Condor Hospitality Trust, Inc. (NYSE American: CDOR) (the
“Company”) today announced results of operations for the first
quarter 2021.
FIRST QUARTER 2021 FINANCIAL HIGHLIGHTS
- Portfolio Revenue Per Available Room (RevPAR): The 15 hotels
Same-Store RevPAR in the first quarter 2021 decreased 33.1% to
$53.16 compared to the first quarter 2020. Same-Store Average Daily
Rate (ADR) decreased 28.1% to $89.41 and Same-Store occupancy
decreased 7.1% to 59.46% in the first quarter 2021 compared to the
same period in 2020. April 2021 RevPAR was $73.80 based on an
occupancy of 70.6% and a $104.56 ADR.
- Net Loss: Net Loss Attributable to Common Shareholders was
($2.4) million or ($0.20) per diluted share in the first quarter
2021 compared to ($3.2) million or ($0.27) per diluted share for
the same period in 2020.
- Adjusted EBITDAre*: Adjusted EBITDAre decreased in the first
quarter 2021 69.0% to $0.8 million from $2.7 million for the same
period in 2020.
- Adjusted Funds from Operations*: Adjusted Funds from Operations
decreased $2.4 million in the first quarter 2021 to ($1.3) million
or ($0.11) per diluted share compared to $1.1 million or $0.09 per
diluted share in the same period in 2020.
- Same-Store Hotel EBITDA*: Same-Store Hotel EBITDA was $2.0
million in the first quarter 2021, a decrease of 50.9% from the
same period in 2020. Margin contracted 690 bps to 20.7% in the
first quarter 2021 compared to 27.6% in the same period in
2020.
MANAGEMENT COMMENTARY
Bill Blackham, Condor’s Chief Executive Officer, commented: “The
hospitality industry including Condor has faced unprecedented
challenges appearing in the first quarter 2020 brought by the
COVID-19 pandemic and the resulting near evaporation of demand.
Beginning in March of 2020 Condor acted quickly to substantially
reduce portfolio operating expenses, reduce corporate overhead and
enhance our sales efforts to capture more than our fair share of
greatly reduced demand. Our hotel portfolio returned to positive
cash flow beginning in May 2020 and has remained positive
throughout the remainder of 2020 and the first quarter of 2021. We
undertook steps to enhance liquidity including the successful
completion of an amendment to our credit facility providing
important covenant compliance deferrals and access to $13.4 million
of revolving credit availability through the January 2023 extended
maturity.
In the first quarter 2021 our portfolio continued outperforming,
as compared to the overall industry which recorded 34.3% RevPAR
declines nationally in the upscale chain scale as reported by Smith
Travel Research, and our select service public REIT peer group, by
having one of the lowest first quarter RevPAR decline compared to
the same period in 2020 and at 20.7% one of the highest hotel
portfolio EBITDA margins. When eliminating the two Aloft hotels and
the Indigo hotel in our portfolio which have larger food and
beverage platforms the modified portfolio proforma margins
increased to 26.9%. Seasonal lower demand early in the first
quarter changed considerably in later February with increased
leisure travel driving the portfolio occupancy to 59.5% and the
portfolio is positioned to enjoy benefits from the continuing
increase leisure demand that we are currently experiencing and that
we expect into second quarter 2021 having achieved a 70.6%
portfolio occupancy for the month of April 2021. We anticipate that
business travel led initially by local business demand, and then
regional demand, will begin late in the second quarter and improve
over the remainder of 2021.
As a result of a lender that acquired the loan on our Leawood
hotel late in December 2020 refusing to grant a financial covenants
waiver for the fourth quarter 2020 that was granted by the previous
lender for the first three quarters of 2020, the Company’s auditor
issued an audit opinion with a going concern qualification. This
waiver refusal on a technical covenant on a loan where all payments
are current occurred in the midst of an environment where industry
practice has lenders granting such waivers so as a result the
Company is underway with a process to identify alternatives to
refinance the loan.”
Condor Hospitality
Trust
Selected Statistical and
Financial Data
As of and for the three months
ended March 31,
(in thousands except
statistical and per share amounts)
(Unaudited)
Three months ended March
31,
2021
2020
Net Loss
$
(2,187)
$
(3,025)
Diluted Earnings (Loss) per Share
$
(0.20)
$
(0.27)
Adjusted EBITDAre*
$
846
$
2,725
Hotel EBITDA - Same-Store*
$
1,996
$
4,067
Hotel EBITDA Margin - Same-Store*
20.7%
27.6%
Adjusted FFO*
$
(1,326)
$
1,049
Adjusted FFO per Diluted Share*
$
(0.11)
$
0.09
Same-Store RevPAR*
$
53.16
$
79.50
Same-Store Occupancy*
59.46%
63.97%
Same-Store ADR*
$
89.41
$
124.28
The following table summarizes key hotel statistics during the
first quarter of 2021, amid the COVID-19 pandemic, compared to the
first quarter of 2020:
January 2021
February 2021
March 2021
Three Months ended March 31,
2021
January 2020
February 2020
March 2020
Three Months ended March 31,
2020
Same-Store ADR*
$
84.88
$
88.31
$
93.51
$
89.41
$
123.34
$
127.06
$
120.91
$
124.28
Same-Store Occupancy*
51.42%
56.37%
70.29%
59.46%
71.89%
79.40%
41.58%
63.97%
Same-Store RevPAR*
$
43.64
$
49.77
$
65.73
$
53.16
$
88.67
$
100.89
$
50.27
$
79.50
Hotel EBITDA – Same-Store*
$
299
$
532
$
1,165
$
1,996
$
1,702
$
2,244
$
121
$
4,067
Hotel EBITDA Margin – Same-Store*
11.0%
18.9%
28.4%
20.7%
30.3%
37.7%
3.8%
27.6%
*Please see the Reg. G reconciliation tables at the end of this
release. Financial data presented above includes results from prior
to our 100% ownership of Atlanta Aloft.
OPERATIONS UPDATE
- All Hotels Open: All of Condor’s hotels are open with expanded
and repetitive health and sanitation measures in place. The Company
in 2020 had closed 2 of its hotels in April but resumed full
operations in July.
- Enhanced Asset Management Efforts: The Company working together
with its third-party management companies has expanded sales
efforts to include COVID-19 specific demand related to medical,
hospital and university services and for the numerous disaster
recovery and infrastructure improvement and reconstruction projects
that create demand in our hotel markets. We continue to
aggressively pursue leisure, government, athletic and local and
regional business related to travel in our hotel markets. Since
March 2020, the Company, working with our third-party management
companies, have implemented cost elimination/cost reduction
initiatives at our hotels through a variety of measures involving
labor, services, amenities, contracts, and taxes. As a result of
these initiatives, Hotel EBITDA has been positive each month from
May 2020 through the end of March 2021 and our RevPAR penetration
index has remained above 100% fair share averaging 108.9% for the
first quarter 2021 compared to 111.3% the same quarter in the
previous year.
May 2020
June 2020
July 2020
August 2020
September 2020
October 2020
November 2020
December 2020
January 2021
February 2021
March 2021
Hotel EBITDA
$
14
$
438
$
385
$
772
$
405
$
701
$
180
$
164
$
299
$
532
$
1,165
January 2020
February 2020
March 2020
Q1 2020
January 2021
February 2021
March 2021
Q1 2021
Hotel RevPAR Penetration Index
117.1%
110.1%
102.5%
111.3%
111.2%
103.2%
109.3%
108.9%
CASH BURN BEFORE CAPITAL EXPENDITURES
The Company had a first quarter 2021 cash burn of $1.4 million
compared to $1.4 million in the third quarter and $2.1 million in
the fourth quarter 2020. The majority of the cash burn was in the
initial 60 days with March achieving breakeven before non-recurring
expenses. The cash burn analysis includes $0.2 million of principal
amortization for the quarter.
(in thousands)
Three months ended March 31,
2021
One month ended March 31,
2021
Hotel EBITDA
$
1,996
$
1,165
Less: recurring general and administrative
expense, excluding stock compensation expense
(1,111)
(377)
Less: unallocated hotel and property
operations expense
(31)
(4)
Adjusted Corporate EBITDA
$
854
$
784
Less: debt service costs
(2,210)
(771)
Cash burn
$
(1,356)
$
13
CORPORATE LOAN FACILITY
On November 19, 2020 the Company amended the credit agreement
for its $130 million revolving credit facility. The key
modifications and enhancements include:
- Loan maturity was extended to January 2, 2023
- Financial covenant compliance was suspended until September 30,
2021
- Debt yield and leverage ratio covenants were eliminated and
replaced with a borrowing base debt service coverage ratio
- The debt service and fixed charge covenants, when applicable on
September 30, 2021, were eased from 1.5X to 1.0X and ramp up to
1.5X on September 30, 2022. Importantly, beginning with the
September 30, 2021 calculations, quarterly figures are annualized
until the quarter ending June 30, 2022 which will use the trailing
12 months figures
- Borrowing availability was increased to $13.4 million
- Dividends suspension was modified to allow the payment of
common and preferred dividends when defined financial conditions
are achieved.
BALANCE SHEET AND CAPITAL MARKETS ACTIVITY
As of March 31, 2021, the Company had cash and cash equivalents
(including restricted cash) of $7.7 million and available revolver
borrowing capacity of $10.2 million. As of March 31, 2021, the
Company had total outstanding long-term debt of $169.7 million
associated with assets held for use with a weighted average
maturity of 1.9 years and a weighted average interest rate of
3.79%.
CAPITAL INVESTMENTS
The Company invested $0.3 million in capital improvements
throughout the portfolio in the three months ended March 31, 2021
to upgrade its properties and maintain brand standards.
OUTLOOK AND GUIDANCE
The Company has suspended guidance until further notice.
DIVIDENDS
On November 19, 2020, the Company amended its credit facility to
permit payment of cash dividends to common and preferred
shareholder when defined financial conditions are achieved. The
Company is not currently permitted to pay cash dividends pursuant
to the terms of its credit facility.
EARNINGS CALL
The Company will not be conducting a first quarter earnings
conference call.
About Condor Hospitality Trust, Inc.
Condor Hospitality Trust, Inc. (NYSE American: CDOR) is a
self-administered real estate investment trust that specializes in
the investment and ownership of upper midscale and upscale,
premium-branded, select-service, extended-stay, and limited-service
hotels in the top 100 Metropolitan Statistical Areas (“MSAs”) with
a particular focus on the top 20 to 60 MSAs. The Company currently
owns 15 hotels in 8 states. Condor’s hotels are franchised by a
number of the industry’s most well-regarded brand families
including Hilton, Marriott, and InterContinental Hotels.
Forward-Looking Statement
This news release may contain forward-looking statements within
the meaning of the Private Securities Litigation Reform Act of
1995. Forward-looking statements include all statements that are
not historical facts, and in some cases, can be identified by the
use of forward-looking terminology such as “may”, “will”, “expect”,
“intend”, “anticipate”, “estimate”, “believe”, “continue”,
“project”, “plan”, the negative version of these words or other
similar expressions. Readers are cautioned not to place undue
reliance on any such forward-looking statements.
All forward-looking statements speak only as of the date hereof
and are based on current expectations and involve a number of
assumptions, risks and uncertainties that could cause the actual
results to differ materially from such forward-looking statements.
They are not guarantees of future performance and involve risks and
uncertainties that are difficult to control or predict. Factors
which could have a material adverse effect on our operations and
future prospects include, but are not limited to, changes in
economic conditions generally and the real estate market
specifically, legislative/regulatory changes (including changes to
laws governing the taxation of real estate investment trusts),
availability of capital, risks associated with debt financing,
interest rates, competition, supply and demand for hotel rooms in
our current and proposed market areas, policies and guidelines
applicable to real estate investment trusts, risks related to
uncertainty and disruption in global economic markets as a result
of COVID-19 (commonly referred to as the coronavirus), and other
risks and uncertainties described herein, and in our filings with
the Securities and Exchange Commission (“SEC”) from time to time.
These risks and uncertainties should be considered in evaluating
any forward-looking statements.
The forward-looking statements represent Condor’s views as of
the date on which such statements were made. Condor anticipates
that subsequent events and developments may cause those views to
change. These forward-looking statements should not be relied upon
as representing Condor’s views as of any date subsequent to the
date hereof. Condor expressly disclaims a duty to provide updates
to forward-looking statements, whether as a result of new
information, future events or other occurrences.
Additional factors that may affect the Company’s business or
financial results are described in the risk factors included in the
Company’s filings with the SEC, including its Annual Report on Form
10-K for the fiscal year ended December 31, 2020, and subsequent
Quarterly Reports on Form 10-Q and Current Reports on Form 8-K
SELECTED FINANCIAL DATA:
Condor Hospitality Trust, Inc.
and Subsidiaries
Consolidated Balance
Sheets
(In thousands, except share
and per share data)
As of
March 31, 2021
December 31, 2020
Assets
Investment in hotel properties, net
$
263,506
$
265,831
Cash and cash equivalents
3,485
3,686
Restricted cash, property escrows
4,228
3,794
Accounts receivable, net
1,092
652
Prepaid expenses and other assets
956
1,230
Total Assets
$
273,267
$
275,193
Liabilities and
Equity
Liabilities
Accounts payable, accrued expenses, and
other liabilities
$
5,945
$
5,372
Dividends and distributions payable
924
762
Land option liability
8,497
8,497
Derivative liabilities, at fair value
744
880
Convertible debt, at fair value
15,022
16,875
Long-term debt, net of deferred financing
costs
168,111
166,526
Total Liabilities
199,243
198,912
Equity
Shareholders' Equity
Preferred stock, 40,000,000 shares
authorized:
6.25% Series E, 925,000 shares authorized,
$.01 par value, 925,000 shares outstanding, liquidation preference
of $10,174 and $10,012
10,050
10,050
Common stock, $.01 par value, 200,000,000
shares authorized; 12,019,769 and 12,014,743 shares outstanding
120
120
Additional paid-in capital
233,425
233,332
Accumulated deficit
(169,613)
(167,263)
Total Shareholders' Equity
73,982
76,239
Noncontrolling interest in consolidated
partnership (Condor Hospitality Limited Partnership), redemption
value of $15 and $17
42
42
Total Equity
74,024
76,281
Total Liabilities and Equity
$
273,267
$
275,193
Condor Hospitality Trust, Inc.
and Subsidiaries
Consolidated Statements of
Operations
(In thousands, except per
share data)
Three months ended March
31,
2021
2020
Revenue
Room rentals and other hotel services
$
9,644
$
13,227
Operating Expenses
Hotel and property operations
7,679
9,815
Depreciation and amortization
2,643
2,710
General and administrative
1,260
1,193
Strategic alternatives, net
40
144
Total operating expenses
11,622
13,862
Operating loss
(1,978)
(635)
Net loss on disposition of assets
(3)
(9)
Equity in earnings of joint venture
-
80
Net gain (loss) on derivatives and
convertible debt
1,988
(759)
Other income (expense), net
42
(28)
Interest expense
(2,209)
(1,980)
Loss before income taxes
(2,160)
(3,331)
Income tax benefit (expense)
(27)
306
Net loss
(2,187)
(3,025)
Loss attributable to noncontrolling
interest
-
1
Net loss attributable to controlling
interests
(2,187)
(3,024)
Dividends declared and undeclared on
preferred stock
(163)
(145)
Net loss attributable to common
shareholders
$
(2,350)
$
(3,169)
Earnings (Loss)
per Share
Total - Basic Earnings (Loss) per
Share
$
(0.20)
$
(0.27)
Total - Diluted Earnings (Loss) per
Share
$
(0.20)
$
(0.27)
Reconciliation of Non-GAAP Financial
Measures (Unaudited)
Non-GAAP financial measures are measures of our historical
financial performance that are different from measures calculated
and presented in accordance with accounting principles generally
accepted in the United States of America (“GAAP”). We report Funds
from Operations (“FFO”), Adjusted FFO (“AFFO”), Earnings Before
Interest, Taxes, Depreciation, and Amortization (“EBITDA”), EBITDA
for real estate (“EBITDAre”), Adjusted EBITDAre, and Hotel EBITDA
as non-GAAP measures that we believe are useful to investors as key
measures of our operating results and which management uses to
facilitate a periodic evaluation of our operating results relative
to those of our peers. Our non-GAAP measures should not be
considered as an alternative to U.S. GAAP net earnings as an
indication of financial performance or to U.S. GAAP cash flows from
operating activities as a measure of liquidity. Additionally, these
measures are not indicative of funds available to fund cash needs
or our ability to make cash distributions as they have not been
adjusted to consider cash requirements for capital expenditures,
property acquisitions, debt service obligations, or other
commitments.
FFO and AFFO
The following table reconciles net loss to FFO and AFFO for the
three months ended March 31, 2021 and 2020. (in thousands). All
amounts presented include our portion of the results of our
unconsolidated Atlanta JV.
Three months ended March
31,
Reconciliation of
Net loss to FFO and AFFO
2021
2020
Net loss
$
(2,187)
$
(3,025)
Depreciation and amortization expense
2,643
2,710
Depreciation and amortization expense from
JV
-
145
Net loss on disposition of assets
3
9
FFO
459
(161)
Dividends declared and undeclared on
preferred stock
(163)
(145)
FFO attributable to common shares and
common units
296
(306)
Net (gain) loss on derivatives and
convertible debt
(1,988)
759
Strategic alternatives expense, net
40
144
Stock-based compensation expense
99
84
Amortization of deferred financing
fees
227
275
Amortization of deferred financing fees
from JV
-
93
AFFO attributable to common shares and
common units
$
(1,326)
$
1,049
FFO attributable to common shares and
common units - Basic
$
296
$
(306)
2020 Note interest and fair value
adjustments
(1,593)
-
FFO attributable to common shares and
common units - Diluted
$
(1,297)
$
(306)
FFO per common share and common unit -
Basic
$
0.02
$
(0.03)
FFO per common share and common unit -
Diluted
$
(0.08)
$
(0.03)
Weighted average common shares and common
units - Basic FFO
11,996,576
11,955,628
Weighted average common shares and common
units - Diluted FFO
16,023,217
11,955,628
AFFO attributable to common shares and
common units - Basic and Diluted
$
(1,326)
$
1,049
AFFO per common share and common unit -
Basic
$
(0.11)
$
0.09
AFFO per common share and common unit -
Diluted
$
(0.11)
$
0.09
Weighted average common shares and common
units - Basic AFFO
11,996,576
11,955,628
Weighted average common shares and common
units - Diluted AFFO
11,996,576
11,963,762
We calculate FFO in accordance with the standards established by
the National Association of Real Estate Investment Trusts
(“NAREIT”), which defines FFO as net earnings or loss computed in
accordance with GAAP, excluding gains or losses from sales of real
estate assets, impairment, and the depreciation and amortization of
real estate assets. FFO is calculated both for the Company in total
and as FFO attributable to common shares and common units, which is
FFO reduced by preferred stock dividends. AFFO is FFO attributable
to common shares and common units adjusted to exclude items we do
not believe are representative of the results from our core
operations, including non-cash gains or losses on derivatives and
convertible debt, stock-based compensation expense, amortization of
certain fees, losses on debt extinguishment, and in-kind dividends
above stated rates, and cash charges for acquisition and equity
transaction and strategic alternatives costs. All REITs do not
calculate FFO and AFFO in the same manner; therefore, our
calculation may not be the same as the calculation of FFO and AFFO
for similar REITs.
We consider FFO to be a useful additional measure of performance
for an equity REIT because it facilitates an understanding of the
operating performance of our properties without giving effect to
real estate depreciation and amortization, which assumes that the
value of real estate assets diminishes predictably over time. Since
real estate values have historically risen or fallen with market
conditions, we believe that FFO provides a meaningful indication of
our performance. We believe that AFFO provides useful supplemental
information to investors regarding our ongoing operating
performance that, when considered with net income and FFO, is
beneficial to an investor’s understanding of our operating
performance. We present FFO and AFFO per common share and common
unit because our common units are redeemable for common shares. We
believe it is meaningful for the investor to understand FFO and
AFFO applicable to common shares and common units.
EBITDA, EBITDAre, Adjusted EBITDAre, Hotel
EBITDA and Hotel EBITDA Proforma
The following table reconciles net loss to EBITDA, EBITDAre,
Adjusted EBITDAre, and Hotel EBITDA for the three months ended
March 31, 2021 and 2020 (in thousands). All amounts presented our
portion of the results of our unconsolidated Atlanta JV.
Three months ended March
31,
Reconciliation of
Net loss to EBITDA, EBITDAre, Adjusted EBITDAre, and Hotel
EBITDA
2021
2020
Net loss
$
(2,187)
$
(3,025)
Interest expense
2,209
1,980
Interest expense from JV
-
225
Income tax expense (benefit)
27
(306)
Depreciation and amortization expense
2,643
2,710
Depreciation and amortization expense from
JV
-
145
EBITDA
2,692
1,729
Net loss on disposition of assets
3
9
EBITDAre
2,695
1,738
Net loss (gain) on derivatives and
convertible debt
(1,988)
759
Stock-based compensation expense
99
84
Strategic alternatives, net
40
144
Adjusted EBITDAre
846
2,725
General and administrative expense,
excluding stock compensation expense
1,161
1,109
Other (income) expense, net
(42)
28
Unallocated hotel and property operations
expense
31
94
Hotel EBITDA
$
1,996
$
3,956
Revenue
$
9,644
$
13,227
JV revenue
-
1,218
Condor and JV revenue
$
9,644
$
14,445
Hotel EBITDA as a percentage of
revenue
20.7%
27.4%
Three months ended March
31,
Reconciliation of
Hotel EBITDA to Hotel EBITDA Proforma
2021
Hotel EBITDA
$
1,996
Less: Proforma Property Exclusions
10
Hotel EBITDA Proforma**
$
2,006
Total Company and JV revenue
$
9,644
Less: Proforma Property Exclusions
(2,185)
Hotel Revenue Proforma**
$
7,459
Proforma Margin
26.9%
**Proforma amounts do not include results
for full service food and beverage properties, Atlanta Aloft,
Leawood Aloft, and College Park Hotel Indigo
Three months ended March 31,
2021
Three months ended December
31, 2020
Three months ended September
30, 2020
Reconciliation of Hotel EBITDA to Cash
Burn
Hotel EBITDA
$
1,996
$
1,045
$
1,562
Less: recurring general and administrative
expense, excluding stock compensation expense
(1,111)
(968)
(1,013)
Less: unallocated hotel and property
operations expense
(31)
(61)
(57)
Adjusted Corporate EBITDA
$
854
$
16
$
492
Less: debt service costs
(2,210)
(2,108)
(1,865)
Cash burn
$
(1,356)
$
(2,092)
$
(1,373)
We calculate EBITDA, EBITDAre, and Adjusted EBITDAre by adding
back to net earnings or loss certain non-operating expenses and
certain non-cash charges which are based on historical cost
accounting that we believe may be of limited significance in
evaluating current performance. We believe these adjustments can
help eliminate the accounting effects of depreciation and
amortization and financing decisions and facilitate comparisons of
core operating profitability between periods. In calculating
EBITDA, we add back to net earnings or loss interest expense, loss
on debt extinguishment, income tax expense, and depreciation and
amortization expense. NAREIT adopted EBITDAre in order to promote
an industry-wide measure of REIT operating performance. We adjust
EBITDA by adding back net gain/loss on disposition of assets and
impairment charges to calculate EBITDAre. To calculate Adjusted
EBITDAre, we adjust EBITDAre to add back acquisition and terminated
transactions expense and equity transactions and strategic
alternatives expense, which are cash charges. We also add back
stock –based compensation expense and gain/loss on derivatives and
convertible debt, which are non-cash charges. EBITDA, EBITDAre, and
Adjusted EBITDAre, as presented, may not be comparable to similarly
titled measures of other companies.
We believe EBITDA, EBITDAre, and Adjusted EBITDAre to be useful
additional measures of our operating performance, excluding the
impact of our capital structure (primarily interest expense), our
asset base (primarily depreciation and amortization expense), and
other items we do not believe are representative of the results
from our core operations.
The Company further excludes general and administrative
expenses, other non-operating income or expense, and certain hotel
and property operations expenses that are not allocated to
individual properties in assessing hotel performance (primarily
certain general liability and other insurance costs, land lease
costs, and office and banking fees) from Adjusted EBITDAre to
calculate Hotel EBITDA. Hotel EBITDA, as presented, may not be
comparable to similarly titled measures of other companies.
Hotel EBITDA is intended to isolate property level operational
performance over which the Company’s hotel operators have direct
control. We believe Hotel EBITDA is helpful to investors as it
better communicates the comparability of our hotels’ operating
results for all of the Company’s hotel properties and is used by
management to measure the performance of the Company’s hotels and
the effectiveness of the operators of the hotels.
Same-Store Revenue and Hotel EBITDA
The following tables present our same-store revenue, Hotel
EBITDA, and Hotel EBITDA margin broken down by property type for
the three months ended March 31, 2021 and 2020 (in thousands) and
reconcile these same-store measures to total revenue and Hotel
EBITDA as presented above. Same-store results include all our
hotels owned at December 31, 2020. Results for the hotels for
periods prior to our ownership were provided to us by prior owners
and have not been adjusted by us or audited or reviewed by our
independent auditors. All amounts presented include our portion of
the results of our unconsolidated Atlanta Aloft JV. Results for
periods prior to the Company’s ownership have not been included in
the Company’s actual consolidated financial statements and are
included here only for comparison purposes.
Revenue - Reconciliation of
Actual to Same-Store
Three months ended March
31,
2021
2020
Condor and JV Revenue - Actual
$
9,644
$
14,445
Revenue earned on properties disposed of
prior to March 31, 2021 during the period of ownership
-
-
Revenue earned related to joint venture
interest in the Atlanta JV prior to acquisition of this interest on
February 14, 2020
-
304
Total Revenue - Same-Store
$
9,644
$
14,749
Hotel EBITDA - Reconciliation
of Actual to Same-Store
Three months ended March
31,
2021
2020
Condor and JV Hotel EBITDA - Actual
$
1,996
$
3,956
Hotel EBITDA earned on properties disposed
of prior to March 31, 2021 during the period of ownership
-
-
Hotel EBITDA earned related to joint
venture interest in the Atlanta JV prior to acquisition of this
interest on February 14, 2020
-
111
Total Hotel EBITDA - Same-Store
$
1,996
$
4,067
Hotel EBITDA Margin
Three months ended March
31,
2021
2020
Total Hotel EBITDA Margin
20.7%
27.6%
The following tables present our monthly results presented
reconciling net income (loss) to EBITDA, EBITDAre, Adjusted
EBITDAre, and Hotel EBITDA, as well as Hotel EBITDA Same-Store and
Hotel EBITDA Same-Store margins.
Reconciliation of
Net loss to EBITDA, EBITDAre, Adjusted EBITDAre, and Hotel
EBITDA
Month ending May 31,
2020
Month ending June 30,
2020
Month ending July 31,
2020
Month ending Aug 31,
2020
Month ending Sept 30,
2020
Month ending Oct 31,
2020
Month ending Nov 30,
2020
Month ending Dec 31,
2020
Month ending January 30,
2021
Month ending February 28,
2021
Month ending March 31,
2021
Net income (loss)
$
(1,999)
$
(1,571)
$
(1,670)
$
(1,816)
$
(1,321)
$
4,365
$
(1,826)
$
(7,578)
$
(1,662)
$
(1,529)
$
1,004
Interest expense
698
676
707
708
688
743
794
791
755
693
761
Interest expense from JV
-
-
-
-
-
-
-
-
-
-
-
Income tax expense (benefit)
9
(79)
9
9
9
9
9
(53)
9
9
9
Depreciation and amortization expense
926
926
926
926
927
903
904
882
880
881
882
Depreciation and amortization expense from
JV
-
-
-
-
-
-
-
-
-
-
-
EBITDA
$
(366)
$
(48)
$
(28)
$
(173)
$
303
$
6,020
$
(119)
$
(5,958)
$
(18)
$
54
$
2,656
Net loss on disposition of assets
-
-
-
1
1
1
2
2
1
2
-
EBITDAre
$
(366)
$
(48)
$
(28)
$
(172)
$
304
$
6,021
$
(117)
$
(5,956)
$
(17)
$
56
$
2,656
Net loss (gain) on derivatives and
convertible debt
-
(18)
(3)
(3)
(126)
(3)
(3)
5,728
-
-
(1,988)
Stock-based compensation expense
18
46
10
23
37
(123)
17
43
17
17
65
Acquisition and terminated transactions
expense
-
-
-
-
-
-
-
-
-
-
-
Strategic alternatives, net
17
52
40
494
602
(5,577)
-
11
-
-
40
Adjusted EBITDAre
$
(331)
$
32
$
19
$
342
$
817
$
318
$
(103)
$
(174)
$
-
$
73
$
773
General and administrative expense,
excluding stock compensation expense
313
276
337
405
81
324
318
326
278
456
427
Other expense (income), net
(2)
58
2
1
(499)
34
(61)
2
(2)
(1)
(39)
Unallocated hotel and property operations
expense
34
72
27
24
6
25
26
10
23
4
4
Hotel EBITDA
$
14
$
438
$
385
$
772
$
405
$
701
$
180
$
164
$
299
$
532
$
1,165
Hotel EBITDA earned on properties owned at
December 31, 2020 prior to ownership
-
-
-
-
-
-
-
-
-
-
-
Hotel EBITDA - Same-Store
$
14
$
438
$
385
$
772
$
405
$
701
$
180
$
164
$
299
$
532
$
1,165
Revenue
$
1,706
$
2,280
$
2,782
$
3,058
$
3,001
$
3,215
$
2,560
$
2,534
$
2,729
$
2,817
$
4,098
JV Revenue
-
-
-
-
-
-
-
-
-
-
-
Condor and JV Revenue
1,706
2,280
2,782
3,058
3,001
3,215
2,560
2,534
2,729
2,817
4,098
Revenue earned on properties owned at
December 31, 2020 prior to ownership
-
-
-
-
-
-
-
-
-
-
-
-
Total Revenue - Same-Store
$
1,706
$
2,280
$
2,782
$
3,058
$
3,001
$
3,215
$
2,560
$
2,534
$
2,729
$
2,817
$
4,098
Hotel EBITDA - Same-Store as a percentage
of revenue
0.8%
19.2%
13.8%
25.2%
13.5%
21.8%
7.0%
6.5%
11.0%
18.9%
28.4%
Reconciliation of
Net income (loss) to EBITDA, EBITDAre, Adjusted EBITDAre, and Hotel
EBITDA
Month ending January 30,
2020
Month ending February 28,
2020
Month ending March 31,
2020
Net income (loss)
$
(724)
$
124
$
(2,425)
Interest expense
606
664
710
Interest expense from JV
169
56
-
Income tax expense (benefit)
5
5
(316)
Depreciation and amortization expense
804
952
954
Depreciation and amortization expense from
JV
109
36
-
EBITDA
$
969
$
1,837
$
(1,077)
Net loss on disposition of assets
2
1
6
EBITDAre
$
971
$
1,838
$
(1,071)
Net loss on derivatives and convertible
debt
-
-
759
Stock-based compensation expense
32
30
22
Strategic alternatives, net
235
(137)
46
Adjusted EBITDAre
$
1,238
$
1,731
$
(244)
General and administrative expense,
excluding stock compensation expense
350
457
302
Other expense, net
10
9
9
Unallocated hotel and property operations
expense
18
22
54
Hotel EBITDA
$
1,616
$
2,219
$
121
Hotel EBITDA earned on properties owned at
December 31, 2020 prior to ownership
86
25
-
Hotel EBITDA - Same-Store
$
1,702
$
2,244
$
121
Revenue
$
4,511
$
5,542
$
3,174
JV Revenue
890
328
-
Condor and JV Revenue
5,401
5,870
3,174
Revenue earned on properties owned at
December 31, 2020 prior to ownership
223
81
-
Total Revenue - Same-Store
$
5,624
$
5,951
$
3,174
Hotel EBITDA - Same-Store as a percentage
of revenue
30.3%
37.7%
3.8%
Condor Hospitality Trust, Inc. Operating
Statistics
The following tables present our same-store occupancy, ADR, and
RevPAR for all our hotels owned at December 31, 2020. Same-store
occupancy, ADR, and RevPAR reflect the performance of hotels during
the entire period, regardless of our ownership during the period
presented. Results for the hotels for periods prior to our
ownership were provided to us by prior owners and have not been
adjusted by us or audited or reviewed by our independent auditors.
The performance metrics for the hotel acquired through our Atlanta
JV, also presented below, reflect 100% of the operating results of
the property, including our interest and the interest of our
partner.
Three months ended March
31,
2021
2020
Occupancy
ADR
RevPAR
Occupancy
ADR
RevPAR
Solomons Hilton Garden Inn
54.82%
$
93.12
$
51.05
59.12%
$
123.08
$
72.77
Atlanta Hotel Indigo
49.66%
$
82.83
$
41.14
67.47%
$
102.33
$
69.05
Jacksonville Courtyard by Marriott
69.27%
$
84.85
$
58.78
70.20%
$
121.25
$
85.12
San Antonio SpringHill Suites
44.60%
$
87.10
$
38.85
62.04%
$
132.12
$
81.97
Leawood Aloft
35.55%
$
77.49
$
27.54
51.52%
$
123.39
$
63.57
Lexington Home2 Suites
63.27%
$
81.74
$
51.72
60.30%
$
102.32
$
61.70
Round Rock Home2 Suites
66.65%
$
74.03
$
49.34
59.47%
$
109.07
$
64.87
Tallahassee Home2 Suites
79.81%
$
101.74
$
81.20
68.32%
$
135.96
$
92.88
South Haven Home2 Suites
86.34%
$
93.80
$
80.99
75.95%
$
111.65
$
84.80
Lake Mary Hampton Inn & Suites
67.06%
$
104.13
$
69.83
68.78%
$
149.89
$
103.10
Austin Residence Inn
71.27%
$
80.51
$
57.38
68.63%
$
129.18
$
88.65
El Paso Fairfield Inn
66.25%
$
75.01
$
49.70
74.22%
$
109.43
$
81.22
Austin TownePlace Suites
70.71%
$
79.11
$
55.94
61.93%
$
108.54
$
67.23
Summerville Home2 Suites
61.59%
$
99.89
$
61.52
67.26%
$
119.67
$
80.48
Atlanta Aloft
38.82%
$
110.70
$
42.97
55.46%
$
154.36
$
85.60
Total Same-Store Portfolio
59.46%
$
89.41
$
53.16
63.97%
$
124.28
$
79.50
Condor Hospitality Trust, Inc.
Property List | As of March 31, 2021
New Investment Platform | Acquired from
January 1, 2012 - March 31, 2021
Hotel
Name
City
State
Rooms
Acquisition Date
Purchase
Price (in millions)
1
Hilton Garden Inn
Dowell/Solomons
MD
100
05/25/2012
$11.5
2
SpringHill Suites
San Antonio
TX
116
10/01/2015
$17.5
3
Courtyard by Marriott
Jacksonville
FL
120
10/02/2015
$14.0
4
Hotel Indigo
College Park
GA
142
10/02/2015
$11.0
5
Aloft1
Atlanta
GA
254
08/22/2016
$43.6
6
Aloft
Leawood
KS
156
12/14/2016
$22.5
7
Home2 Suites
Lexington
KY
103
03/24/2017
$16.5
8
Home2 Suites
Round Rock
TX
91
03/24/2017
$16.8
9
Home2 Suites
Tallahassee
FL
132
03/24/2017
$21.5
10
Home2 Suites
Southaven
MS
105
04/14/2017
$19.0
11
Hampton Inn & Suites
Lake Mary
FL
130
06/19/2017
$19.3
12
Fairfield Inn & Suites
El Paso
TX
124
08/31/2017
$16.4
13
Residence Inn
Austin
TX
120
08/31/2017
$22.4
14
TownePlace Suites
Austin
TX
122
01/18/2018
$19.8
15
Home2 Suites
Summerville
SC
93
02/21/2018
$16.3
Total Portfolio | March 31,
2021
1,908
$288.1
1 | Represents the purchase statistics
from the purchase of this hotel by the originally 80% owned
unconsolidated joint venture. The Company purchased the remaining
20% interest in the joint venture from our joint venture partner on
February 14, 2020 for $7.3 million.
55 Dispositions | For Period January 1,
2015 - March 31, 2021
Hotel
Name
City
State
Rooms
Disposition Date
Gross
Proceeds (in millions)
1
Super 8
West Plains
MO
49
01/15/2015
$1.5
2
Super 8
Green Bay
WI
83
01/29/2015
$2.2
3
Super 8
Columbus
GA
74
03/16/2015
$0.9
4
Sleep Inn & Suites
Omaha
NE
90
03/19/2015
$2.9
5
Savannah Suites
Chamblee
GA
120
04/01/2015
$4.4
6
Savannah Suites
Augusta
GA
172
04/01/2015
$3.4
7
Super 8
Batesville
AR
49
04/30/2015
$1.5
8
Days Inn
Ashland
KY
63
07/01/2015
$2.2
9
Comfort Inn
Alexandria
VA
150
07/13/2015
$12.0
10
Days Inn
Alexandria
VA
200
07/13/2015
$6.5
11
Super 8
Manhattan
KS
85
08/28/2015
$3.2
12
Quality Inn
Sheboygan
WI
59
10/06/2015
$2.3
13
Super 8
Hays
KS
76
10/14/2015
$1.9
14
Days Inn
Glasgow
KY
58
10/16/2015
$1.8
15
Super 8
Tomah
WI
65
10/21/2015
$1.4
16
Rodeway Inn
Fayetteville
NC
120
11/03/2015
$2.6
17
Savannah Suites
Savannah
GA
160
12/22/2015
$4.0
Total 2015
1,673
$54.7
18
Super 8
Kirksville
MO
61
01/04/2016
$1.5
19
Super 8
Lincoln
NE
133
01/07/2016
$2.8
20
Savannah Suites
Greenville
SC
170
01/08/2016
$2.7
21
Super 8
Portage
WI
61
03/30/2016
$2.4
22
Super 8
O'Neill
NE
72
04/25/2016
$1.7
23
Quality Inn
Culpeper
VA
49
05/10/2016
$2.2
24
Super 8
Storm Lake
IA
59
05/19/2016
$2.8
25
Clarion Inn
Cleveland
TN
59
05/24/2016
$2.2
26
Super 8
Coralville
IA
84
05/26/2016
$3.4
27
Super 8
Keokuk
IA
61
05/27/2016
$2.2
28
Comfort Inn
Chambersburg
PA
63
06/06/2016
$2.1
29
Super 8
Pittsburg
KS
64
08/08/2016
$1.6
30
Super 8
Mount Pleasant
IA
54
09/09/2016
$1.9
31
Quality Inn
Danville
KY
63
09/19/2016
$2.3
32
Super 8
Menomonie
WI
81
09/26/2016
$3.0
33
Comfort Inn
Glasgow
KY
60
10/14/2016
$2.4
34
Days Inn
Sioux Falls
SD
86
11/04/2016
$2.1
35
Comfort Inn
Shelby
NC
76
11/07/2016
$4.1
36
Comfort Inn
Rocky Mount
VA
61
11/17/2016
$2.2
37
Days Inn
Farmville
VA
59
11/17/2016
$2.4
38
Comfort Suites
Marion
IN
62
11/18/2016
$3.0
39
Comfort Inn
Farmville
VA
50
11/30/2016
$2.6
40
Quality Inn
Princeton
WV
50
12/05/2016
$2.1
41
Super 8
Burlington
IA
62
12/21/2016
$2.8
42
Savannah Suites
Atlanta
GA
164
12/22/2016
$2.9
Total 2016
1,864
$61.4
43
Comfort Inn
New Castle
PA
79
03/27/2017
$2.5
44
Super 8
Billings
MT
106
03/28/2017
$4.2
45
Comfort Inn
Harlan
KY
61
04/03/2017
$1.9
46
Comfort Suites
Lafayette
IN
62
04/18/2017
$3.9
47
Key West Inn
Key Largo
FL
40
05/17/2017
$7.6
48
Quality Inn
Morgantown
WV
81
08/30/2017
$2.6
49
Days Inn
Bossier City
LA
176
09/13/2017
$1.4
50
Comfort Inn & Suites
Warsaw
IN
71
12/20/2017
$5.0
Total 2017
676
$29.1
51
Supertel Inn/Conference Center
Creston
IA
41
01/25/2018
$2.1
52
Comfort Suites
South Bend
IN
135
03/15/2018
$6.1
53
Comfort Suites
Ft. Wayne
IN
127
05/30/2018
$7.1
54
Super 8
Creston
IA
121
08/30/2018
$5.1
Total 2018
424
$20.4
55
Quality Inn
Solomons
MD
59
03/22/2019
$4.3
Total 2019
59
$4.3
Total Dispositions
4,696
$169.9
Acquisitions | For Period January 1,
2015 – March 31, 2021
Hotel
Name
City
State
Rooms
Acquisition Date
Purchase
Price (in millions)
1
SpringHill Suites
San Antonio
TX
116
10/01/2015
$17.5
2
Courtyard by Marriott
Jacksonville
FL
120
10/02/2015
$14.0
3
Hotel Indigo
College Park
GA
142
10/02/2015
$11.0
4
Aloft1
Atlanta
GA
254
08/22/2016
$43.6
5
Aloft
Leawood
KS
156
12/14/2016
$22.5
6
Home2 Suites
Lexington
KY
103
03/24/2017
$16.5
7
Home2 Suites
Round Rock
TX
91
03/24/2017
$16.8
8
Home2 Suites
Tallahassee
FL
132
03/24/2017
$21.5
9
Home2 Suites
Southaven
MS
105
04/14/2017
$19.0
10
Hampton Inn & Suites
Lake Mary
FL
130
06/19/2017
$19.3
11
Fairfield Inn & Suites
El Paso
TX
124
08/31/2017
$16.4
12
Residence Inn
Austin
TX
120
08/31/2017
$22.4
13
TownePlace Suites
Austin
TX
122
01/18/2018
$19.8
14
Home2 Suites
Summerville
SC
93
02/21/2018
$16.3
Total Acquisitions
1,808
$276.6
1 | Represents the purchase statistics
from the purchase of this hotel by the originally 80% owned
unconsolidated joint venture. The Company purchased the remaining
20% interest in the joint venture from our joint venture partner on
February 14, 2020 for $7.3 million.
View source
version on businesswire.com: https://www.businesswire.com/news/home/20210510005960/en/
Jill Burger Interim Chief Financial Officer and Chief Accounting
Officer jburger@trustcondor.com (402) 316-1012
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