Investment in Hotel Properties

12 Months Ended

Dec. 31, 2024

Investments, All Other Investments [Abstract]

Investment in hotel properties, net

Investment in hotel properties, net as of December 31, 2024 and 2023 consisted of the following (in thousands):


	December 31, 2024		December 31, 2023
Land and improvements	$	280,415	$	289,671
Building and improvements	1,232,438		1,274,970
Furniture, fixtures and equipment	107,947		108,222
Finance lease assets	43,760		—
Renovations in progress	17,232		15,138
	1,681,792		1,688,001
Less accumulated depreciation and amortization	(484,274)		(460,368)
Investment in hotel properties, net	$	1,197,518	$	1,227,633

During the year ended December 31, 2024, the Company recorded an impairment loss of $4.3 million on a hotel property which is under contract to be sold. The Company wrote down the value of the hotel property to its estimated fair value which approximated its estimated selling price. During the year ended December 31, 2023, the Company recorded an impairment loss of $4.3 million on the HGI Denver Tech hotel property to write down the hotel property to estimated fair value which approximated its estimated selling price. The HGI Denver Tech hotel property was sold on January 9, 2024. There were no impairments recorded during the year ended December 31, 2022.

Investment in hotel properties under development

On January 24, 2022, the Company opened the newly developed Home2 Suites by Hilton Woodland Hills Los Angeles ("Home2 Woodland Hills"). We incurred $70.9 million of costs to develop the hotel, which includes $6.6 million of land acquisition costs and $64.3 million of other development costs.

During the year ended December 31, 2023, the Company wrote-off $2.2 million of previous expenditures related to the development of a hotel in California that the Company decided to no longer pursue. The write-off expense is included in other charges in the consolidated statements of operations.