Investment in Hotel Properties, net

3 Months Ended

Mar. 31, 2017

Property, Plant and Equipment [Abstract]

Investments in hotel properties, net consisted of the following (in thousands):



	March 31, 2017			December 31, 2016
Land	$	303,165		$	210,696
Buildings and improvements	1,022,514			972,412
Furniture, fixtures and equipment	79,655			70,922
Construction in progress	6,094			4,382
Total cost	1,411,428			1,258,412
Accumulated depreciation	(254,168		)	(243,880		)
Investments in hotel properties, net	$	1,157,260		$	1,014,532

Park Hyatt Beaver Creek

On March 31, 2017, we acquired a 100% interest in the Park Hyatt Beaver Creek Resort & Spa in Beaver Creek, Colorado for total consideration of $145.5 million. Concurrent with the closing of the acquisition, we completed the financing of a $67.5 million mortgage loan. See note 7.

We have allocated the purchase price to the assets acquired and liabilities assumed on a preliminary basis using estimated fair value information currently available. We are in the process of evaluating the values assigned to investment in hotel property, property level working capital balances and intangibles. This valuation is considered a Level 3 valuation technique. Thus, the balances reflected below are subject to change, and any such changes could result in adjustments to the allocation. Any change to the amounts recorded within the investments in hotel properties or intangibles will also impact depreciation and amortization expense.

The following table summarizes the preliminary estimated fair value of the assets acquired in the acquisition (in thousands):



Land	$	92,470
Buildings and improvements	47,724
Furniture, fixtures, and equipment	5,306
	$	145,500
Net other assets (liabilities)	$	4,528

The results of operations of the hotel property have not been included in our results of operations for the period ended March 31, 2017 as a result of the acquisition occurring on March 31, 2017.

Pro Forma Financial Results

The following table reflects the unaudited pro forma results of operations as if the acquisition had occurred and the applicable indebtedness was incurred on January 1, 2016, and the removal of $2.8 million of non-recurring transaction costs directly attributable to the acquisitions for the three months ended March 31, 2017 (in thousands):



	Three Months Ended March 31,
	2017		2016
Total revenue	$	116,106	$	117,825
Net income (loss)	7,888		5,070
Net income (loss) attributable to common stockholders	5,418		3,517
Pro Forma income per share:
Basic	$	0.19	$	0.12
Diluted	$	0.19	$	0.12
Weighted average common shares outstanding (in thousands):
Basic	27,267		28,343
Diluted	27,450		28,459