Acquisition Of Hotel Properties

3 Months Ended

Mar. 31, 2017

Acquisition Of Hotel Properties [Abstract]

Acquisition Of Hotel Properties

NOTE 3.  ACQUISITION OF HOTEL PROPERTIES

On March 24, 2017, the Company acquired three wholly owned properties, the Home2 Suites Lexington University / Medical Center (Kentucky), the Home2 Suites Austin / Round Rock, and the Home 2 Suites Tallahassee State Capitol.  The allocation of the purchase price based on fair value, which was determined using Level 3 fair value inputs, was as included in the table below. 

	Land		Buildings, improvements, and vehicle		Furniture and equipment		Intangible asset			Total purchase price	Debt originated at acquisition		Issuance of CHLP partnership units		Net cash
Home2 Suites	$	905	$	14,204	$	1,351	$	40	$	16,500	$	16,455	$	45	$	-
Lexington, Kentucky
Home2 Suites		1,087		14,345		1,285		33		16,750		16,705		45		-
Round Rock, Texas
Home2 Suites		1,519		18,229		1,727		25		21,500		21,442		58		-
Tallahassee, Florida
Total	$	3,511	$	46,778	$	4,363	$	98	$	54,750	$	54,602	$	148	$	-

The $54,750 purchase price was funded with a draw on the credit facility totaling $54,602 and the issuance of 593,896 partnership units from CHLP with a value of $148.

The Company had no acquisitions of wholly owned properties during the three months ended March 31, 2016.

Pro Forma Results

In addition to the three properties discussed above, the Company also entered into the Atlanta JV which then acquired one hotel in August of 2016 (see Note 4) and the Company acquired one wholly owned property, the Aloft Leawood / Overland Park (Kansas City), for a purchase price of $22,500 on December 14, 2016.  The following condensed pro forma financial data is presented as if all acquisitions completed in 2017 had been completed on January 1, 2016 and as if all the acquisitions completed in 2016, including that completed by the Atlanta JV, had been completed on January 1, 2015.  Supplemental pro forma earnings were adjusted to exclude all acquisition expense recognized in the periods presented as if these acquisition costs had been incurred in prior periods but were not adjusted to remove the results of hotels sold during and between the periods.  Results for periods prior to the Company’s ownership are based on information provided by the prior owners, adjusted for differences in interest expense, depreciation expense, and management fees following the Company’s ownership.  The condensed pro forma financial data is not necessarily indicative of what the actual results of operations of the Company would have been assuming the acquisitions had been consummated on January 1, 2016 or 2015, nor do they purport to represent the results of operations for future periods.

	Three months ended March 31,
	2017		2016
Total revenue	$	12,868	$	16,541
Operating income	$	424	$	736
Net loss attributable to common shareholders	$	(13,489)	$	(10,517)
Net loss per share attributable to common shareholders - Basic	$	(4.59)	$	(13.84)
Net loss per share attributable to common shareholders - Diluted	$	(4.59)	$	(13.84)