XML 25 R14.htm IDEA: XBRL DOCUMENT
v3.25.1

Indebtedness, net | 3 Months Ended
--- | ---
Mar. 31, 2025
Debt Disclosure [Abstract] |
Indebtedness, net | Indebtedness, net Indebtedness, net consisted of the following (dollars in thousands):
Indebtedness |  | Collateral |  | Current Maturity |  | Final Maturity (9) |  | Interest Rate |  | March 31, 2025 |  | December 31, 2024
Mortgage loan (2) (3) |  | The Notary Hotel |  | June 2025 |  | June 2025 |  | SOFR (1) + 2.66% |  | $ | — |  |  |  |  | $ | 293,180 |  |  |
|  | The Clancy |  |  |  |  |  |  |  |  |  |  |  |  |  |
|  | Sofitel Chicago Magnificent Mile |  |  |  |  |  |  |  |  |  |  |  |  |  |
|  | Marriott Seattle Waterfront |  |  |  |  |  |  |  |  |  |  |  |  |  |
Mortgage loan (4) |  | The Ritz-Carlton Lake Tahoe |  | July 2025 |  | January 2026 |  | SOFR (1) + 3.25% |  | 43,413 |  |  |  |  | 53,413 |  |  |
Mortgage loan (5) |  | Park Hyatt Beaver Creek Resort & Spa |  | February 2026 |  | February 2027 |  | SOFR (1) + 2.86% |  | 70,500 |  |  |  |  | 70,500 |  |  |
Mortgage loan (3) |  | The Ritz-Carlton Reserve Dorado Beach |  | March 2026 |  | March 2026 |  | SOFR (1) + 4.75% |  | — |  |  |  |  | 62,000 |  |  |
Convertible Senior Notes |  | Equity |  | June 2026 |  | June 2026 |  | 4.50% |  | 86,250 |  |  |  |  | 86,250 |  |  |
Mortgage loan (6) |  | Bardessono Hotel & Spa |  | August 2026 |  | August 2029 |  | SOFR (1) + 3.24% |  | 407,000 |  |  |  |  | 407,000 |  |  |
|  | Hotel Yountville |  |  |  |  |  |  |  |  |  |  |  |  |  |
|  | The Ritz-Carlton Sarasota |  |  |  |  |  |  |  |  |  |  |  |  |  |
|  | Pier House Resort & Spa |  |  |  |  |  |  |  |  |  |  |  |  |  |
|  | The Ritz-Carlton St. Thomas |  |  |  |  |  |  |  |  |  |  |  |  |  |
Mortgage loan (7) |  | Four Seasons Resort Scottsdale |  | December 2026 |  | December 2028 |  | SOFR (1) + 3.75% |  | 140,000 |  |  |  |  | 140,000 |  |  |
Mortgage loan (8) |  | Capital Hilton |  | December 2026 |  | December 2028 |  | SOFR (1) + 3.75% |  | 110,600 |  |  |  |  | 110,600 |  |  |
Mortgage loan (3) |  | The Notary Hotel |  | March 2027 |  | March 2030 |  | SOFR (1) + 2.52% |  | 363,000 |  |  |  |  | — |  |  |
|  | The Clancy |  |  |  |  |  |  |  |  |  |  |  |  |  |
|  | Sofitel Chicago Magnificent Mile |  |  |  |  |  |  |  |  |  |  |  |  |  |
|  | Marriott Seattle Waterfront |  |  |  |  |  |  |  |  |  |  |  |  |  |
|  | The Ritz-Carlton Reserve Dorado Beach |  |  |  |  |  |  |  |  |  |  |  |  |  |
|  |  |  |  |  |  |  |  |  | 1,220,763 |  |  |  |  | 1,222,943 |  |  |
Deferred loan costs, net |  |  |  |  |  |  |  |  |  | (17,316) |  |  |  |  | (11,985) |  |  |
Premiums/(discounts), net |  |  |  |  |  |  |  |  |  | (779) |  |  |  |  | (940) |  |  |
Indebtedness, net |  |  |  |  |  |  |  |  |  | $ | 1,202,668 |  |  |  |  | $ | 1,210,018 |  |  |
__________________ (1)SOFR rates were 4.32% and 4.33% at March 31, 2025 and December 31, 2024, respectively. (2)This mortgage loan had five one-year extension options, subject to satisfaction of certain conditions, of which the fifth was exercised in June 2024. (3)On March 7, 2025, we refinanced two mortgage loans into a new $363.0 million mortgage loan. The new mortgage loan is interest only and bears interest at a rate of SOFR + 2.52%, has a two-year initial term, and has three one-year extension options, subject to the satisfaction of certain conditions. (4)On January 14, 2025, we amended this mortgage loan. Terms of the amendment included a $10.0 million principal pay-down, current maturity date extension to July 2025, interest rate reduction to SOFR + 3.25%, and one six-month extension option subject to satisfaction of certain conditions. (5)This mortgage loan has three one-year extension options, subject to satisfaction of certain conditions, of which the second was exercised in February 2025. (6)This mortgage loan has three one-year extension options, subject to satisfaction of certain conditions. Braemar holds a tranche of Commercial Mortgage-Backed Securities (“CMBS”), which is secured by the five hotel properties that serve as collateral for the new mortgage loan and has a par value of $42.2 million and a rate of SOFR + 5.20%. The CMBS is reported as “investment in securities” on the condensed consolidated balance sheet. (7)This mortgage loan has two one-year extension options, subject to satisfaction of certain conditions. This mortgage loan has a SOFR floor of 1.00%. (8)This mortgage loan has two one-year extension options, subject to satisfaction of certain conditions. This mortgage loan has a SOFR floor of 2.00%. (9)The final maturity date assumes all available extension options will be exercised. Convertible Senior Notes For the three months ended March 31, 2025 and 2024, the Company recorded coupon interest expense of $970,000 and $970,000, respectively. For the three months ended March 31, 2025 and 2024, the Company recorded discount amortization of $161,000 and $152,000, respectively, related to the initial purchase discount, with the remaining discount balance to be amortized through June 2026. The convertible senior notes are convertible at any time prior to the close of business on the business day immediately preceding the maturity date for cash, shares of the Company’s common stock or a combination of cash and shares of the Company’s common stock, at the election of the Company. As of March 31, 2025, the conversion rate is 188.0528 shares per $1,000 principal amount of notes. If we violate covenants in any debt agreement, we could be required to repay all or a portion of our indebtedness before maturity at a time when we might be unable to arrange financing for such repayment on attractive terms, if at all. The assets of certain of our subsidiaries are pledged under non-recourse indebtedness and are not available to satisfy the debts and other obligations of the consolidated group. As of March 31, 2025, we were in compliance with all covenants. Interest Rate Derivatives—We use interest rate caps to hedge our debt and our cash flows, which are recorded at fair value. Payments from counterparties on in-the-money interest rate caps are recognized as realized gains on our condensed consolidated statements of operations. See note 8.

X
- References No definition available. + Details
Name: | us-gaap_DebtDisclosureAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- Definition The entire disclosure for long-term debt. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Topic 470 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org/470/tableOfContent + Details
Name: | us-gaap_LongTermDebtTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration