INVESTMENT IN HOTEL PROPERTIES

9 Months Ended

Sep. 30, 2020

Property, Plant and Equipment [Abstract]

Investment in hotel properties consists of the following at September 30, 2020 and December 31, 2019:



	September 30, 2020		December 31, 2019

Land	$	505,156	$	518,243
Buildings and Improvements	1,690,198		1,710,621
Furniture, Fixtures and Equipment	298,107		294,527
Construction in Progress	4,673		10,202
	2,498,134		2,533,593

Less Accumulated Depreciation	(614,799)		(557,620)

Total Investment in Hotel Properties *	$	1,883,335	$	1,975,973

* The net book value of investment in hotel property at Ritz Coconut Grove, which is a variable interest entity, is $43,462 and $44,854 at September 30, 2020 and December 31, 2019, respectively.

Acquisitions

For the nine months ended September 30, 2020 and 2019, we acquired no hotel properties.

Hotel Dispositions

For the nine months ended September 30, 2020 and 2019, we disposed of no hotel properties.

During October 2020, the Company entered into a purchase and sale agreement with an unrelated third party to sell the Sheraton Wilmington for a sales price of $19,500. The sale is expected to close in the fourth quarter of 2020.

Assets Held For Sale

We have classified two assets as held for sale as of September 30, 2020. The sales of Duane Street Hotel and Blue Moon Hotel are expected to close in the first half of 2021 and are included as held for sale assets as of September 30, 2020. During the second quarter of 2020, the Company amended the purchase and sale agreement with the buyer of the Duane Street Hotel to reduce the purchase price by $2,000. As a result of the reduced sales price and after consideration of selling costs to the Company, management determined that the carrying value of the hotel exceeded the anticipated net proceeds from sale, resulting in a $1,069 impairment charge recorded during the second quarter of 2020.

The table below shows the balances for the properties that were classified as assets held for sale as of September 30, 2020.



	September 30, 2020

Land	$	13,087
Buildings and Improvements	35,492
Furniture, Fixtures and Equipment	6,433
	55,012

Less Accumulated Depreciation	(14,817)

Assets Held for Sale	$	40,195