page 21.

 

 

 

 

 

 

 

 

 

 

CAPITALIZATION

 

 

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Picture 1179

Supplemental Financial Information
May 4, 2015

 

PROPERTY-LEVEL DATA

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

PROPERTY LEVEL DATA

 

 

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Supplemental Financial Information
May 4, 2015

Property-Level Data

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Hotel

    

Location

    

Brand

    

Number of
Rooms

    

% of Total
Rooms

    

Ownership
Interest

    

Interest

    

Leasehold
Maturity (1)

    

Year Acquired

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

  

Hilton San Diego Bayfront

 

California

 

Hilton

 

1,190 

 

8.32% 

 

75% 

 

Leasehold

 

2071

 

2011

 

Boston Park Plaza

 

Massachusetts

 

Independent

 

1,054 

 

7.37% 

 

100% 

 

Fee Simple

 

 

 

2013

 

Renaissance Washington DC

 

Washington DC

 

Marriott

 

807 

 

5.64% 

 

100% 

 

Fee Simple

 

 

 

2005

 

Hyatt Regency San Francisco

 

California

 

Hyatt

 

804 

 

5.61% 

 

100% 

 

Fee Simple

 

 

 

2013

 

Renaissance Orlando at SeaWorld® (2)

 

Florida

 

Marriott

 

781 

 

5.46% 

 

100% 

 

Fee Simple

 

 

 

2005

 

Renaissance Harborplace

 

Maryland

 

Marriott

 

622 

 

4.35% 

 

100% 

 

Leasehold

 

2085

 

2005

 

Marriott Wailea

 

 

Hawaii

 

Marriott

 

541 

 

3.78% 

 

100% 

 

Fee Simple

 

 

 

2014

 

Renaissance Los Angeles Airport

 

California

 

Marriott

 

501 

 

3.50% 

 

100% 

 

Fee Simple

 

 

 

2007

 

JW Marriott New Orleans (3)

 

Louisiana

 

Marriott

 

496 

 

3.47% 

 

100% 

 

Leasehold

 

2081

 

2011

10 

 

Hilton North Houston

 

Texas

 

Hilton

 

480 

 

3.36% 

 

100% 

 

Fee Simple

 

 

 

2002

11 

 

Doubletree Guest Suites Times Square

 

New York

 

Hilton

 

468 

 

3.27% 

 

100% 

 

Leasehold

 

2127

 

2011

12 

 

Marriott Quincy

 

Massachusetts

 

Marriott

 

464 

 

3.24% 

 

100% 

 

Fee Simple

 

 

 

2007

13 

 

Hilton Times Square

 

New York

 

Hilton

 

460 

 

3.22% 

 

100% 

 

Leasehold

 

2091

 

2006

14 

 

Fairmont Newport Beach

 

California

 

Fairmont

 

444 

 

3.10% 

 

100% 

 

Fee Simple

 

 

 

2005

15 

 

Hyatt Chicago Magnificent Mile

 

Illinois

 

Hyatt

 

419 

 

2.93% 

 

100% 

 

Leasehold

 

2097

 

2012

16 

 

Marriott Boston Long Wharf

 

Massachusetts

 

Marriott

 

412 

 

2.88% 

 

100% 

 

Fee Simple

 

 

 

2007

17 

 

Hyatt Regency Newport Beach

 

California

 

Hyatt

 

407 

 

2.85% 

 

100% 

 

Leasehold

 

2048

 

2002

18 

 

Marriott Tysons Corner

 

Virginia

 

Marriott

 

396 

 

2.77% 

 

100% 

 

Fee Simple

 

 

 

2002

19 

 

Marriott Houston

 

Texas

 

Marriott

 

390 

 

2.73% 

 

100% 

 

Fee Simple

 

 

 

2002

20 

 

Renaissance Long Beach

 

California

 

Marriott

 

374 

 

2.61% 

 

100% 

 

Fee Simple

 

 

 

2005

21 

 

Embassy Suites Chicago

 

Illinois

 

Hilton

 

368 

 

2.57% 

 

100% 

 

Fee Simple

 

 

 

2002

22 

 

Hilton Garden Inn Chicago Downtown/Magnificent Mile

 

Illinois

 

Hilton

 

361 

 

2.52% 

 

100% 

 

Fee Simple

 

 

 

2012

23 

 

Renaissance Westchester

 

New York

 

Marriott

 

348 

 

2.43% 

 

100% 

 

Fee Simple

 

 

 

2010

24 

 

Embassy Suites La Jolla

 

California

 

Hilton

 

340 

 

2.38% 

 

100% 

 

Fee Simple

 

 

 

2006

25 

 

Marriott Philadelphia

 

Pennsylvania

 

Marriott

 

289 

 

2.02% 

 

100% 

 

Fee Simple

 

 

 

2002

26 

 

Hilton New Orleans St. Charles

 

Louisiana

 

Hilton

 

252 

 

1.76% 

 

100% 

 

Fee Simple

 

 

 

2013

27 

 

Marriott Portland

 

Oregon

 

Marriott

 

249 

 

1.74% 

 

100% 

 

Fee Simple

 

 

 

2000

28 

 

Sheraton Cerritos

 

California

 

Sheraton

 

203 

 

1.42% 

 

100% 

 

Leasehold

 

2087

 

2005

29 

 

Marriott Park City

 

Utah

 

Marriott

 

199 

 

1.39% 

 

100% 

 

Fee Simple

 

 

 

1999

30 

 

Courtyard by Marriott Los Angeles

 

California

 

Marriott

 

187 

 

1.31% 

 

100% 

 

Leasehold

 

2096

 

1999

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total portfolio

 

 

 

 

 

14,306 

 

100% 

 

 

 

 

 

 

 

 

 

(1)

Assumes the full exercise of all lease extensions.

(2)

Reflects 100% economic interest in the Renaissance Orlando at SeaWorld®.

(3)

Hotel is subject to a ground lease that expires in 2081.  In addition, it is also subject to a municipal air rights lease that matures in 2044 that applies only to certain balcony space and is not integral to the hotel operation.

 

 

 

 

 

 

 

 

 

 

 

PROPERTY LEVEL DATA

 

 

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Supplemental Financial Information
May 4, 2015

 

PROPERTY-LEVEL OPERATING STATISTICS

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

PROPERTY-LEVEL OPERATING STATISTICS

 

 

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Supplemental Financial Information
May 4, 2015

Property-Level Operating Statistics

Q1 2015/2014

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Hotels sorted by number of rooms

 

ADR

 

Occupancy

 

RevPAR

 

 

 

 

 

For the Three Months Ended March 31,

 

For the Three Months Ended March 31,

 

For the Three Months Ended March 31,

 

 

 

 

    

2015

    

2014

    

Variance

    

2015

    

2014

    

Variance

    

2015

    

2014

    

Variance

 

  

Hilton San Diego Bayfront

 

 

$

226.63 

 

$

211.36 

 

7.2% 

 

88.8% 

 

88.8% 

 

0.0% 

 

$

201.25 

 

$

187.69 

 

7.2% 

 

 

Boston Park Plaza (1)

 

 

$

139.07 

 

$

119.50 

 

16.4% 

 

57.0% 

 

73.0% 

 

-21.9%

 

$

79.27 

 

$

87.24 

 

-9.1%

 

 

Renaissance Washington DC

 

 

$

219.22 

 

$

214.03 

 

2.4% 

 

74.6% 

 

76.6% 

 

-2.6%

 

$

163.54 

 

$

163.95 

 

-0.2%

 

 

Hyatt Regency San Francisco (1)

 

 

$

273.43 

 

$

255.75 

 

6.9% 

 

85.0% 

 

69.7% 

 

22.0% 

 

$

232.42 

 

$

178.26 

 

30.4% 

 

 

Renaissance Orlando at SeaWorld ®

 

 

$

175.78 

 

$

168.30 

 

4.4% 

 

78.4% 

 

81.4% 

 

-3.7%

 

$

137.81 

 

$

137.00 

 

0.6% 

 

 

Renaissance Harborplace

 

 

$

144.64 

 

$

149.77 

 

-3.4%

 

69.8% 

 

59.7% 

 

16.9% 

 

$

100.96 

 

$

89.41 

 

12.9% 

 

 

Marriott Wailea

 

 

$

308.02 

 

$

279.35 

 

10.3% 

 

94.0% 

 

94.2% 

 

-0.2%

 

$

289.54 

 

$

263.15 

 

10.0% 

 

 

Renaissance Los Angeles Airport

 

 

$

142.75 

 

$

124.36 

 

14.8% 

 

88.4% 

 

92.2% 

 

-4.1%

 

$

126.19 

 

$

114.66 

 

10.1% 

 

 

JW Marriott New Orleans 

 

 

$

215.73 

 

$

216.10 

 

-0.2%

 

86.3% 

 

81.5% 

 

5.9% 

 

$

186.17 

 

$

176.12 

 

5.7% 

 

10 

 

Hilton North Houston

 

 

$

118.28 

 

$

118.78 

 

-0.4%

 

85.6% 

 

85.0% 

 

0.7% 

 

$

101.25 

 

$

100.96 

 

0.3% 

 

11 

 

Doubletree Guest Suites Times Square

 

 

$

239.16 

 

$

258.62 

 

-7.5%

 

95.9% 

 

94.7% 

 

1.3% 

 

$

229.35 

 

$

244.91 

 

-6.4%

 

12 

 

Marriott Quincy

 

 

$

145.91 

 

$

141.99 

 

2.8% 

 

60.8% 

 

61.6% 

 

-1.3%

 

$

88.71 

 

$

87.47 

 

1.4% 

 

13 

 

Hilton Times Square

 

 

$

226.44 

 

$

244.51 

 

-7.4%

 

99.4% 

 

99.2% 

 

0.2% 

 

$

225.08 

 

$

242.55 

 

-7.2%

 

14 

 

Fairmont Newport Beach

 

 

$

157.73 

 

$

148.10 

 

6.5% 

 

79.4% 

 

79.6% 

 

-0.3%

 

$

125.24 

 

$

117.89 

 

6.2% 

 

15 

 

Hyatt Chicago Magnificent Mile

 

 

$

145.42 

 

$

137.08 

 

6.1% 

 

65.7% 

 

50.0% 

 

31.4% 

 

$

95.54 

 

$

68.54 

 

39.4% 

 

16 

 

Marriott Boston Long Wharf

 

 

$

246.54 

 

$

221.82 

 

11.1% 

 

78.5% 

 

80.2% 

 

-2.1%

 

$

193.53 

 

$

177.90 

 

8.8% 

 

17 

 

Hyatt Regency Newport Beach

 

 

$

156.97 

 

$

148.40 

 

5.8% 

 

83.9% 

 

85.0% 

 

-1.3%

 

$

131.70 

 

$

126.14 

 

4.4% 

 

18 

 

Marriott Tysons Corner

 

 

$

150.98 

 

$

149.89 

 

0.7% 

 

73.6% 

 

71.0% 

 

3.7% 

 

$

111.12 

 

$

106.42 

 

4.4% 

 

19 

 

Marriott Houston

 

 

$

125.84 

 

$

120.73 

 

4.2% 

 

82.5% 

 

80.7% 

 

2.2% 

 

$

103.82 

 

$

97.43 

 

6.6% 

 

20 

 

Renaissance Long Beach (1)

 

 

$

166.84 

 

$

149.72 

 

11.4% 

 

78.6% 

 

67.0% 

 

17.3% 

 

$

131.14 

 

$

100.31 

 

30.7% 

 

21 

 

Embassy Suites Chicago

 

 

$

149.10 

 

$

134.02 

 

11.3% 

 

81.9% 

 

77.0% 

 

6.4% 

 

$

122.11 

 

$

103.20 

 

18.3% 

 

22 

 

Hilton Garden Inn Chicago Downtown/Magnificent Mile (1)

 

 

$

131.05 

 

$

114.36 

 

14.6% 

 

69.5% 

 

56.1% 

 

23.9% 

 

$

91.08 

 

$

64.16 

 

42.0% 

 

23 

 

Renaissance Westchester

 

 

$

137.63 

 

$

138.39 

 

-0.5%

 

70.5% 

 

66.3% 

 

6.3% 

 

$

97.03 

 

$

91.75 

 

5.8% 

 

24 

 

Embassy Suites La Jolla

 

 

$

171.99 

 

$

162.34 

 

5.9% 

 

84.6% 

 

83.7% 

 

1.1% 

 

$

145.50 

 

$

135.88 

 

7.1% 

 

25 

 

Marriott Philadelphia

 

 

$

161.90 

 

$

159.73 

 

1.4% 

 

64.6% 

 

66.7% 

 

-3.1%

 

$

104.59 

 

$

106.54 

 

-1.8%

 

26 

 

Hilton New Orleans St. Charles

 

 

$

194.00 

 

$

190.53 

 

1.8% 

 

86.3% 

 

80.2% 

 

7.6% 

 

$

167.42 

 

$

152.81 

 

9.6% 

 

27 

 

Marriott Portland

 

 

$

173.59 

 

$

150.17 

 

15.6% 

 

81.5% 

 

81.4% 

 

0.1% 

 

$

141.48 

 

$

122.24 

 

15.7% 

 

28 

 

Sheraton Cerritos

 

 

$

135.10 

 

$

125.39 

 

7.7% 

 

91.5% 

 

92.7% 

 

-1.3%

 

$

123.62 

 

$

116.24 

 

6.3% 

 

29 

 

Marriott Park City

 

 

$

233.55 

 

$

221.22 

 

5.6% 

 

83.0% 

 

83.0% 

 

0.0% 

 

$

193.85 

 

$

183.61 

 

5.6% 

 

30 

 

Courtyard by Marriott Los Angeles

 

 

$

156.21 

 

$

151.08 

 

3.4% 

 

94.0% 

 

97.5% 

 

-3.6%

 

$

146.84 

 

$

147.30 

 

-0.3%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Actual/Comparable Portfolio (2)

 

$

188.59 

 

$

179.10 

 

5.3% 

 

79.6% 

 

78.3% 

 

1.7% 

 

$

150.12 

 

$

140.24 

 

7.0% 

 

 

(1)

Operating statistics for the first quarter 2015 are impacted by a major renovation at the Boston Park Plaza. Operating statistics for the first quarter of 2014 are impacted by major renovations at the following hotels: the Hilton Garden Inn Chicago Downtown/Magnificent Mile; the Hyatt Regency San Francisco; and the Renaissance Long Beach.

(2)

Actual/Comparable Portfolio includes all 30 hotels held for investment by the Company as of March 31, 2015. Includes prior ownership results as applicable for the Marriott Wailea acquired July 17, 2014. Operating statistics for the first quarter of 2014 have been adjusted to conform to the industry's Uniform System of Accounts for the Lodging Industry, Eleventh Revised Edition, which became effective January 1, 2015.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

PROPERTY-LEVEL OPERATING STATISTICS

 

 

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Supplemental Financial Information
May 4, 2015

 

OPERATING STATISTICS BY BRAND & GEOGRAPHY

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

OPERATING STATISTICS BY BRAND & GEOGRAPHY

 

 

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Supplemental Financial Information
May 4, 2015

Comparable Portfolio Operating Statistics by Brand
Q1 2015/2014

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

For the Three Months Ended March 31,

 

 

 

 

 

2015

 

2014

 

 

 

 

    

# of Hotels

    

Occ

    

ADR

    

RevPAR

    

Occ

    

ADR

    

RevPAR

    

RevPAR Change

 

Marriott (1)

 

16 

 

78.2% 

 

$

187.49 

 

$

146.62 

 

77.0% 

 

$

178.62 

 

$

137.62 

 

6.5% 

 

Hilton

 

 

87.6% 

 

$

194.82 

 

$

170.66 

 

85.2% 

 

$

192.94 

 

$

164.34 

 

3.8% 

 

Hyatt

 

 

79.8% 

 

$

215.73 

 

$

172.15 

 

68.5% 

 

$

200.13 

 

$

137.02 

 

25.6% 

 

Other (2)

 

 

67.0% 

 

$

144.19 

 

$

96.61 

 

77.1% 

 

$

128.06 

 

$

98.74 

 

-2.2%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Actual/Comparable Portfolio (3)

 

30 

 

79.6% 

 

$

188.59 

 

$

150.12 

 

78.3% 

 

$

179.10 

 

$

140.24 

 

7.0% 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(1)

Marriott includes prior ownership results for the Marriott Wailea acquired July 17, 2014.

(2)

Other includes the Fairmont Newport Beach, the Sheraton Cerritos and the Boston Park Plaza.

(3)

Actual/Comparable Portfolio includes all 30 hotels held for investment by the Company as of March 31, 2015. Includes prior ownership results as applicable for the Marriott Wailea acquired July 17, 2014. Operating statistics for the first quarter of 2014 have been adjusted to conform to the industry's Uniform System of Accounts for the Lodging Industry, Eleventh Revised Edition, which became effective January 1, 2015.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

OPERATING STATISTICS BY BRAND & GEOGRAPHY

 

 

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Supplemental Financial Information
May 4, 2015

Comparable Portfolio Property-Level Trailing 12 Month EBITDA Contribution by Brand

Picture 6

Note: Includes 30 hotel Comparable Portfolio

 

 

 

 

 

 

 

 

 

 

 

 

 

OPERATING STATISTICS BY BRAND & GEOGRAPHY

 

 

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Supplemental Financial Information
May 4, 2015

Comparable Portfolio Operating Statistics by Region
Q1 2015/2014

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

For the Three Months Ended March 31,

 

 

 

 

 

2015

 

2014

 

 

 

 

    

# of Hotels

    

Occ

    

 

ADR

    

 

RevPAR

    

Occ

    

 

ADR

    

 

RevPAR

    

RevPAR Change

 

California

 

 

85.9% 

 

$

196.29 

 

$

168.61 

 

82.8% 

 

$

179.89 

 

$

148.95 

 

13.2% 

 

Other West (1)

 

 

86.6% 

 

$

198.58 

 

$

171.97 

 

86.1% 

 

$

184.99 

 

$

159.28 

 

8.0% 

 

Midwest

 

 

72.1% 

 

$

142.40 

 

$

102.67 

 

60.6% 

 

$

129.26 

 

$

78.33 

 

31.1% 

 

East

 

13 

 

74.9% 

 

$

187.18 

 

$

140.20 

 

76.2% 

 

$

183.36 

 

$

139.72 

 

0.3% 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Actual/Comparable Portfolio (2)

 

30 

 

79.6% 

 

$

188.59 

 

$

150.12 

 

78.3% 

 

$

179.10 

 

$

140.24 

 

7.0% 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(1)

Other West includes prior ownership results for the Marriott Wailea acquired July 17, 2014.

(2)

Actual/Comparable Portfolio includes all 30 hotels held for investment by the Company as of March 31, 2015. Includes prior ownership results as applicable for the Marriott Wailea acquired July 17, 2014. Operating statistics for the first quarter of 2014 have been adjusted to conform to the industry's Uniform System of Accounts for the Lodging Industry, Eleventh Revised Edition, which became effective January 1, 2015.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

OPERATING STATISTICS BY BRAND & GEOGRAPHY

 

 

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Supplemental Financial Information
May 4, 2015

 

PROPERTY-LEVEL EBITDA & EBITDA MARGINS

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

PROPERTY-LEVEL EBITDA & EBITDA MARGINS

 

 

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Supplemental Financial Information
May 4, 2015

Property-Level EBITDA
Q1 2015/2014

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Hotels sorted by number of rooms

 

 

For the Three Months Ended March 31,

 

 

 

(In thousands)

 

 

2015

 

 

2014

 

 

 

 

 

    

 

Hotel EBITDA (2)

    

 

Hotel EBITDA (2)

% Change

 

1

  

Hilton San Diego Bayfront (1) (4)

 

$

14,051 

 

$

14,903 

-6%

 

2

 

Boston Park Plaza (3)

 

 

(1,704)

 

 

(836)

-104%

 

3

 

Renaissance Washington DC

 

 

4,900 

 

 

5,213 

-6%

 

4

 

Hyatt Regency San Francisco (4)

 

 

5,443 

 

 

1,474 
269% 

 

5

 

Renaissance Orlando at SeaWorld ®

 

 

7,818 

 

 

7,011 
12% 

 

6

 

Renaissance Harborplace

 

 

1,401 

 

 

1,312 
7% 

 

7

 

Marriott Wailea

 

 

7,809 

 

 

6,821 
14% 

 

8

 

Renaissance Los Angeles Airport

 

 

1,799 

 

 

1,712 
5% 

 

9

 

JW Marriott New Orleans

 

 

4,234 

 

 

4,234 
0% 

 

10

 

Hilton North Houston (3)

 

 

1,936 

 

 

1,905 
2% 

 

11

 

Doubletree Guest Suites Times Square (1)

 

 

1,191 

 

 

1,923 

-38%

 

12

 

Marriott Quincy

 

 

1,012 

 

 

693 
46% 

 

13

 

Hilton Times Square

 

 

909 

 

 

1,784 

-49%

 

14

 

Fairmont Newport Beach (4)

 

 

2,159 

 

 

1,758 
23% 

 

15

 

Hyatt Chicago Magnificent Mile

 

 

(670)

 

 

(1,307)
49% 

 

16

 

Marriott Boston Long Wharf

 

 

2,953 

 

 

2,349 
26% 

 

17

 

Hyatt Regency Newport Beach

 

 

2,215 

 

 

1,691 
31% 

 

18

 

Marriott Tysons Corner

 

 

1,532 

 

 

1,551 

-1%

 

19

 

Marriott Houston (3)

 

 

1,439 

 

 

1,308 
10% 

 

20

 

Renaissance Long Beach (4)

 

 

1,897 

 

 

893 
112% 

 

21

 

Embassy Suites Chicago (4)

 

 

1,009 

 

 

615 
64% 

 

22

 

Hilton Garden Inn Chicago Downtown/Magnificent Mile (4)

 

 

320 

 

 

(341)
194% 

 

23

 

Renaissance Westchester

 

 

330 

 

 

173 
91% 

 

24

 

Embassy Suites La Jolla

 

 

2,232 

 

 

1,953 
14% 

 

25

 

Marriott Philadelphia

 

 

710 

 

 

590 
20% 

 

26

 

Hilton New Orleans St. Charles

 

 

1,799 

 

 

1,740 
3% 

 

27

 

Marriott Portland

 

 

1,596 

 

 

1,338 
19% 

 

28

 

Sheraton Cerritos

 

 

909 

 

 

837 
9% 

 

29

 

Marriott Park City

 

 

1,981 

 

 

1,847 
7% 

 

30

 

Courtyard by Marriott Los Angeles

 

 

1,019 

 

 

988 
3% 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Actual/Comparable Portfolio (5)

 

$

74,229 

 

$

66,132 
12% 

 

 

*Footnotes on page 34

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

PROPERTY-LEVEL EBITDA & EBITDA MARGINS

 

 

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Supplemental Financial Information
May 4, 2015

Property-Level EBITDA
Q1 2015/2014 Footnotes

 

(1)

Reflects 100% ownership.

(2)

Reconciliations to Net Income (Loss) provided on pages 37 and 38.

(3)

Hotel EBITDA for the first quarter of 2015 is impacted by a major renovation at the Boston Park Plaza, and by a total of $0.2 million in non-current year property tax credits, net of appeal fees, received at the following hotels: the Marriott Houston $84,000; and the Hilton North Houston $104,000.

(4)

Hotel EBITDA for the first quarter of 2014 is impacted by major renovations at the following hotels: the Hilton Garden Inn Chicago Downtown/Magnificent Mile; the Hyatt Regency San Francisco; and the Renaissance Long Beach. Hotel EBITDA for the first quarter of 2014 is also impacted by a total of $2.9 million in non-current year property tax credits, net of appeal fees, received at the following hotels: the Embassy Suites Chicago $12,000; the Fairmont Newport Beach $83,000; and the Hilton San Diego Bayfront $2.8 million.

(5)

Actual/Comparable Portfolio includes all 30 hotels held for investment by the Company as of March 31, 2015. Data for the three months ended March 31, 2014 has been adjusted to conform to the industry's Uniform System of Accounts for the Lodging Industry, Eleventh Revised Edition, which became effective January 1, 2015.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

PROPERTY-LEVEL EBITDA & EBITDA MARGINS

 

 

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Supplemental Financial Information
May 4, 2015

Property-Level EBITDA Margins
Q1  2015/2014

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Hotels sorted by number of rooms

 

 

For the Three Months Ended March 31,

 

 

 

 

 

 

2015 Hotel EBITDA

 

 

2014 Hotel EBITDA

Change in

 

 

 

 

    

 

Margin

    

 

Margin

bps

 

1

  

Hilton San Diego Bayfront (1) (3)

 

 

37.9% 

 

 

44.7% 

(680) bps

 

2

 

Boston Park Plaza (2)

 

 

-19.7%

 

 

-7.5%

(1,220) bps

 

3

 

Renaissance Washington DC

 

 

25.9% 

 

 

26.8% 

(90) bps

 

4

 

Hyatt Regency San Francisco (3)

 

 

22.6% 

 

 

8.3% 

1,430 bps

 

5

 

Renaissance Orlando at SeaWorld ®

 

 

37.8% 

 

 

35.3% 

250 bps

 

6

 

Renaissance Harborplace

 

 

15.5% 

 

 

15.8% 

(30) bps

 

7

 

Marriott Wailea

 

 

41.0% 

 

 

39.0% 

200 bps

 

8

 

Renaissance Los Angeles Airport

 

 

23.6% 

 

 

23.7% 

(10) bps

 

9

 

JW Marriott New Orleans

 

 

38.4% 

 

 

41.3% 

(290) bps

 

10

 

Hilton North Houston (2)

 

 

29.1% 

 

 

27.4% 

170 bps

 

11

 

Doubletree Guest Suites Times Square (1)

 

 

9.8% 

 

 

15.4% 

(560) bps

 

12

 

Marriott Quincy

 

 

17.4% 

 

 

12.2% 

520 bps

 

13

 

Hilton Times Square

 

 

8.5% 

 

 

15.8% 

(730) bps

 

14

 

Fairmont Newport Beach (3)

 

 

25.8% 

 

 

23.6% 

220 bps

 

15

 

Hyatt Chicago Magnificent Mile

 

 

-12.3%

 

 

-33.2%

2,090 bps

 

16

 

Marriott Boston Long Wharf

 

 

27.5% 

 

 

23.2% 

430 bps

 

17

 

Hyatt Regency Newport Beach

 

 

25.4% 

 

 

20.9% 

450 bps

 

18

 

Marriott Tysons Corner

 

 

28.7% 

 

 

30.6% 

(190) bps

 

19

 

Marriott Houston (2)

 

 

31.4% 

 

 

27.9% 

350 bps

 

20

 

Renaissance Long Beach (3)

 

 

29.3% 

 

 

17.9% 

1,140 bps

 

21

 

Embassy Suites Chicago (3)

 

 

20.6% 

 

 

14.6% 

600 bps

 

22

 

Hilton Garden Inn Chicago Downtown/Magnificent Mile (3)

 

 

9.6% 

 

 

-14.2%

2,380 bps

 

23

 

Renaissance Westchester

 

 

7.1% 

 

 

4.1% 

300 bps

 

24

 

Embassy Suites La Jolla

 

 

42.1% 

 

 

40.1% 

200 bps

 

25

 

Marriott Philadelphia

 

 

17.4% 

 

 

14.1% 

330 bps

 

26

 

Hilton New Orleans St. Charles

 

 

41.6% 

 

 

44.3% 

(270) bps

 

27

 

Marriott Portland

 

 

41.4% 

 

 

39.6% 

180 bps

 

28

 

Sheraton Cerritos

 

 

27.3% 

 

 

26.7% 

60 bps

 

29

 

Marriott Park City

 

 

44.6% 

 

 

42.1% 

250 bps

 

30

 

Courtyard by Marriott Los Angeles

 

 

34.6% 

 

 

33.8% 

80 bps

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Actual/Comparable Portfolio (4)

 

 

26.3% 

 

 

25.1% 

120 bps

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Adjusted Actual/Comparable Portfolio (5)

 

 

26.2% 

 

 

24.0% 

220 bps

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

*Footnotes on page 36

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

PROPERTY-LEVEL EBITDA & EBITDA MARGINS

 

 

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Picture 1309

Supplemental Financial Information
May 4, 2015

 

Property-Level EBITDA Margins
Q1 2015/2014 Footnotes

(1)

Reflects 100% ownership.

(2)

Hotel EBITDA for the first quarter of 2015 is impacted by a major renovation at the Boston Park Plaza, and by a total of $0.2 million in non-current year property tax credits, net of appeal fees, received at the following hotels: the Marriott Houston $84,000; and the Hilton North Houston $104,000.

(3)

Hotel EBITDA for the first quarter of 2014 is impacted by major renovations at the following hotels: the Hilton Garden Inn Chicago Downtown/Magnificent Mile; the Hyatt Regency San Francisco; and the Renaissance Long Beach. Hotel EBITDA for the first quarter of 2014 is also impacted by a total of $2.9 million in non-current year property tax credits, net of appeal fees, received at the following hotels: the Embassy Suites Chicago $12,000; the Fairmont Newport Beach $83,000; and the Hilton San Diego Bayfront $2.8 million.

(4)

Actual/Comparable Portfolio includes all 30 hotels held for investment by the Company as of March 31, 2015. Data for the three months ended March 31, 2014 has been adjusted to conform to the industry's Uniform System of Accounts for the Lodging Industry, Eleventh Revised Edition, which became effective January 1, 2015

(5)

Adjusted Actual/Comparable Portfolio represents the 30 hotel Actual/Comparable Portfolio adjusted to exclude the non-current year property tax related items noted in Footnotes 2 and 3 above. Excluding these non-current year property tax items, Actual/Comparable Portfolio EBITDA margins would have been 26.2% and 24.0% for the three months ended March 31, 2015 and 2014, respectively.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

PROPERTY-LEVEL EBITDA & EBITDA MARGINS

 

 

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Supplemental Financial Information
May 4, 2015

 

Property-Level EBITDA Reconciliation Q1 2015

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Hotels sorted by number of rooms

 

 

For the Three Months Ended March 31, 2015

 

 

 

(In thousands)

 

 

 

 

 

Plus:

 

Plus:

 

Plus:

 

Equals:

 

Hotel

 

 

 

 

 

Total

 

Net Income /

 

Other

 

 

 

 

 

Hotel

 

EBITDA

 

 

 

 

    

Revenues

    

(Loss)

    

Adjustments (2)

    

Depreciation

    

Interest Expense

    

EBITDA

    

Margins

 

1

  

Hilton San Diego Bayfront (1)

 

$

37,112 

 

$

8,703 

 

$

450 

 

$

3,388 

 

$

1,510 

 

$

14,051 

 

37.9% 

 

2

 

Boston Park Plaza (3)

 

 

8,637 

 

 

(6,364)

 

 

 —

 

 

3,369 

 

 

1,291 

 

 

(1,704)

 

-19.7%

 

3

 

Renaissance Washington DC

 

 

18,931 

 

 

641 

 

 

 —

 

 

2,393 

 

 

1,866 

 

 

4,900 

 

25.9% 

 

4

 

Hyatt Regency San Francisco

 

 

24,053 

 

 

2,449 

 

 

 —

 

 

2,994 

 

 

 —

 

 

5,443 

 

22.6% 

 

5

 

Renaissance Orlando at SeaWorld ®

 

 

20,670 

 

 

4,514 

 

 

 —

 

 

2,256 

 

 

1,048 

 

 

7,818 

 

37.8% 

 

6

 

Renaissance Harborplace

 

 

9,058 

 

 

(1,469)

 

 

 —

 

 

1,717 

 

 

1,153 

 

 

1,401 

 

15.5% 

 

7

 

Marriott Wailea

 

 

19,065 

 

 

5,344 

 

 

 —

 

 

2,465 

 

 

 —

 

 

7,809 

 

41.0% 

 

8

 

Renaissance Los Angeles Airport

 

 

7,616 

 

 

1,120 

 

 

 —

 

 

679 

 

 

 —

 

 

1,799 

 

23.6% 

 

9

 

JW Marriott New Orleans

 

 

11,037 

 

 

1,944 

 

 

 

 

1,343 

 

 

946 

 

 

4,234 

 

38.4% 

 

10

 

Hilton North Houston (3)

 

 

6,657 

 

 

570 

 

 

 —

 

 

915 

 

 

451 

 

 

1,936 

 

29.1% 

 

11

 

Doubletree Guest Suites Times Square (1)

 

 

12,125 

 

 

(3,064)

 

 

994 

 

 

1,583 

 

 

1,678 

 

 

1,191 

 

9.8% 

 

12

 

Marriott Quincy

 

 

5,809 

 

 

(107)

 

 

 —

 

 

1,119 

 

 

 —

 

 

1,012 

 

17.4% 

 

13

 

Hilton Times Square

 

 

10,683 

 

 

(2,918)

 

 

87 

 

 

2,526 

 

 

1,214 

 

 

909 

 

8.5% 

 

14

 

Fairmont Newport Beach

 

 

8,372 

 

 

1,026 

 

 

 —

 

 

1,133 

 

 

 —

 

 

2,159 

 

25.8% 

 

15

 

Hyatt Chicago Magnificent Mile

 

 

5,440 

 

 

(2,156)

 

 

 —

 

 

1,486 

 

 

 —

 

 

(670)

 

-12.3%

 

16

 

Marriott Boston Long Wharf

 

 

10,737 

 

 

(1,607)

 

 

 —

 

 

2,101 

 

 

2,459 

 

 

2,953 

 

27.5% 

 

17

 

Hyatt Regency Newport Beach

 

 

8,724 

 

 

1,351 

 

 

 —

 

 

864 

 

 

 —

 

 

2,215 

 

25.4% 

 

18

 

Marriott Tysons Corner

 

 

5,330 

 

 

186 

 

 

 —

 

 

797 

 

 

549 

 

 

1,532 

 

28.7% 

 

19

 

Marriott Houston (3)

 

 

4,578 

 

 

578 

 

 

 —

 

 

579 

 

 

282 

 

 

1,439 

 

31.4% 

 

20

 

Renaissance Long Beach

 

 

6,479 

 

 

1,116 

 

 

 —

 

 

781 

 

 

 —

 

 

1,897 

 

29.3% 

 

21

 

Embassy Suites Chicago

 

 

4,894 

 

 

(878)

 

 

 —

 

 

914 

 

 

973 

 

 

1,009 

 

20.6% 

 

22

 

Hilton Garden Inn Chicago Downtown/Magnificent Mile

 

 

3,343 

 

 

(410)

 

 

 —

 

 

730 

 

 

 —

 

 

320 

 

9.6% 

 

23

 

Renaissance Westchester

 

 

4,668 

 

 

(509)

 

 

 —

 

 

839 

 

 

 —

 

 

330 

 

7.1% 

 

24

 

Embassy Suites La Jolla

 

 

5,302 

 

 

671 

 

 

 —

 

 

881 

 

 

680 

 

 

2,232 

 

42.1% 

 

25

 

Marriott Philadelphia

 

 

4,080 

 

 

(103)

 

 

 —

 

 

479 

 

 

334 

 

 

710 

 

17.4% 

 

26

 

Hilton New Orleans St. Charles

 

 

4,326 

 

 

1,406 

 

 

 —

 

 

393 

 

 

 —

 

 

1,799 

 

41.6% 

 

27

 

Marriott Portland

 

 

3,855 

 

 

1,189 

 

 

 —

 

 

407 

 

 

 —

 

 

1,596 

 

41.4% 

 

28

 

Sheraton Cerritos

 

 

3,324 

 

 

493 

 

 

 —

 

 

416 

 

 

 —

 

 

909 

 

27.3% 

 

29

 

Marriott Park City

 

 

4,439 

 

 

1,343 

 

 

 —

 

 

453 

 

 

185 

 

 

1,981 

 

44.6% 

 

30

 

Courtyard by Marriott Los Angeles

 

 

2,944 

 

 

709 

 

 

 —

 

 

310 

 

 

 —

 

 

1,019 

 

34.6% 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Actual/Comparable Portfolio (4)

 

$

282,288 

 

$

15,768 

 

$

1,532 

 

$

40,310 

 

$

16,619 

 

$

74,229 

 

26.3% 

 

*Footnotes on page 39

 

 

 

 

 

 

 

 

 

 

 

 

 

PROPERTY-LEVEL EBITDA & EBITDA MARGINS

 

 

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Picture 1329

Supplemental Financial Information
May 4, 2015

Property-Level EBITDA Reconciliation Q1 2014

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Hotels sorted by number of rooms

 

 

For the Three Months Ended March 31, 2014

 

 

 

(In thousands)

 

 

 

 

 

Plus:

 

Plus:

 

Plus:

 

Equals:

 

Hotel

 

 

 

 

 

Total

 

Net Income /

 

Other

 

 

 

 

 

Hotel

 

EBITDA

 

 

 

 

    

Revenues

    

(Loss)

    

Adjustments (5)

    

Depreciation

    

Interest Expense

    

EBITDA

    

Margins

 

1

  

Hilton San Diego Bayfront (1) (3)

 

$

33,351 

 

$

8,902 

 

$

450 

 

$

3,285 

 

$

2,266 

 

$

14,903 

 

44.7% 

 

2

 

Boston Park Plaza

 

 

11,154 

 

 

(5,005)

 

 

 —

 

 

2,856 

 

 

1,313 

 

 

(836)

 

-7.5%

 

3

 

Renaissance Washington DC

 

 

19,419 

 

 

909 

 

 

 —

 

 

2,405 

 

 

1,899 

 

 

5,213 

 

26.8% 

 

4

 

Hyatt Regency San Francisco (3)

 

 

17,863 

 

 

(1,262)

 

 

 —

 

 

2,736 

 

 

 —

 

 

1,474 

 

8.3% 

 

5

 

Renaissance Orlando at SeaWorld ®

 

 

19,876 

 

 

3,753 

 

 

 —

 

 

2,180 

 

 

1,078 

 

 

7,011 

 

35.3% 

 

6

 

Renaissance Harborplace

 

 

8,299 

 

 

(1,584)

 

 

 —

 

 

1,697 

 

 

1,199 

 

 

1,312 

 

15.8% 

 

7

 

Marriott Wailea

 

 

 

17,504 

 

 

4,691 

 

 

 —

 

 

2,130 

 

 

 —

 

 

6,821 

 

39.0% 

 

8

 

Renaissance Los Angeles Airport

 

 

7,232 

 

 

999 

 

 

 —

 

 

713 

 

 

 —

 

 

1,712 

 

23.7% 

 

9

 

JW Marriott New Orleans

 

 

10,248 

 

 

2,456 

 

 

 

 

1,339 

 

 

438 

 

 

4,234 

 

41.3% 

 

10

 

Hilton North Houston

 

 

6,962 

 

 

526 

 

 

 —

 

 

920 

 

 

459 

 

 

1,905 

 

27.4% 

 

11

 

Doubletree Guest Suites Times Square (1)

 

 

12,489 

 

 

(2,170)

 

 

997 

 

 

1,359 

 

 

1,737 

 

 

1,923 

 

15.4% 

 

12

 

Marriott Quincy

 

 

5,686 

 

 

(457)

 

 

 —

 

 

1,150 

 

 

 —

 

 

693 

 

12.2% 

 

13

 

Hilton Times Square

 

 

11,257 

 

 

(2,079)

 

 

92 

 

 

2,551 

 

 

1,220 

 

 

1,784 

 

15.8% 

 

14

 

Fairmont Newport Beach (3)

 

 

7,435 

 

 

597 

 

 

 —

 

 

1,161 

 

 

 —

 

 

1,758 

 

23.6% 

 

15

 

Hyatt Chicago Magnificent Mile

 

 

3,941 

 

 

(2,910)

 

 

 —

 

 

1,603 

 

 

 —

 

 

(1,307)

 

-33.2%

 

16

 

Marriott Boston Long Wharf

 

 

10,113 

 

 

(2,223)

 

 

 —

 

 

2,113 

 

 

2,459 

 

 

2,349 

 

23.2% 

 

17

 

Hyatt Regency Newport Beach

 

 

8,101 

 

 

829 

 

 

 —

 

 

862 

 

 

 —

 

 

1,691 

 

20.9% 

 

18

 

Marriott Tysons Corner

 

 

5,076 

 

 

166 

 

 

 —

 

 

818 

 

 

567 

 

 

1,551 

 

30.6% 

 

19

 

Marriott Houston

 

 

4,686 

 

 

455 

 

 

 —

 

 

562 

 

 

291 

 

 

1,308 

 

27.9% 

 

20

 

Renaissance Long Beach (3)

 

 

4,978 

 

 

188 

 

 

 —

 

 

705 

 

 

 —

 

 

893 

 

17.9% 

 

21

 

Embassy Suites Chicago (3)

 

 

4,221 

 

 

(1,314)

 

 

 —

 

 

934 

 

 

995 

 

 

615 

 

14.6% 

 

22

 

Hilton Garden Inn Chicago Downtown/Magnificent Mile (3)

 

 

2,396 

 

 

(1,353)

 

 

 —

 

 

1,012 

 

 

 —

 

 

(341)

 

-14.2%

 

23

 

Renaissance Westchester

 

 

4,213 

 

 

(586)

 

 

 —

 

 

759 

 

 

 —

 

 

173 

 

4.1% 

 

24

 

Embassy Suites La Jolla

 

 

4,871 

 

 

(78)

 

 

 —

 

 

909 

 

 

1,122 

 

 

1,953 

 

40.1% 

 

25

 

Marriott Philadelphia

 

 

4,194 

 

 

(230)

 

 

 —

 

 

475 

 

 

345 

 

 

590 

 

14.1% 

 

26

 

Hilton New Orleans St. Charles

 

 

3,926 

 

 

1,194 

 

 

 —

 

 

546 

 

 

 —

 

 

1,740 

 

44.3% 

 

27

 

Marriott Portland

 

 

3,379 

 

 

923 

 

 

 —

 

 

415 

 

 

 —

 

 

1,338 

 

39.6% 

 

28

 

Sheraton Cerritos

 

 

3,129 

 

 

422 

 

 

 —

 

 

415 

 

 

 —

 

 

837 

 

26.7% 

 

29

 

Marriott Park City

 

 

4,389 

 

 

1,216 

 

 

 —

 

 

440 

 

 

191 

 

 

1,847 

 

42.1% 

 

30

 

Courtyard by Marriott Los Angeles

 

 

2,926 

 

 

682 

 

 

 —

 

 

306 

 

 

 —

 

 

988 

 

33.8% 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Comparable Portfolio (4)

 

 

263,314 

 

 

7,657 

 

 

1,540 

 

 

39,356 

 

 

17,579 

 

 

66,132 

 

25.1% 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Less: Prior Ownership (6)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Marriott Wailea

 

 

17,504 

 

 

4,691 

 

 

 —

 

 

2,130 

 

 

 —

 

 

6,821 

 

39.0% 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Actual Portfolio (7)

 

$

245,810 

 

$

2,966 

 

$

1,540 

 

$

37,226 

 

$

17,579 

 

$

59,311 

 

24.1% 

 

*Footnotes on page 39

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

PROPERTY-LEVEL EBITDA & EBITDA MARGINS

 

 

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Picture 1339

Supplemental Financial Information
May 4, 2015

 

Property-Level EBITDA Reconciliation
Q1 2015/2014 Footnotes

 

(1)

Includes 100% of the operating results for both the Doubletree Guest Suites Times Square and the Hilton San Diego Bayfront.

(2)

Other Adjustments for the three months ended March 31, 2015 include: a total of $1.0 million in amortization of lease intangibles at the Doubletree Guest Suites Times Square, Hilton Times Square and  JW Marriott New Orleans; and a total of $0.5 million in non-cash straightline lease expense at the Doubletree Guest Suites Times Square, Hilton San Diego Bayfront, Hilton Times Square and JW Marriott New Orleans.

(3)

Hotel EBITDA for the first quarter of 2015 is impacted by a major renovation at the Boston Park Plaza, and by a total of $0.2 million in non-current year property tax credits, net of appeal fees, received at the following hotels: the Marriott Houston $84,000; and the Hilton North Houston $104,000. Hotel EBITDA for the first quarter of 2014 is impacted by major renovations at the following hotels: the Hilton Garden Inn Chicago Downtown/Magnificent Mile; the Hyatt Regency San Francisco; and the Renaissance Long Beach. Hotel EBITDA for the first quarter of 2014 is also impacted by a total of $2.9 million in non-current year property tax credits, net of appeal fees, received at the following hotels: the Embassy Suites Chicago $12,000; the Fairmont Newport Beach $83,000; and the Hilton San Diego Bayfront $2.8 million.

(4)

Actual/Comparable Portfolio includes all 30 hotels held for investment by the Company as of March 31, 2015.

(5)

Other Adjustments for the three months ended March 31, 2014 include: a total of $1.0 million in amortization of lease intangibles at the Doubletree Guest Suites Times Square, Hilton Times Square and  JW Marriott New Orleans; and a total of $0.5 million in non-cash straightline lease expense at the Doubletree Guest Suites Times Square, Hilton San Diego Bayfront, Hilton Times Square and JW Marriott New Orleans.

(6)

Prior Ownership for the three months ended March 31, 2014 includes prior ownership results and the Company's pro forma depreciation expense for the Marriott Wailea acquired July 17, 2014.

(7)

Actual Portfolio includes all 29 hotels held for investment by the Company as of March 31, 2014, adjusted to conform to the industry's Uniform System of Accounts for the Lodging Industry, Eleventh Revised Edition, which became effective January 1, 2015

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

PROPERTY-LEVEL EBITDA & EBITDA MARGINS

 

 

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