Related Party Transactions (Tables)

9 Months Ended

Sep. 30, 2019

The following tables summarize the entities in which our advisor has an interest with which we or our hotel properties contracted for products and services, the amounts recorded by us for those services and the applicable classification on our condensed consolidated financial statements (in thousands):



		Three Months Ended September 30, 2019
Company	Product or Service	Total		Investments in Hotel Properties, net ⁽¹⁾		Indebtedness, net ⁽²⁾			Other Hotel Revenue		Other Hotel Expenses		Advisory Services Fee		Property Taxes, Insurance and Other		Write-off of Premiums, Loan Costs and Exit Fees
Ashford LLC	Insurance claims services	$	25	$	—	$	—		$	—	$	—	$	—	$	25	$	—
J&S Audio Visual	Audio visual services	183		—		—			183		—		—		—		—
Lismore Capital	Mortgage placement services	933		—		(720		)	—		—		—		—		213
OpenKey	Mobile key app	21		—		—			—		21		—		—		—
Premier	Project management services	2,838		2,699		—			—		—		139		—		—
Pure Wellness	Hypoallergenic premium rooms	67		55		—			—		12		—		—		—
RED Leisure	Watersport activities and travel/transportation services	326		—		—			—		326		—		—		—



		Three Months Ended September 30, 2018
Company	Product or Service	Total		Investments in Hotel Properties, net ⁽¹⁾		Other Hotel Expenses		Property Taxes, Insurance and Other
Ashford LLC	Insurance claims services	$	31	$	—	$	—	$	31
OpenKey	Mobile key app	5		—		5		—
Premier	Project management services	1,125		1,125		—		—
Pure Wellness	Hypoallergenic premium rooms	128		117		11		—
RED Leisure	Watersport activities and travel/transportation services	180		—		180		—



		Nine Months Ended September 30, 2019
Company	Product or Service	Total		Investments in Hotel Properties, net (1)		Indebtedness, net (2)			Other Hotel Revenue		Other Hotel Expenses		Advisory Services Fee		Property Taxes, Insurance and Other		Write-off of Premiums, Loan Costs and Exit Fees
Ashford LLC	Insurance claims services	$	90	$	—	$	—		$	—	$	—	$	—	$	90	$	—
J&S Audio Visual	Audio visual services	383		—		—			383		—		—		—		—
Lismore Capital	Debt placement services	1,208		—		(995		)	—		—		—		—		213
OpenKey	Mobile key app	33		—		—			—		33		—		—		—
Premier	Project management services	8,078		7,674		—			—		—		404		—		—
Pure Wellness	Hypoallergenic premium rooms	143		108		—			—		35		—		—		—
RED Leisure	Watersport activities and travel/transportation services	686		—		—			—		686		—		—		—



		Nine Months Ended September 30, 2018
Company	Product or Service	Total		Investments in Hotel Properties, net ⁽¹⁾		Indebtedness, net ⁽²⁾			Other Hotel Expenses		Property Taxes, Insurance and Other
Ashford LLC	Insurance claims services	$	100	$	—	$	—		$	—	$	100
Lismore Capital	Debt placement services	999		—		(999		)	—		—
OpenKey	Mobile key app	17		—		—			17		—
Premier	Project management services	1,125		1,125		—			—		—
Pure Wellness	Hypoallergenic premium rooms	147		117		—			30		—
RED Leisure	Watersport activities and travel/transportation services	540		—		—			540		—

________


⁽¹⁾	Recorded in FF&E and depreciated over the estimated useful life.


⁽²⁾	Recorded as deferred loan costs, which are included in “indebtedness, net” on our consolidated balance sheets and amortized over the initial term of the applicable loan agreement.

The following table summarizes the due to Ashford Inc. (in thousands):



		Due to Ashford Inc.
Company	Product or Service	September 30, 2019		December 31, 2018
Ashford LLC	Advisory services	$	1,830	$	2,264
Ashford LLC	Insurance claims services	25		37
J&S Audio Visual	Audio visual services	185		—
OpenKey	Mobile key app	—		13
Premier	Project management services	2,651		1,657
Pure Wellness	Hypoallergenic premium rooms	58		30
		$	4,749	$	4,001

At September 30, 2019, Remington Lodging managed three of our thirteen hotel properties and we incurred the following fees related to the management agreements with the related party (in thousands):



	Three Months Ended September 30,				Nine Months Ended September 30,
	2019		2018		2019		2018
Property management fees, including incentive property management fees	$	455	$	438	$	1,322	$	1,334
Market service and project management fees	—		831		—		3,328
Corporate general and administrative expenses	84		85		262		250
Total	$	539	$	1,354	$	1,584	$	4,912

These share grants were accounted for under the applicable accounting guidance related to share-based payments granted to non-employees and are recorded as a component of “management fees” in our condensed consolidated statements of operations (in thousands).



	Three Months Ended September 30,				Nine Months Ended September 30,
	2019		2018		2019		2018
Management fees	$	36	$	53	$	116	$	164

The following table summarizes the advisory services fees incurred (in thousands):



	Three Months Ended September 30,					Nine Months Ended September 30,
	2019			2018		2019		2018
Advisory services fee
Base advisory fee	$	2,650		$	2,508	$	8,170	$	6,928
Reimbursable expenses ⁽¹⁾	645			529		1,906		1,448
Equity-based compensation ⁽²⁾	1,995			1,316		5,426		5,240
Incentive fee	(132		)	1,380		77		2,241
Total	$	5,158		$	5,733	$	15,579	$	15,857

________


⁽¹⁾	Reimbursable expenses include overhead, internal audit, risk management advisory and asset management services.


⁽²⁾	Equity-based compensation is associated with equity grants of Braemar’s common stock, PSUs, LTIP units and Performance LTIP units awarded to officers and employees of Ashford LLC.