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Hotel Disposition and Impairment Charges
 6 Months Ended
Jun. 30, 2021
Discontinued Operations and Disposal Groups [Abstract]  
Hotel Disposition and Impairment Charges Hotel Disposition and Impairment ChargesHotel Dispositions
On January 20, 2021, the Company sold the Le Meridien in Minneapolis, Minnesota for approximately $7.9 million in cash. The sale resulted in a loss of approximately $90,000 for the six months ended June 30, 2021, which was included in “gain (loss) on disposition of assets and hotel properties” in the consolidated statement of operations.
In February 2021 the Company was informed by its lender that it had initiated foreclosure proceedings for the foreclosure of the SpringHill Suites Durham and SpringHill Suites Charlotte, which secured the Company’s $19.4 million mortgage loan. The foreclosure proceedings were completed on April 29, 2021 and resulted in a gain on extinguishment of debt of approximately $10.6 million for the three and six months ended June 30, 2021, which was included in “gain (loss) on extinguishment of debt” in the consolidated statements of operations. See note 7.
The results of operations for disposed hotel properties are included in net income (loss) through the date of disposition. See note 2 for a list of fiscal year 2020 and 2021 hotel property dispositions. The following table includes condensed financial information from hotel property dispositions that occurred in 2020 and 2021 for the three and six months ended June 30, 2021 and 2020 (in thousands):
Three Months Ended June 30,Six Months Ended June 30,
2021202020212020
Total hotel revenue
$345 $4,142 $1,160 $23,923 
Total hotel operating expenses(366)(5,813)(1,345)(20,934)
Gain (loss) on disposition of assets and hotel properties361 (6)237 3,617 
Property taxes, insurance and other(23)(2,502)(141)(5,117)
Depreciation and amortization(41)(4,856)(206)(10,170)
Impairment charges— (27,605)— (55,218)
Operating income (loss)276 (36,640)(295)(63,899)
Interest income— 6 — 10 
Interest expense and amortization of discounts and loan costs(162)(9,363)(624)(15,486)
Write-off of premiums, loan costs and exit fees— (21)— (21)
Gain (loss) on extinguishment of debt10,604 — 10,604 — 
Income (loss) before income taxes10,718 (46,018)9,685 (79,396)
(Income) loss before income taxes attributable to redeemable noncontrolling interests in operating partnership(143)6,806 (182)12,108 
Net income (loss) before income taxes attributable to the Company$10,575 $(39,212)$9,503 $(67,288)
Impairment ChargesFor the three and six months ended June 30, 2021, no impairment charges were recorded.
For the three months ended March 31, 2020, we recorded an impairment charge of $27.6 million. The impairment charge was comprised of $13.9 million at the Columbus Hampton Inn Easton, $10.0 million at the Canonsburg Homewood Suites Pittsburgh Southpointe and $3.7 million at the Phoenix Hampton Inn Airport North as a result of reduced estimated cash flows resulting from the COVID-19 pandemic and changes to the expected holding periods of these hotel properties. Each impairment charge was based on methodologies which include the development of the discounted cash flow method of the income approach with support based on the market approach, which are considered Level 3 valuation techniques.
On July 9, 2020, the non-recourse mortgage loan secured by the Rockbridge Portfolio matured. The lender provided notice of UCC sale, which resulted in the sale of the subsidiaries of the Company that own the respective hotels in a public auction. As a result, the estimated fair value of each hotel property was compared to its carrying value, as of June 30, 2020. During the three months ended June 30, 2020, an impairment charge totaling $27.6 million was recorded that was comprised of $1.7 million at the Columbus Hampton Inn Easton, $3.0 million at the Pittsburgh Hampton Inn Waterfront West Homestead, $3.0 million at the Washington Hampton Inn Pittsburgh Meadow Lands, $1.8 million at the Cannonsburg Homewood Suites Pittsburgh Southpointe, $2.4 million at the Stillwater Residence Inn, $9.5 million at the Billerica Courtyard by Marriott Boston, and $6.1 million at the Wichita Courtyard by Marriott Old Town resulting from the difference between the estimated fair value of the property as compared to the net book value at June 30, 2020. We engaged a third-party valuation expert to assist in determining the fair value of the hotel properties. Each impairment charge was based on methodologies which include the development of the discounted cash flow method of the income approach with support based on the market approach, which are considered Level 3 valuation techniques. No further impairment was required for the properties, which were disposed of on August 19, 2020.