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Indebtedness, net (Tables)
 9 Months Ended
Sep. 30, 2025
Debt Disclosure [Abstract]  
Schedule of Indebtedness
Indebtedness consisted of the following (in thousands):
September 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 (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 (4)
8hotelsOctober 2025
SOFR(1) +
3.28 %325,000 325,000 
Mortgage loan (5)
1hotelDecember 2025
SOFR(1) +
4.00 %37,000 37,000 
Term loan (6)
EquityJanuary 202614.00 %— 44,722 
Mortgage loan (7)
18hotelsJanuary 2026
SOFR(1) +
4.15 %733,625 862,027 
Mortgage loan (8)
1hotelFebruary 2026
SOFR(1) +
2.85 %12,330 12,330 
Mortgage loan (9)
15hotelsMarch 2026
SOFR(1) +
3.62 %378,350 409,750 
Mortgage loan (10)
2hotelsMay 2026
SOFR(1) +
4.00 %98,450 98,450 
Mortgage loan (2)
16hotelsFebruary 2027
SOFR(1) +
4.37 %580,000 — 
Mortgage loan (11)
1hotelSeptember 2027
SOFR(1) +
2.26 %218,100 267,200 
Mortgage loan (12)
1hotelNovember 2027
SOFR(1) +
4.75 %121,500 121,500 
Mortgage loan 4hotelsDecember 20288.51 %30,200 30,200 
Preferred investment (13)
1hotelMay 202911.14 %88,622 — 
Bridge loan (14) (15)
1hotelSeptember 20257.75 %— 20,898 
Construction loan (14)
1hotelMay 203311.26 %15,696 15,785 
Total indebtedness$2,660,844 $2,705,650 
Premiums (discounts), net311 331 
Capitalized default interest and late charges8,293 36 
Deferred loan costs, net(30,837)(8,459)
Embedded debt derivative (6)
— 29,099 
Indebtedness, net$2,638,611 $2,726,657 
Indebtedness, net related to assets held for sale (7)
1hotel
April 2025
SOFR(1) +
3.70 %— 97,368 
Indebtedness, net related to assets held for sale (9)
1
hotel
March 2026
SOFR(1) +
3.62 %28,355 — 
$2,610,256 $2,629,289 
_____________________________
(1)    SOFR rates were 4.13% and 4.33% at September 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 September 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)    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 November 9, 2025. On November 9, 2025, this mortgage loan was amended to extend the waiver date from November 9, 2025 to December 9, 2025.
(5)    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%.
(6)    On February 12, 2025, we repaid this term loan including the $30.0 million exit fee.
(7)    In January 2025, this mortgage loan was paid down $118.4 million in conjunction with the sale of the Courtyard Boston Downtown. On July 30, 2025, this mortgage loan was amended. Terms of the amendment included a $10.0 million principal paydown, extending the current maturity date to January 2026, and adding one six-month extension option, subject to the satisfaction of certain conditions.
(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 to March 2026, and adding two one-year extension options, subject to the satisfaction of certain conditions. In August 2025, this mortgage loan was paid down $31.4 million in conjunction with the sales of the Residence Inn Evansville and the Hilton Houston NASA Clear Lake. As of September 30, 2025, the Residence Inn San Diego Sorrento Mesa property is 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)     On September 9, 2025, we amended this mortgage loan. Terms of the amendment included a principal reduction to $218.1 million, a reduction in the interest rate to SOFR + 2.26%, extending the current maturity to September 2027, and adding 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)    On May 8, 2025, we received $35.0 million in return for a preferred equity investment in the Renaissance Hotel in Nashville, Tennessee. The holder was entitled to a preferred return of 14.0% per annum. On September 9, 2025, we received an additional $53.0 million increasing the preferred equity investment in the property and the return on the preferred equity investment was decreased from 14.0% per annum to 11.14% per annum. The investment is mandatorily redeemable on May 10, 2029 and is recorded within indebtedness, net in the Company’s consolidated balance sheet as required under GAAP.
(14)    This loan is associated with 815 Commerce Managing Member, LLC. See discussion in notes 2 and 8.
(15)    On August 14, 2025, we repaid this bridge loan.
Schedule of Net Premium (Discount) Amortization Recognized
We recognized net premium (discount) amortization as presented in the table below (in thousands):
Three Months Ended September 30,Nine Months Ended September 30,
Line Item2025202420252024
Interest expense and amortization of discounts and loan costs$10 $(17)$19 $(896)