Capital

3 Months Ended

Mar. 31, 2020

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, 2020 and December 31, 2019, there were 12,319,616 and 12,455,758 common shares outstanding, respectively. No preferred shares have been issued.

Detailed below is a roll forward of the Company's common shares outstanding for the three-month periods ended March 31, 2020 and 2019:



	Three-Month Period Ended
	March 31, 2020		March 31, 2019
Common Shares Outstanding (12/31/2019 and 12/31/2018, respectively)	12,455,758		12,507,213
Share Activity:
Shares repurchased	(136,142	)	(40,110	)
Common Shares Outstanding (3/31/2020 and 3/31/2019, respectively)	12,319,616		12,467,103
Unvested restricted shares outstanding (3/31/2020 and 3/31/2019, respectively)	25,476		21,159

The below table provides details on the Company's restricted shares granted pursuant to share award agreements which are unvested at March 31, 2020:



Grant Recipient	Number of Restricted Shares Granted	Grant Date	Vesting Date⁽¹⁾
Independent trustees:
	15,024	September 11, 2019	September 10, 2020
Partially dedicated employees:
	3,669	December 13, 2019	December 13, 2020
	3,668	December 13, 2019	December 13, 2021
	3,115	December 11, 2018	December 11, 2020


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

As of March 31, 2020, there were 298,724 shares available for future issuance under the Company's 2013 Equity Incentive Plan.

On June 13, 2018, the Company's Board of Trustees approved the adoption of a share repurchase program under which the Company is authorized to repurchase up to 1.2 million common shares. 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 its financial performance, among other considerations. During the three-month period ended March 31, 2020, the Company repurchased 136,142 of its common shares at an aggregate cost of $1.0 million, and an average price per share of $7.24. From inception of the current share repurchase program adopted on June 13, 2018 through March 31, 2020, the Company repurchased 434,171 of its common shares at an aggregate cost of $4.1 million, and an average price per share of $9.45.

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.