Leases (Tables)

12 Months Ended

Dec. 31, 2024

Leases [Abstract]

Schedule of Operating and Finance Lease Term Years, Weighted-average Discount Rates, Right of Use Assets and Lease Liabilities

As of December 31, 2024, the operating and finance lease term years, weighted-average discount rates, right of use assets and lease liabilities, are as follows:

	December 31, 2024
	Operating			Finance
Weighted-average remaining lease term, including reasonably certain extension options (years)		27.25			49.98
Weighted-average discount rate		8.02	%		7.41	%
Right of use assets	$	4,451,537		$	23,021,483
Lease liabilities	$	(4,874,919	)	$	(23,201,751	)

Summary of Lease Related Assets and Liabilities

Lease Position as of December 31, 2024 and 2023– The following tables set forth the lease-related assets and liabilities included in the Company’s consolidated balance sheets as of December 31, 2024 and 2023;

Assets	Balance Sheet Classification	December 31, 2024		December 31, 2023
Right of use assets	Prepaid expenses, inventory and other assets	$	723,732	$	1,255,881
Right of use assets	Investment in hotel properties, net		3,727,805		4,733,406
Finance lease right of use assets	Investment in hotel properties, net		23,021,483		63,424
Total lease assets		$	27,473,020	$	6,052,711
Liabilities
Lease obligations under ROU assets	Accounts payable and accrued liabilities	$	4,874,919	$	5,420,343
Finance lease liabilities	Finance lease liabilities		23,201,751		54,354
Total lease liabilities		$	28,076,670	$	5,474,697

Schedule of Lease Costs

The following table sets forth the lease costs related to the Company’s operating and finance ground leases included in the Company’s consolidated statement of operations for the twelve months ended December 31, 2024, 2023, and 2022:

	Consolidated Statement of Operations	Twelve Months Ended		Twelve Months Ended			Twelve Months Ended
	Classification	December 31, 2024		December 31, 2023			December 31, 2022
Operating lease costs
Fixed	Corporate general and administrative	$	188,774	$	(73,104	)	$	242,429
	Hotel operating expenses - Other operating		-		271,000			271,000
	Hotel operating expenses - Indirect		468,407		164,330			168,739
Variable	Hotel operating expenses - Indirect		529,623		591,147			451,041
Finance lease costs:
Amortization of lease assets	Depreciation and amortization		188,346		-			-
Variable	Hotel operating expenses - Indirect		204,161		-			-
Interest on lease liabilities	Interest expense		622,249		4,486			-
Total lease costs		$	2,201,560	$	957,859		$	1,133,209

Schedule of Undiscounted Cash Flows

The following table reconciles the undiscounted cash flows for each of the next five years and total of the remaining years to the operating lease liabilities and finance lease liabilities included in the Company’s consolidated balance sheet as of December 31, 2024:

	December 31, 2024
	Operating			Financing
December 31, 2025	$	553,775		$	1,005,265
December 31, 2026		552,233			1,871,959
December 31, 2027		551,196			1,863,893
December 31, 2028		524,984			1,858,738
December 31, 2029		528,701			1,843,049
December 31, 2030 and thereafter		10,240,006			81,551,299
Total undiscounted lease payments		12,950,895			89,994,203
Less imputed interest		(8,075,976	)		(66,792,452	)
Total lease liability	$	4,874,919		$	23,201,751

Schedule of Minimum Future Lease Payments

A schedule of minimum future lease payments receivable for the remaining twelve-month periods is as follows:

December 31, 2025	$	1,070,808
December 31, 2026		920,844
December 31, 2027		711,691
December 31, 2028		478,410
December 31, 2029		485,284
December 31, 2030 and thereafter		1,397,049
Total	$	5,064,086