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Debt (Tables)
 12 Months Ended
Dec. 31, 2013
Debt Disclosure [Abstract]  
Summary of long term debt
The following table sets forth information regarding the Company’s debt as of December 31, 2013:
Property
 
Principal
Balance
(In thousands)
 
Interest Rate
 
Maturity Date
 
Amortization Provisions
Courtyard Manhattan / Midtown East
 
$
41,530

 
8.81
%
 
October 2014
 
30 years
Salt Lake City Marriott Downtown
 
62,771

 
4.25
%
 
November 2020
 
25 years
Courtyard Manhattan / Fifth Avenue
 
49,591

 
6.48
%
 
June 2016
 
30 years
Renaissance Worthington
 
53,804

 
5.40
%
 
July 2015
 
30 years
Frenchman’s Reef & Morning Star Marriott Beach Resort
 
57,671

 
5.44
%
 
August 2015
 
30 Years
Los Angeles Airport Marriott
 
82,600

 
5.30
%
 
July 2015
 
Interest Only
Orlando Airport Marriott
 
56,778

 
5.68
%
 
January 2016
 
30 years
Chicago Marriott Downtown Magnificent Mile
 
208,417

 
5.975
%
 
April 2016
 
30 years
Hilton Minneapolis
 
94,874

 
5.464
%
 
May 2021
 
25 years
JW Marriott Denver at Cherry Creek
 
39,692

 
6.47
%
 
July 2015
 
25 years
Lexington Hotel New York
 
170,368

 
LIBOR + 3.00% (3.165% at December 31, 2013)

 
March 2015 (1)
 
Interest Only
The Lodge at Sonoma, a Renaissance Resort & Spa
 
30,607

 
3.96
%
 
April 2023
 
30 years
Westin San Diego
 
70,194

 
3.94
%
 
April 2023
 
30 years
Westin Washington D.C. City Center
 
72,421

 
3.99
%
 
January 2023
 
25 years
Debt premium (2)
 
543

 
 
 
 
 
 
Total mortgage debt
 
1,091,861

 
 
 
 
 
 
Senior unsecured credit facility
 
—

 
LIBOR + 1.90% (2.09% at December 31, 2013)

 
January 2017 (3)
 
Interest Only
Total debt
 

$1,091,861

 
 
 
 
 
 
Weighted-Average Interest Rate
 
 
 
5.17%
 
 
 
 
_____________
(1)
The loan may be extended for two additional one-year terms subject to the satisfaction of certain conditions and the payment of an extension fee.
(2)
Recorded upon our assumption of the JW Marriott Denver at Cherry Creek mortgage debt in 2011.
(3)
The credit facility may be extended for an additional year upon the payment of applicable fees and the satisfaction of certain standard conditions.

Schedule of maturities of long-term debt

The aggregate debt maturities as of December 31, 2013 are as follows (in thousands):
2014
$
56,726

2015
243,832

2016
312,866

2017
178,681

2018
8,697

Thereafter
291,059

 
$
1,091,861


_____________
(1)
Assumes the Lexington Hotel New York mortgage loan is extended under the terms discussed above.
Summary of leverage and applicable margin

Ratio of Net Indebtedness to EBITDA
 
Applicable Margin
Less than 4.00 to 1.00
 
1.75
%
Greater than or equal to 4.00 to 1.00 but less than 5.00 to 1.00
 
1.90
%
Greater than or equal to 5.00 to 1.00 but less than 5.50 to 1.00
 
2.10
%
Greater than or equal to 5.50 to 1.00 but less than 6.00 to 1.00
 
2.20
%
Greater than or equal to 6.00 to 1.00 but less than 6.50 to 1.00
 
2.50
%
Greater than or equal to 6.50 to 1.00
 
2.75
%
Summary of the most restrictive covenants for senior unsecured credit facility
The facility contains various corporate financial covenants. A summary of the most restrictive covenants is as follows:
 
 
 
Actual at
 
Covenant
 
December 31,
2013
Maximum leverage ratio(1)
60%
 
42.9%
Minimum fixed charge coverage ratio(2)
1.50x
 
2.43x
Minimum tangible net worth(3)
$1.857 billion
 
$2.282 billion
Secured recourse indebtedness(4)
Less than 50% of Total Asset Value
 
39%
_____________________________

(1)
Leverage ratio is total indebtedness, as defined in the credit agreement and which includes our commitment on the Times Square development hotel, divided by total asset value, which is defined in the credit agreement as (a) total cash and cash equivalents plus (b) the value of our owned hotels based on hotel net operating income divided by a defined capitalization rate, and (c) the book value of the Allerton Loan.

(2)
Fixed charge coverage ratio is Adjusted EBITDA, which is defined in the credit agreement as EBITDA less FF&E reserves, for the most recently ending 12 fiscal months, to fixed charges, which is defined in the credit agreement as interest expense, all regularly scheduled principal payments and payments on capitalized lease obligations, for the same most recently ending 12-month period.
(3)
Tangible net worth, as defined in the credit agreement, is (i) total gross book value of all assets, exclusive of depreciation and amortization, less intangible assets, total indebtedness, and all other liabilities, plus (ii) 75% of net proceeds from future equity issuances.
(4)
After December 31, 2013, the secured recourse indebtedness covenant threshold will decrease to 45% of Total Asset Value, as defined in the credit agreement.