v3.26.1
Indebtedness, net (Tables)
12 Months Ended
Dec. 31, 2025
Debt Disclosure [Abstract]  
Schedule of Indebtedness
Indebtedness consisted of the following (in thousands):
December 31, 2025December 31, 2024
IndebtednessCollateralMaturity
Interest Rate
Debt Balance
Book Value of Collateral
Debt Balance
Book Value of Collateral
Mortgage loan (2)
2hotelsFebruary 20254.45 %$— $— $25,882 $38,627 
Mortgage loan (3)
1hotelMarch 20254.66 %21,971 22,146 22,132 40,276 
Mortgage loan (2)
4hotelsJune 2025
SOFR(1) +
4.03 %— — 143,877 122,603 
Mortgage loan (2)
4hotelsJune 2025
SOFR(1) +
4.29 %— — 159,424 62,801 
Mortgage loan (2)
5hotelsJune 2025
SOFR(1) +
3.02 %— — 109,473 151,592 
Mortgage loan (4)
1hotelDecember 2025
SOFR(1) +
4.00 %— — 37,000 63,633 
Term loan (5)
EquityJanuary 202614.00 %— — 44,722 — 
Mortgage loan (6)
18hotelsJanuary 2026
SOFR(1) +
4.15 %733,625 771,949 862,027 881,867 
Mortgage loan (7)
8hotelsFebruary 2026
SOFR(1) +
3.28 %325,000 222,776 325,000 235,655 
Mortgage loan (8)
1hotelFebruary 2026
SOFR(1) +
2.85 %12,330 20,699 12,330 21,565 
Mortgage loan (9)
14hotelsMarch 2026
SOFR(1) +
3.83 %341,203 198,713 409,750 232,485 
Mortgage loan (10)
2hotelsMay 2026
SOFR(1) +
4.00 %98,450 104,086 98,450 139,244 
Mortgage loan (2)
16hotelsFebruary 2027
SOFR(1) +
4.37 %580,000 420,162 — — 
Mortgage loan (11)
1hotelSeptember 2027
SOFR(1) +
2.26 %218,100 142,041 267,200 148,488 
Mortgage loan (12)
1hotelNovember 2027
SOFR(1) +
4.75 %121,500 75,011 121,500 77,165 
Mortgage loan 4hotelsDecember 20288.51 %30,200 32,198 30,200 35,792 
Preferred investment (13)
1hotelMay 202911.14 %88,845 — — — 
Bridge loan (14) (15)
1hotelSeptember 20257.75 %— — 20,898 — 
Construction loan (14)
1hotelMay 203311.26 %15,660 77,229 15,785 93,219 
Total indebtedness$2,586,884 $2,087,010 $2,705,650 $2,345,012 
Premiums (discounts), net301 331 
Capitalized default interest and late charges2,346 36 
Deferred loan costs, net(24,103)(8,459)
Embedded debt derivative (5)
— 29,099 
Indebtedness, net$2,565,428 $2,726,657 
Indebtedness, net related to assets held for sale (6)
1hotel
August 2025
SOFR(1) +
3.91 %— 97,368 
Indebtedness, net related to assets held for sale (9)
2
hotels
March 2026
SOFR(1) +
3.83 %38,820 — 
$2,526,608 $2,629,289 
_____________________________
(1)    SOFR rates were 3.69% and 4.33% at December 31, 2025 and December 31, 2024, respectively.
(2)    On February 12, 2025, this mortgage loan was refinanced into a new $580.0 million mortgage loan. The new mortgage loan is interest only and bears interest at a rate of SOFR + 4.37%, has a two-year initial term, and has three one-year extension options, subject to the satisfaction of certain conditions.
(3)    As of December 31, 2025, this mortgage loan was in default under the terms and conditions of the mortgage loan agreement. Default interest of 5.00% was accrued in addition to the stated interest rate, in accordance with the terms of the mortgage loan agreement, and is reflected in the Company’s consolidated balance sheet and statement of operations.
(4)    On December 18, 2025, we repaid this mortgage loan in conjunction with the sale of Le Pavillon. See note 5.
(5)    On February 12, 2025, we repaid this term loan including the $30.0 million exit fee.
(6)    In January 2025, this mortgage loan was paid down $118.4 million in conjunction with the sale of the Courtyard Boston Downtown. On July 30, 2025, this mortgage loan was amended. Terms of the amendment included a $10.0 million principal paydown, extending the current maturity date to January 2026, and adding one six-month extension option, subject to the satisfaction of certain conditions. The six-month extension period began in January 2026, and included a $10.0 million principal paydown and increased the interest rate to SOFR + 4.41%.
(7)    This mortgage loan has six one-year extension options, subject to satisfaction of certain conditions. The sixth one-year extension period began in February 2025, subject to satisfaction of certain conditions which must be completed by February 9, 2026. On February 9, 2026, this mortgage loan went into default under the terms and conditions of the mortgage loan agreement and began incurring default interest of 5.00% in addition to the stated interest rate, in accordance with the terms and conditions of the mortgage loan agreement.
(8)     On February 24, 2025, we amended this mortgage loan. Terms of the amendment included extending the current maturity date to February 2026, and adding one one-year extension option, subject to satisfaction of certain conditions. The one-year extension period began in February 2026.
(9)     On April 9, 2025, this mortgage loan was amended. Terms of the amendment included extending the maturity date to March 2026, and adding two one-year extension options, subject to the satisfaction of certain conditions. In August 2025, this mortgage loan was paid down $31.4 million in conjunction with the sales of the Residence Inn Evansville and the Hilton Houston NASA Clear Lake. In October 2025, this mortgage loan was paid down an additional $37.1 million in conjunction with the sale of the Residence Inn San Diego Sorrento Mesa. Subsequent to December 31, 2025, this mortgage loan was paid down $111.1 million in conjunction with the sales of the Hilton St. Petersburg Bayfront, the Embassy Suites Austin and the Embassy Suites Houston. Additionally, in March of 2026, we exercised the first one-year extension option.
(10)     This mortgage loan has two one-year extension options, subject to satisfaction of certain conditions. This mortgage loan has a SOFR floor of 0.50%. Subsequent to December 31, 2025, we paid down $56.0 million in principal on this mortgage loan in conjunction with the sale of the La Posada de Santa Fe.
(11)     On September 9, 2025, we amended this mortgage loan. Terms of the amendment included a principal reduction to $218.1 million, a reduction in the interest rate to SOFR + 2.26%, extending the current maturity to September 2027, and adding three, one-year extension options, subject to satisfaction of certain conditions.
(12)    This mortgage loan has two one-year extension options, subject to satisfaction of certain conditions. This mortgage loan has a SOFR floor of 2.75%.
(13)    On May 8, 2025, we received $35.0 million in return for a preferred equity investment in the Renaissance Hotel in Nashville, Tennessee. The holder was entitled to a preferred return of 14.0% per annum. On September 9, 2025, we received an additional $53.0 million increasing the preferred equity investment in the property and the return on the preferred equity investment was decreased from 14.0% per annum to 11.14% per annum. The investment is mandatorily redeemable on May 10, 2029 and is recorded within indebtedness, net in the Company’s consolidated balance sheet as required under GAAP.
(14)    This loan is associated with 815 Commerce Managing Member, LLC. See discussion in notes 2 and 8.
(15)    On August 14, 2025, we repaid this bridge loan.
Schedule of Net Premium (Discount) Amortization Recognized
We recognized net premium (discount) amortization as presented in the table below (in thousands):
Year Ended December 31,
Line Item202520242023
Interest expense and amortization of discounts and loan costs$29 $(913)$(18,684)
Schedule of Maturities and Scheduled Amortizations
Maturities and scheduled amortizations of indebtedness as of December 31, 2025 for each of the five following years and thereafter are as follows (in thousands), excluding extension options:
2026$1,532,727 
2027919,766 
202830,381 
202989,054 
2030233 
Thereafter14,723 
Total$2,586,884