Xenia Hotels & Resorts Reports Fourth Quarter And Full Year 2015 Results, And Provides 2016 Guidance

Feb 23, 2016, 06:00 ET from Xenia Hotels & Resorts, Inc.

ORLANDO, Fla., Feb. 23, 2016 /PRNewswire/ -- Xenia Hotels & Resorts, Inc. (NYSE: XHR) ("Xenia" or the "Company") today announced results for the fourth quarter and year ended December 31, 2015.  The Company's results include the following:

Three Months Ended December 31,

Year Ended  December 31,

2015

2014

Change

2015

2014

Change

($ amounts in thousands, except hotel statistics and per share amounts)

Same-Property Number of Hotels

48

48

48

48

Same-Property Number of Rooms

12,398

12,394

12,398

12,394

Same-Property Occupancy

72.1

%

71.1

%

1.4

%

76.3

%

76.4

%

(0.1)

%

Same-Property Average Daily Rate(1)

$

191.39

$

184.19

3.9

%

$

190.03

$

181.14

4.9

%

Same-Property RevPAR(1)

$

137.96

$

130.97

5.3

%

$

144.92

$

138.46

4.7

%

Same-Property Hotel EBITDA(2)

$

75,939

$

67,661

12.2

%

$

310,336

$

287,720

7.9

%

Same-Property Hotel EBITDA Margin(2)

31.7

%

29.7

%

196 bps

32.3

%

31.3

%

107 bps

Adjusted EBITDA(2)

$

72,743

$

52,770

37.8

%

$

292,537

$

241,348

21.2

%

Adjusted FFO(2)

$

63,068

$

39,853

58.3

%

$

241,162

$

182,732

32.0

%

Adjusted FFO per diluted share(2)

$

0.56

$

0.35

60.0

%

$

2.15

$

1.61

33.5

%

Net income attributable to common stockholders(3)

$

61,781

$

75,101

(17.7)

%

$

88,746

$

109,799

(19.2)

%

Net income attributable to common stockholders per diluted share(3)

$

0.55

$

0.67

(17.9)

%

$

0.79

$

0.97

(18.6)

%

(1)

Average Daily Rate ("ADR") and Revenue Per Available Room ("RevPAR") for the year ended December 31, 2014 are presented after adjusting for the adoption of the Eleventh Revised Edition of the Uniform System of Accounts for the Lodging Industry ("USALI") as provided by our operators.

(2)

See tables later in this press release for reconciliations from net income to Earnings Before Interest, Taxes, Depreciation and Amortization ("EBITDA"), Adjusted EBITDA, Funds From Operations ("FFO") and Adjusted FFO.  EBITDA, Adjusted EBITDA, FFO, Adjusted FFO, Adjusted FFO per diluted share, Hotel EBITDA, and Hotel EBITDA Margin are non-GAAP financial measures.

(3)

Includes $26.9 million of one-time separation and other start-up related expenses for the year ended December 31, 2015.  See accompanying notes to the combined consolidated financial statements in the Company's Form 10-K to be filed with the SEC for more detail.

 

"Same-Property" results include the results for all hotels owned as of December 31, 2015, except for the Grand Bohemian Hotel Charleston and the Grand Bohemian Hotel Mountain Brook, which commenced operations in the second half of 2015, include periods prior to the Company's ownership of the Aston Waikiki Beach Hotel, Canary Hotel, RiverPlace Hotel and Hotel Palomar Philadelphia, and exclude the results of operations of the Crowne Plaza Charleston Airport - Convention Center, DoubleTree Suites Atlanta Galleria, and Holiday Inn Secaucus Meadowlands, all of which were sold in 2014, and the Hyatt Regency Orange County which was sold in October 2015. "Same-Property" results also exclude the NOI guaranty payment at the Andaz San Diego.  Results include renovation and remediation disruption for multiple capital projects during the periods presented and for the impact of the Napa earthquake that occurred in August 2014.

The Company's combined consolidated financial statements prior to February 3, 2015 have been "carved out" of InvenTrust Properties Corp.'s ("InvenTrust") financial statements and reflect significant assumptions and allocations from those financial statements, such as allocations of corporate debt, shared services functions, employee-related costs and other corporate overhead.  Based on these presentation matters, these combined consolidated financial statements may not be comparable to prior periods.

Fourth Quarter 2015 Highlights

  • Same-Property RevPAR: Same-Property RevPAR, as adjusted by our operators for USALI, increased 5.3% from the fourth quarter of 2014 to $137.96, as occupancy increased 1.4% and ADR increased 3.9%.
  • Same-Property Hotel EBITDA Margin: Same-Property Hotel EBITDA margin was 31.7%, an increase of 196 basis points from the same period in 2014.
  • Adjusted EBITDA: Adjusted EBITDA grew $20.0 million to $72.7 million, an increase of 37.8% over the fourth quarter of 2014.
  • Adjusted FFO per Share: Adjusted FFO available to common stockholders increased to $0.56 per diluted share compared to $0.35 per diluted share for the fourth quarter of 2014, representing an increase of 60.0%.
  • Financing Activity: The Company closed on two new senior unsecured term loans for a total of $300 million, completed two refinancings for $173 million, and paid off four loans for a total of $158 million.
  • Disposition Activity: In October, the Company completed the sale of its 656-room Hyatt Regency Orange County in Garden Grove, California for $137 million.  In connection with the sale, the Company paid off the $62 million loan collateralized by the hotel.
  • Share Repurchase Program: In December, the Company announced the authorization of a share repurchase program for up to $100 million of its outstanding common shares.
  • Dividends: The Company declared its fourth quarter dividend of $0.23 per share to stockholders of record on December 31, 2015. The dividend was paid on January 15, 2016.

Full Year 2015 Highlights

  • Separation from InvenTrust: The Company successfully completed the spin-off from its former parent InvenTrust on February 3.
  • Listing of Shares on the NYSE: The Company began trading on the New York Stock Exchange under the symbol "XHR" on February 4.
  • Completion of Tender Offer: The Company completed its "Dutch Auction" self-tender offer on March 5 and accepted for purchase 1.8 million shares at $21.00 per share for a total purchase price of $36.9 million.
  • Same-Property RevPAR: Same-Property RevPAR increased 4.7% to $144.92, driven by ADR growth of 4.9% and offset by a decrease in occupancy of 0.1%.
  • Same-Property Hotel EBITDA Margin: Same-Property Hotel EBITDA Margin was 32.3%, which improved 107 basis points compared to 2014.
  • Adjusted EBITDA: The Company's Adjusted EBITDA was $292.5 million, an increase of 21.2% over 2014.
  • Adjusted FFO per Share: The Company generated Adjusted FFO per diluted share of $2.15 during the year ended 2015, a 33.5% increase.
  • Investment Activity: The Company made several changes to its operating portfolio in 2015, including the following:
    • In July, the Company acquired a three property portfolio consisting of the Canary Hotel in Santa Barbara, California, the RiverPlace Hotel in Portland, Oregon, and the Hotel Palomar in Philadelphia, Pennsylvania, for a purchase price of $245 million.
    • In August, the Company announced it had entered into a purchase and sale agreement to acquire the Hotel Commonwealth in Boston, Massachusetts for $136 million upon completion of the hotel's 96-room expansion project. This transaction closed in January 2016.
    • Also in August, the Company commenced operations at the Grand Bohemian Hotel Charleston, a 50-room boutique lifestyle hotel located in the historic district of Charleston, South Carolina. The Company has a 75% interest in the joint venture that owns the property.
    • In October, the Company commenced operations at the Grand Bohemian Hotel Mountain Brook, a 100-room boutique lifestyle hotel located in an affluent suburb of Birmingham, Alabama. The Company has a 75% interest in the joint venture that owns the property.
    • Also in October, the Company completed the sale of the Hyatt Regency Orange County in Garden Grove, California, for a price of $137 million.
  • Capital Markets:  The Company completed several capital markets initiatives during 2015, including the following:
    • In the first quarter, the Company closed its $400 million senior unsecured revolving credit facility and repaid the $26 million mortgage loan on the Andaz San Diego.
    • In the second quarter, the Company repaid the $55 million mortgage loan on the Hilton Garden Inn Washington, D.C.
    • In the fourth quarter, the Company closed on two new senior unsecured term loans for a total of $300 million, completed two refinancings for $173 million, and paid off four loans for a total of $158 million, in addition to the $62 million loan paid off in connection with the sale of the Hyatt Regency Orange County.
    • Also in the fourth quarter, the Company announced that its Board of Directors authorized a share repurchase program for up to $100 million of the Company's outstanding common shares. Under the program, the Company is authorized to repurchase shares from time to time in transactions on the open market, in privately-negotiated transactions or by other means, including Rule 10b5-1 trading plans, in accordance with applicable securities laws and other restrictions.
  • Capital Investments: The Company completed $46.1 million of capital projects at its hotels throughout the year.  This amount excludes earthquake remediation at its two Napa hotels.
    • The Marriott San Francisco Airport Waterfront renovation consisted of a full guest room and bathroom renovation, including 518 tub-to-shower conversions, and the addition of three guest rooms.
    • The Hyatt Regency Santa Clara also completed a guest room renovation during the year, which included the addition of one guest room.
    • The Aston Waikiki Beach Hotel received an extensive pool deck renovation.
    • In addition, the Company completed a number of additional renovation projects including public space upgrades at the Loews New Orleans Hotel, Renaissance Austin Hotel, Fairmont Dallas, and Marriott Griffin Gate Resort & Spa, and food and beverage enhancements at the Renaissance Austin Hotel and the Hotel Monaco Denver.

"We are pleased with our portfolio performance in the fourth quarter as our 48 same-property hotel portfolio experienced an increase of 5.3% in RevPAR, a 12.2% increase in Hotel EBITDA and significant Hotel EBITDA margin improvement of 196 basis points," said Marcel Verbaas, President and Chief Executive Officer of Xenia. "Our fourth quarter performance was aided by an easier comparison due to the significant impact of the Napa earthquake at our Andaz during the fourth quarter of 2014.  When excluding the hotel, our portfolio RevPAR increased 3.5%."

"Our full-year 2015 RevPAR increase of 4.7% coupled with a 107 basis point increase in Hotel EBITDA margin demonstrates the strength of our overall portfolio performance," noted Mr. Verbaas. "This is particularly evident when considering the significant impact of our renovations at the Marriott San Francisco Airport Waterfront and the Hyatt Regency Santa Clara during the early part of the year, as well as the impact of energy market challenges on Houston. When excluding our Houston assets, our same-property portfolio RevPAR increased 6.1% in 2015. As a result of our fourth quarter performance, our full-year 2015 Adjusted EBITDA was $292.5 million and our 2015 Adjusted FFO was $241.2 million which were near and above the high end, respectively, of our most recent guidance."

Disposition Activity

In the fourth quarter, the Company sold the 656-room Hyatt Regency Orange County in Garden Grove, California for a sale price of $137 million.  The sale price represented an 11.8x multiple on the hotel's 2015 forecast EBITDA.  In addition, the Company retained the approximately $5.9 million balance in the hotel's capital expenditure reserve account.  Excess proceeds from the disposition after repayment of the $62 million mortgage loan collateralized by the hotel were utilized to pay off the $73 million mortgage loan collateralized by the Company's Marriott Woodlands Waterway Hotel & Convention Center.

Financing Activity

In October, the Company closed on two new senior unsecured term loans, a $175 million unsecured term loan maturing in February 2021 and a $125 million unsecured term loan maturing in October 2022.  The $175 million term loan bears an interest rate based on a pricing grid with a range of 145 to 225 basis points plus LIBOR, determined by the Company's pro forma leverage ratio. Based on the Company's pro forma leverage ratio, the current effective interest rate is LIBOR plus 150 basis points.  In conjunction with the term loan, the Company executed interest rate swaps to fix LIBOR over the period of the loan at 1.29%.  As a result the current annual interest rate on the term loan is 2.79%.  Proceeds from this term loan were used to pay off the $53 million mortgage collateralized by the Marriott San Francisco Airport Waterfront and to pay down the outstanding balance on the Company's unsecured line of credit.

The $125 million term loan bears an interest rate based on a pricing grid with a range of 170 to 255 basis points plus LIBOR, determined by the Company's pro forma leverage ratio.  Based on the Company's pro forma leverage ratio, the current effective interest rate is LIBOR plus 180 basis points. Prior to funding, in December 2015 the Company executed forward interest rate swaps to fix LIBOR over the period of the loan at 1.83%.  As a result, the current annual interest rate on the term loan is 3.63%.   Funding of the term loan was completed in January 2016 in connection with the closing of the Hotel Commonwealth acquisition.

Additionally in October, the Company completed a refinancing of the $30 million, 5.50% fixed rate mortgage on the Residence Inn Cambridge with the existing lender.  The new $63 million mortgage has a ten-year term at a fixed annual interest rate of 4.48%.  Excess proceeds from this loan were used to pay off the $19 million mortgage collateralized by the Hilton Garden Inn Evanston and the $13 million mortgage collateralized by the Hampton Inn & Suites Denver Downtown.

In December, the Company amended the $110 million loan collateralized by the Westin Galleria Houston & Westin Oaks Houston at The Galleria with the existing lender.  The modification lowered the interest rate by 65 basis points, to LIBOR plus 250 basis points.

Capital Investments

During the fourth quarter, the Company commenced a renovation at the 275-room Marriott Napa Valley Hotel & Spa, consisting of a guest room and bathroom renovation, including 82 tub-to-shower conversions, and a pool and outdoor space transformation, which will be completed in early 2016.  The Company anticipates spending approximately $12.0 million on guest rooms, bathrooms, corridors, meeting space and the new outdoor experience.

Balance Sheet

As of December 31, 2015, the Company had total outstanding debt of $1.1 billion with a weighted average interest rate of 3.51%.  Total net debt to trailing 12 month pro forma Corporate EBITDA (as defined in the Company's senior unsecured credit facility) was 3.5x as of December 31, 2015. The Company had $122 million of cash and cash equivalents and full availability on its $400 million senior unsecured credit facility.

"Overall, 2015 was a very successful first year for Xenia as a stand-alone publicly listed company. We completed our separation from InvenTrust and were able to quickly terminate the various support services under our Transition Services Agreement. We also continued our process of portfolio improvement through the completion of significant capital projects at two of our largest hotels, the acquisition of three high-quality lifestyle hotels in desirable locations, the announced acquisition of the Hotel Commonwealth which closed subsequent to year-end, the completion of our two development projects, and the sale of the Hyatt Regency Orange County at an attractive valuation," continued Mr. Verbaas. "Meanwhile, we strengthened the balance sheet by closing on a $400 million unsecured line of credit, $300 million in unsecured term loans and $170 million in mortgage refinancings, and paying off an additional $158 million in mortgage loans.  As a result, we were able to extend our maturity profile, unencumber six additional assets and lower our weighted average interest rate by nearly 50 basis points. We believe that our high-quality portfolio is well-positioned for continued growth as a result of these efforts and our commitment to our strategy of investing in a diversified portfolio primarily focused on top 25 markets and key leisure destinations."

Subsequent Events

Portfolio Updates

In January 2016, the Company completed the previously announced acquisition of the 245-room Hotel Commonwealth in Boston, Massachusetts for a purchase price of $136 million, funded with proceeds from the Company's $125 million, seven-year term loan and cash on hand.

Also in January 2016, the Company completed the addition of three guest rooms at the Hyatt Regency Santa Clara.  These rooms were added to the available hotel inventory on January 25, 2016.

In February 2016, the Company sold the 248-room Hilton University of Florida Conference Center Gainesville in Gainesville, Florida for a sale price of $36 million.  In addition, the Company retained the approximately $2 million balance in the hotel's capital expenditure reserve account.  Upon completion of the disposition, the Company paid off the $27.8 million mortgage loan collateralized by the hotel.

Capital Markets

In January 2016, the Company obtained a new $60 million, seven-year mortgage on the Hotel Palomar Philadelphia at a rate of LIBOR plus 260 basis points.  Concurrent with the closing of the loan, the Company executed a swap to fix LIBOR over the period of the loan at a rate of 1.54%.  As a result, the interest rate on the loan is 4.14%.

Also in January 2016, the Company began repurchasing shares under its $100 million share repurchase authorization.  As of February 16, 2016, the Company has purchased a total of 2,365,292 shares at a weighted average purchase price of $14.11 for total consideration of $33.4 million.

"The completion of the Hotel Commonwealth acquisition after its well-executed expansion project has added a magnificent hotel in an excellent location to our portfolio. With Sage Hospitality now operating seven of our hotels, we look forward to a continued strong relationship with one of the premier operators in the lodging space," said Mr. Verbaas. "We are also pleased to have completed the sale of one of the assets on the lower end of our portfolio, the Hilton University of Florida Conference Center Gainesville, continuing to execute on our plan of selling assets that are in locations not consistent with our long-term strategy and that require significant near-term capital expenditures. In addition to selling the hotel for a price that represented a 9.0x multiple on 2015 EBITDA, we also retained the $2 million balance in the hotel's capital expenditure reserve. The buyer plans to spend approximately $13.5 million on capital expenditures required by the PIP or otherwise, resulting in a total investment amounting to 12.3x 2015 EBITDA."

"As previously disclosed, our Board of Directors approved a $100 million share repurchase program in December," Mr. Verbaas continued. "We believe this to be an attractive use of our capital and are pleased with our activity to date."

2016 Outlook and Guidance

The Company's outlook for 2016 is based on the current economic environment, incorporates all expected renovation disruption, and assumes no further acquisitions, dispositions, or share repurchases.  Same-property RevPAR growth excludes the Grand Bohemian Hotel Charleston and the Grand Bohemian Hotel Mountain Brook, as both properties commenced operations in the second half of 2015, the Hotel Commonwealth, as the property underwent a significant expansion project in late 2015, and the Hilton University of Florida Conference Center Gainesville, which was sold in February 2016.



2016 Guidance



Low End


High End



($ amounts in millions, except per share data)

Same-Property RevPAR Growth(1)


2.0%


4.0%

Adjusted EBITDA


$303


$317

Adjusted FFO


$247


$261

Adjusted FFO per Diluted Share


$2.25


$2.38

Capital Expenditures(2)


$62


$72

 

(1)

Primarily due to the impact of continued weakness in the energy market, the Company's outlook anticipates average RevPAR declines of 9% to 13% at its Houston area hotels.  Excluding Houston, the Company projects same-property RevPAR growth of 3.5% to 5.5%.



(2)

The Company's capital expenditure guidance includes the completion of the renovation at the Marriott Napa Valley Hotel & Spa, as well as a ballroom and meeting room renovation at the Renaissance Atlanta Waverly and a guest room and bathroom renovation at the Westin Galleria Houston, which is anticipated to begin in the fourth quarter.  Other notable projects scheduled for 2016 include guest room renovations at the Hyatt Key West and Andaz San Diego, which are scheduled to commence in the third and fourth quarter, respectively.

Fourth Quarter 2015 Earnings Call

The Company will conduct its quarterly conference call on Tuesday, February 23, 2016 at 1:00 PM eastern time. To participate in the conference call, please dial (855) 656-0921. Additionally, a live webcast of the conference call will be available through the Company's website, www.xeniareit.com. A replay of the conference call will be archived and available online through the Investor Relations section of the Company's website for 90 days.

About Xenia Hotels & Resorts, Inc.

Xenia Hotels & Resorts, Inc. is a self-advised and self-administered REIT that invests primarily in premium full service, lifestyle and urban upscale hotels, with a focus on the top 25 U.S. lodging markets as well as key leisure destinations in the United States. The Company owns 50 hotels, including 48 wholly owned hotels, comprising 12,548 rooms, across 21 states and the District of Columbia. Xenia's hotels are primarily operated by industry leaders such as Marriott®, Hilton®, Kimpton®, Hyatt®, Starwood®,  Aston®, Fairmont® and Loews®, as well as leading independent management companies including Sage Hospitality, The Kessler Collection, Urgo Hotels & Resorts, Davidson Hotels & Resorts and Concord Hospitality. For more information on Xenia's business, refer to the Company website at www.xeniareit.com.

This press release, together with other statements and information publicly disseminated by the Company, contains certain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. The Company intends such forward-looking statements to be covered by the safe harbor provisions for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995 and includes this statement for purposes of complying with these safe harbor provisions. Forward-looking statements are not historical facts but are based on certain assumptions of management and describe the Company's future plans, strategies and expectations. Forward-looking statements are generally identifiable by use of words such as "may," "could," "expect," "intend," "plan," "seek," "anticipate," "believe," "estimate," "guidance," "predict," "potential," "continue," "likely," "will," "would," "illustrative," references to "outlook," and variations of these terms and similar expressions, or the negative of these terms or similar expressions. Forward-looking statements in this press release include, among others, statements about our plans, strategies, the outlook for RevPAR growth, Adjusted EBITDA, Adjusted FFO, Adjusted FFO per share, capital expenditures and derivations thereof, financial performance, prospects or future events. Such forward-looking statements are necessarily based upon estimates and assumptions that, while considered reasonable by us and our management, are inherently uncertain. As a result, our actual results, performance or achievements may differ materially from those expressed or implied by these forward-looking statements, which are not guarantees of future performance and involve known and unknown risks, uncertainties and other factors that are, in some cases, beyond the Company's control and which could materially affect actual results, performances or achievements. Factors that may cause actual results to differ materially from current expectations include, but are not limited to, (i) the Company's dependence on third-party managers of its hotels, including its inability to implement strategic business decisions directly, (ii) risks associated with the hotel industry, including competition, increases in wages, energy costs and other operating costs, actual or threatened terrorist attacks, downturns in general and local economic conditions and cancellation of or delays in the completion of anticipated demand generators, (iii) the availability and terms of financing and capital and the general volatility of securities markets, (iv) risks associated with the real estate industry, including environmental contamination and costs of complying with the Americans with Disabilities Act and similar laws, (v) interest rate increases, (vi) the possible failure of the Company to qualify as a REIT and the risk of changes in laws affecting REITs, (vii) the possibility of uninsured losses, (viii) risks associated with redevelopment and repositioning projects, including delays and cost overruns, (ix) levels of spending in business and leisure segments as well as consumer confidence (x) declines in occupancy and average daily rate, (xi) the seasonal and cyclical nature of the real estate and hospitality businesses, (xii) changes in distribution arrangements, such as through Internet travel intermediaries, (xiii) relationships with labor unions and changes in labor laws, and (xiv) the risk factors discussed in the Company's Annual Report on Form 10-K as updated in its Quarterly Reports.  Accordingly, there is no assurance that the Company's expectations will be realized. We caution you not to place undue reliance on any forward-looking statements, which are made only as of the date of this press release. We do not undertake or assume any obligation to update publicly any of these forward-looking statements to reflect actual results, new information or future events, changes in assumptions or changes in other factors affecting forward-looking statements, except to the extent required by applicable law. If we update one or more forward-looking statements, no inference should be drawn that we will make additional updates with respect to those or other forward-looking statements.

For further information about the Company's business and financial results, please refer to the "Management's Discussion and Analysis of Financial Condition and Results of Operations" and "Risk Factors" sections of the Company's SEC filings, including, but not limited to, its Annual Report on Form 10-K and Quarterly Reports on Form 10-Q, copies of which may be obtained at the Investor Relations section of the Company's website at www.xeniareit.com.

All information in this press release is as of the date of its release. The Company undertakes no duty to update the statements in this press release to conform the statements to actual results or changes in the Company's expectations.

For additional information or to receive press releases via email, please visit our website at www.xeniareit.com.


 

Xenia Hotels & Resorts, Inc.
Combined Consolidated Balance Sheet
As of December 31, 2015 and 2014
($ amounts in thousands, except per share data)



December 31, 2015


December 31, 2014

Assets




Investment properties:




Land

$

374,698



319,624


Building and other improvements

2,847,122



2,532,782


Construction in progress

169



39,736


Total

$

3,221,989



2,892,142


Less: accumulated depreciation

(580,285)



(442,882)


Net investment properties

$

2,641,704



2,449,260


Cash and cash equivalents

122,154



163,053


Restricted cash and escrows

77,292



86,991


Accounts and rents receivable, net of allowance of $243 and $251, respectively

24,368



24,022


Intangible assets, net of accumulated amortization

60,515



64,541


Deferred tax asset

2,304



2,393


Other assets

42,156



21,205


Assets held for sale

35,452



137,611


Total assets (including $77,140 and $41,054, respectively, related to consolidated variable interest entities)

$

3,005,945



$

2,949,076


Liabilities




Debt

$

1,094,536



1,197,563


Accounts payable and accrued expenses

85,846



90,115


Distributions payable

25,684




Other liabilities

27,858



43,404


Liabilities associated with assets held for sale

28,663



97,073


Total liabilities (including $48,582 and $27,679, respectively, related to consolidated variable interest entities)

1,262,587



1,428,155


Commitments and contingencies




Stockholders' equity




Preferred stock, $0.01 par value (liquidation preference of $1,000), 50,000,000 shares authorized and 0 issued or outstanding as of December 31, 2015 and 0 shares authorized, issued and outstanding as of December 31, 2014

$




Common stock, $0.01 par value, 500,000,000 shares authorized, 111,671,372 issued and outstanding as of December 31, 2015 and 100,000 shares authorized, 1,000 issued and outstanding as of December 31, 2014

1,117




Additional paid in capital

1,993,760



1,781,427


Accumulated other comprehensive income

1,543




Distributions in excess of retained earnings

(268,991)



(264,161)


Total Company stockholders' equity

$

1,727,429



$

1,517,266


Non-controlling interests

15,929



3,655


Total equity

$

1,743,358



$

1,520,921


Total liabilities and equity

$

3,005,945



$

2,949,076


 

 

 

Xenia Hotels & Resorts, Inc.
Combined Consolidated Statements of Operations and Comprehensive Income
For the Three Months and Year Ended December 31, 2015 and 2014
($ amounts in thousands, except per share data)



Three Months Ended
 December 31,


Year Ended
December 31,


2015


2014


2015


2014

Revenues:








Rooms revenues

$

161,469



$

150,900



$

663,224



$

631,901


Food and beverage revenues

73,330



63,687



259,036



235,066


Other revenues

13,795



15,350



53,884



59,699


Total revenues

$

248,594



$

229,937



$

976,144



$

926,666


Expenses:








Rooms expenses

37,117



34,351



148,492



140,128


Food and beverage expenses

45,034



40,993



167,840



158,243


Other direct expenses

4,728



7,363



17,984



28,556


Other indirect expenses

58,350



54,222



226,108



214,272


Management and franchise fees

12,144



12,316



49,818



52,104


Total hotel operating expenses

157,373



149,245



610,242



593,303


Depreciation and amortization

37,914



35,576



148,009



141,807


Real estate taxes, personal property taxes and insurance

12,733



11,960



49,717



44,625


Ground lease expense

1,336



1,445



5,204



5,541


General and administrative expenses

6,113



14,623



25,556



38,895


Business management fees







1,474


Acquisition transaction costs

(349)



44



5,046



1,192


Pre-opening expenses

585





1,411




Provision for asset impairment



713





5,378


Separation and other start-up related expenses





26,887




Total expenses

$

215,705



$

213,606



$

872,072



$

832,215


Operating income

$

32,889



$

16,331



$

104,072



$

94,451


Gain (loss) on sale of investment properties

43,015



(172)



43,015



693


Other income

1,528



139



4,916



324


Interest expense

(12,090)



(13,894)



(50,816)



(57,427)


Loss on extinguishment of debt

(5,478)



(530)



(5,761)



(1,713)


Equity in losses and gain on consolidation of unconsolidated entity, net







4,216


Income before income taxes

59,864



1,874



95,426



40,544


Income tax benefit (expense)

$

2,049



$

(80)



$

(6,295)



$

(5,865)


Net income from continuing operations

61,913



1,794



89,131



34,679


Net income (loss) from discontinued operations

$



$

73,307



$

(489)



$

75,120


Net income

61,913



75,101



88,642



109,799


Less: Net (income) loss attributable to non-controlling interests

$

(132)



$



$

116



$


Net income attributable to the Company

61,781



75,101



88,758



109,799


Distributions to preferred stockholders

$



$



$

(12)



$


Net income attributable to common stockholders

61,781



75,101



88,746



109,799


 

 

Xenia Hotels & Resorts, Inc.
Combined Consolidated Statements of Operations and Comprehensive Income - Continued
For the Three Months and Year Ended December 31, 2015 and 2014 
($ amounts in thousands, except per share data)



Three Months Ended
 December 31,


Year Ended
December 31,


2015


2014


2015


2014

Basic and diluted earnings per share








Income from continuing operations available to common stockholders

$

0.55



$

0.02



$

0.79



$

0.31


Income from discontinued operations available to common stockholders

$



$

0.65



$



$

0.66


Net income per share available to common stockholders

$

0.55



$

0.67



$

0.79



$

0.97


Weighted average number of common shares (basic)

111,671,372



113,397,997



111,989,686



113,397,997


Weighted average number of common shares (diluted)

111,791,828



113,397,997



112,138,223



113,397,997










Comprehensive Income:








Net income

61,913



$

75,101



$

88,642



$

109,799


Other comprehensive income:








Unrealized gain on interest rate derivative instruments

1,543





1,543





63,456



$

75,101



$

90,185



$

109,799


Comprehensive income attributable to non-controlling interests:








Non-controlling interests in consolidated entities

(132)





116




Comprehensive income attributable to non-controlling interests

(132)





116




Comprehensive income attributable to the Company

63,324



$

75,101



$

90,301



$

109,799


 

 

Non-GAAP Financial Measures

The Company considers the following useful non-GAAP financial measures to investors as key supplemental measures of operating performance: EBITDA, Adjusted EBITDA, FFO and Adjusted FFO.  These non-GAAP financial measures should be considered along with, but not as alternatives to, net income or loss, operating profit, cash from operations, or any other operating performance measure as prescribed per GAAP.

EBITDA and Adjusted EBITDA

EBITDA is a commonly used measure of performance in many industries and is defined as net income or loss (calculated in accordance with GAAP) excluding interest expense, provision for income taxes (including income taxes applicable to sale of assets) and depreciation and amortization.  The Company considers EBITDA useful to an investor regarding results of operations, in evaluating and facilitating comparisons of operating performance between periods and between REITs by removing the impact of capital structure (primarily interest expense) and asset base (primarily depreciation and amortization) from operating results, even though EBITDA does not represent an amount that accrues directly to common stockholders.  In addition, EBITDA is used as one measure in determining the value of hotel acquisitions and dispositions and along with FFO and Adjusted FFO, it is used by management in the annual budget process for compensation programs.

The Company further adjusts EBITDA for certain additional items such as hotel property acquisitions and pursuit costs, amortization of share-based compensation, equity investment adjustments, the cumulative effect of changes in accounting principles, impairment of real estate assets, operating results from properties sold and other costs it believes do not represent recurring operations and are not indicative of the performance of its underlying hotel property entities.  The Company believes Adjusted EBITDA provides investors with another financial measure in evaluating and facilitating comparison of operating performance between periods and between REITs that report similar measures.

Hotel EBITDA and Hotel EBITDA Margin

The Company calculates Hotel EBITDA in accordance with USALI, which defines hotel EBITDA as net income or loss (calculated in accordance with GAAP) after adding back replacement reserves.  Hotel EBITDA Margin is calculated by dividing Hotel EBITDA by Total Operating Revenues.

FFO and Adjusted FFO

The Company calculates FFO in accordance with standards established by the National Association of Real Estate Investment Trusts (NAREIT), which defines FFO as net income or loss (calculated in accordance with GAAP), excluding real estate-related depreciation, amortization and impairments, gains (losses) from sales of real estate, the cumulative effect of changes in accounting principles, similar adjustments for unconsolidated partnerships and joint ventures, and items classified by GAAP as extraordinary. Historical cost accounting for real estate assets implicitly assumes that the value of real estate assets diminishes predictably over time.  Since real estate values instead have historically risen or fallen with market conditions, most industry investors consider presentations of operating results for real estate companies that use historical cost accounting to be insufficient by themselves.  The Company believes that the presentation of FFO provides useful supplemental information to investors regarding operating performance by excluding the effect of real estate depreciation and amortization, gains (losses) from sales for real estate, impairments of real estate assets, extraordinary items and the portion of these items related to unconsolidated entities, all of which are based on historical cost accounting and which may be of lesser significance in evaluating current performance.  The Company believes that the presentation of FFO can facilitate comparisons of operating performance between periods and between REITs, even though FFO does not represent an amount that accrues directly to common stockholders.  The calculation of FFO may not be comparable to measures calculated by other companies who do not use the NAREIT definition of FFO or do not calculate FFO per diluted share in accordance with NAREIT guidance.  Additionally, FFO may not be helpful when comparing Xenia to non-REITs.

The Company further adjusts FFO for certain additional items that are not in NAREIT's definition of FFO such as hotel property acquisition and pursuit costs, amortization of debt origination costs and share-based compensation, operating results from properties that are sold and other expenses it believes do not represent recurring operations.  The Company believes that Adjusted FFO provides investors with useful supplemental information that may facilitate comparisons of ongoing operating performance between periods and between REITs that make similar adjustments to FFO and is beneficial to investors' complete understanding of operating performance.

Adjusted FFO per diluted share

The Company calculates Adjusted FFO per diluted share by dividing the Adjusted FFO for the respective period by the diluted weighted average number of common stock shares for the corresponding period. The Company's diluted weighted average number of common shares outstanding is calculated by taking the weighted average of the common stock outstanding for the respective period plus the effect of any dilutive securities. Any anti-dilutive securities are excluded from the diluted earnings per-share calculation.

 

Xenia Hotels & Resorts, Inc.
Reconciliation of Net Income to EBITDA and Adjusted EBITDA
For the Three Months and Year Ended December 31, 2015 and 2014
($ amounts in thousands)



Three Months Ended
December 31,


Year Ended
December 31,


2015


2014


2015


2014

Net income attributable to the Company

$

61,781



$

75,101



$

88,758



$

109,799


Adjustments:








Interest expense

12,090



13,894



50,816



57,427


Interest expense from unconsolidated entity







31


Interest expense from discontinued operations(1)



4,578





28,299


Income tax expense

(2,049)



80



6,295



5,865


Income tax expense (benefit) related to discontinued operations(1)



4,566





4,566


Depreciation and amortization related to investment properties

37,914



35,576



148,009



141,807


Depreciation and amortization related to investment in unconsolidated entity







100


Depreciation and amortization of discontinued operations(1)



(860)





35,864


Adjustments related to non-controlling interests

(232)





(270)




EBITDA

$

109,504



$

132,935



$

293,608



$

383,758


Reconciliation to Adjusted EBITDA








Impairment of investment properties



713





5,378


(Gain) loss on sale of investment property

(43,015)



172



(43,015)



(693)


Gain on sale of investment property related to discontinued operations(1)



(135,692)



(22)



(135,692)


Loss on extinguishment of debt

5,478



530



5,761



1,713


Loss on extinguishment of debt related to discontinued operations(1)



65,378





65,391


Gain on consolidation of investment in unconsolidated entity



(28)





(4,509)


Acquisition and pursuit costs

(349)



44



5,046



1,192


Amortization of share-based compensation expense

1,328





6,102




Amortization of above and below market ground leases

95



85



380



265


Pre-opening expenses(2)

585





1,411




Adjustments related to non-controlling interests

(146)





(353)




Management termination fees net of guaranty income(3)





212




Business interruption insurance recoveries, net(4)

(737)





(3,884)




EBITDA adjustment for three hotels sold in 2014(5)



133



(85)



(1,690)


EBITDA adjustment for Suburban Select Service Portfolio(1)



(11,500)



489



(73,765)


Other non-recurring expenses(6)





26,887




Adjusted EBITDA

$

72,743



$

52,770



$

292,537



$

241,348




(1)

On November 17, 2014, InvenTrust sold the Suburban Select Service Portfolio for an aggregate gross disposition price of $1.1 billion.  Prior to the sale transaction, the Company oversaw the Suburban Select Service Portfolio.  This sale reflected a strategic shift and had a major impact on our combined consolidated financial statements; therefore the operations of these 52 hotels are reflected as discontinued operations on the combined  consolidated statements of operations and comprehensive income for the years ended December 31, 2015 and 2014.



(2)

For the year ended December 31, 2015, the pre-opening expenses related to the Grand Bohemian Hotel Charleston and Grand Bohemian Hotel Mountain Brook, which opened in August and October 2015, respectively.



(3)

For the year ended December 31, 2015, we terminated management agreements for four properties and entered into new management contracts with a new third-party hotel operator.  In connection with the terminations, we paid termination fees of $0.7 million, which was offset by $0.5 million in income from the write off of deferred guaranty payments that were previously received from certain of the managers and were being recognized over the term of the old management contracts.



(4)

The business interruption insurance recovery for 2014 received during the year ended December 31, 2015 was $3.9 million, which is net of $1.8 million of hotel related expenses attributable to those hotels impacted by the August 2014 Napa Earthquake.



(5)

The following three hotels were disposed of in 2014 prior to the Company's separation from its former parent: Crowne Plaza Charleston Airport - Convention Center, DoubleTree Suites Atlanta Galleria, and Holiday Inn Secaucus Meadowlands.



(6)

For the year ended December 31, 2015, other non-recurring expenses include one-time costs related to the listing of our common stock on the NYSE, such as legal and other professional fees, costs related to the Tender Offer, and other start-up costs incurred while transitioning to a stand-alone, publicly-traded company.   The year ended December 31, 2014  included costs related to our separation from InvenTrust and costs related to the preparation of the listing of our common stock on the NYSE.

 

 


Xenia Hotels & Resorts, Inc.
Reconciliation of Net Income to FFO and Adjusted FFO
For the Three Months and Year Ended December 31, 2015 and 2014
($ amounts in thousands)



Three Months Ended
December 31,


Year Ended
December 31,


2015


2014


2015


2014

Net income attributable to the Company

$

61,781



$

75,101



$

88,758



$

109,799


Adjustments:








Depreciation and amortization related to investment properties

37,914



35,576



148,009



141,807


Depreciation and amortization related to investment in unconsolidated entity







100


Depreciation and amortization of discontinued operations(1)



(860)





35,864


Impairment of investment property



713





5,378


(Gain) loss on sale of investment property

(43,015)



172



(43,015)



(693)


Gain on sale of investment property related to discontinued operations(1)



(135,692)



(22)



(135,692)


Gain on consolidation of investment in unconsolidated entity



(28)





(4,509)


Adjustments related to non-controlling interests

(170)





(197)




FFO

$

56,510



$

(25,018)



$

193,533



$

152,054


Distribution to preferred shareholders





(12)




FFO available to common share and unit holders

$

56,510



$

(25,018)



$

193,521



$

152,054


Reconciliation to Adjusted FFO








Loss on extinguishment of debt

5,478



530



5,761



1,713


Loss on extinguishment of debt related to discontinued operations(1)



65,378





65,391


Acquisition and pursuit costs

(349)



44



5,046



1,192


Loan related costs(2)

906



1,057



3,778



4,462


Amortization of share-based compensation expense

1,328





6,102




Amortization of above and below market ground leases

95



85



380



265


Pre-opening expenses

585





1,411




Adjustments related to non-controlling interests

(150)





(356)




Management termination fees net of guaranty income(3)





212




Income tax related to restructuring(4)





1,900




Business interruption proceeds net of hotel related expenses(5)

(1,335)





(3,884)




FFO adjustment for three hotels sold in 2014(6)



133



(85)



(1,442)


FFO adjustment for Suburban Select Service Portfolio(1)



(2,356)



489



(40,903)


Other non-recurring expenses (7)





26,887




Adjusted FFO

$

63,068



$

39,853



$

241,162



$

182,732



(1)

On November 17, 2014, InvenTrust sold the Suburban Select Service Portfolio for an aggregate gross disposition price of $1.1 billion.  Prior to the sale transaction, the Company oversaw the Suburban Select Service Portfolio.  This sale reflected a strategic shift and had a major impact on our combined consolidated financial statements; therefore the operations of these 52 hotels are reflected as discontinued operations on the combined  consolidated statements of operations and comprehensive income for the years ended December 31, 2015 and 2014.



(2)

Loan related costs included amortization of debt discounts, premiums and deferred loan origination costs.



(3)

For the year ended December 31, 2015, we terminated management agreements for four properties and entered into new management contracts with a new third-party hotel operator.  In connection with the terminations, we paid termination fees of $0.7 million, which was offset by $0.5 million in income from the write off of deferred guaranty payments that were previously received from certain of the managers and were being recognized over the term of the old management contracts.



(4)

For the year ended December 31, 2015, the Company recognized income tax expense of $6.3 million, of which $1.9 million related to a gain on the transfer of a hotel between legal entities resulting in a more optimal structure in connection with the Company's intention to elect to be taxed as a REIT.



(5)

The business interruption insurance recovery for 2014 received during the year ended December 31, 2015 was $3.9 million, which is net of $1.8 million of hotel related expenses attributable to those hotels impacted by the August 2014 Napa Earthquake.



(6)

The following three hotels were disposed of in 2014 prior to the Company's separation from its former parent: Crowne Plaza Charleston Airport - Convention Center, DoubleTree Suites Atlanta Galleria, and Holiday Inn Secaucus Meadowlands.



(7)

For the year ended December 31, 2015, other non-recurring expenses include one-time costs related to the listing of our common stock on the NYSE, such as legal and other professional fees, costs related to the Tender Offer, and other start-up costs incurred while transitioning to a stand-alone, publicly-traded company.  The year ended December 31, 2014  included costs related to our separation from InvenTrust and costs related to the preparation of the listing of our common stock on the NYSE.

 

 


Xenia Hotels & Resorts, Inc.
Debt Summary
($ amounts in thousands)



Rate
Type (1)


Rate


Fully Extended
Maturity Date(2)


Outstanding as of
December 31, 2015

Mortgage Loans








Grand Bohemian Hotel Orlando

 Fixed


5.82%


October 2016


49,360

Renaissance Atlanta Waverly Hotel & Convention Center

 Fixed


5.50%


December 2016


97,000

Renaissance Austin Hotel

 Fixed


5.51%


December 2016


83,000

Courtyard Pittsburgh Downtown

 Fixed


4.00%


March 2017


22,607

Marriott Griffin Gate Resort & Spa

 Variable


2.74%


March 2017


34,374

Courtyard Birmingham Downtown at UAB

 Fixed


5.25%


April 2017


13,353

Residence Inn Denver City Center

 Variable


2.66%


April 2018


45,210

Bohemian Hotel Savannah Riverfront

 Variable


2.76%


December 2018


27,480

Fairmont Dallas

 Variable


2.29%


April 2019


56,217

Andaz Savannah

 Variable


2.24%


January 2020


21,500

Hotel Monaco Denver

 Variable


2.34%


January 2020


41,000

Andaz Napa

 Variable


2.34%


March 2020


38,000

Marriott Dallas City Center

 Variable


2.66%


May 2020


40,090

Marriott Charleston Town Center

 Fixed


3.85%


July 2020


16,877

Hyatt Regency Santa Clara

 Variable


2.41%


September 2020


60,200

Grand Bohemian Hotel Charleston (JV)

 Variable


2.82%


November 2020


19,950

Loews New Orleans Hotel

 Variable


2.62%


November 2020


37,500

Grand Bohemian Hotel Mountain Brook (JV)

 Variable


2.92%


December 2020


25,784

Hotel Monaco Chicago

 Variable


2.59%


January 2021


26,000

Westin Galleria & Oaks Houston

 Variable


2.92%


May 2021


110,000

Residence Inn Boston Cambridge

 Fixed


4.48%


October 2025


63,000

Total Mortgage Loans



3.56%

(3)



$

928,502

Mortgage Loan Premium / (Discounts)(4)







(661)

Unamortized loan costs(5)







(8,305)

Senior Unsecured Credit Facility

 Variable


2.04%


February 2020


Term Loan $175M

Hedged


2.79%


February 2021


175,000

Term Loan $125M(6)

Hedged


3.63%


October 2022


Total Debt(7)



3.44%

(3)



$

1,094,536

Assets Held For Sale:








Hilton University of Florida Conference Center Gainesville(8)

 Fixed


6.46%


February 2018


27,775

Total Debt Including Assets Held For Sale(7)



3.51%

(3)



$

1,122,311



(1)

Floating index is one month LIBOR.



(2)

Loan extension is at the discretion of Xenia. The majority of loans require minimum Debt Service Coverage Ratio and/or Loan to Value maximums and payment of an extension fee.



(3)

Weighted average interest rate as of December 31, 2015.



(4)

Loan premiums/(discounts) on assumed mortgages recorded in purchase accounting.



(5)

During the year ended December 31, 2015,  the Company early adopted ASU 2015-03, Interest—Imputation of Interest (Subtopic 835-30):  Simplifying the Presentation of Debt Issuance Costs, which required us to present unamortized deferred loan costs as Debt on our combined consolidated balance sheet that had historically been presented as Other Assets.



(6)

The $125 million term loan was funded in January 2016 in connection with the acquisition of the Hotel Commonwealth.  The Company executed swap agreements to fix LIBOR over the period of the loan at 1.83%.



(7)

Does not include a seven-year, $60 million mortgage loan on the Hotel Palomar Philadelphia that closed in January 2016.  The new loan bears interest at LIBOR plus 260, and the Company has entered into a swap to fix LIBOR over the life of the loan at 1.54%.  The effective fixed interest rate on the loan is 4.14%.



(8)

Hotel was sold in February 2016 and the mortgage loan was paid off in connection with the sale.

 

 

Xenia Hotels & Resorts, Inc.
Same-Property(1) Hotel EBITDA and Hotel EBITDA Margin
For the Year Ended Months Ended December 31, 2015 and 2014
($ amounts in thousands)




Three Months Ended December 31,


Year Ended December 31,



2015


2014


Change


2015


2014


Change

Revenues(2):













Room revenues


$

157,353



$

150,598



4.5

%


$

655,748



$

631,373



3.9

%

Food and beverage revenues


68,816



62,271



10.5

%


251,847



231,412



8.8

%

Other revenues


13,340



14,582



(8.5)

%


52,391



57,578



(9.0)

%

Total revenues


$

239,509



$

227,451



5.3

%


$

959,986



$

920,363



4.3

%














Expenses(2):













Room expenses


$

35,828



$

33,709



6.3

%


$

144,748



$

137,804



5.0

%

Food and beverage expenses


42,337



40,436



4.7

%


162,472



155,756



4.3

%

Other direct expenses


4,468



7,347



(39.2)

%


17,626



28,766



(38.7)

%

Other indirect expenses


55,919



53,473



4.6

%


222,244



211,414



5.1

%

Management and franchise fees


11,812



11,982



(1.4)

%


49,368



50,496



(2.2)

%

Real estate taxes, personal property taxes and insurance


11,965



11,712



2.2

%


48,367



43,792



10.4

%

Ground lease expense(3)


1,241



1,131



9.7

%


4,825



4,615



4.6

%

Total hotel operating expenses


$

163,570



$

159,790



2.4

%


$

649,650



$

632,643



2.7

%














Hotel EBITDA


$

75,939



$

67,661



12.2

%


$

310,336



$

287,720



7.9

%

Hotel EBITDA Margin


31.7

%


29.7

%


196 bps


32.3

%


31.3

%


107 bps



(1)

"Same-Property" results include the results for all hotels owned as of December 31, 2015, except for the Grand Bohemian Hotel Charleston and the Grand Bohemian Hotel Mountain Brook, which commenced operations in the second half of 2015, include periods prior to the Company's ownership of the Aston Waikiki Beach Hotel, Canary Hotel, RiverPlace Hotel and Hotel Palomar Philadelphia, and exclude the results of operations of the Crowne Plaza Charleston Airport - Convention Center, DoubleTree Suites Atlanta Galleria, and Holiday Inn Secaucus Meadowlands, all of which were sold in 2014, and the Hyatt Regency Orange County which was sold in October 2015. "Same-Property" results also exclude the NOI guaranty payment at the Andaz San Diego.  Results include renovation and remediation disruption for multiple capital projects during the periods presented and for the impact of the Napa earthquake that occurred in August 2014.



(2)

2014 revenues and expenses are unadjusted for changes resulting from the adoption of USALI.



(3)

Excludes the amortization of above / below market ground lease intangibles. As such, year ended December 31, 2014 Hotel EBITDA will differ from figures previously provided.

 

 

Xenia Hotels & Resorts, Inc.
Hotel Data by Geography
(1)
As of December 31, 2015



December 31, 2015

Region

Number of Hotels


Number of Rooms

South Atlantic




(Florida, Georgia, Maryland, South Carolina, Virginia, West Virginia, Washington, D.C.)

16


3,319

West South Central




(Louisiana, Texas)

9


3,339

Pacific




(California, Hawaii, Oregon)

8


2,591

Mountain




(Arizona, Colorado, Utah)

5


1,016

Other




(Alabama, Illinois, Iowa, Kentucky, Massachusetts, Missouri, Pennsylvania)

12


2,283

Total

50


12,548



(1)

All hotels owned as of December 31, 2015, including Grand Bohemian Charleston and Grand Bohemian Mountain Brook, which are not included in "Same-Property" data.

 

 

Xenia Hotels & Resorts, Inc.
Same-Property(1) Hotel Statistical Data(2) by Geography
For the Three Months and Year Ended December 31, 2015 and 2014




Three Months Ended


Three Months Ended





December 31, 2015


December 31, 2014


% Change



Occupancy


ADR


RevPAR


Occupancy


ADR


RevPAR


RevPAR

Region















South Atlantic


72.5

%


$

181.37



$

131.53



71.7

%


$

174.80



$

125.33



4.9

%

West South Central


66.9

%


$

185.93



$

124.38



68.2

%


$

188.53



$

128.59



(3.3)

%

Pacific


80.4

%


$

222.17



$

178.54



74.1

%


$

203.67



$

150.91



18.3

%

Mountain


68.8

%


$

175.83



$

120.91



71.3

%


$

168.10



$

119.83



0.9

%

Other


71.1

%


$

180.24



$

128.10



71.0

%


$

175.44



$

124.58



2.8

%

Total


72.1

%


$

191.39



$

137.96



71.1

%


$

184.19



$

130.97



5.3

%





Year Ended


Year Ended





December 31, 2015


December 31, 2014


% Change



Occupancy


ADR


RevPAR


Occupancy


ADR


RevPAR


RevPAR

Region















South Atlantic


77.6

%


$

178.76



$

138.68



77.3

%


$

171.57



$

132.67



4.5

%

West South Central


71.0

%


$

186.79



$

132.64



72.2

%


$

184.23



$

133.02



(0.3)

%

Pacific


81.2

%


$

221.01



$

179.54



81.5

%


$

202.00



$

164.70



9.0

%

Mountain


78.1

%


$

177.86



$

138.84



78.7

%


$

167.93



$

132.12



5.1

%

Other


75.6

%


$

178.37



$

134.81



74.5

%


$

170.90



$

127.32



5.9

%

Total


76.3

%


$

190.03



$

144.92



76.4

%


$

181.14



$

138.46



4.7

%



(1)

"Same-Property" results include the results for all hotels owned as of December 31, 2015, except for the Grand Bohemian Hotel Charleston and the Grand Bohemian Hotel Mountain Brook, which commenced operations in the second half of 2015, include periods prior to the Company's ownership of the Aston Waikiki Beach Hotel, Canary Hotel, RiverPlace Hotel and Hotel Palomar Philadelphia, and exclude the results of operations of the Crowne Plaza Charleston Airport - Convention Center, DoubleTree Suites Atlanta Galleria, and Holiday Inn Secaucus Meadowlands, all of which were sold in 2014, and the Hyatt Regency Orange County which was sold in October 2015. "Same-Property" results also exclude the NOI guaranty payment at the Andaz San Diego.  Results include renovation and remediation disruption for multiple capital projects during the periods presented and for the impact of the Napa earthquake that occurred in August 2014.



(2)

Average Daily Rate ("ADR") and Revenue Per Available Room ("RevPAR") for the year ended months ended December 31, 2014 are presented after adjusting for the adoption of the Eleventh Revised Edition of the Uniform System of Accounts for the Lodging Industry ("USALI") as provided by our operators.

 

 


Xenia Hotels & Resorts, Inc.

Same-Property(1) Results for the Year Ended December 31, 2015 and 2014

















Year Ended December 31, 2015


Year Ended December 31, 2014



EBITDA
($M)


EBITDA /
Key


RevPAR


EBITDA
($M)


EBITDA /
Key


RevPAR

Andaz Napa


$

5,431



$

38,518



$

223.09



$

2,261



$

16,035



$

137.99


Andaz San Diego(2)


4,225



26,572



186.29



3,336



20,981



168.20


Andaz Savannah


4,284



28,371



171.12



3,961



26,232



162.27


Aston Waikiki Beach Hotel(2)


17,884



27,727



149.60



18,022



27,941



147.82


Bohemian Hotel Celebration


2,062



17,930



131.54



1,966



17,096



121.01


Bohemian Hotel Savannah Riverfront


4,609



61,453



252.40



4,366



58,213



243.53


Canary Hotel


5,421



55,887



301.02



4,572



47,134



284.43


Courtyard Birmingham Downtown at UAB


2,658



21,787



117.53



2,345



19,221



109.22


Courtyard Fort Worth Downtown/Blackstone


3,514



17,310



104.54



3,385



16,675



104.71


Courtyard Kansas City Country Club Plaza


2,502



20,341



115.32



2,437



19,813



112.39


Courtyard Pittsburgh Downtown


4,151



22,808



124.20



4,413



24,247



124.67


DoubleTree by Hilton Hotel Washington DC


4,143



18,832



146.20



4,121



18,732



139.38


Embassy Suites Baltimore North/Hunt Valley


2,382



10,682



91.76



2,399



10,758



90.19


Fairmont Dallas


11,454



21,017



121.08



9,166



16,818



112.09


Grand Bohemian Hotel Orlando


8,461



34,255



173.46



7,157



28,976



158.37


Hampton Inn & Suites Baltimore Inner Harbor


1,690



14,569



116.14



1,871



16,129



121.49


Hampton Inn & Suites Denver Downtown


3,949



26,682



141.74



3,611



24,399



134.17


Hilton Garden Inn Chicago North Shore/Evanston


3,177



17,848



120.24



2,861



16,073



113.53


Hilton Garden Inn Washington DC Downtown


9,637



32,123



202.57



9,052



30,173



200.51


Hilton Phoenix Suites


3,534



15,637



106.81



2,838



12,558



96.61


Hilton St. Louis Downtown at the Arch


2,329



11,944



102.38



2,207



11,318



97.85


Hilton University of Florida CC Gainesville


4,008



16,161



114.86



3,563



14,367



105.65


Homewood Suites by Hilton Houston Near the Galleria


3,311



20,438



131.25



4,159



25,673



146.65


Hotel Monaco Chicago


3,655



19,136



175.39



4,241



22,204



167.60


Hotel Monaco Denver


6,959



36,820



176.30



6,960



36,825



178.40


Hotel Monaco Salt Lake City


5,254



23,351



130.33



4,728



21,013



120.64


Hotel Palomar Philadelphia


8,340



36,261



192.61



6,592



28,661



176.15


Hyatt Key West Resort & Spa


9,065



76,822



364.32



8,028



68,034



339.47


Hyatt Regency Santa Clara


16,626



33,120



186.82



12,903



25,754



168.11


Loews New Orleans Hotel


5,634



19,768



153.39



5,759



20,207



151.20


Lorien Hotel & Spa


2,892



27,028



161.78



2,883



26,944



157.11


Marriott Atlanta Century Center/Emory Area(2)


2,917



10,164



89.71



2,841



9,899



84.75


Marriott Charleston Town Center


3,115



8,849



86.07



3,184



9,045



86.09


Marriott Chicago at Medical District/UIC


2,141



18,947



160.49



2,085



18,451



153.03


 

 

Xenia Hotels & Resorts, Inc.

Same-Property(1) Results for the Year Ended December 31, 2015 and 2014 - Continued

















Year Ended December 31, 2015


Year Ended December 31, 2014



EBITDA
($M)


EBITDA /
Key


RevPAR


EBITDA
($M)


EBITDA /
Key


RevPAR

Marriott Dallas City Center


8,418



20,236



122.56



7,793



18,733



113.19


Marriott Griffin Gate Resort & Spa


6,467



15,812



100.24



6,524



15,951



92.46


Marriott Napa Valley Hotel & Spa


9,187



33,407



174.51



6,806



24,749



152.58


Marriott San Francisco Airport Waterfront


16,806



24,427



167.10



16,484



24,064



161.64


Marriott West Des Moines


2,789



12,735



91.24



2,550



11,644



91.04


Marriott Woodlands Waterway Hotel & CC(2)


18,411



53,676



177.21



18,208



53,085



171.60


Renaissance Atlanta Waverly Hotel & CC


12,528



24,000



107.54



10,481



20,079



98.89


Renaissance Austin Hotel


11,541



23,457



120.70



10,925



22,205



118.33


Residence Inn Baltimore Downtown/Inner Harbor(2)


3,857



20,516



121.17



4,263



22,676



125.26


Residence Inn Boston Cambridge


8,223



37,208



203.08



7,320



33,122



186.63


Residence Inn Denver City Center


7,645



33,531



146.03



7,596



33,316



138.97


RiverPlace Hotel


4,060



48,333



257.96



3,473



41,345



238.64


Westin Galleria Houston & Westin Oaks Houston at The Galleria


18,990



21,265



133.86



21,024



23,543



146.47


Total(2)


$

310,336



$

25,031



$

144.92



$

287,720



$

23,214



$

138.46








































(1)

"Same-Property" results include the results for all hotels owned as of December 31, 2015, except for the Grand Bohemian Hotel Charleston and the Grand Bohemian Hotel Mountain Brook, which commenced operations in the second half of 2015, include periods prior to the Company's ownership of the Aston Waikiki Beach Hotel, Canary Hotel, RiverPlace Hotel and Hotel Palomar Philadelphia, and exclude the results of operations of the Crowne Plaza Charleston Airport - Convention Center, DoubleTree Suites Atlanta Galleria, and Holiday Inn Secaucus Meadowlands, all of which were sold in 2014, and the Hyatt Regency Orange County which was sold in October 2015. "Same-Property" results also exclude the NOI guaranty payment at the Andaz San Diego of $0.3 million and $1.4 million for year ended 2015 and 2014, respectively.  Results include renovation and remediation disruption for multiple capital projects during the periods presented and for the impact of the Napa earthquake that occurred in August 2014.



(2)

EBITDA excludes the amortization of above / below market ground lease intangibles. As such, year ended December 31, 2014 Hotel EBITDA will differ from figures previously provided.

 

Logo - http://photos.prnewswire.com/prnh/20150203/173140LOGO

SOURCE Xenia Hotels & Resorts, Inc.



RELATED LINKS

http://www.xeniareit.com