XML 36 R25.htm IDEA: XBRL DOCUMENT
v3.8.0.1

Debt (Tables) | 3 Months Ended
--- | ---
Mar. 31, 2018
Debt Disclosure [Abstract] |
Summary of long term debt | The following table sets forth information regarding the Company’s debt as of March 31, 2018 and December 31, 2017 (dollars in thousands):
|  |  |  |  |  | Principal Balance as of
Loan |  | Interest Rate |  | Maturity Date |  | March 31, 2018 |  | December 31, 2017
Salt Lake City Marriott Downtown mortgage loan |  | 4.25% |  | November 2020 |  | 56,295 |  |  | 56,717 |
Westin Washington D.C. City Center mortgage loan |  | 3.99% |  | January 2023 |  | 64,307 |  |  | 64,833 |
The Lodge at Sonoma, a Renaissance Resort & Spa mortgage loan |  | 3.96% |  | April 2023 |  | 28,115 |  |  | 28,277 |
Westin San Diego mortgage loan |  | 3.94% |  | April 2023 |  | 64,487 |  |  | 64,859 |
Courtyard Manhattan / Midtown East mortgage loan |  | 4.40% |  | August 2024 |  | 83,698 |  |  | 84,067 |
Renaissance Worthington mortgage loan |  | 3.66% |  | May 2025 |  | 83,717 |  |  | 84,116 |
JW Marriott Denver at Cherry Creek mortgage loan |  | 4.33% |  | July 2025 |  | 63,237 |  |  | 63,519 |
Boston Westin mortgage loan |  | 4.36% |  | November 2025 |  | 197,135 |  |  | 198,046 |
New Market Tax Credit loan (1) |  | 5.17% |  | December 2020 |  | 2,943 |  |  | — |
Unamortized debt issuance costs |  |  |  |  |  | (4,600 | ) |  | (4,795 | )
Total mortgage and other debt, net of unamortized debt issuance costs |  |  |  |  |  | 639,334 |  |  | 639,639 |
Unsecured term loan |  | LIBOR + 1.45% (2) |  | May 2021 |  | 100,000 |  |  | 100,000 |
Unsecured term loan |  | LIBOR + 1.45% (2) |  | April 2022 |  | 200,000 |  |  | 200,000 |
Unamortized debt issuance costs |  |  |  |  |  | (1,732 | ) |  | (1,847 | )
Unsecured term loan, net of unamortized debt issuance costs |  |  |  |  |  | 298,268 |  |  | 298,153 |
Senior unsecured credit facility |  | LIBOR + 1.50% |  | May 2020 (3) |  | — |  |  | — |
Total debt, net of unamortized debt issuance costs |  |  |  |  |  | $ | 937,602 |  |  | $ | 937,792 |
Weighted-Average Interest Rate |  | 3.89% |  |  |  |  |  |
_______________________
(1) | Assumed in connection with the acquisition of the Hotel Palomar Phoenix in March 2018.
(2) | The interest rate at March 31, 2018 was 3.11%.
(3) | The credit facility may be extended for an additional year upon the payment of applicable fees and the satisfaction of certain customary conditions.
Summary of applicable margin based upon the Company’s ratio of net indebtedness to EBITDA | The interest rate on the facility is based upon LIBOR, plus an applicable margin based upon the Company’s leverage ratio, as follows:
Leverage Ratio |  | Applicable Margin
Less than or equal to 35% |  | 1.50 | %
Greater than 35% but less than or equal to 45% |  | 1.65 | %
Greater than 45% but less than or equal to 50% |  | 1.80 | %
Greater than 50% but less than or equal to 55% |  | 2.00 | %
Greater than 55% |  | 2.25 | %
The interest rate on each of the term loans is based on a pricing grid ranging from 145 to 220 basis points over LIBOR, as follows:
Leverage Ratio |  | Applicable Margin
Less than or equal to 35% |  | 1.45 | %
Greater than 35% but less than or equal to 45% |  | 1.60 | %
Greater than 45% but less than or equal to 50% |  | 1.75 | %
Greater than 50% but less than or equal to 55% |  | 1.95 | %
Greater than 55% |  | 2.20 | %
Summary of the most restrictive covenants for senior unsecured credit facility | The facility also contains various corporate financial covenants. A summary of the most restrictive covenants is as follows:
|  |  | Actual at
| Covenant |  | March 31, 2018
Maximum leverage ratio (1) | 60% |  | 28.2%
Minimum fixed charge coverage ratio (2) | 1.50x |  | 4.27x
Minimum tangible net worth (3) | $1.92 billion |  | $2.58 billion
Secured recourse indebtedness | Less than 45% of Total Asset Value |  | 21.3%
_____________________________
(1) | Leverage ratio is net indebtedness, as defined in the credit agreement, divided by total asset value, defined in the credit agreement as the value of our owned hotels based on hotel net operating income divided by a defined capitalization rate.
(2) | Fixed charge coverage ratio is Adjusted EBITDA, generally defined in the credit agreement as EBITDA less FF&E reserves, for the most recently ending 12 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.

X
- Definition Line Of Credit Facility Covenant Compliance [Table Text Block] + References No definition available. + Details
Name: | drh_LineOfCreditFacilityCovenantComplianceTableTextBlock
Namespace Prefix: | drh_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Line Of Credit Facility Leverage And Applicable Margin [Table Text Block] + References No definition available. + Details
Name: | drh_LineOfCreditFacilityLeverageAndApplicableMarginTableTextBlock
Namespace Prefix: | drh_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- References No definition available. + Details
Name: | us-gaap_DebtDisclosureAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of long-debt instruments or arrangements, including identification, terms, features, collateral requirements and other information necessary to a fair presentation. These are debt arrangements that originally required repayment more than twelve months after issuance or greater than the normal operating cycle of the entity, if longer. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 210 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.5-02.22) -URI http://asc.fasb.org/extlink&oid=6877327&loc=d3e13212-122682 Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 505 -SubTopic 10 -Section 50 -Paragraph 3 -URI http://asc.fasb.org/extlink&oid=84159872&loc=d3e21475-112644 Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 942 -SubTopic 470 -Section 50 -Paragraph 3 -URI http://asc.fasb.org/extlink&oid=75038535&loc=d3e64711-112823 Reference 4: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 235 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.4-08.(e),(f)) -URI http://asc.fasb.org/extlink&oid=26873400&loc=d3e23780-122690 Reference 5: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 835 -SubTopic 30 -Section 55 -Paragraph 8 -URI http://asc.fasb.org/extlink&oid=64930739&loc=d3e28878-108400 Reference 6: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 505 -SubTopic 10 -Section 50 -Paragraph 8 -URI http://asc.fasb.org/extlink&oid=84159872&loc=d3e21538-112644 Reference 7: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 505 -SubTopic 10 -Section 50 -Paragraph 6 -URI http://asc.fasb.org/extlink&oid=84159872&loc=d3e21506-112644 Reference 8: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 835 -SubTopic 30 -Section 45 -Paragraph 1A -URI http://asc.fasb.org/extlink&oid=64930785&loc=d3e28541-108399 Reference 9: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 835 -SubTopic 30 -Section 45 -Paragraph 2 -URI http://asc.fasb.org/extlink&oid=64930785&loc=d3e28551-108399 Reference 10: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 505 -SubTopic 10 -Section 50 -Paragraph 7 -URI http://asc.fasb.org/extlink&oid=84159872&loc=d3e21521-112644 + Details
Name: | us-gaap_ScheduleOfDebtInstrumentsTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration