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Debt (Tables)
 12 Months Ended
Dec. 31, 2018
Debt Disclosure [Abstract]  
Summary of Long Term Debt
The following table sets forth information regarding the Company’s debt as of December 31, 2018 (dollars in thousands):
 
 
 
 
 
 
Principal Balance
as of December 31,
Loan
 
Interest Rate
 
Maturity Date
 
2018
 
2017
Salt Lake City Marriott Downtown mortgage loan
 
4.25
%
 
November 2020
 
$
55,032

 
$
56,717

Westin Washington D.C. City Center mortgage loan
 
3.99
%
 
January 2023
 
62,734

 
64,833

The Lodge at Sonoma, a Renaissance Resort & Spa mortgage loan
 
3.96
%
 
April 2023
 
27,633

 
28,277

Westin San Diego mortgage loan
 
3.94
%
 
April 2023
 
63,385

 
64,859

Courtyard Manhattan / Midtown East mortgage loan
 
4.40
%
 
August 2024
 
82,620

 
84,067

Renaissance Worthington mortgage loan
 
3.66
%
 
May 2025
 
82,540

 
84,116

JW Marriott Denver at Cherry Creek mortgage loan
 
4.33
%
 
July 2025
 
62,411

 
63,519

Boston Westin mortgage loan
 
4.36
%
 
November 2025
 
194,466

 
198,046

New Market Tax Credit loan (1)
 
5.17
%
 
December 2020
 
2,943

 
—

Unamortized debt issuance costs
 
 
 
 
 
(4,017
)
 
(4,795
)
Total mortgage and other debt, net of unamortized debt issuance costs
 
 
 
 
 
629,747

 
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

Unsecured term loan
 
LIBOR + 1.45% (3)

 
October 2023
 
50,000

 
—

Unamortized debt issuance costs
 
 
 
 
 
(1,781
)
 
(1,847
)
Unsecured term loans, net of unamortized debt issuance costs
 
 
 
 
 
348,219

 
298,153

 
 
 
 
 
 
 
 
 
Senior unsecured credit facility
 
LIBOR + 1.50%

 
May 2020 (4)
 
—

 
—

 
 
 
 
 
 
 
 
 
Total debt, net of unamortized debt issuance costs
 
 
 
 
 
$
977,966

 
$
937,792

Weighted-Average Interest Rate
 
4.01%
 
 
 
 
 
 
_____________
(1)
Assumed in connection with the acquisition of the Hotel Palomar Phoenix on March 1, 2018.
(2)
The interest rate at December 31, 2018 was 3.80%.
(3)
The interest rate at December 31, 2018 was 3.78%. We entered into an interest rate swap agreement in January 2019 to fix LIBOR at 2.41% through October 2023.
(4)
The credit facility may be extended for an additional year upon the payment of applicable fees and the satisfaction of certain customary conditions.

Schedule of Maturities of Long-Term Debt
The aggregate debt maturities as of December 31, 2018 are as follows (in thousands):
2019
14,195

2020
66,174

2021
116,461

2022
214,095

2023
194,649

Thereafter
378,190

 
$
983,764
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
 
December 31,
2018
Maximum leverage ratio (1)
60%
 
27.5%
Minimum fixed charge coverage ratio (2)
1.50x
 
4.17x
Minimum tangible net worth (3)
$1.98 billion
 
$2.72 billion
Secured recourse indebtedness
Less than 45% of Total Asset Value
 
18.9%
_____________________________

(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.
Summary of Leverage and Applicable Margin
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 the term loans is based on a pricing grid ranging from 140 to 220 basis points over LIBOR, based on the Company’s leverage ratio, as follows:
 
 
Applicable Margins
Leverage Ratio
 
$100 Million and $200 Million
 Term Loans
 
$50 Million
 Term Loan
Less than or equal to 25%
 
1.45%
 
1.40%
Greater than 25% but less than or equal to 35%
 
1.45%
 
1.45%
Greater than 35% but less than or equal to 45%
 
1.60%
 
1.55%
Greater than 45% but less than or equal to 50%
 
1.75%
 
1.75%
Greater than 50% but less than or equal to 55%
 
1.95%
 
1.95%
Greater than 55%
 
2.20%
 
2.20%