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Investment in Unconsolidated Entities
 12 Months Ended
Dec. 31, 2024
Equity Method Investments and Joint Ventures [Abstract]  
Investment in Unconsolidated Entities Investments in Unconsolidated Entities
OpenKey, which is controlled and consolidated by Ashford Inc., is a hospitality-focused mobile key platform that provides a universal smart phone app and related hardware and software for keyless entry into hotel guest rooms. Our investment is recorded as a component of “investment in unconsolidated entities” in our consolidated balance sheets and is accounted for under the equity method of accounting as we have been deemed to have significant influence over the entity under the applicable accounting guidance. As of December 31, 2024, the Company has made investments in OpenKey totaling approximately $5.5 million.
We review the investments for impairment each reporting period pursuant to the applicable authoritative accounting guidance. An investment is impaired when its estimated fair value is less than the carrying amount of our investment. Any other-than-temporary impairment is recorded in “equity in earnings (loss) of unconsolidated entities” in the consolidated statements of operations. We recorded an impairment charge of approximately $1.0 million for the year ended December 31, 2024. No such impairment was recorded for the years ended December 31, 2023 and 2022.
In November 2022, the Company made an initial investment of $9.1 million in an entity that holds the Meritage Investment in Napa, California. Our investment is recorded as a component of “investment in unconsolidated entities” in our consolidated balance sheets and is accounted for under the equity method of accounting as we have been deemed to have significant influence over the entity under the applicable accounting guidance.
The following table summarizes our carrying value and ownership interest in unconsolidated entities:
December 31, 2024December 31, 2023
Carrying value of the investment in OpenKey (in thousands)$— $1,575 
Ownership interest in OpenKey15.1 %15.1 %
Carrying value of the Meritage Investment (in thousands)$7,590 $8,385 
The following table summarizes our equity in earnings (loss) of unconsolidated entities (in thousands):
Year Ended December 31,
202420232022
OpenKey$(566)$(528)$(668)
Meritage Investment(795)(606)(136)
$(1,361)$(1,134)$(804)