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Indebtedness, net (Tables)
 6 Months Ended
Jun. 30, 2025
Debt Disclosure [Abstract]  
Schedule of Indebtedness
Indebtedness consisted of the following (in thousands):
June 30, 2025December 31, 2024
IndebtednessCollateralMaturity
Interest Rate
Debt Balance
Debt Balance
Mortgage loan(2)
2hotelsFebruary 20254.45 %$— $25,882 
Mortgage loan(3)
1hotelMarch 20254.66 %21,971 22,132 
Mortgage loan(4)
18hotelsApril 2025
SOFR(1) +
3.70 %743,625 862,027 
Mortgage loan(2)
4hotelsJune 2025
SOFR(1) +
4.03 %— 143,877 
Mortgage loan(2)
4hotelsJune 2025
SOFR(1) +
4.29 %— 159,424 
Mortgage loan(2)
5hotelsJune 2025
SOFR(1) +
3.02 %— 109,473 
Mortgage loan(5)
8hotelsJuly 2025
SOFR(1) +
3.28 %325,000 325,000 
Mortgage loan(6)
1hotelDecember 2025
SOFR(1) +
4.00 %37,000 37,000 
Term loan(7)
EquityJanuary 202614.00 %— 44,722 
Mortgage loan(8)
1hotelFebruary 2026
SOFR(1) +
2.85 %12,330 12,330 
Mortgage loan(9)
17hotelsMarch 2026
SOFR(1) +
3.39 %409,750 409,750 
Mortgage loan(10)
2hotelsMay 2026
SOFR(1) +
4.00 %98,450 98,450 
Mortgage loan(11)
1hotelMay 2026
SOFR(1) +
3.98 %267,200 267,200 
Mortgage loan(2)
16hotelsFebruary 2027
SOFR(1) +
4.37 %580,000 — 
Mortgage loan(12)
1hotelNovember 2027
SOFR(1) +
4.75 %121,500 121,500 
Mortgage loan(13)
4hotelsDecember 20288.51 %30,200 30,200 
Preferred interest(14)
1hotelMay 202914.00 %35,185 — 
Bridge loan(15)(16)
1hotelSeptember 20257.75 %2,167 20,898 
Construction loan(15)
1hotelMay 203311.26 %15,726 15,785 
Total indebtedness$2,700,104 $2,705,650 
Premiums (discounts), net322 331 
Capitalized default interest and late charges3,549 36 
Deferred loan costs, net(31,976)(8,459)
Embedded debt derivative (7)
— 29,099 
Indebtedness, net$2,671,999 $2,726,657 
Indebtedness, net related to assets held for sale(4)
1hotel
April 2025
SOFR(1) +
3.70 %— 97,368 
Indebtedness, net related to assets held for sale (9)
2
hotels
March 2026
SOFR(1) +
3.39 %27,234 — 
$2,644,765 $2,629,289 
_____________________________
(1)    SOFR rates were 4.32% and 4.33% at June 30, 2025 and December 31, 2024, respectively.
(2)    On February 12, 2025, this mortgage loan was refinanced into a new $580.0 million mortgage loan. The new mortgage loan is interest only and bears interest at a rate of SOFR + 4.37%, has a two-year initial term, and has three one-year extension options, subject to the satisfaction of certain conditions.
(3)    As of June 30, 2025, 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 sheet and statement of operations.
(4)     In January 2025, this mortgage loan was paid down $118.4 million in conjunction with the sale of the Courtyard Boston Downtown. As of June 30, 2025, this mortgage loan was in default under the terms and conditions of the mortgage loan agreement. Default interest of 4.00% 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 sheet and statement of operations. On June 9, 2025 and July 7, 2025, this loan entered into forbearance agreements that expired on July 7, 2025 and July 30, 2025, respectively. On July 30, 2025, this mortgage loan was amended to extend the maturity date to January 9, 2026 with a six month extension option, subject to the satisfaction of certain conditions, and is no longer in default. See note 18.
(5)    This mortgage loan has six one-year extension options, subject to satisfaction of certain conditions. The sixth one-year extension period began in February 2025, subject to satisfaction of certain conditions, which must be completed by August 9, 2025. On August 7, 2025, this mortgage loan was amended to extend the waiver date from August 9, 2025 to September 9, 2025.
(6)    This mortgage loan has three one-year extension options, subject to satisfaction of certain conditions. The first one-year extension period began in December 2024. This mortgage loan has a SOFR floor of 0.50%.
(7)    On February 12, 2025, we repaid this term loan including the $30.0 million exit fee.
(8)     On February 24, 2025, we amended this mortgage loan. Terms of the amendment included extending the current maturity date to February 2026 and adding one one-year extension option, subject to satisfaction of certain conditions.
(9)     On April 9, 2025, this mortgage loan was amended. Terms of the amendment included extending the current maturity date from April 2025 to March 2026, and adding two one-year extension options, subject to the satisfaction of certain conditions. As of June 30, 2025, the Hilton Houston NASA Clear Lake and Residence Inn Evansville properties are held for sale. See note 5.
(10)     This mortgage loan has two one-year extension options, subject to satisfaction of certain conditions. This mortgage loan has a SOFR floor of 0.50%.
(11)     This mortgage loan has three one-year extension options, subject to satisfaction of certain conditions.
(12)    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%.
(13)    This loan is associated with Stirling OP. See discussion in notes 1 and 2.
(14)    On May 8, 2025, we received $35.0 million in return for an equity investment in a hotel property. The holder is entitled to a preferred return of 14.0% per annum. The investment is mandatorily redeemable on May 10, 2029.
(15)    This loan is associated with 815 Commerce Managing Member, LLC. See discussion in notes 1, 2 and 8.
(16)     In June 2025, this loan was amended. Terms of the amendment included extending the maturity date to September 2025.
Schedule of Net Premium (Discount) Amortization Recognized
We recognized net premium (discount) amortization as presented in the table below (in thousands):
Three Months Ended June 30,Six Months Ended June 30,
Line Item2025202420252024
Interest expense and amortization of discounts and loan costs$26 $(18)$9 $(879)