v3.26.1
Indebtedness, net (Tables)
3 Months Ended
Mar. 31, 2026
Debt Disclosure [Abstract]  
Schedule of Indebtedness
Indebtedness, net consisted of the following (in thousands):
March 31, 2026December 31, 2025
IndebtednessCollateralMaturity
Interest Rate
Debt Balance
Debt Balance
Mortgage loan (2)
1hotelMarch 20254.66 %$21,971 $21,971 
Mortgage loan (2)
8hotelsFebruary 2026
SOFR(1) +
3.28 %325,000 325,000 
Mortgage loan (3)
2hotelsMay 2026
SOFR(1) +
4.00 %— 98,450 
Mortgage loan (4)
18hotelsJuly 2026
SOFR(1) +
4.41 %723,625 733,625 
Mortgage loan (5)
1hotelFebruary 2027
SOFR(1) +
2.85 %12,330 12,330 
Mortgage loan (6)
16hotelsFebruary 2027
SOFR(1) +
4.37 %580,000 580,000 
Mortgage loan (7)
11hotelsMarch 2027
SOFR(1) +
4.82 %231,340 341,203 
Mortgage loan (6)
1hotelSeptember 2027
SOFR(1) +
2.26 %218,100 218,100 
Mortgage loan (8)
1hotelNovember 2027
SOFR(1) +
4.75 %121,500 121,500 
Mortgage loan 4hotelsDecember 20288.51 %30,200 30,200 
Preferred investment (9)
1hotelMay 202911.14 %89,068 88,845 
Construction loan (10)
1hotelMay 203311.26 %15,619 15,660 
Total indebtedness$2,368,753 $2,586,884 
Premiums (discounts), net291 301 
Capitalized default interest and late charges— 2,346 
Deferred loan costs, net(19,898)(24,103)
Indebtedness, net$2,349,146 $2,565,428 
Indebtedness, net related to assets held for sale (7)
2hotelsMarch 2026
SOFR(1) +
3.83 %— 38,820 
Indebtedness, net related to assets held for sale (7)
2hotels
March 2027
SOFR(1) +
4.82 %29,720 — 
Indebtedness, net related to assets held for sale (4)
1hotel
July 2026
SOFR(1) +
4.41 %32,263 — 
$2,287,163 $2,526,608 
_____________________________
(1)    SOFR rates were 3.66% and 3.69% at March 31, 2026 and December 31, 2025, respectively.
(2)    As of March 31, 2026, 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 sheets and statement of operations.
(3)    In March 2026, we repaid this mortgage loan in conjunction with the sales of the La Posada de Santa Fe and the Hilton Alexandria Old Town.
(4)    This mortgage loan has one six-month extension option, subject to the satisfaction of certain conditions. The six-month extension option was exercised in January 2026, and included a $10.0 million principal paydown and increased the interest rate to SOFR + 4.41%.
(5)    This mortgage loan has one one-year extension option, subject to satisfaction of certain conditions. The one-year extension option was exercised in February 2026.
(6)    This mortgage loan has three one-year extension options, subject to satisfaction of certain conditions.
(7)    This mortgage loan has two one-year extension options, subject to satisfaction of certain conditions. The first one-year extension option was exercised in March 2026. During the three months ended March 31, 2026, this mortgage loan was paid down $109.9 million in conjunction with the sales of the Hilton St. Petersburg Bayfront, the Embassy Suites Austin and the Embassy Suites Houston.
(8)    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%.
(9)    During the year ended December 31, 2025, the Company issued preferred membership interests in the Renaissance Nashville in Nashville, Tennessee in return for $88.0 million. The preferred membership interests provide a preferred return of 11.14% per annum of which 10.14% is paid in cash and 1.00% is paid-in-kind. The investment is mandatorily redeemable on May 10, 2029 and is recorded within indebtedness, net in the Company’s consolidated balance sheets as required under GAAP.
(10)    This loan is associated with 815 Commerce Managing Member, LLC. See discussion in note 2.