2024 Q1 Form 10-K Financial Statement

#000094539424000015 Filed on February 28, 2024

View on sec.gov

Income Statement

Concept 2024 Q1 2023 Q4 2023
Revenue $436.3M $444.1M $1.874B
YoY Change 1.64% -2.45% 0.58%
Cost Of Revenue $305.1M $297.5M $1.224B
YoY Change 1.84% 1.34% -0.28%
Gross Profit $131.2M $146.6M $650.0M
YoY Change 1.17% -9.34% 2.25%
Gross Profit Margin 30.07% 33.01% 34.69%
Selling, General & Admin $10.51M $11.22M $45.40M
YoY Change -3.71% 29.51% 2.24%
% of Gross Profit 8.01% 7.65% 6.98%
Research & Development
YoY Change
% of Gross Profit
Depreciation & Amortization $93.11M $94.95M $384.1M
YoY Change -6.93% -0.01% -4.25%
% of Gross Profit 70.99% 64.79% 59.09%
Operating Expenses $108.3M $110.8M $447.1M
YoY Change -5.68% 2.9% -2.52%
Operating Profit $22.83M $35.81M $202.8M
YoY Change 54.37% -33.72% 14.62%
Interest Expense $91.41M -$80.88M $336.3M
YoY Change 12.05% -8.18% -1.6%
% of Operating Profit 400.45% -225.87% 165.82%
Other Income/Expense, Net
YoY Change
Pretax Income -$72.04M -$41.50M -$29.90M
YoY Change -372.96% 30.74% -77.93%
Income Tax $1.007M -$723.0K -$1.498M
% Of Pretax Income
Net Earnings -$78.38M -$43.32M -$32.78M
YoY Change -402.05% 37.93% -75.24%
Net Earnings / Revenue -17.97% -9.76% -1.75%
Basic Earnings Per Share -$0.48 -$0.20
Diluted Earnings Per Share -$0.48 -$0.26 -$0.20
COMMON SHARES
Basic Shares Outstanding 165.8M shares 165.8M shares 165.0M shares
Diluted Shares Outstanding 165.2M shares 165.0M shares

Balance Sheet

Concept 2024 Q1 2023 Q4 2023
SHORT-TERM ASSETS
Cash & Short-Term Investments $71.29M $180.1M $180.1M
YoY Change -60.53% 369.44% 369.44%
Cash & Equivalents $71.29M $180.1M $180.1M
Short-Term Investments
Other Short-Term Assets
YoY Change
Inventory
Prepaid Expenses
Receivables $21.40M $6.376M $6.376M
Other Receivables $64.15M $56.83M $56.83M
Total Short-Term Assets $156.8M $243.3M $243.3M
YoY Change -40.22% 130.32% 130.32%
LONG-TERM ASSETS
Property, Plant & Equipment $6.577B $6.605B $6.762B
YoY Change 0.93% 0.21% 2.59%
Goodwill
YoY Change
Intangibles $130.6M
YoY Change -48.24%
Long-Term Investments $111.0M $113.3M $113.3M
YoY Change 2.62% 0.61% -31.61%
Other Assets $24.74M $28.21M $28.21M
YoY Change 48.39% -78.12% -78.12%
Total Long-Term Assets $7.075B $7.113B $7.113B
YoY Change -2.01% -3.65% -3.65%
TOTAL ASSETS
Total Short-Term Assets $156.8M $243.3M $243.3M
Total Long-Term Assets $7.075B $7.113B $7.113B
Total Assets $7.232B $7.356B $7.356B
YoY Change -3.35% -1.76% -1.76%
SHORT-TERM LIABILITIES
YoY Change
Accounts Payable $590.7M $609.8M $451.9M
YoY Change 51.48% 37.37% 2.03%
Accrued Expenses $157.1M
YoY Change -11.36%
Deferred Revenue
YoY Change
Short-Term Debt $0.00 $0.00 $0.00
YoY Change
Long-Term Debt Due
YoY Change
Total Short-Term Liabilities $590.7M $609.8M $609.0M
YoY Change 51.48% 37.37% 37.5%
LONG-TERM LIABILITIES
Long-Term Debt $5.526B $5.520B $5.520B
YoY Change -3.22% -2.39% -2.39%
Other Long-Term Liabilities $753.0K
YoY Change -21.4%
Total Long-Term Liabilities $5.526B $5.520B $5.521B
YoY Change -3.22% -2.39% -2.4%
TOTAL LIABILITIES
Total Short-Term Liabilities $590.7M $609.8M $609.0M
Total Long-Term Liabilities $5.526B $5.520B $5.521B
Total Liabilities $6.117B $6.130B $6.130B
YoY Change 0.27% 0.5% 0.5%
SHAREHOLDERS EQUITY
Retained Earnings $2.392B $2.471B
YoY Change -5.42% -1.31%
Common Stock $1.658M $1.658M
YoY Change 0.18% 0.18%
Preferred Stock
YoY Change
Treasury Stock (at cost)
YoY Change
Treasury Stock Shares
Shareholders Equity $1.115B $1.226B $1.226B
YoY Change
Total Liabilities & Shareholders Equity $7.232B $7.356B $7.356B
YoY Change -3.35% -1.76% -1.76%

Cashflow Statement

Concept 2024 Q1 2023 Q4 2023
OPERATING ACTIVITIES
Net Income -$78.38M -$43.32M -$32.78M
YoY Change -402.05% 37.93% -75.24%
Depreciation, Depletion And Amortization $93.11M $94.95M $384.1M
YoY Change -6.93% -0.01% -4.25%
Cash From Operating Activities -$926.0K $83.59M $485.5M
YoY Change -107.48% -12.94% 99.71%
INVESTING ACTIVITIES
Capital Expenditures $76.26M $82.13M $366.8M
YoY Change 167.1% 135.63% 244.66%
Acquisitions
YoY Change
Other Investing Activities $1.432M $1.589M $337.2M
YoY Change -99.0% -95.48% -33.05%
Cash From Investing Activities -$74.83M -$80.54M -$29.58M
YoY Change -165.49% -29602.93% -107.45%
FINANCING ACTIVITIES
Cash Dividend Paid
YoY Change
Common Stock Issuance & Retirement, Net $802.0K
YoY Change 70.64%
Debt Paid & Issued, Net
YoY Change
Cash From Financing Activities -$34.75M -240.7M -$303.6M
YoY Change -246.06% 86.62% -80.32%
NET CHANGE
Cash From Operating Activities -$926.0K 83.59M $485.5M
Cash From Investing Activities -$74.83M -80.54M -$29.58M
Cash From Financing Activities -$34.75M -240.7M -$303.6M
Net Change In Cash -$110.5M -237.7M $152.4M
YoY Change -173.47% 626.53% -116.9%
FREE CASH FLOW
Cash From Operating Activities -$926.0K $83.59M $485.5M
Capital Expenditures $76.26M $82.13M $366.8M
Free Cash Flow -$77.19M $1.459M $118.8M
YoY Change 377.11% -97.61% -13.11%

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CY2021 us-gaap Income Loss From Continuing Operations Before Income Taxes Minority Interest And Income Loss From Equity Method Investments
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CY2023 us-gaap Income Tax Expense Benefit
IncomeTaxExpenseBenefit
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CY2022 us-gaap Income Tax Expense Benefit
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CY2021 us-gaap Income Tax Expense Benefit
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CY2023 us-gaap Income Loss From Equity Method Investments
IncomeLossFromEquityMethodInvestments
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CY2022 us-gaap Income Loss From Equity Method Investments
IncomeLossFromEquityMethodInvestments
2856000 usd
CY2021 us-gaap Income Loss From Equity Method Investments
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CY2023 us-gaap Net Income Loss
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CY2022 us-gaap Net Income Loss
NetIncomeLoss
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CY2021 us-gaap Net Income Loss
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CY2023 us-gaap Oci Equity Method Investment After Tax
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CY2022 us-gaap Oci Equity Method Investment After Tax
OciEquityMethodInvestmentAfterTax
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CY2021 us-gaap Oci Equity Method Investment After Tax
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1539000 usd
CY2022 us-gaap Other Comprehensive Income Loss Net Of Tax Portion Attributable To Parent
OtherComprehensiveIncomeLossNetOfTaxPortionAttributableToParent
1604000 usd
CY2021 us-gaap Other Comprehensive Income Loss Net Of Tax Portion Attributable To Parent
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1539000 usd
CY2021 us-gaap Comprehensive Income Net Of Tax
ComprehensiveIncomeNetOfTax
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CY2023 us-gaap Weighted Average Number Of Diluted Shares Outstanding
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164988000 shares
CY2020Q4 us-gaap Stockholders Equity
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2102790000 usd
CY2021 us-gaap Net Income Loss
NetIncomeLoss
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CY2021 us-gaap Oci Equity Method Investment After Tax
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1539000 usd
CY2021 us-gaap Stock Granted During Period Value Sharebased Compensation
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2967000 usd
CY2021 us-gaap Stock Repurchased During Period Value
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CY2021 svc Stock Forfeited During Period Values
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CY2021 us-gaap Dividends
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CY2021Q4 us-gaap Stockholders Equity
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CY2022 us-gaap Net Income Loss
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CY2022 us-gaap Oci Equity Method Investment After Tax
OciEquityMethodInvestmentAfterTax
1604000 usd
CY2022 us-gaap Stock Granted During Period Value Sharebased Compensation
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2788000 usd
CY2022 us-gaap Stock Repurchased During Period Value
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470000 usd
CY2022 svc Stock Forfeited During Period Values
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CY2022 us-gaap Dividends
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CY2022Q4 us-gaap Stockholders Equity
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CY2023 us-gaap Net Income Loss
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CY2023 us-gaap Oci Equity Method Investment After Tax
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CY2023 us-gaap Stock Repurchased During Period Value
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802000 usd
CY2023 svc Stock Forfeited During Period Values
StockForfeitedDuringPeriodValues
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CY2023 us-gaap Dividends
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132430000 usd
CY2023Q4 us-gaap Stockholders Equity
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CY2022 us-gaap Net Income Loss
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CY2021 us-gaap Net Income Loss
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CY2023 us-gaap Depreciation Depletion And Amortization
DepreciationDepletionAndAmortization
384060000 usd
CY2022 us-gaap Depreciation Depletion And Amortization
DepreciationDepletionAndAmortization
401108000 usd
CY2021 us-gaap Depreciation Depletion And Amortization
DepreciationDepletionAndAmortization
485965000 usd
CY2023 us-gaap Amortization Of Financing Costs And Discounts
AmortizationOfFinancingCostsAndDiscounts
25710000 usd
CY2022 us-gaap Amortization Of Financing Costs And Discounts
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19375000 usd
CY2021 us-gaap Amortization Of Financing Costs And Discounts
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21036000 usd
CY2023 us-gaap Straight Line Rent
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13165000 usd
CY2022 us-gaap Straight Line Rent
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CY2021 us-gaap Straight Line Rent
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CY2023 us-gaap Gains Losses On Extinguishment Of Debt
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CY2022 us-gaap Gains Losses On Extinguishment Of Debt
GainsLossesOnExtinguishmentOfDebt
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CY2021 us-gaap Gains Losses On Extinguishment Of Debt
GainsLossesOnExtinguishmentOfDebt
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CY2023 us-gaap Asset Impairment Charges
AssetImpairmentCharges
9544000 usd
CY2022 us-gaap Asset Impairment Charges
AssetImpairmentCharges
10989000 usd
CY2022 us-gaap Asset Impairment Charges
AssetImpairmentCharges
10989000 usd
CY2021 us-gaap Asset Impairment Charges
AssetImpairmentCharges
78620000 usd
CY2021 us-gaap Asset Impairment Charges
AssetImpairmentCharges
78620000 usd
CY2023 us-gaap Equity Securities Fv Ni Unrealized Gain Loss
EquitySecuritiesFvNiUnrealizedGainLoss
48837000 usd
CY2022 us-gaap Equity Securities Fv Ni Unrealized Gain Loss
EquitySecuritiesFvNiUnrealizedGainLoss
-8104000 usd
CY2021 us-gaap Equity Securities Fv Ni Unrealized Gain Loss
EquitySecuritiesFvNiUnrealizedGainLoss
22535000 usd
CY2023 us-gaap Income Loss From Equity Method Investments
IncomeLossFromEquityMethodInvestments
-4382000 usd
CY2022 us-gaap Income Loss From Equity Method Investments
IncomeLossFromEquityMethodInvestments
2856000 usd
CY2021 us-gaap Income Loss From Equity Method Investments
IncomeLossFromEquityMethodInvestments
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CY2023 us-gaap Gain Loss On Sale Of Properties
GainLossOnSaleOfProperties
43239000 usd
CY2022 us-gaap Gain Loss On Sale Of Properties
GainLossOnSaleOfProperties
47818000 usd
CY2021 us-gaap Gain Loss On Sale Of Properties
GainLossOnSaleOfProperties
11522000 usd
CY2023 us-gaap Deferred Income Taxes And Tax Credits
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CY2022 us-gaap Deferred Income Taxes And Tax Credits
DeferredIncomeTaxesAndTaxCredits
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CY2021 us-gaap Deferred Income Taxes And Tax Credits
DeferredIncomeTaxesAndTaxCredits
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CY2023 us-gaap Other Noncash Income Expense
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1706000 usd
CY2022 us-gaap Other Noncash Income Expense
OtherNoncashIncomeExpense
2427000 usd
CY2021 us-gaap Other Noncash Income Expense
OtherNoncashIncomeExpense
2625000 usd
CY2023 us-gaap Increase Decrease In Due From Related Parties
IncreaseDecreaseInDueFromRelatedParties
-21135000 usd
CY2022 us-gaap Increase Decrease In Due From Related Parties
IncreaseDecreaseInDueFromRelatedParties
8000 usd
CY2021 us-gaap Increase Decrease In Due From Related Parties
IncreaseDecreaseInDueFromRelatedParties
5875000 usd
CY2023 us-gaap Increase Decrease In Other Operating Assets
IncreaseDecreaseInOtherOperatingAssets
-35693000 usd
CY2021 us-gaap Increase Decrease In Other Operating Liabilities
IncreaseDecreaseInOtherOperatingLiabilities
-5061000 usd
CY2022 us-gaap Increase Decrease In Due To Affiliates
IncreaseDecreaseInDueToAffiliates
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CY2021 us-gaap Increase Decrease In Due To Affiliates
IncreaseDecreaseInDueToAffiliates
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CY2023 us-gaap Net Cash Provided By Used In Operating Activities
NetCashProvidedByUsedInOperatingActivities
485549000 usd
CY2022 us-gaap Net Cash Provided By Used In Operating Activities
NetCashProvidedByUsedInOperatingActivities
243127000 usd
CY2023 svc Payments To Acquire Real Estate Net Of Deposits
PaymentsToAcquireRealEstateNetOfDeposits
165866000 usd
CY2021 us-gaap Proceeds From Sale Of Investment Projects
ProceedsFromSaleOfInvestmentProjects
0 usd
CY2022 us-gaap Proceeds From Sale Of Intangible Assets
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0 usd
CY2021 us-gaap Proceeds From Sale Of Intangible Assets
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CY2023 us-gaap Payments For Capital Improvements
PaymentsForCapitalImprovements
200894000 usd
CY2022 us-gaap Payments For Capital Improvements
PaymentsForCapitalImprovements
103646000 usd
CY2021 us-gaap Payments For Capital Improvements
PaymentsForCapitalImprovements
95017000 usd
CY2023 svc Property Managers Purchases With Restricted Cash
PropertyManagersPurchasesWithRestrictedCash
5407000 usd
CY2022 svc Property Managers Purchases With Restricted Cash
PropertyManagersPurchasesWithRestrictedCash
4952000 usd
CY2021 svc Property Managers Purchases With Restricted Cash
PropertyManagersPurchasesWithRestrictedCash
24565000 usd
CY2023 us-gaap Proceeds From Sale Of Real Estate Heldforinvestment
ProceedsFromSaleOfRealEstateHeldforinvestment
156432000 usd
CY2022 us-gaap Proceeds From Sale Of Real Estate Heldforinvestment
ProceedsFromSaleOfRealEstateHeldforinvestment
554087000 usd
CY2021 us-gaap Proceeds From Sale Of Real Estate Heldforinvestment
ProceedsFromSaleOfRealEstateHeldforinvestment
51412000 usd
CY2023 us-gaap Payments To Acquire Interest In Subsidiaries And Affiliates
PaymentsToAcquireInterestInSubsidiariesAndAffiliates
5134000 usd
CY2022 us-gaap Payments To Acquire Interest In Subsidiaries And Affiliates
PaymentsToAcquireInterestInSubsidiariesAndAffiliates
45470000 usd
CY2021 us-gaap Payments To Acquire Interest In Subsidiaries And Affiliates
PaymentsToAcquireInterestInSubsidiariesAndAffiliates
25443000 usd
CY2023 us-gaap Proceeds From Equity Method Investment Dividends Or Distributions Return Of Capital
ProceedsFromEquityMethodInvestmentDividendsOrDistributionsReturnOfCapital
0 usd
CY2022 us-gaap Proceeds From Equity Method Investment Dividends Or Distributions Return Of Capital
ProceedsFromEquityMethodInvestmentDividendsOrDistributionsReturnOfCapital
0 usd
CY2021 us-gaap Proceeds From Equity Method Investment Dividends Or Distributions Return Of Capital
ProceedsFromEquityMethodInvestmentDividendsOrDistributionsReturnOfCapital
12000 usd
CY2023 us-gaap Net Cash Provided By Used In Investing Activities
NetCashProvidedByUsedInInvestingActivities
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CY2022 us-gaap Net Cash Provided By Used In Investing Activities
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CY2021 us-gaap Net Cash Provided By Used In Investing Activities
NetCashProvidedByUsedInInvestingActivities
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CY2023 us-gaap Proceeds From Issuance Of Secured Debt
ProceedsFromIssuanceOfSecuredDebt
576946000 usd
CY2022 us-gaap Proceeds From Issuance Of Secured Debt
ProceedsFromIssuanceOfSecuredDebt
0 usd
CY2021 us-gaap Proceeds From Issuance Of Secured Debt
ProceedsFromIssuanceOfSecuredDebt
0 usd
CY2023 us-gaap Repayments Of Secured Debt
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1631000 usd
CY2022 us-gaap Repayments Of Secured Debt
RepaymentsOfSecuredDebt
0 usd
CY2021 us-gaap Repayments Of Secured Debt
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0 usd
CY2023 us-gaap Proceeds From Issuance Of Senior Long Term Debt
ProceedsFromIssuanceOfSeniorLongTermDebt
985900000 usd
CY2022 us-gaap Proceeds From Issuance Of Senior Long Term Debt
ProceedsFromIssuanceOfSeniorLongTermDebt
0 usd
CY2021 us-gaap Proceeds From Issuance Of Senior Long Term Debt
ProceedsFromIssuanceOfSeniorLongTermDebt
0 usd
CY2023 us-gaap Repayments Of Senior Debt
RepaymentsOfSeniorDebt
1675000000 usd
CY2022 us-gaap Repayments Of Senior Debt
RepaymentsOfSeniorDebt
500000000 usd
CY2021 us-gaap Repayments Of Senior Debt
RepaymentsOfSeniorDebt
0 usd
CY2023 us-gaap Proceeds From Lines Of Credit
ProceedsFromLinesOfCredit
0 usd
CY2022 us-gaap Proceeds From Lines Of Credit
ProceedsFromLinesOfCredit
20000000 usd
CY2021 us-gaap Proceeds From Lines Of Credit
ProceedsFromLinesOfCredit
984027000 usd
CY2023 us-gaap Repayments Of Lines Of Credit
RepaymentsOfLinesOfCredit
0 usd
CY2022 us-gaap Repayments Of Lines Of Credit
RepaymentsOfLinesOfCredit
1020000000 usd
CY2021 us-gaap Repayments Of Lines Of Credit
RepaymentsOfLinesOfCredit
62451000 usd
CY2023 us-gaap Payments Of Debt Issuance Costs
PaymentsOfDebtIssuanceCosts
56545000 usd
CY2022 us-gaap Payments Of Debt Issuance Costs
PaymentsOfDebtIssuanceCosts
3864000 usd
CY2021 us-gaap Payments Of Debt Issuance Costs
PaymentsOfDebtIssuanceCosts
6822000 usd
CY2023 us-gaap Payments For Repurchase Of Common Stock
PaymentsForRepurchaseOfCommonStock
802000 usd
CY2022 us-gaap Payments For Repurchase Of Common Stock
PaymentsForRepurchaseOfCommonStock
470000 usd
CY2021 us-gaap Payments For Repurchase Of Common Stock
PaymentsForRepurchaseOfCommonStock
790000 usd
CY2023 us-gaap Payments Of Dividends Common Stock
PaymentsOfDividendsCommonStock
132430000 usd
CY2022 us-gaap Payments Of Dividends Common Stock
PaymentsOfDividendsCommonStock
38044000 usd
CY2021 us-gaap Payments Of Dividends Common Stock
PaymentsOfDividendsCommonStock
6596000 usd
CY2023 us-gaap Net Cash Provided By Used In Financing Activities
NetCashProvidedByUsedInFinancingActivities
-303562000 usd
CY2022 us-gaap Net Cash Provided By Used In Financing Activities
NetCashProvidedByUsedInFinancingActivities
-1542378000 usd
CY2021 us-gaap Net Cash Provided By Used In Financing Activities
NetCashProvidedByUsedInFinancingActivities
907368000 usd
CY2023 us-gaap Cash Cash Equivalents Restricted Cash And Restricted Cash Equivalents Period Increase Decrease Including Exchange Rate Effect
CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalentsPeriodIncreaseDecreaseIncludingExchangeRateEffect
152410000 usd
CY2022 us-gaap Cash Cash Equivalents Restricted Cash And Restricted Cash Equivalents Period Increase Decrease Including Exchange Rate Effect
CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalentsPeriodIncreaseDecreaseIncludingExchangeRateEffect
-901998000 usd
CY2021 us-gaap Cash Cash Equivalents Restricted Cash And Restricted Cash Equivalents Period Increase Decrease Including Exchange Rate Effect
CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalentsPeriodIncreaseDecreaseIncludingExchangeRateEffect
855962000 usd
CY2022Q4 us-gaap Cash Cash Equivalents Restricted Cash And Restricted Cash Equivalents
CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalents
45420000 usd
CY2021Q4 us-gaap Cash Cash Equivalents Restricted Cash And Restricted Cash Equivalents
CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalents
947418000 usd
CY2020Q4 us-gaap Cash Cash Equivalents Restricted Cash And Restricted Cash Equivalents
CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalents
91456000 usd
CY2023Q4 us-gaap Cash Cash Equivalents Restricted Cash And Restricted Cash Equivalents
CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalents
197830000 usd
CY2022Q4 us-gaap Cash Cash Equivalents Restricted Cash And Restricted Cash Equivalents
CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalents
45420000 usd
CY2021Q4 us-gaap Cash Cash Equivalents Restricted Cash And Restricted Cash Equivalents
CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalents
947418000 usd
CY2023Q4 us-gaap Cash And Cash Equivalents At Carrying Value
CashAndCashEquivalentsAtCarryingValue
180119000 usd
CY2023Q4 us-gaap Cash And Cash Equivalents At Carrying Value
CashAndCashEquivalentsAtCarryingValue
180119000 usd
CY2022Q4 us-gaap Cash And Cash Equivalents At Carrying Value
CashAndCashEquivalentsAtCarryingValue
38369000 usd
CY2021Q4 us-gaap Cash And Cash Equivalents At Carrying Value
CashAndCashEquivalentsAtCarryingValue
944043000 usd
CY2023Q4 us-gaap Restricted Cash
RestrictedCash
17711000 usd
CY2023Q4 us-gaap Restricted Cash
RestrictedCash
17711000 usd
CY2022Q4 us-gaap Restricted Cash
RestrictedCash
7051000 usd
CY2021Q4 us-gaap Restricted Cash
RestrictedCash
3375000 usd
CY2023Q4 us-gaap Cash Cash Equivalents Restricted Cash And Restricted Cash Equivalents
CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalents
197830000 usd
CY2022Q4 us-gaap Cash Cash Equivalents Restricted Cash And Restricted Cash Equivalents
CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalents
45420000 usd
CY2021Q4 us-gaap Cash Cash Equivalents Restricted Cash And Restricted Cash Equivalents
CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalents
947418000 usd
CY2023 us-gaap Interest Paid Net
InterestPaidNet
314323000 usd
CY2022 us-gaap Interest Paid Net
InterestPaidNet
334264000 usd
CY2021 us-gaap Interest Paid Net
InterestPaidNet
344043000 usd
CY2023 us-gaap Income Taxes Paid
IncomeTaxesPaid
1365000 usd
CY2022 us-gaap Income Taxes Paid
IncomeTaxesPaid
1643000 usd
CY2021 us-gaap Income Taxes Paid
IncomeTaxesPaid
3412000 usd
CY2023 us-gaap Capital Expenditures Incurred But Not Yet Paid
CapitalExpendituresIncurredButNotYetPaid
47868000 usd
CY2022 us-gaap Capital Expenditures Incurred But Not Yet Paid
CapitalExpendituresIncurredButNotYetPaid
18704000 usd
CY2021 us-gaap Capital Expenditures Incurred But Not Yet Paid
CapitalExpendituresIncurredButNotYetPaid
7777000 usd
CY2023Q4 svc Ownership Percentage Held In Subsidiary
OwnershipPercentageHeldInSubsidiary
1
CY2023 us-gaap Use Of Estimates
UseOfEstimates
<div style="margin-bottom:10pt;text-indent:18pt"><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-style:italic;font-weight:400;line-height:120%">Use of Estimates.</span><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:400;line-height:120%"> The preparation of financial statements in conformity with U.S. generally accepted accounting principles, or GAAP, requires us to make estimates and assumptions that affect reported amounts. Actual results could differ from those estimates. Significant estimates in our consolidated financial statements include the allowance for credit losses, purchase price allocations, useful lives of fixed assets and impairment of real estate and related intangibles.</span></div>
CY2023 us-gaap Asset Impairment Charges
AssetImpairmentCharges
9544000 usd
CY2022 us-gaap Asset Impairment Charges
AssetImpairmentCharges
10989000 usd
CY2022 us-gaap Asset Impairment Charges
AssetImpairmentCharges
10989000 usd
CY2021 us-gaap Asset Impairment Charges
AssetImpairmentCharges
78620000 usd
CY2021 us-gaap Asset Impairment Charges
AssetImpairmentCharges
78620000 usd
CY2023Q4 us-gaap Intangible Assets Net Excluding Goodwill
IntangibleAssetsNetExcludingGoodwill
130622000 usd
CY2022Q4 us-gaap Intangible Assets Net Excluding Goodwill
IntangibleAssetsNetExcludingGoodwill
252357000 usd
CY2023Q4 svc Finite Lived Intangible Liabilities Net
FiniteLivedIntangibleLiabilitiesNet
753000 usd
CY2022Q4 svc Finite Lived Intangible Liabilities Net
FiniteLivedIntangibleLiabilitiesNet
958000 usd
CY2023 us-gaap Amortization Of Intangible Assets
AmortizationOfIntangibleAssets
32223000 usd
CY2022 us-gaap Amortization Of Intangible Assets
AmortizationOfIntangibleAssets
30775000 usd
CY2021 us-gaap Amortization Of Intangible Assets
AmortizationOfIntangibleAssets
41648000 usd
CY2023 svc Finite Lived Intangible Liabilities Amortization Expense
FiniteLivedIntangibleLiabilitiesAmortizationExpense
205000 usd
CY2022 svc Finite Lived Intangible Liabilities Amortization Expense
FiniteLivedIntangibleLiabilitiesAmortizationExpense
235000 usd
CY2021 svc Finite Lived Intangible Liabilities Amortization Expense
FiniteLivedIntangibleLiabilitiesAmortizationExpense
433000 usd
CY2023Q4 us-gaap Debt Issuance Costs Line Of Credit Arrangements Gross
DebtIssuanceCostsLineOfCreditArrangementsGross
12379000 usd
CY2022Q4 us-gaap Debt Issuance Costs Line Of Credit Arrangements Gross
DebtIssuanceCostsLineOfCreditArrangementsGross
6214000 usd
CY2023Q4 us-gaap Accumulated Amortization Of Debt Issuance Costs Line Of Credit Arrangements
AccumulatedAmortizationOfDebtIssuanceCostsLineOfCreditArrangements
1502000 usd
CY2022Q4 us-gaap Accumulated Amortization Of Debt Issuance Costs Line Of Credit Arrangements
AccumulatedAmortizationOfDebtIssuanceCostsLineOfCreditArrangements
3925000 usd
CY2023Q4 svc Future Amortization Of Debt Issuance Costs Year One
FutureAmortizationOfDebtIssuanceCostsYearOne
16628000 usd
CY2023Q4 svc Future Amortization Of Debt Issuance Costs Year Two
FutureAmortizationOfDebtIssuanceCostsYearTwo
15718000 usd
CY2023Q4 svc Future Amortization Of Debt Issuance Costs Year Three
FutureAmortizationOfDebtIssuanceCostsYearThree
13607000 usd
CY2023Q4 svc Future Amortization Of Debt Issuance Costs Year Four
FutureAmortizationOfDebtIssuanceCostsYearFour
11207000 usd
CY2023Q4 svc Future Amortization Of Debt Issuance Costs Year Five
FutureAmortizationOfDebtIssuanceCostsYearFive
3850000 usd
CY2023Q4 svc Future Amortization Of Debt Issuance Costs After Year Five
FutureAmortizationOfDebtIssuanceCostsAfterYearFive
7215000 usd
CY2023Q4 svc Future Amortization Of Financing Costs
FutureAmortizationOfFinancingCosts
68225000 usd
CY2023 us-gaap Straight Line Rent Adjustments
StraightLineRentAdjustments
13165000 usd
CY2022 us-gaap Straight Line Rent Adjustments
StraightLineRentAdjustments
-7767000 usd
CY2021 us-gaap Straight Line Rent Adjustments
StraightLineRentAdjustments
-2621000 usd
CY2023Q4 svc Straight Line Rent Receivables
StraightLineRentReceivables
56833000 usd
CY2022Q4 svc Straight Line Rent Receivables
StraightLineRentReceivables
32247000 usd
CY2023 us-gaap Number Of Reportable Segments
NumberOfReportableSegments
2 segment
CY2023Q4 svc Real Estate Investment Property And Real Estate Held For Sale At Cost
RealEstateInvestmentPropertyAndRealEstateHeldForSaleAtCost
9799642000 usd
CY2023Q4 us-gaap Real Estate Heldforsale
RealEstateHeldforsale
13305000 usd
CY2023Q4 us-gaap Land
Land
1972145000 usd
CY2023Q4 us-gaap Investment Building And Building Improvements
InvestmentBuildingAndBuildingImprovements
7443750000 usd
CY2023Q4 svc Furniture Fixtures And Equipment
FurnitureFixturesAndEquipment
370442000 usd
CY2022Q4 us-gaap Land
Land
1902587000 usd
CY2022Q4 us-gaap Investment Building And Building Improvements
InvestmentBuildingAndBuildingImprovements
7271864000 usd
CY2022Q4 svc Furniture Fixtures And Equipment
FurnitureFixturesAndEquipment
386418000 usd
CY2023 svc Real Estate Investment Property Acquisition Related Costs
RealEstateInvestmentPropertyAcquisitionRelatedCosts
466000 usd
CY2022 svc Real Estate Investment Property Acquisition Related Costs
RealEstateInvestmentPropertyAcquisitionRelatedCosts
51000 usd
CY2021 svc Real Estate Investment Property Acquisition Related Costs
RealEstateInvestmentPropertyAcquisitionRelatedCosts
109000 usd
CY2023Q4 svc Number Of Management Agreements Or Leases
NumberOfManagementAgreementsOrLeases
4 agreement
CY2023 us-gaap Equity Securities Fv Ni Unrealized Gain Loss
EquitySecuritiesFvNiUnrealizedGainLoss
48837000 usd
CY2022 us-gaap Equity Securities Fv Ni Unrealized Gain Loss
EquitySecuritiesFvNiUnrealizedGainLoss
-8104000 usd
CY2023 us-gaap Financing Receivable Allowance For Credit Losses Period Increase Decrease
FinancingReceivableAllowanceForCreditLossesPeriodIncreaseDecrease
4927000 usd
CY2022 us-gaap Financing Receivable Allowance For Credit Losses Period Increase Decrease
FinancingReceivableAllowanceForCreditLossesPeriodIncreaseDecrease
-320000 usd
CY2021 us-gaap Financing Receivable Allowance For Credit Losses Period Increase Decrease
FinancingReceivableAllowanceForCreditLossesPeriodIncreaseDecrease
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<div style="margin-bottom:10pt"><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:700;line-height:120%;text-decoration:underline">Note 8. Business and Property Management Agreements with RMR</span></div><div style="margin-bottom:10pt;text-indent:18pt"><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:400;line-height:120%">We have no employees. The personnel and various services we require to operate our business are provided to us by RMR. We have two agreements with RMR to provide management services to us: (1) a business management agreement, which relates to our business generally, and (2) a property management agreement, which relates to our property level operations of our net lease portfolio, the office building component of one of our hotels and major renovation or repositioning activities at our hotels that we may request RMR to manage from time to time. Effective as of the completion of the TA Merger, we and RMR agreed to include the properties we lease to TA in our property management agreement. See Note 9 for further information regarding our relationship, agreements and transactions with RMR.</span></div><div style="margin-bottom:10pt;text-indent:18pt"><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-style:italic;font-weight:400;line-height:120%">Management Agreements with RMR. </span><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:400;line-height:120%">Our management agreements with RMR provide for an annual base management fee, an annual incentive management fee and property management and construction supervision fees, payable in cash, among other terms:</span></div><div style="margin-bottom:10pt;padding-left:40.5pt;text-indent:-18pt"><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:400;line-height:120%">•</span><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-style:italic;font-weight:400;line-height:120%;padding-left:14.5pt">Base Management Fee.</span><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:400;line-height:120%"> The annual base management fee payable to RMR by us for each applicable period is equal to the lesser of:</span></div><div style="margin-bottom:10pt;padding-left:63pt;text-indent:-18pt"><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:400;line-height:120%">◦</span><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:400;line-height:120%;padding-left:14.46pt">the sum of (a) 0.7% of the average aggregate historical cost of our real estate investments up to $250,000, plus (b) 0.5% of the average aggregate historical cost of our real estate investments exceeding $250,000; and</span></div><div style="margin-bottom:10pt;padding-left:63pt;text-indent:-18pt"><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:400;line-height:120%">◦</span><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:400;line-height:120%;padding-left:14.46pt">the sum of (a) 0.7% of the average closing price per share of our common shares on the stock exchange on which such shares are principally traded, during such period, multiplied by the average number of our common shares outstanding during such period, plus the daily weighted average of the aggregate liquidation preference of each class of our preferred shares outstanding during such period, plus the daily weighted average of the aggregate principal amount of our consolidated indebtedness during such period, or, together, our Average Market Capitalization, up to $250,000, plus (b) 0.5% of our Average Market Capitalization exceeding $250,000.</span></div><div style="margin-bottom:10pt;text-indent:18pt"><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:400;line-height:120%">The average aggregate historical cost of our real estate investments includes our consolidated assets invested, directly or indirectly, in equity interests in or loans secured by real estate and personal property owned in connection with such real estate (including acquisition related costs and costs which may be allocated to intangibles or are unallocated), all before reserves for depreciation, amortization, impairment charges or bad debts or other similar non-cash reserves.</span></div><div style="margin-bottom:10pt;padding-left:40.5pt;text-indent:-18pt"><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:400;line-height:120%">•</span><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-style:italic;font-weight:400;line-height:120%;padding-left:14.5pt">Incentive Management Fee</span><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:400;line-height:120%">. The incentive management fee which may be earned by RMR for an annual period is calculated as follows:</span></div><div style="margin-bottom:10pt;padding-left:63pt;text-indent:-18pt"><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:400;line-height:120%">◦</span><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:400;line-height:120%;padding-left:14.46pt">An amount, subject to a cap based on the value of our common shares outstanding, equal to 12% of the product of:</span></div><div style="margin-bottom:10pt;padding-left:81pt;text-indent:-18pt"><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:400;line-height:120%">•</span><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:400;line-height:120%;padding-left:14.5pt">our equity market capitalization on the last trading day of the year immediately prior to the relevant three year measurement period, and</span></div><div style="margin-bottom:10pt;padding-left:81pt;text-indent:-18pt"><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:400;line-height:120%">•</span><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:400;line-height:120%;padding-left:14.5pt">the amount (expressed as a percentage) by which the total return per share, as defined in the business management agreement and further described below, of our common shareholders (i.e., share price appreciation plus dividends) exceeds the total shareholder return of the applicable market index, or the benchmark return per share, for the relevant measurement period. The MSCI U.S. REIT/Hotel &amp; Resort REIT Index is the benchmark index for periods on and after August 1, 2021, and the SNL U.S. REIT Hotel Index is the benchmark index for periods prior to August 1, 2021.</span></div><div style="margin-bottom:10pt;text-indent:18pt"><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:400;line-height:120%">For purposes of the total return per share of our common shareholders, share price appreciation for a measurement period is determined by subtracting (1) the closing price of our common shares on Nasdaq on the last trading day of the year immediately before the first year of the applicable measurement period, or the initial share price, from (2) the average closing price of our common shares on the 10 consecutive trading days having the highest average closing prices during the final 30 trading days in the last year of the measurement period.</span></div><div style="margin-bottom:10pt;padding-left:63pt;text-indent:-18pt"><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:400;line-height:120%">◦</span><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:400;line-height:120%;padding-left:14.46pt">The calculation of the incentive management fee (including the determinations of our equity market capitalization, initial share price and the total return per share of our common shareholders) is subject to adjustments if we issue or repurchase our common shares, or if our common shares are forfeited, during the measurement period.</span></div><div style="margin-bottom:10pt;padding-left:63pt;text-indent:-18pt"><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:400;line-height:120%">◦</span><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:400;line-height:120%;padding-left:14.46pt">No incentive management fee is payable by us unless our total return per share during the measurement period is positive.</span></div><div style="margin-bottom:10pt;padding-left:63pt;text-indent:-18pt"><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:400;line-height:120%">◦</span><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:400;line-height:120%;padding-left:14.46pt">The measurement periods are three year periods ending with the year for which the incentive management fee is being calculated.</span></div><div style="margin-bottom:10pt;padding-left:63pt;text-indent:-18pt"><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:400;line-height:120%">◦</span><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:400;line-height:120%;padding-left:14.46pt">If our total return per share exceeds 12% per year in any measurement period, the benchmark return per share is adjusted to be the lesser of the total shareholder return of the applicable market index for such measurement period and 12% per year, or the adjusted benchmark return per share. In instances where the adjusted benchmark return per share applies, the incentive management fee will be reduced if our total return per share is between 200 basis points and 500 basis points below the applicable market index in any year, by a low return factor, as defined in the business management agreement, and there will be no incentive management fee paid if, in these instances, our total return per share is more than 500 basis points below the applicable market index in any year, determined on a cumulative basis (i.e., between 200 basis points and 500 basis points per year multiplied by the number of years in the measurement period and below the applicable market index).</span></div><div style="margin-bottom:10pt;padding-left:63pt;text-indent:-18pt"><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:400;line-height:120%">◦</span><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:400;line-height:120%;padding-left:14.46pt">The incentive management fee is subject to a cap. The cap is equal to the value of the number of our common shares which would, after issuance, represent 1.5% of the number of our common shares then outstanding multiplied by the average closing price of our common shares during the 10 consecutive trading days having the highest average closing prices during the final 30 trading days of the relevant measurement period.</span></div><div style="margin-bottom:10pt;padding-left:63pt;text-indent:-18pt"><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:400;line-height:120%">◦</span><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:400;line-height:120%;padding-left:14.46pt">Incentive management fees we paid to RMR for any period may be subject to “clawback” if our financial statements for that period are restated due to material non-compliance with any financial reporting requirements under the securities laws as a result of the bad faith, fraud, willful misconduct or gross negligence of RMR and the amount of the incentive management fee we paid was greater than the amount we would have paid based on the restated financial statements.</span></div><div style="margin-bottom:10pt;text-indent:18pt"><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:400;line-height:120%">Pursuant to our business management agreement with RMR, we recognized net business management fees of $33,352, $35,495 and $42,137 for the years ended December 31, 2023, 2022 and 2021, respectively. The net business management fees we recognized are included in general and administrative expense in our consolidated statements of comprehensive income (loss) for these periods. The net business management fees we recognized reflect a reduction of $3,585, $3,585 and $3,584 for the years ended December 31, 2023, 2022 and 2021, respectively, for the amortization of the liability we recorded in connection with our former investment in RMR Inc.</span></div><div style="margin-bottom:10pt;padding-left:36pt;text-indent:-18pt"><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:400;line-height:120%">•</span><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-style:italic;font-weight:400;line-height:120%;padding-left:14.5pt">Property Management and Construction Supervision Fees. </span><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:400;line-height:120%">The property management fees payable to RMR by us for each applicable period are equal to 3.0% of gross collected rents and the construction supervision fees payable to RMR by us for each applicable period are equal to 5.0% of construction costs for our net lease portfolio, and the office building component of one of our hotels that are subject to our property management agreement with RMR. Effective as of the completion of the TA Merger, we and RMR agreed to include the properties we lease to TA in our property management agreement. The property management fees payable to RMR by us for the properties we lease to TA begin in 2024 and are equal to 1.0% of gross collected rents for the 2024 calendar year, 2.0% of gross collected rents for the 2025 calendar year and 3.0% of gross collected rents for the 2026 calendar year and thereafter. On June 22, 2021, we and RMR amended our property management agreement to, among other things, provide for RMR’s oversight of any major capital projects and repositioning activities at our hotels, including our hotels that are managed by Sonesta, as we may request from time to time. RMR will receive the same fee previously paid to Sonesta for these services, which is equal to 3% of the cost of any such major capital project or repositioning activity.</span></div><div style="margin-bottom:10pt;text-indent:18pt"><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:400;line-height:120%">Pursuant to our property management agreement with RMR, we recognized aggregate property management and construction supervision fees of $8,368, $6,128 and $4,489 for the years ended December 31, 2023, 2022 and 2021, respectively. These amounts are included in net lease operating expenses or have been capitalized as appropriate in our consolidated financial statements. For the years ended December 31, 2023, 2022 and 2021, $3,702, $3,998 and $3,674, respectively, of property management fees were recognized as net lease operating expenses in our consolidated statements of comprehensive income (loss) and $4,666, $2,130 and $815, respectively, were capitalized as building improvements in our consolidated balance sheets and are being depreciated over the estimated useful lives of the related capital assets.</span></div><div style="margin-bottom:10pt;padding-left:36pt;text-indent:-18pt"><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:400;line-height:120%">•</span><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-style:italic;font-weight:400;line-height:120%;padding-left:14.5pt">Expense Reimbursement. </span><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:400;line-height:120%">We are generally responsible for all of our operating expenses, including certain expenses incurred or arranged by RMR on our behalf. We are generally not responsible for payment of RMR’s employment, office or administrative expenses incurred to provide management services to us, except for the employment and related expenses of RMR employees assigned to work exclusively or partly at our net lease properties and the office building component of one of our hotels, our share of the wages, benefits and other related costs of RMR’s centralized accounting personnel, our share of RMR’s costs for providing our internal audit function, and as otherwise agreed. Our property level operating expenses are generally incorporated into rents charged to our tenants, including certain payroll and related costs incurred by RMR. We reimbursed RMR $4,648, $3,258 and $2,971 for these expenses and costs for the years ended December 31, 2023, 2022 and 2021, respectively. We included these amounts in net lease operating expenses and general and administrative expense, as applicable, for these periods.</span></div><div style="margin-bottom:10pt;padding-left:36pt;text-indent:-18pt"><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-style:italic;font-weight:400;line-height:120%">•</span><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-style:italic;font-weight:400;line-height:120%;padding-left:14.5pt">Term. </span><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:400;line-height:120%">Our management agreements with RMR have terms that end on December 31, 2043, and automatically extend on December 31st of each year for an additional year, so that the terms of our management agreements thereafter end on the 20th anniversary of the date of the extension.</span></div><div style="margin-bottom:10pt;padding-left:36pt;text-indent:-18pt"><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:400;line-height:120%">•</span><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-style:italic;font-weight:400;line-height:120%;padding-left:14.5pt">Termination Rights</span><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:400;line-height:120%">. We have the right to terminate one or both of our management agreements with RMR: (i) at any time on 60 days’ written notice for convenience, (ii) immediately on written notice for cause, as defined therein, (iii) on written notice given within 60 days after the end of an applicable calendar year for a performance reason, as defined therein, and (iv) by written notice during the 12 months following a change of control of RMR, as defined therein. RMR has the right to terminate the management agreements for good reason, as defined therein.</span></div><div style="margin-bottom:10pt;padding-left:36pt;text-indent:-18pt"><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:400;line-height:120%">•</span><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-style:italic;font-weight:400;line-height:120%;padding-left:14.5pt">Termination Fee</span><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:400;line-height:120%">. If we terminate one or both of our management agreements with RMR for convenience, or if RMR terminates one or both of our management agreements for good reason, we have agreed to pay RMR a termination fee in an amount equal to the sum of the present values of the monthly future fees, as defined therein, for the terminated management agreement(s) for the term that was remaining prior to such termination, which, depending on the time of termination would be between 19 and 20 years. If we terminate one or both of our management agreements with RMR for a performance reason, we have agreed to pay RMR the termination fee calculated as described above, but assuming a 10 year term was remaining prior to the termination. We are not required to pay any termination fee if we terminate our management agreements with RMR for cause or as a result of a change of control of RMR.</span></div><div style="margin-bottom:10pt;padding-left:36pt;text-indent:-18pt"><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-style:italic;font-weight:400;line-height:120%">•</span><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-style:italic;font-weight:400;line-height:120%;padding-left:14.5pt">Transition Services.</span><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:400;line-height:120%"> RMR has agreed to provide certain transition services to us for 120 days following an applicable termination by us or notice of termination by RMR, including cooperating with us and using commercially reasonable efforts to facilitate the orderly transfer of the management and real estate investment services provided under our business management agreement and to facilitate the orderly transfer of the management of the managed properties under our property management agreement, as applicable.</span></div><div style="margin-bottom:10pt;padding-left:36pt;text-indent:-18pt"><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-style:italic;font-weight:400;line-height:120%">•</span><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-style:italic;font-weight:400;line-height:120%;padding-left:14.5pt">Vendors. </span><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:400;line-height:120%">Pursuant to our management agreements with RMR, RMR may from time to time negotiate on our behalf with certain third party vendors and suppliers for the procurement of goods and services to us. As part of this arrangement, we may enter agreements with RMR and other companies to which RMR or its subsidiaries provides management services for the purpose of obtaining more favorable terms from such vendors and suppliers.</span></div><div style="margin-bottom:10pt;padding-left:36pt;text-indent:-18pt"><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:400;line-height:120%">•</span><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-style:italic;font-weight:400;line-height:120%;padding-left:14.5pt">Investment Opportunities</span><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:400;line-height:120%">. Under our business management agreement with RMR, we acknowledge that RMR may engage in other activities or businesses and act as the manager to any other person or entity (including other REITs) even though such person or entity has investment policies and objectives similar to ours and we are not entitled to preferential treatment in receiving information, recommendations and other services from RMR.</span></div>
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svc-20231231_def.xml Edgar Link unprocessable
svc-20231231_lab.xml Edgar Link unprocessable
svc-20231231_pre.xml Edgar Link unprocessable
svc-20231231_htm.xml Edgar Link completed
FilingSummary.xml Edgar Link unprocessable
svc-20231231_cal.xml Edgar Link unprocessable