DEBT (Tables)

12 Months Ended

Dec. 31, 2019

Debt Disclosure [Abstract]

Schedule of outstanding indebtedness

At December 31, 2019 and 2018 our outstanding indebtedness was as follows (in thousands):

Lender	Reference	Interest Rate	Amortization Period (Years)	Maturity Date	Number of  Properties Encumbered	Balance at
						December 31,
					12/31/2019	2019			2018
$600 Million Senior Unsecured Credit and Term Loan Facility (1)
Deutsche Bank AG New York Branch
$400 Million Revolver		3.41% Variable	n/a	March 31, 2023	n/a	$	75,000		$	115,000
$200 Million Term Loan		3.36% Variable	n/a	April 1, 2024	n/a	200,000			200,000
Total Senior Unsecured Credit and Term Loan Facility						275,000			315,000
Joint Venture Credit Facility (2)
Bank of America, N.A.
$125 Million Revolver		3.91% Variable	n/a	October 8, 2023	n/a	65,000			—
$75 Million Term Loan		3.86% Variable	n/a	October 8, 2023	n/a	75,000			—
Total Joint Venture Credit Facility						140,000			—
Unsecured Term Loan (1)
Term Loan (KeyBank National Association, as Administrative Agent)		3.36% Variable	n/a	November 25, 2022	n/a	225,000			225,000
Term Loan (KeyBank National Association, as Administrative Agent)		3.66% Variable	n/a	February 14, 2025	n/a	225,000			225,000
Secured Mortgage Indebtedness
KeyBank National Association	(3)	4.46% Fixed	30	February 1, 2023	3	19,510			26,357
	(4)	4.52% Fixed	30	April 1, 2023	3	19,992			20,444
	(5)	4.30% Fixed	30	April 1, 2023	3	19,323			19,777
	(6)	4.95% Fixed	30	August 1, 2023	2	34,695			35,411
MetaBank	(7)	4.44% Fixed	25	July 1, 2027	3	47,226			47,640
Bank of Cascades	(8)	3.76% Variable	25	December 19, 2024	1	8,490			8,757
	(8)	4.30% Fixed	25	December 19, 2024	—	8,490			8,757
Compass Bank	(9)	n/a	25	May 6, 2020	—	—			22,151
U.S. Bank, NA	(10)	n/a	25	November 11, 2021	—	—			10,717
Total Mortgage Loans					15	157,726			200,011
Total Debt						1,022,726			965,011
Unamortized debt issuance costs						(6,563		)	(6,299		)
Debt, net of issuance costs						$	1,016,163		$	958,712

(1) The $600 million Senior Secured Credit and Term Loan Facility and Unsecured Term Loans are supported by a borrowing base of 52 unencumbered hotel properties.

(2) The Joint Venture Credit Facility is secured by pledges of the equity in the entities (and affiliated entities) that own the hotels.

(3) On January 25, 2013, we closed on a $29.4 million loan with a fixed rate of 4.46% and a maturity of February 1, 2023. This loan is secured by three of the Hyatt Place hotels we acquired in October 2012. These hotels are located in Chicago (Lombard), IL; Denver (Lone Tree), CO; and Denver (Englewood), CO.  This loan is subject to defeasance costs if prepaid. On March 19, 2019, we defeased $6.3 million of the principal balance to have the encumbrance released on one property, the Hyatt Place in Arlington, TX, to facilitate the sale of the property. As a result of this transaction, we recorded debt transaction costs of $0.6 million primarily related to the debt defeasance premium.

(4) On March 7, 2013, we closed on a $22.7 million loan with a fixed rate of 4.52% and a maturity of April 1, 2023. This loan is secured by three of the Hyatt hotels we acquired in October 2012. These hotels include a Hyatt House in Denver (Englewood), CO and Hyatt Place hotels in Baltimore (Owings Mills), MD and Scottsdale, AZ.  This loan is subject to defeasance if prepaid.

(5) On March 8, 2013, we closed on a $22.0 million loan with a fixed rate of 4.30% and a maturity of April 1, 2023. This loan is secured by the three Hyatt Place hotels we acquired in January 2013. These hotels are located in Chicago (Hoffman Estates), IL; Orlando (Convention), FL; and Orlando (Universal), FL. This loan is subject to defeasance if prepaid.

(6) On July 22, 2013, we closed on a $38.7 million loan with a fixed rate of 4.95% and a maturity of August 1, 2023. This loan is secured by two Marriott hotels we acquired in May 2013. These hotels include a Fairfield Inn & Suites and SpringHill Suites in Louisville, KY. This loan is subject to defeasance if prepaid.

(7) On June 30, 2017, we entered into the MetaBank Loan. The MetaBank Loan is secured by the Hampton Inn & Suites in Minneapolis, MN, the Four Points by Sheraton Hotel & Suites in South San Francisco, CA, and the Hyatt Place in Mesa, AZ. The MetaBank Loan is subject to a prepayment penalty if prepaid prior to April 1, 2027.

(8) On December 19, 2014, we refinanced our loan with Bank of the Cascades and increased the amount financed by $7.9 million.  As part of the refinance the loan was split into two notes. Note A carries a variable interest rate of 30-day LIBOR plus 200 basis points and Note B carries a fixed interest rate of 4.3%. Both notes have amortization periods of 25 years and maturity dates of December 19, 2024. The Bank of Cascades mortgage loan is comprised of two promissory notes that are secured by the same collateral and cross-defaulted.

(9) On April 24, 2019, we repaid a mortgage loan with Compass Bank totaling $21.9 million that was secured by three hotel properties. There was no prepayment penalty associated with the repayment of this loan. After the repayment of this loan, the three hotels were added to the Company's Unencumbered Properties.

(10) On April 11, 2019, we repaid a $10.6 million mortgage loan with U.S. Bank to release the encumbrance on the Hampton Inn in Goleta, CA to facilitate the sale of the property. As a result of this transaction, we incurred debt transaction costs of $1.0 million.

Schedule of total fixed-rate and variable-rate debt, after giving effect to interest rate derivatives

Our total fixed-rate and variable-rate debt at December 31, 2019 and 2018, after giving effect to our interest rate derivatives, is as follows (in thousands): 

	2019		Percentage		2018		Percentage
Fixed-rate debt	$	549,236	54	%	$	569,103	59	%
Variable-rate debt	473,490		46	%	395,908		41	%
	$	1,022,726			$	965,011

Schedule of principal payments for each of the next five years

Contractual principal payments for each of the next five years are as follows (in thousands): 

2020	$	3,742
2021	3,912
2022	229,072
2023	303,434
2024	216,105
Thereafter	266,461
	$	1,022,726

Schedule of the fair value of fixed-rate debt that is not recorded at fair value

Information about the fair value of our fixed-rate debt that is not recorded at fair value is as follows (in thousands): 

	2019				2018
	Carrying Value		Fair Value		Carrying Value		Fair Value		Valuation Technique
Fixed-rate debt	$	149,236	$	151,268	$	169,103	$	166,256	Level 2 - Market approach