Disposals

12 Months Ended

Dec. 31, 2024

Disposal Group, Not Discontinued Operation, Disposal Disclosures [Abstract]

Disposals

4. Disposals

Disposals – 2024

While no hotels were sold in 2024, the Company recognized a net gain of $0.5 million related to a contingency resolution at the Boston Park Plaza, which the Company sold in 2023.

Disposals – 2023

In October 2023, the Company sold the Boston Park Plaza, located in Massachusetts, for net proceeds of $364.5 million and a gain of $123.8 million. The sale did not represent a strategic shift that had a major impact on the Company’s business plan or its primary markets; therefore, the hotel disposition did not qualify as a discontinued operation.

Disposals - 2022

In February 2022, the Company sold the Hyatt Centric Chicago Magnificent Mile and in March 2022, the Company sold both the Embassy Suites Chicago and the Hilton Garden Inn Chicago Downtown/Magnificent Mile, all three of which are located in Illinois. None of these sales represented a strategic shift that had a major impact on the Company’s business plan or its primary markets; therefore, none of the hotel dispositions qualified as a discontinued operation.

The details of the sales were as follows (in thousands):

	Net Proceeds			Net Gain
Hyatt Centric Chicago Magnificent Mile	$	67,231	(1)	$	11,336
Embassy Suites Chicago and Hilton Garden Inn Chicago Downtown/Magnificent Mile		128,060			11,610
	$	195,291		$	22,946

(1) Includes a $4.0 million disposition deposit received from the buyer of the hotel in December 2021.

Results of Operations – Disposed Hotels

The following table provides summary results of operations for the disposed hotels, which are included in net income for their respective ownership periods (in thousands):

	2024		2023		2022
Total revenues	$	—	$	96,713	$	97,915
Income before income taxes (1)	$	—	$	19,231	$	3,801
Gain on sale of assets, net	$	457	$	123,820	$	22,946

(1) Income before income taxes does not include the gain recognized on the hotel sales.