Capital

The Company has authorized 500,000,000 common shares, $0.01 par value per share, and 100,000,000 preferred shares, $0.01 par value per share. The Board of Trustees may authorize the issuance of additional shares of either class. As of March 31, 2016 and December 31, 2015, there were 9,117,183 and 9,135,103 common shares outstanding, respectively. No preferred shares have been issued.

During the three month periods ended March 31, 2016 and 2015, the Board of Directors authorized dividends totaling $0.45 per share and $0.55 per share, respectively. Total dividends declared during the three month periods ended March 31, 2016 and 2015 were $4.1 million and $5.0 million, respectively.

Detailed below is a roll forward of the Company's common shares outstanding for the three month periods ended March 31, 2016 and 2015:



	Three Month Period Ended March 31, 2016		Three Month Period Ended March 31, 2015
Common Shares Outstanding (12/31/2015 and 12/31/2014, respectively)	9,135,103		9,149,274
Share Activity:
Shares repurchased	(17,920	)	—
Common Shares Outstanding (3/31/2016 and 3/31/2015, respectively)	9,117,183		9,149,274
Unvested restricted shares outstanding (3/31/2016 and 3/31/2015, respectively)	15,390		6,912

The below table provides details on the Company's restricted shares granted pursuant to share award agreements which are unvested at March 31, 2016 and 2015:



Grant Recipient	Number of Restricted Shares Granted	Grant Date	Vesting Date⁽¹⁾
Independent trustees:
	9,228	September 15, 2015	September 14, 2016
	6,912	September 11, 2014	September 10, 2015
Partially dedicated employees:
	3,157	December 15, 2015	December 15, 2016
	324	December 15, 2015	December 31, 2016
	2,359	December 15, 2015	December 15, 2017
	322	December 15, 2015	December 31, 2017


(1)	Date at which such restricted shares will vest and become non-forfeitable.

On August 13, 2013, the Company's Board of Trustees approved the adoption of a $10 million share repurchase program. The program, which is open-ended in duration, allows the Company to make repurchases from time to time on the open market or in negotiated transactions, including through Rule 10b5-1 plans. Repurchases are at the Company's discretion, subject to applicable law, share availability, price and the Company's financial performance, among other considerations. During the three month period ended March 31, 2016, the Company purchased 17,920 common shares at an aggregate cost of $0.2 million, and an average price per share of $10.94. Since inception of the share repurchase program through March 31, 2016, the Company has purchased 47,481 common shares at an aggregate cost of $0.6 million, and an average price per share of $12.03.

Distribution Policy

The timing and frequency of distributions will be determined by the Board of Trustees based upon a variety of factors deemed relevant by the Company's trustees, including restrictions under applicable law, capital requirements of the Company, and the REIT requirements of the Code. Distributions to shareholders generally will be taxable as ordinary income, although a portion of such distributions may be designated as long-term capital gain or qualified dividend income, or may constitute a return of capital. The Company will furnish annually to each shareholder a statement setting forth distributions paid or deemed paid during the preceding year and their U.S. federal income tax treatment.

It is the intention of the Company to distribute at least 100% of its taxable income, after application of available tax attributes, within the time limits prescribed by the Internal Revenue Code, which may extend into the subsequent taxable year.