XML 37 R13.htm IDEA: XBRL DOCUMENT v3.25.0.1
SUPPLEMENTAL BALANCE SHEET INFORMATION
 12 Months Ended
Dec. 31, 2024
Balance Sheet Related Disclosures [Abstract]  
SUPPLEMENTAL BALANCE SHEET INFORMATION SUPPLEMENTAL BALANCE SHEET INFORMATION
 
Restricted Cash

Restricted cash was as follows (in thousands):
 
December 31,
 20242023
FF&E reserves$7,357 $9,583 
Property taxes and other
364 348 
 $7,721 $9,931 

The Company maintains reserve funds for property taxes, insurance, capital expenditures and replacement or refurbishment of furniture, fixtures and equipment at some of our lodging properties in accordance with management, franchise or mortgage loan agreements. These agreements generally require us to reserve cash ranging from 2% to 5% of the revenues of the individual lodging property in restricted cash escrow accounts. Any unused restricted cash balances revert to us upon the termination of the underlying agreement or may be released to us from the restricted cash escrow accounts upon proof of expenditures and approval from the lender or other party requiring the restricted cash reserves.

Prepaid Expenses and Other
 
Prepaid expenses and other included the following (in thousands):
December 31,
 20242023
Deferred acquisition costs$— $199 
Prepaid insurance2,112 1,945 
Prepaid taxes2,403 3,109 
Insurance receivable1,159 — 
Other3,906 3,612 
$9,580 $8,865 

Deferred Charges
 
Deferred charges were as follows (in thousands):
December 31,
 20242023
Franchise fees$10,619 $10,106 
Less - accumulated amortization(4,159)(3,447)
$6,460 $6,659 
 
Amortization expense for the years ended December 31, 2024, 2023, and 2022 was $0.7 million, $0.6 million and $0.7 million, respectively.
 
Other Assets

Other assets included the following (in thousands):
December 31,
 20242023
Derivative financial instrument$11,573 $13,958 
Purchase option related to real estate loan931 931 
Deferred tax asset, net (1)
11,295 20 
Other492 723 
$24,291 $15,632 

(1) The change in the Deferred tax asset, net from December 31, 2023 to December 31, 2024 is the result of the reversal of the majority of the valuation allowance recorded against our deferred tax assets based on our determination in the current year that it is probable that we will realize the carrying amount of a large portion of our deferred tax assets. During the year ended December 31, 2024, we recorded a reversal of the valuation allowance of $12.1 million, offset by an $0.8 million change in deferred tax assets for the period, resulting in a net change in our deferred tax assets of $11.3 million.

Accrued Expenses and Other
 
Accrued expenses and other included the following (in thousands):
 
December 31,
 20242023
Accrued property, sales and income taxes$26,568 $26,590 
Accrued salaries and benefits14,254 13,307 
Other accrued expenses at lodging properties25,904 26,745 
Accrued renovation costs4,805 1,847 
Advance room deposits6,847 6,301 
Accrued interest3,266 6,136 
Other509 289 
$82,153 $81,215