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Fair Value Measurements (Tables)

12 Months Ended

Dec. 31, 2017

Fair Value of Certain Financial Instrument and Hierarchy Level Used to Estimate Fair Values

The fair value of certain financial instruments and the hierarchy level we used to estimate fair values are shown below:

			December 31, 2017				December 31, 2016
	Hierarchy Level		Carrying Amount		Fair Value		Carrying Amount		Fair Value
			(in millions)
Liabilities:
SF CMBS Loan		3	$	725	$	721	$	725	$	725
HHV CMBS Loan		3		1,275		1,256		1,275		1,275
Term Loan		3		750		749		750		750
Mortgage loans		3		207		204		207		208
Unsecured notes		1		—		—		55		57

Schedule of Estimated Fair Values of Assets Measured on Nonrecurring Basis

The estimated fair values of these assets that were measured on a nonrecurring basis were:

	December 31, 2017				December 31, 2016
	Fair Value⁽¹⁾		Impairment Loss		Fair Value⁽²⁾		Impairment Loss
	(in millions)
Investments in affiliates	$	—	$	—	$	7	$	17
Property and equipment		92		10		6		14
Intangibles		—		—		—		1
Total	$	92	$	10	$	13	$	32

⁽¹⁾	Fair value for the year ended December 31, 2017, is based upon the contracted sales price for a property, less costs to sell, as applicable (Level 2).

⁽²⁾

Fair value for the year ended December 31, 2016, is measured using significant unobservable inputs (Level 3). We estimated fair value of the assets using discounted cash flow analyses, with estimated stabilized growth rates ranging from 1% to 3%, a discounted cash flow term between 10 to 15 years, terminal capitalization rates ranging from 5% to 8% percent, and discount rates ranging from 7% to 10%. The discount and terminal capitalization rates used for the fair value of the assets reflect the risk profile of the market where the property is located and are not necessarily indicative of our hotel portfolio as a whole.