Net Investments in Hotels

Net investments in hotels are summarized as follows (in thousands):



	December 31,
	2019			2018
Buildings	$	1,090,693		$	1,093,865
Land	236,078			236,078
Furniture, fixtures and equipment	93,333			93,766
Building and site improvements	42,318			38,670
Construction in progress	6,466			2,554
Hotels, at cost	1,468,888			1,464,933
Less: Accumulated depreciation	(157,581		)	(113,184		)
Net investments in hotels	$	1,311,307		$	1,351,749

During the years ended December 31, 2019 and 2018, we retired fully depreciated furniture, fixtures and equipment aggregating $3.2 million and $1.0 million, respectively.

Hurricane-Related Disruption

The Marriott Sawgrass Golf Resort & Spa was impacted by Hurricane Irma when it made landfall in September 2017. The hotel sustained damage and was forced to close for a short period of time. Below is a summary of the items that comprised the (gain) loss recognized by the venture related to Hurricane Irma (in thousands):



(in thousands)	Years Ended December 31,
	2019			2018			2017
Net write-off (write-up) of fixed assets ^(a)	$	3,476		$	(173	)	$	4,938
Remediation work performed	—			133			1,476
(Increase) decrease to property damage insurance receivables	(3,486		)	722			(3,715		)
(Gain) loss on hurricane-related property damage	$	(10	)	$	682		$	2,699

___________


(a)	Includes write-offs totaling $1.4 million during the year ended December 31, 2018 resulting from pre-existing damage (which was discovered as a result of Hurricane Irma and was not covered by insurance).

During the year ended December 31, 2018, $0.9 million was recorded in the consolidated financial statements as Business interruption income related to Hurricane Irma. We did not record business interruption income related to Hurricane Irma during either the years ended December 31, 2019 or 2017.

As the restoration work continues to be performed, the estimated total cost will change. Any changes to property damage estimates will be recorded in the periods in which they are determined and any additional remediation work will be recorded in the periods in which it is performed.

Construction in Progress

At December 31, 2019 and 2018, construction in progress, recorded at cost, was $6.5 million and $2.6 million, respectively, and related to renovations at certain of our hotels. Upon substantial completion of renovation work, costs are reclassified from construction in progress to buildings, building and site improvements and furniture, fixture and equipment, as applicable, and depreciation will commence.

We capitalize qualifying interest expense and certain other costs, such as property taxes, property insurance, utilities expense and hotel incremental labor costs, related to hotels undergoing major renovations. We capitalized $0.1 million, $0.3 million and $0.4 million of such costs during the years ended December 31, 2019, 2018 and 2017, respectively. At December 31, 2019, 2018 and 2017, accrued capital expenditures were $1.4 million, $1.4 million and $0.5 million, respectively, representing non-cash investing activity.

Pro Forma Financial Information

The following unaudited consolidated pro forma financial information presents our financial results as if the acquisition that we completed during the year ended December 31, 2017, and the new financing related to this acquisition, had occurred on January 1, 2016. This transaction was accounted for as a business combination. The pro forma financial information is not necessarily indicative of what the actual results would have been had the acquisition actually occurred on the dates listed above, nor does it purport to represent the results of operations for future periods.

(Dollars in thousands)



	Year Ended December 31, 2017
Pro forma total revenues	$	356,634

Pro forma net income	$	1,391
Pro forma income attributable to noncontrolling interests	(991		)
Pro forma net income attributable to CWI 2 stockholders	$	400

Class A Common Stock
Pro forma net income attributable to CWI 2 stockholders	$	260

Class T Common Stock
Pro forma net income attributable to CWI 2 stockholders	$	140

All acquisition costs for the acquisition we completed during the year ended December 31, 2017 are presented as if they were incurred on January 1, 2016.