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Investment In Unconsolidated Joint Ventures (Tables)
 6 Months Ended
Jun. 30, 2017
Investment In Unconsolidated Joint Ventures [Abstract]  
Investment In Unconsolidated Joint Ventures



 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

Percent

 

Preferred

 

 

 

 

 

 

Joint Venture

 

Hotel Properties

 

Owned

 

Return

 

 

June 30, 2017

 

 

December 31, 2016



 

 

 

 

 

 

 

 

 

 

 

 

SB Partners, LLC

 

Holiday Inn Express, South Boston, MA

 

 50.0% 

 

N/A

 

$

 1,148 

 

$

 913 

Hiren Boston, LLC

 

Courtyard by Marriott, South Boston, MA

 

 50.0% 

 

N/A

 

 

 2,419 

 

 

 2,112 

Mystic Partners, LLC

 

Hilton and Marriott branded hotels in CT

 

8.8%-66.7%

 

8.5% non-cumulative

 

 

 -

 

 

 4,699 

Cindat Hersha Owner JV, LLC

 

Hilton and IHG branded hotels in NYC

 

 30.0% 

 

*

 

 

 -

 

 

 3,717 



 

 

 

 

 

 

 

$

 3,567 

 

$

 11,441 



*See explanation below of the Cindat Hersha Owner JV, LLC (“Owner JV”) for more information on the preferred return provisions of this joint venture.



Income Or Loss From Unconsolidated Joint Ventures



 

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 



 

 

Three Months Ended June 30,

 

Six Months Ended June 30,



 

 

2017

 

 

2016

 

 

2017

 

 

2016

 

SB Partners, LLC

 

$

 288 

 

$

 326 

 

$

 235 

 

$

 287 

 

Hiren Boston, LLC

 

 

 423 

 

 

 379 

 

 

 307 

 

 

 285 

 

Mystic Partners, LLC

 

 

 -

 

 

 (76)

 

 

 -

 

 

 (157)

 

Cindat Hersha Owner JV, LLC

 

 

 -

 

 

 892 

 

 

 (3,717)

 

 

 892 

 

Income (Loss) from Unconsolidated Joint Venture Investments

 

$

 711 

 

$

 1,521 

 

$

 (3,175)

 

$

 1,307 

 



Summary Financial Information Related To Unconsolidated Joint Ventures



 

 

 

 

 

 



 

 

 

 

 

 

Balance Sheets

 

 

 

 

 

 



 

 

 

 

 

 



 

 

June 30, 2017

 

 

December 31, 2016

Assets

 

 

 

 

 

 

Investment in Hotel Properties, Net

 

$

 565,175 

 

$

 647,548 

Other Assets

 

 

 34,385 

 

 

 45,576 

Total Assets

 

$

 599,560 

 

$

 693,124 



 

 

 

 

 

 

Liabilities and Equity

 

 

 

 

 

 

Mortgages and Notes Payable

 

$

 347,404 

 

$

 432,173 

Other Liabilities

 

 

 7,377 

 

 

 36,275 

Equity:

 

 

 

 

 

 

Hersha Hospitality Trust

 

 

 92,812 

 

 

 119,892 

Joint Venture Partner(s)

 

 

 152,203 

 

 

 104,784 

Accumulated Other Comprehensive Loss

 

 

 (236)

 

 

 -

Total Equity

 

 

 244,779 

 

 

 224,676 



 

 

 

 

 

 

Total Liabilities and Equity

 

$

 599,560 

 

$

 693,124 



NOTE 3 – INVESTMENT IN UNCONSOLIDATED JOINT VENTURES (CONTINUED)





 

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 

 

 

 

 

 

 

 

Statements of Operations

 

 

 

 

 

 

 

 

 

 

 

 

 



 

 

 

 

 

 



 

 

Three Months Ended June 30,

 

Six Months Ended June 30,

 



 

 

2017

 

 

2016

 

 

2017

 

 

2016

 

Room Revenue

 

$

 25,812 

 

$

 31,578 

 

$

 41,008 

 

$

 43,958 

 

Other Revenue

 

 

 504 

 

 

 6,789 

 

 

 954 

 

 

 11,492 

 

Operating Expenses

 

 

 (11,270)

 

 

 (20,681)

 

 

 (20,356)

 

 

 (33,565)

 

Lease Expense

 

 

 (155)

 

 

 (276)

 

 

 (339)

 

 

 (581)

 

Property Taxes and Insurance

 

 

 (2,748)

 

 

 (2,316)

 

 

 (5,496)

 

 

 (3,077)

 

General and Administrative

 

 

 (1,372)

 

 

 (2,116)

 

 

 (2,527)

 

 

 (3,348)

 

Depreciation and Amortization

 

 

 (3,061)

 

 

 (3,335)

 

 

 (6,005)

 

 

 (5,009)

 

Interest Expense

 

 

 (5,188)

 

 

 (4,658)

 

 

 (10,099)

 

 

 (6,264)

 

Acquisition Costs

 

 

 -

 

 

 (1,499)

 

 

 -

 

 

 (1,499)

 

Gain (Loss) Allocated to Noncontrolling Interests

 

 

 -

 

 

 (72)

 

 

 -

 

 

 (40)

 

   Net Income (Loss)

 

$

 2,522 

 

$

 3,414 

 

$

 (2,860)

 

$

 2,067 

 



Reconciliation Of Share In Unconsolidated Joint Ventures' Equity In Investment In Unconsolidated Joint Ventures







 

 

 

 

 

 



 

 

 

 

 

 



 

 

 

 

 

 



 

 

June 30, 2017

 

 

December 31, 2016

Our share of equity recorded on the joint ventures' financial statements

 

$

 92,812 

 

$

 119,892 

Adjustment to reconcile our share of equity recorded on the joint ventures' financial statements to our investment in unconsolidated joint ventures(1)

 

 

 (89,245)

 

 

 (108,451)

Investment in Unconsolidated Joint Ventures

 

$

 3,567 

 

$

 11,441 



(1)  Adjustment to reconcile our share of equity recorded on the joint ventures' financial statements to our investment in unconsolidated joint ventures consists of the following:



·

the difference between our basis in the investment in joint ventures and the equity recorded on the joint ventures' financial statements;

·

accumulated amortization of our equity in joint ventures that reflects the difference in our portion of the fair value of joint ventures' assets on the date of our investment when compared to the carrying value of the assets recorded on the joint ventures’ financial statements (this excess or deficit investment is amortized over the life of the properties, and the amortization is included in Income (Loss) from Unconsolidated Joint Venture Investments on our consolidated statement of operations); and

cumulative impairment of our investment in joint ventures not reflected on the joint ventures' financial statements, if any.