Quarterly Report (10-q)

P1YP1YP1YP1YP2YP1Y8300000false--12-31Q2202000015740851530001870000.160.320.010.01200000000250000000328852173352800032885217335280000.0250.0350.0250.0350.01250.02250.01250.02250.0170.02550.02550.01850.02750.0210.02650.03950.02160001109532000100386300010425420009432530000.34370.520.691.030.340.520.691.030.010.01500000008000000016000001600000160000016000000000.010.0150084215031473 0001574085 2020-01-01 2020-06-30 0001574085 2020-08-04 0001574085 us-gaap:SeriesBPreferredStockMember 2020-01-01 2020-06-30 0001574085 us-gaap:SeriesDPreferredStockMember 2020-01-01 2020-06-30 0001574085 us-gaap:CommonStockMember 2020-01-01 2020-06-30 0001574085 bhr:AshfordInc.Member 2020-06-30 0001574085 2020-06-30 0001574085 2019-12-31 0001574085 bhr:OpenKeyMember 2020-06-30 0001574085 us-gaap:NoncontrollingInterestMember 2019-12-31 0001574085 bhr:OpenKeyMember 2019-12-31 0001574085 bhr:AshfordInc.Member 2019-12-31 0001574085 bhr:BraemarHotelsResortsInc.Member 2020-06-30 0001574085 bhr:BraemarHotelsResortsInc.Member 2019-12-31 0001574085 us-gaap:SeriesBPreferredStockMember 2020-06-30 0001574085 us-gaap:SeriesBPreferredStockMember 2019-12-31 0001574085 us-gaap:SeriesDPreferredStockMember 2020-06-30 0001574085 us-gaap:SeriesDPreferredStockMember 2019-12-31 0001574085 srt:HotelMember 2020-04-01 2020-06-30 0001574085 2019-04-01 2019-06-30 0001574085 2019-01-01 2019-06-30 0001574085 2020-04-01 2020-06-30 0001574085 us-gaap:FoodAndBeverageMember 2019-01-01 2019-06-30 0001574085 bhr:ManagementFeesMember 2020-04-01 2020-06-30 0001574085 bhr:NonDerivativeAssetsMember us-gaap:FairValueMeasurementsRecurringMember 2019-01-01 2019-06-30 0001574085 us-gaap:OccupancyMember 2020-04-01 2020-06-30 0001574085 srt:HotelMember 2019-04-01 2019-06-30 0001574085 srt:HotelMember 2019-01-01 2019-06-30 0001574085 us-gaap:FoodAndBeverageMember 2020-04-01 2020-06-30 0001574085 us-gaap:HotelOtherMember 2020-04-01 2020-06-30 0001574085 us-gaap:ProductAndServiceOtherMember 2019-04-01 2019-06-30 0001574085 bhr:ManagementFeesMember 2020-01-01 2020-06-30 0001574085 us-gaap:HotelOtherMember 2019-04-01 2019-06-30 0001574085 us-gaap:OccupancyMember 2020-01-01 2020-06-30 0001574085 us-gaap:OccupancyMember 2019-01-01 2019-06-30 0001574085 us-gaap:FoodAndBeverageMember 2019-04-01 2019-06-30 0001574085 us-gaap:FoodAndBeverageMember 2020-01-01 2020-06-30 0001574085 us-gaap:HotelOtherMember 2019-01-01 2019-06-30 0001574085 us-gaap:HotelOtherMember 2020-01-01 2020-06-30 0001574085 us-gaap:ProductAndServiceOtherMember 2020-04-01 2020-06-30 0001574085 us-gaap:ProductAndServiceOtherMember 2020-01-01 2020-06-30 0001574085 us-gaap:OccupancyMember 2019-04-01 2019-06-30 0001574085 bhr:ManagementFeesMember 2019-04-01 2019-06-30 0001574085 srt:HotelMember 2020-01-01 2020-06-30 0001574085 bhr:ManagementFeesMember 2019-01-01 2019-06-30 0001574085 us-gaap:ProductAndServiceOtherMember 2019-01-01 2019-06-30 0001574085 bhr:NonDerivativeAssetsMember us-gaap:FairValueMeasurementsRecurringMember 2020-01-01 2020-06-30 0001574085 us-gaap:SeriesBPreferredStockMember us-gaap:PreferredStockMember 2020-06-30 0001574085 us-gaap:NoncontrollingInterestMember 2020-06-30 0001574085 us-gaap:CommonStockMember 2020-01-01 2020-06-30 0001574085 us-gaap:SeriesBPreferredStockMember us-gaap:PreferredStockMember 2019-12-31 0001574085 us-gaap:AdditionalPaidInCapitalMember 2020-01-01 2020-06-30 0001574085 us-gaap:SeriesDPreferredStockMember us-gaap:PreferredStockMember 2019-12-31 0001574085 bhr:RedeemableNoncontrollingInterestinOperatingPartnershipMember 2020-01-01 2020-06-30 0001574085 bhr:RedeemableNoncontrollingInterestinOperatingPartnershipMember 2019-12-31 0001574085 us-gaap:CommonStockMember 2020-06-30 0001574085 us-gaap:RetainedEarningsMember 2020-01-01 2020-06-30 0001574085 us-gaap:SeriesBPreferredStockMember us-gaap:PreferredStockMember 2020-01-01 2020-06-30 0001574085 us-gaap:RetainedEarningsMember 2020-06-30 0001574085 us-gaap:AdditionalPaidInCapitalMember 2019-12-31 0001574085 us-gaap:SeriesDPreferredStockMember us-gaap:PreferredStockMember 2020-06-30 0001574085 us-gaap:RetainedEarningsMember 2019-12-31 0001574085 us-gaap:NoncontrollingInterestMember 2020-01-01 2020-06-30 0001574085 us-gaap:CommonStockMember 2019-12-31 0001574085 us-gaap:AdditionalPaidInCapitalMember 2020-06-30 0001574085 bhr:RedeemableNoncontrollingInterestinOperatingPartnershipMember 2020-06-30 0001574085 us-gaap:SeriesDPreferredStockMember us-gaap:RetainedEarningsMember 2020-01-01 2020-06-30 0001574085 us-gaap:SeriesBPreferredStockMember us-gaap:RetainedEarningsMember 2020-01-01 2020-06-30 0001574085 bhr:RedeemableNoncontrollingInterestinOperatingPartnershipMember 2020-03-31 0001574085 bhr:RedeemableNoncontrollingInterestinOperatingPartnershipMember 2020-04-01 2020-06-30 0001574085 us-gaap:AdditionalPaidInCapitalMember 2020-03-31 0001574085 us-gaap:NoncontrollingInterestMember 2020-03-31 0001574085 us-gaap:RetainedEarningsMember 2020-03-31 0001574085 us-gaap:CommonStockMember 2020-04-01 2020-06-30 0001574085 us-gaap:SeriesDPreferredStockMember 2020-04-01 2020-06-30 0001574085 us-gaap:SeriesDPreferredStockMember us-gaap:RetainedEarningsMember 2020-04-01 2020-06-30 0001574085 2020-03-31 0001574085 us-gaap:SeriesBPreferredStockMember us-gaap:RetainedEarningsMember 2020-04-01 2020-06-30 0001574085 us-gaap:SeriesBPreferredStockMember us-gaap:PreferredStockMember 2020-03-31 0001574085 us-gaap:NoncontrollingInterestMember 2020-04-01 2020-06-30 0001574085 us-gaap:CommonStockMember 2020-03-31 0001574085 us-gaap:SeriesDPreferredStockMember us-gaap:PreferredStockMember 2020-03-31 0001574085 us-gaap:AdditionalPaidInCapitalMember 2020-04-01 2020-06-30 0001574085 us-gaap:RetainedEarningsMember 2020-04-01 2020-06-30 0001574085 us-gaap:SeriesBPreferredStockMember 2020-04-01 2020-06-30 0001574085 us-gaap:CommonStockMember 2019-01-01 2019-06-30 0001574085 srt:CumulativeEffectPeriodOfAdoptionAdjustmentMember us-gaap:RetainedEarningsMember 2018-12-31 0001574085 us-gaap:RetainedEarningsMember 2019-06-30 0001574085 us-gaap:AdditionalPaidInCapitalMember 2019-06-30 0001574085 us-gaap:RetainedEarningsMember 2019-01-01 2019-06-30 0001574085 us-gaap:SeriesBPreferredStockMember us-gaap:PreferredStockMember 2018-12-31 0001574085 bhr:RedeemableNoncontrollingInterestinOperatingPartnershipMember 2019-01-01 2019-06-30 0001574085 bhr:RedeemableNoncontrollingInterestinOperatingPartnershipMember 2018-12-31 0001574085 us-gaap:CommonStockMember 2019-06-30 0001574085 us-gaap:SeriesDPreferredStockMember 2019-01-01 2019-06-30 0001574085 us-gaap:CommonStockMember 2018-12-31 0001574085 us-gaap:AdditionalPaidInCapitalMember 2019-01-01 2019-06-30 0001574085 us-gaap:SeriesBPreferredStockMember us-gaap:PreferredStockMember 2019-06-30 0001574085 us-gaap:SeriesDPreferredStockMember us-gaap:RetainedEarningsMember 2019-01-01 2019-06-30 0001574085 us-gaap:SeriesDPreferredStockMember us-gaap:PreferredStockMember 2018-12-31 0001574085 us-gaap:SeriesDPreferredStockMember us-gaap:PreferredStockMember 2019-06-30 0001574085 us-gaap:NoncontrollingInterestMember 2019-06-30 0001574085 us-gaap:AdditionalPaidInCapitalMember 2018-12-31 0001574085 us-gaap:SeriesBPreferredStockMember us-gaap:RetainedEarningsMember 2019-01-01 2019-06-30 0001574085 2018-12-31 0001574085 srt:CumulativeEffectPeriodOfAdoptionAdjustmentMember 2018-12-31 0001574085 us-gaap:NoncontrollingInterestMember 2019-01-01 2019-06-30 0001574085 bhr:RedeemableNoncontrollingInterestinOperatingPartnershipMember 2019-06-30 0001574085 us-gaap:SeriesBPreferredStockMember 2019-01-01 2019-06-30 0001574085 2019-06-30 0001574085 us-gaap:NoncontrollingInterestMember 2018-12-31 0001574085 us-gaap:RetainedEarningsMember 2018-12-31 0001574085 us-gaap:SeriesDPreferredStockMember 2019-04-01 2019-06-30 0001574085 bhr:RedeemableNoncontrollingInterestinOperatingPartnershipMember 2019-04-01 2019-06-30 0001574085 us-gaap:SeriesBPreferredStockMember us-gaap:PreferredStockMember 2019-03-31 0001574085 us-gaap:RetainedEarningsMember 2019-04-01 2019-06-30 0001574085 us-gaap:NoncontrollingInterestMember 2019-03-31 0001574085 us-gaap:SeriesBPreferredStockMember us-gaap:RetainedEarningsMember 2019-04-01 2019-06-30 0001574085 us-gaap:SeriesDPreferredStockMember us-gaap:PreferredStockMember 2019-03-31 0001574085 us-gaap:AdditionalPaidInCapitalMember 2019-04-01 2019-06-30 0001574085 us-gaap:CommonStockMember 2019-04-01 2019-06-30 0001574085 us-gaap:AdditionalPaidInCapitalMember 2019-03-31 0001574085 bhr:RedeemableNoncontrollingInterestinOperatingPartnershipMember 2019-03-31 0001574085 us-gaap:NoncontrollingInterestMember 2019-04-01 2019-06-30 0001574085 us-gaap:CommonStockMember 2019-03-31 0001574085 2019-03-31 0001574085 us-gaap:RetainedEarningsMember 2019-03-31 0001574085 us-gaap:SeriesBPreferredStockMember 2019-04-01 2019-06-30 0001574085 us-gaap:SeriesDPreferredStockMember us-gaap:RetainedEarningsMember 2019-04-01 2019-06-30 0001574085 bhr:AshfordInc.Member 2019-01-01 2019-06-30 0001574085 bhr:AshfordInc.Member 2020-01-01 2020-06-30 0001574085 us-gaap:LandMember 2020-01-01 2020-06-30 0001574085 us-gaap:ConsolidatedPropertiesMember 2020-06-30 0001574085 bhr:LeasedbyWhollyOwnedorMajorityOwnedTaxableREITSubsidiariesMember 2020-06-30 0001574085 bhr:LeasedbyAshfordPrimeWhollyOwnedTaxableREITSubsidiaryMember 2020-06-30 0001574085 us-gaap:MortgagesMember 2020-06-30 0001574085 srt:SubsidiariesMember 2020-03-31 0001574085 bhr:TermLoanMember us-gaap:NotesPayableOtherPayablesMember 2020-06-08 0001574085 srt:SubsidiariesMember bhr:COVID19Member 2020-03-31 0001574085 bhr:USVirginIslandsTaxableREITSubsidiaryMember 2020-06-30 0001574085 bhr:SeniorRevolvingCreditFacilityMember us-gaap:LineOfCreditMember 2020-06-08 0001574085 srt:SubsidiariesMember bhr:COVID19Member 2020-06-30 0001574085 bhr:RemingtonLodgingMember 2020-06-30 0001574085 us-gaap:WhollyOwnedPropertiesMember 2020-06-30 0001574085 bhr:MortgageLoanTwoMember us-gaap:MortgagesMember 2020-06-30 0001574085 us-gaap:OccupancyMember country:VI 2019-01-01 2019-06-30 0001574085 us-gaap:FoodAndBeverageMember stpr:CO 2019-01-01 2019-06-30 0001574085 us-gaap:ProductAndServiceOtherMember stpr:PA 2019-01-01 2019-06-30 0001574085 us-gaap:ProductAndServiceOtherMember country:VI 2019-01-01 2019-06-30 0001574085 us-gaap:FoodAndBeverageMember stpr:DC 2019-01-01 2019-06-30 0001574085 us-gaap:HotelOtherMember stpr:CA 2019-01-01 2019-06-30 0001574085 us-gaap:OccupancyMember stpr:FL 2019-01-01 2019-06-30 0001574085 2018-09-30 0001574085 us-gaap:OccupancyMember stpr:IL 2019-01-01 2019-06-30 0001574085 us-gaap:ProductAndServiceOtherMember stpr:DC 2019-01-01 2019-06-30 0001574085 us-gaap:HotelOtherMember stpr:WA 2019-01-01 2019-06-30 0001574085 us-gaap:HotelOtherMember stpr:PA 2019-01-01 2019-06-30 0001574085 stpr:CO 2019-06-30 0001574085 country:VI 2019-01-01 2019-06-30 0001574085 us-gaap:HotelOtherMember bhr:CorporateEntitiesMember 2019-01-01 2019-06-30 0001574085 us-gaap:ProductAndServiceOtherMember stpr:FL 2019-01-01 2019-06-30 0001574085 us-gaap:FoodAndBeverageMember stpr:FL 2019-01-01 2019-06-30 0001574085 stpr:CO 2019-01-01 2019-06-30 0001574085 us-gaap:OccupancyMember stpr:PA 2019-01-01 2019-06-30 0001574085 stpr:PA 2019-01-01 2019-06-30 0001574085 us-gaap:OccupancyMember bhr:CorporateEntitiesMember 2019-01-01 2019-06-30 0001574085 us-gaap:OccupancyMember stpr:CO 2019-01-01 2019-06-30 0001574085 us-gaap:FoodAndBeverageMember country:VI 2019-01-01 2019-06-30 0001574085 us-gaap:HotelOtherMember stpr:DC 2019-01-01 2019-06-30 0001574085 stpr:IL 2019-06-30 0001574085 stpr:PA 2019-06-30 0001574085 us-gaap:OccupancyMember stpr:CA 2019-01-01 2019-06-30 0001574085 stpr:CA 2019-06-30 0001574085 us-gaap:FoodAndBeverageMember stpr:IL 2019-01-01 2019-06-30 0001574085 bhr:CorporateEntitiesMember 2019-06-30 0001574085 us-gaap:FoodAndBeverageMember bhr:CorporateEntitiesMember 2019-01-01 2019-06-30 0001574085 stpr:DC 2019-06-30 0001574085 stpr:FL 2019-01-01 2019-06-30 0001574085 bhr:CorporateEntitiesMember 2019-01-01 2019-06-30 0001574085 us-gaap:ProductAndServiceOtherMember stpr:WA 2019-01-01 2019-06-30 0001574085 us-gaap:ProductAndServiceOtherMember bhr:CorporateEntitiesMember 2019-01-01 2019-06-30 0001574085 stpr:IL 2019-01-01 2019-06-30 0001574085 us-gaap:OccupancyMember stpr:DC 2019-01-01 2019-06-30 0001574085 us-gaap:FoodAndBeverageMember stpr:WA 2019-01-01 2019-06-30 0001574085 country:VI 2019-06-30 0001574085 us-gaap:FoodAndBeverageMember stpr:CA 2019-01-01 2019-06-30 0001574085 us-gaap:OccupancyMember stpr:WA 2019-01-01 2019-06-30 0001574085 stpr:WA 2019-06-30 0001574085 us-gaap:HotelOtherMember country:VI 2019-01-01 2019-06-30 0001574085 us-gaap:ProductAndServiceOtherMember stpr:CO 2019-01-01 2019-06-30 0001574085 us-gaap:HotelOtherMember stpr:FL 2019-01-01 2019-06-30 0001574085 stpr:WA 2019-01-01 2019-06-30 0001574085 stpr:FL 2019-06-30 0001574085 us-gaap:HotelOtherMember stpr:CO 2019-01-01 2019-06-30 0001574085 us-gaap:ProductAndServiceOtherMember stpr:IL 2019-01-01 2019-06-30 0001574085 stpr:CA 2019-01-01 2019-06-30 0001574085 us-gaap:ProductAndServiceOtherMember stpr:CA 2019-01-01 2019-06-30 0001574085 stpr:DC 2019-01-01 2019-06-30 0001574085 us-gaap:HotelOtherMember stpr:IL 2019-01-01 2019-06-30 0001574085 us-gaap:FoodAndBeverageMember stpr:PA 2019-01-01 2019-06-30 0001574085 us-gaap:OccupancyMember stpr:PA 2019-04-01 2019-06-30 0001574085 stpr:DC 2019-04-01 2019-06-30 0001574085 us-gaap:ProductAndServiceOtherMember stpr:PA 2019-04-01 2019-06-30 0001574085 us-gaap:HotelOtherMember stpr:FL 2019-04-01 2019-06-30 0001574085 us-gaap:FoodAndBeverageMember stpr:PA 2019-04-01 2019-06-30 0001574085 us-gaap:ProductAndServiceOtherMember stpr:WA 2019-04-01 2019-06-30 0001574085 stpr:CA 2019-04-01 2019-06-30 0001574085 stpr:CO 2019-04-01 2019-06-30 0001574085 us-gaap:OccupancyMember stpr:IL 2019-04-01 2019-06-30 0001574085 stpr:WA 2019-04-01 2019-06-30 0001574085 stpr:PA 2019-04-01 2019-06-30 0001574085 country:VI 2019-04-01 2019-06-30 0001574085 us-gaap:OccupancyMember stpr:DC 2019-04-01 2019-06-30 0001574085 us-gaap:OccupancyMember stpr:WA 2019-04-01 2019-06-30 0001574085 us-gaap:FoodAndBeverageMember stpr:IL 2019-04-01 2019-06-30 0001574085 us-gaap:FoodAndBeverageMember stpr:CO 2019-04-01 2019-06-30 0001574085 us-gaap:OccupancyMember stpr:CO 2019-04-01 2019-06-30 0001574085 us-gaap:HotelOtherMember stpr:IL 2019-04-01 2019-06-30 0001574085 us-gaap:HotelOtherMember stpr:WA 2019-04-01 2019-06-30 0001574085 us-gaap:OccupancyMember country:VI 2019-04-01 2019-06-30 0001574085 us-gaap:FoodAndBeverageMember stpr:CA 2019-04-01 2019-06-30 0001574085 us-gaap:FoodAndBeverageMember stpr:DC 2019-04-01 2019-06-30 0001574085 us-gaap:FoodAndBeverageMember country:VI 2019-04-01 2019-06-30 0001574085 stpr:FL 2019-04-01 2019-06-30 0001574085 us-gaap:ProductAndServiceOtherMember country:VI 2019-04-01 2019-06-30 0001574085 us-gaap:FoodAndBeverageMember stpr:FL 2019-04-01 2019-06-30 0001574085 us-gaap:ProductAndServiceOtherMember stpr:IL 2019-04-01 2019-06-30 0001574085 us-gaap:OccupancyMember stpr:CA 2019-04-01 2019-06-30 0001574085 us-gaap:ProductAndServiceOtherMember stpr:CO 2019-04-01 2019-06-30 0001574085 us-gaap:FoodAndBeverageMember stpr:WA 2019-04-01 2019-06-30 0001574085 stpr:IL 2019-04-01 2019-06-30 0001574085 us-gaap:ProductAndServiceOtherMember stpr:CA 2019-04-01 2019-06-30 0001574085 us-gaap:HotelOtherMember stpr:PA 2019-04-01 2019-06-30 0001574085 us-gaap:OccupancyMember stpr:FL 2019-04-01 2019-06-30 0001574085 us-gaap:HotelOtherMember stpr:DC 2019-04-01 2019-06-30 0001574085 us-gaap:ProductAndServiceOtherMember stpr:DC 2019-04-01 2019-06-30 0001574085 us-gaap:HotelOtherMember stpr:CO 2019-04-01 2019-06-30 0001574085 us-gaap:HotelOtherMember country:VI 2019-04-01 2019-06-30 0001574085 us-gaap:HotelOtherMember stpr:CA 2019-04-01 2019-06-30 0001574085 us-gaap:ProductAndServiceOtherMember stpr:FL 2019-04-01 2019-06-30 0001574085 bhr:OtherHotelRevenueMember 2020-04-01 2020-06-30 0001574085 bhr:OtherHotelRevenueMember 2019-01-01 2019-06-30 0001574085 bhr:OtherHotelRevenueMember 2020-01-01 2020-06-30 0001574085 bhr:OtherHotelRevenueMember 2019-04-01 2019-06-30 0001574085 stpr:PA 2020-04-01 2020-06-30 0001574085 stpr:WA 2020-04-01 2020-06-30 0001574085 us-gaap:HotelOtherMember country:VI 2020-04-01 2020-06-30 0001574085 stpr:DC 2020-04-01 2020-06-30 0001574085 stpr:FL 2020-06-30 0001574085 us-gaap:OccupancyMember stpr:FL 2020-04-01 2020-06-30 0001574085 stpr:WA 2020-06-30 0001574085 us-gaap:FoodAndBeverageMember stpr:CA 2020-04-01 2020-06-30 0001574085 us-gaap:OccupancyMember stpr:WA 2020-04-01 2020-06-30 0001574085 us-gaap:OccupancyMember stpr:IL 2020-04-01 2020-06-30 0001574085 us-gaap:FoodAndBeverageMember stpr:IL 2020-04-01 2020-06-30 0001574085 us-gaap:HotelOtherMember stpr:DC 2020-04-01 2020-06-30 0001574085 us-gaap:ProductAndServiceOtherMember stpr:CA 2020-04-01 2020-06-30 0001574085 us-gaap:HotelOtherMember stpr:FL 2020-04-01 2020-06-30 0001574085 us-gaap:HotelOtherMember stpr:CO 2020-04-01 2020-06-30 0001574085 us-gaap:OccupancyMember stpr:CA 2020-04-01 2020-06-30 0001574085 us-gaap:ProductAndServiceOtherMember stpr:PA 2020-04-01 2020-06-30 0001574085 country:VI 2020-04-01 2020-06-30 0001574085 stpr:FL 2020-04-01 2020-06-30 0001574085 us-gaap:HotelOtherMember stpr:PA 2020-04-01 2020-06-30 0001574085 us-gaap:HotelOtherMember stpr:WA 2020-04-01 2020-06-30 0001574085 us-gaap:ProductAndServiceOtherMember stpr:WA 2020-04-01 2020-06-30 0001574085 us-gaap:FoodAndBeverageMember country:VI 2020-04-01 2020-06-30 0001574085 us-gaap:OccupancyMember stpr:CO 2020-04-01 2020-06-30 0001574085 us-gaap:FoodAndBeverageMember stpr:DC 2020-04-01 2020-06-30 0001574085 us-gaap:FoodAndBeverageMember stpr:PA 2020-04-01 2020-06-30 0001574085 us-gaap:ProductAndServiceOtherMember stpr:IL 2020-04-01 2020-06-30 0001574085 stpr:DC 2020-06-30 0001574085 us-gaap:HotelOtherMember stpr:CA 2020-04-01 2020-06-30 0001574085 us-gaap:ProductAndServiceOtherMember country:VI 2020-04-01 2020-06-30 0001574085 us-gaap:OccupancyMember stpr:DC 2020-04-01 2020-06-30 0001574085 stpr:CA 2020-06-30 0001574085 stpr:CA 2020-04-01 2020-06-30 0001574085 us-gaap:OccupancyMember country:VI 2020-04-01 2020-06-30 0001574085 us-gaap:FoodAndBeverageMember stpr:WA 2020-04-01 2020-06-30 0001574085 country:VI 2020-06-30 0001574085 stpr:IL 2020-06-30 0001574085 stpr:IL 2020-04-01 2020-06-30 0001574085 us-gaap:HotelOtherMember stpr:IL 2020-04-01 2020-06-30 0001574085 us-gaap:ProductAndServiceOtherMember stpr:FL 2020-04-01 2020-06-30 0001574085 stpr:CO 2020-06-30 0001574085 us-gaap:FoodAndBeverageMember stpr:FL 2020-04-01 2020-06-30 0001574085 us-gaap:ProductAndServiceOtherMember stpr:CO 2020-04-01 2020-06-30 0001574085 stpr:PA 2020-06-30 0001574085 stpr:CO 2020-04-01 2020-06-30 0001574085 us-gaap:FoodAndBeverageMember stpr:CO 2020-04-01 2020-06-30 0001574085 us-gaap:OccupancyMember stpr:PA 2020-04-01 2020-06-30 0001574085 us-gaap:ProductAndServiceOtherMember stpr:DC 2020-04-01 2020-06-30 0001574085 us-gaap:OccupancyMember stpr:CO 2020-01-01 2020-06-30 0001574085 us-gaap:ProductAndServiceOtherMember stpr:FL 2020-01-01 2020-06-30 0001574085 us-gaap:FoodAndBeverageMember stpr:IL 2020-01-01 2020-06-30 0001574085 us-gaap:ProductAndServiceOtherMember stpr:PA 2020-01-01 2020-06-30 0001574085 us-gaap:ProductAndServiceOtherMember stpr:CA 2020-01-01 2020-06-30 0001574085 us-gaap:FoodAndBeverageMember stpr:PA 2020-01-01 2020-06-30 0001574085 country:VI 2020-01-01 2020-06-30 0001574085 us-gaap:OccupancyMember stpr:CA 2020-01-01 2020-06-30 0001574085 stpr:WA 2020-01-01 2020-06-30 0001574085 us-gaap:OccupancyMember stpr:FL 2020-01-01 2020-06-30 0001574085 us-gaap:FoodAndBeverageMember stpr:CA 2020-01-01 2020-06-30 0001574085 stpr:CA 2020-01-01 2020-06-30 0001574085 us-gaap:ProductAndServiceOtherMember stpr:WA 2020-01-01 2020-06-30 0001574085 us-gaap:FoodAndBeverageMember stpr:WA 2020-01-01 2020-06-30 0001574085 us-gaap:OccupancyMember country:VI 2020-01-01 2020-06-30 0001574085 stpr:DC 2020-01-01 2020-06-30 0001574085 us-gaap:HotelOtherMember stpr:WA 2020-01-01 2020-06-30 0001574085 us-gaap:OccupancyMember stpr:DC 2020-01-01 2020-06-30 0001574085 us-gaap:HotelOtherMember stpr:IL 2020-01-01 2020-06-30 0001574085 us-gaap:OccupancyMember stpr:WA 2020-01-01 2020-06-30 0001574085 us-gaap:ProductAndServiceOtherMember country:VI 2020-01-01 2020-06-30 0001574085 us-gaap:HotelOtherMember stpr:FL 2020-01-01 2020-06-30 0001574085 us-gaap:FoodAndBeverageMember stpr:CO 2020-01-01 2020-06-30 0001574085 us-gaap:ProductAndServiceOtherMember stpr:IL 2020-01-01 2020-06-30 0001574085 us-gaap:HotelOtherMember stpr:CO 2020-01-01 2020-06-30 0001574085 stpr:PA 2020-01-01 2020-06-30 0001574085 us-gaap:ProductAndServiceOtherMember stpr:DC 2020-01-01 2020-06-30 0001574085 us-gaap:HotelOtherMember stpr:CA 2020-01-01 2020-06-30 0001574085 us-gaap:FoodAndBeverageMember stpr:DC 2020-01-01 2020-06-30 0001574085 stpr:CO 2020-01-01 2020-06-30 0001574085 us-gaap:FoodAndBeverageMember stpr:FL 2020-01-01 2020-06-30 0001574085 us-gaap:ProductAndServiceOtherMember stpr:CO 2020-01-01 2020-06-30 0001574085 us-gaap:FoodAndBeverageMember country:VI 2020-01-01 2020-06-30 0001574085 stpr:IL 2020-01-01 2020-06-30 0001574085 stpr:FL 2020-01-01 2020-06-30 0001574085 us-gaap:HotelOtherMember stpr:DC 2020-01-01 2020-06-30 0001574085 us-gaap:HotelOtherMember country:VI 2020-01-01 2020-06-30 0001574085 us-gaap:OccupancyMember stpr:PA 2020-01-01 2020-06-30 0001574085 us-gaap:HotelOtherMember stpr:PA 2020-01-01 2020-06-30 0001574085 us-gaap:OccupancyMember stpr:IL 2020-01-01 2020-06-30 0001574085 bhr:OpenKeyMember 2018-03-28 2018-03-28 0001574085 bhr:OpenKeyMember us-gaap:EquityMethodInvesteeMember 2020-01-01 2020-06-30 0001574085 bhr:OpenKeyMember 2018-03-28 2020-06-30 0001574085 bhr:OpenKeyMember 2018-03-28 0001574085 bhr:SeniorRevolvingCreditFacilityMember us-gaap:LineOfCreditMember 2020-06-30 0001574085 bhr:MortgageLoanOneMember us-gaap:MortgagesMember 2019-12-31 0001574085 bhr:MortgageLoanEightMember us-gaap:MortgagesMember 2019-12-31 0001574085 bhr:MortgageLoanOneMember us-gaap:MortgagesMember 2020-06-30 0001574085 bhr:MortgageLoanThreeMember us-gaap:MortgagesMember 2020-06-30 0001574085 bhr:MortgageLoanEightMember us-gaap:MortgagesMember 2020-06-30 0001574085 bhr:MortgageLoanFiveMember us-gaap:MortgagesMember 2019-12-31 0001574085 bhr:MortgageLoanThreeMember us-gaap:MortgagesMember 2019-12-31 0001574085 bhr:MortgageLoanNineMember us-gaap:MortgagesMember 2020-06-30 0001574085 bhr:MortgageLoanNineMember us-gaap:MortgagesMember 2019-12-31 0001574085 bhr:SeniorRevolvingCreditFacilityMember us-gaap:LineOfCreditMember 2019-12-31 0001574085 bhr:MortgageLoanSixMember us-gaap:MortgagesMember 2020-06-30 0001574085 bhr:MortgageLoanTwoMember us-gaap:MortgagesMember 2019-12-31 0001574085 bhr:MortgageLoanSevenMember us-gaap:MortgagesMember 2019-12-31 0001574085 bhr:MortgageLoanSixMember us-gaap:MortgagesMember 2019-12-31 0001574085 bhr:MortgageLoanSevenMember us-gaap:MortgagesMember 2020-06-30 0001574085 bhr:MortgageLoanFourMember us-gaap:MortgagesMember 2019-12-31 0001574085 bhr:MortgageLoanFiveMember us-gaap:MortgagesMember 2020-06-30 0001574085 bhr:TermLoanMember us-gaap:NotesPayableOtherPayablesMember 2019-12-31 0001574085 bhr:MortgageLoanFourMember us-gaap:MortgagesMember 2020-06-30 0001574085 us-gaap:MortgagesMember us-gaap:LondonInterbankOfferedRateLIBORMember 2020-01-01 2020-06-30 0001574085 srt:MaximumMember bhr:TermLoanMember us-gaap:NotesPayableOtherPayablesMember us-gaap:LondonInterbankOfferedRateLIBORMember 2020-06-08 2020-06-08 0001574085 srt:MinimumMember bhr:TermLoanMember us-gaap:NotesPayableOtherPayablesMember us-gaap:BaseRateMember 2020-06-08 2020-06-08 0001574085 us-gaap:MortgagesMember 2020-05-01 2020-05-01 0001574085 srt:MinimumMember bhr:TermLoanMember us-gaap:NotesPayableOtherPayablesMember us-gaap:LondonInterbankOfferedRateLIBORMember 2020-06-08 2020-06-08 0001574085 bhr:PaycheckProtectionProgramCARESActMember 2020-04-30 0001574085 us-gaap:NotesPayableOtherPayablesMember us-gaap:LondonInterbankOfferedRateLIBORMember 2020-06-08 2020-06-08 0001574085 us-gaap:MortgagesMember us-gaap:LondonInterbankOfferedRateLIBORMember 2020-05-01 2020-05-01 0001574085 us-gaap:MortgagesMember us-gaap:BaseRateMember 2020-01-01 2020-06-30 0001574085 bhr:MortgageLoanThreeMember us-gaap:MortgagesMember us-gaap:LondonInterbankOfferedRateLIBORMember 2019-01-01 2019-12-31 0001574085 bhr:SeniorRevolvingCreditFacilityMember us-gaap:LineOfCreditMember 2020-06-08 2020-06-08 0001574085 bhr:TermLoanMember us-gaap:NotesPayableOtherPayablesMember 2020-06-08 2020-06-08 0001574085 bhr:MortgageLoanThreeMember us-gaap:MortgagesMember us-gaap:LondonInterbankOfferedRateLIBORMember 2020-01-01 2020-03-31 0001574085 srt:MaximumMember bhr:TermLoanMember us-gaap:NotesPayableOtherPayablesMember us-gaap:BaseRateMember 2020-06-08 2020-06-08 0001574085 srt:MaximumMember bhr:TermLoanMember us-gaap:NotesPayableOtherPayablesMember us-gaap:LondonInterbankOfferedRateLIBORMember 2020-01-01 2020-06-30 0001574085 srt:MinimumMember bhr:TermLoanMember us-gaap:NotesPayableOtherPayablesMember us-gaap:BaseRateMember 2020-01-01 2020-06-30 0001574085 srt:MinimumMember bhr:SeniorRevolvingCreditFacilityMember us-gaap:LineOfCreditMember us-gaap:LondonInterbankOfferedRateLIBORMember 2020-01-01 2020-06-30 0001574085 srt:MinimumMember bhr:TermLoanMember us-gaap:NotesPayableOtherPayablesMember us-gaap:LondonInterbankOfferedRateLIBORMember 2020-01-01 2020-06-30 0001574085 srt:MaximumMember bhr:SeniorRevolvingCreditFacilityMember us-gaap:LineOfCreditMember us-gaap:BaseRateMember 2020-01-01 2020-06-30 0001574085 srt:MaximumMember bhr:SeniorRevolvingCreditFacilityMember us-gaap:LineOfCreditMember us-gaap:LondonInterbankOfferedRateLIBORMember 2020-01-01 2020-06-30 0001574085 srt:MaximumMember bhr:TermLoanMember us-gaap:NotesPayableOtherPayablesMember us-gaap:BaseRateMember 2020-01-01 2020-06-30 0001574085 srt:MinimumMember bhr:SeniorRevolvingCreditFacilityMember us-gaap:LineOfCreditMember us-gaap:BaseRateMember 2020-01-01 2020-06-30 0001574085 bhr:MortgageLoanTwoMember us-gaap:MortgagesMember 2020-01-01 2020-06-30 0001574085 bhr:MortgageLoanThreeMember us-gaap:MortgagesMember us-gaap:LondonInterbankOfferedRateLIBORMember 2020-01-01 2020-06-30 0001574085 bhr:MortgageLoanTwoMember us-gaap:MortgagesMember us-gaap:LondonInterbankOfferedRateLIBORMember 2020-01-01 2020-06-30 0001574085 bhr:MortgageLoanNineMember us-gaap:MortgagesMember us-gaap:LondonInterbankOfferedRateLIBORMember 2020-01-01 2020-06-30 0001574085 bhr:MortgageLoanOneMember us-gaap:MortgagesMember us-gaap:LondonInterbankOfferedRateLIBORMember 2020-01-01 2020-06-30 0001574085 bhr:MortgageLoanFiveMember us-gaap:MortgagesMember us-gaap:LondonInterbankOfferedRateLIBORMember 2020-01-01 2020-06-30 0001574085 bhr:MortgageLoanThreeMember us-gaap:MortgagesMember 2020-01-01 2020-06-30 0001574085 bhr:MortgageLoanSixMember us-gaap:MortgagesMember us-gaap:LondonInterbankOfferedRateLIBORMember 2020-01-01 2020-06-30 0001574085 bhr:MortgageLoanOneMember us-gaap:MortgagesMember 2020-01-01 2020-06-30 0001574085 bhr:MortgageLoanFourMember us-gaap:MortgagesMember us-gaap:LondonInterbankOfferedRateLIBORMember 2020-01-01 2020-06-30 0001574085 bhr:MortgageLoanEightMember us-gaap:MortgagesMember us-gaap:LondonInterbankOfferedRateLIBORMember 2020-01-01 2020-06-30 0001574085 bhr:MortgageLoanSevenMember us-gaap:MortgagesMember us-gaap:LondonInterbankOfferedRateLIBORMember 2020-01-01 2020-06-30 0001574085 srt:MinimumMember us-gaap:InterestRateCapMember us-gaap:NondesignatedMember 2020-06-30 0001574085 srt:MinimumMember us-gaap:InterestRateCapMember us-gaap:NondesignatedMember 2019-06-30 0001574085 srt:MaximumMember us-gaap:InterestRateCapMember us-gaap:NondesignatedMember 2020-06-30 0001574085 us-gaap:InterestRateFloorMember us-gaap:NondesignatedMember 2020-06-30 0001574085 srt:MaximumMember us-gaap:InterestRateCapMember us-gaap:NondesignatedMember 2019-06-30 0001574085 us-gaap:InterestRateFloorMember us-gaap:NondesignatedMember 2020-01-01 2020-06-30 0001574085 us-gaap:InterestRateCapMember us-gaap:NondesignatedMember 2019-01-01 2019-06-30 0001574085 us-gaap:InterestRateCapMember us-gaap:NondesignatedMember 2020-01-01 2020-06-30 0001574085 us-gaap:InterestRateCapMember us-gaap:NondesignatedMember 2020-06-30 0001574085 us-gaap:InterestRateFloorMember us-gaap:NondesignatedMember 2019-01-01 2019-06-30 0001574085 us-gaap:InterestRateFloorMember us-gaap:NondesignatedMember 2019-06-30 0001574085 us-gaap:InterestRateCapMember us-gaap:NondesignatedMember 2019-06-30 0001574085 srt:MinimumMember us-gaap:InterestRateFloorMember us-gaap:NondesignatedMember 2020-06-30 0001574085 us-gaap:InterestRateFloorMember us-gaap:NondesignatedMember 2020-06-30 0001574085 srt:MaximumMember us-gaap:InterestRateCapMember us-gaap:NondesignatedMember 2020-06-30 0001574085 us-gaap:InterestRateCapMember us-gaap:NondesignatedMember 2019-12-31 0001574085 srt:MaximumMember us-gaap:InterestRateCapMember us-gaap:NondesignatedMember 2019-12-31 0001574085 us-gaap:InterestRateFloorMember us-gaap:NondesignatedMember 2019-12-31 0001574085 srt:MinimumMember us-gaap:InterestRateCapMember us-gaap:NondesignatedMember 2019-12-31 0001574085 us-gaap:InterestRateCapMember us-gaap:NondesignatedMember 2020-06-30 0001574085 srt:MinimumMember us-gaap:InterestRateCapMember us-gaap:NondesignatedMember 2020-06-30 0001574085 srt:MinimumMember us-gaap:InterestRateFloorMember us-gaap:NondesignatedMember 2019-12-31 0001574085 srt:MaximumMember us-gaap:InterestRateFloorMember us-gaap:NondesignatedMember 2019-12-31 0001574085 srt:MaximumMember us-gaap:InterestRateFloorMember us-gaap:NondesignatedMember 2020-06-30 0001574085 us-gaap:CreditDefaultSwapMember 2020-06-30 0001574085 us-gaap:InterestRateCapMember us-gaap:DerivativeFinancialInstrumentsAssetsMember us-gaap:FairValueMeasurementsRecurringMember 2020-01-01 2020-06-30 0001574085 us-gaap:CreditDefaultSwapMember us-gaap:DerivativeFinancialInstrumentsAssetsMember us-gaap:FairValueMeasurementsRecurringMember 2020-01-01 2020-06-30 0001574085 us-gaap:InterestRateCapMember us-gaap:DerivativeFinancialInstrumentsAssetsMember us-gaap:FairValueMeasurementsRecurringMember 2019-01-01 2019-06-30 0001574085 us-gaap:InterestRateFloorMember us-gaap:FairValueMeasurementsRecurringMember 2020-04-01 2020-06-30 0001574085 us-gaap:CreditDefaultSwapMember us-gaap:FairValueMeasurementsRecurringMember 2020-01-01 2020-06-30 0001574085 us-gaap:InterestRateCapMember us-gaap:FairValueMeasurementsRecurringMember 2019-01-01 2019-06-30 0001574085 us-gaap:FairValueMeasurementsRecurringMember 2019-04-01 2019-06-30 0001574085 us-gaap:DerivativeMember us-gaap:FairValueMeasurementsRecurringMember 2020-04-01 2020-06-30 0001574085 us-gaap:CreditDefaultSwapMember us-gaap:DerivativeFinancialInstrumentsAssetsMember us-gaap:FairValueMeasurementsRecurringMember 2019-04-01 2019-06-30 0001574085 us-gaap:InterestRateFloorMember us-gaap:DerivativeFinancialInstrumentsAssetsMember us-gaap:FairValueMeasurementsRecurringMember 2020-01-01 2020-06-30 0001574085 us-gaap:DerivativeFinancialInstrumentsAssetsMember us-gaap:FairValueMeasurementsRecurringMember 2019-04-01 2019-06-30 0001574085 us-gaap:InterestRateFloorMember us-gaap:FairValueMeasurementsRecurringMember 2020-01-01 2020-06-30 0001574085 us-gaap:InterestRateFloorMember us-gaap:FairValueMeasurementsRecurringMember 2019-01-01 2019-06-30 0001574085 us-gaap:FairValueMeasurementsRecurringMember 2020-01-01 2020-06-30 0001574085 us-gaap:FairValueMeasurementsRecurringMember 2019-01-01 2019-06-30 0001574085 us-gaap:CreditDefaultSwapMember us-gaap:DerivativeFinancialInstrumentsAssetsMember us-gaap:FairValueMeasurementsRecurringMember 2019-01-01 2019-06-30 0001574085 bhr:AshfordInc.Member us-gaap:FairValueMeasurementsRecurringMember 2020-01-01 2020-06-30 0001574085 us-gaap:CreditDefaultSwapMember us-gaap:FairValueMeasurementsRecurringMember 2019-04-01 2019-06-30 0001574085 us-gaap:InterestRateFloorMember us-gaap:FairValueMeasurementsRecurringMember 2019-04-01 2019-06-30 0001574085 us-gaap:DerivativeMember us-gaap:FairValueMeasurementsRecurringMember 2019-01-01 2019-06-30 0001574085 us-gaap:InterestRateCapMember us-gaap:DerivativeFinancialInstrumentsAssetsMember us-gaap:FairValueMeasurementsRecurringMember 2020-04-01 2020-06-30 0001574085 us-gaap:DerivativeFinancialInstrumentsAssetsMember us-gaap:FairValueMeasurementsRecurringMember 2019-01-01 2019-06-30 0001574085 us-gaap:InterestRateFloorMember us-gaap:DerivativeFinancialInstrumentsAssetsMember us-gaap:FairValueMeasurementsRecurringMember 2019-01-01 2019-06-30 0001574085 us-gaap:InterestRateCapMember us-gaap:FairValueMeasurementsRecurringMember 2019-04-01 2019-06-30 0001574085 us-gaap:InterestRateFloorMember us-gaap:DerivativeFinancialInstrumentsAssetsMember us-gaap:FairValueMeasurementsRecurringMember 2019-04-01 2019-06-30 0001574085 bhr:AshfordInc.Member us-gaap:FairValueMeasurementsRecurringMember 2019-04-01 2019-06-30 0001574085 us-gaap:DerivativeMember us-gaap:FairValueMeasurementsRecurringMember 2019-04-01 2019-06-30 0001574085 us-gaap:DerivativeFinancialInstrumentsAssetsMember us-gaap:FairValueMeasurementsRecurringMember 2020-01-01 2020-06-30 0001574085 us-gaap:FairValueMeasurementsRecurringMember 2020-04-01 2020-06-30 0001574085 us-gaap:CreditDefaultSwapMember us-gaap:FairValueMeasurementsRecurringMember 2019-01-01 2019-06-30 0001574085 bhr:AshfordInc.Member us-gaap:FairValueMeasurementsRecurringMember 2020-04-01 2020-06-30 0001574085 bhr:AshfordInc.Member us-gaap:FairValueMeasurementsRecurringMember 2019-01-01 2019-06-30 0001574085 us-gaap:CreditDefaultSwapMember us-gaap:DerivativeFinancialInstrumentsAssetsMember us-gaap:FairValueMeasurementsRecurringMember 2020-04-01 2020-06-30 0001574085 us-gaap:InterestRateCapMember us-gaap:FairValueMeasurementsRecurringMember 2020-04-01 2020-06-30 0001574085 bhr:NonDerivativeAssetsMember us-gaap:FairValueMeasurementsRecurringMember 2019-04-01 2019-06-30 0001574085 us-gaap:DerivativeMember us-gaap:FairValueMeasurementsRecurringMember 2020-01-01 2020-06-30 0001574085 us-gaap:CreditDefaultSwapMember us-gaap:FairValueMeasurementsRecurringMember 2020-04-01 2020-06-30 0001574085 us-gaap:InterestRateCapMember us-gaap:DerivativeFinancialInstrumentsAssetsMember us-gaap:FairValueMeasurementsRecurringMember 2019-04-01 2019-06-30 0001574085 us-gaap:DerivativeFinancialInstrumentsAssetsMember us-gaap:FairValueMeasurementsRecurringMember 2020-04-01 2020-06-30 0001574085 us-gaap:InterestRateFloorMember us-gaap:DerivativeFinancialInstrumentsAssetsMember us-gaap:FairValueMeasurementsRecurringMember 2020-04-01 2020-06-30 0001574085 us-gaap:InterestRateCapMember us-gaap:FairValueMeasurementsRecurringMember 2020-01-01 2020-06-30 0001574085 bhr:NonDerivativeAssetsMember us-gaap:FairValueMeasurementsRecurringMember 2020-04-01 2020-06-30 0001574085 us-gaap:CreditDefaultSwapMember us-gaap:FairValueInputsLevel1Member us-gaap:FairValueMeasurementsRecurringMember 2019-12-31 0001574085 us-gaap:InterestRateFloorMember us-gaap:FairValueMeasurementsRecurringMember 2019-12-31 0001574085 us-gaap:CreditDefaultSwapMember us-gaap:FairValueInputsLevel2Member us-gaap:FairValueMeasurementsRecurringMember 2019-12-31 0001574085 us-gaap:CreditDefaultSwapMember us-gaap:FairValueMeasurementsRecurringMember 2019-12-31 0001574085 us-gaap:FairValueInputsLevel2Member us-gaap:FairValueMeasurementsRecurringMember 2019-12-31 0001574085 us-gaap:InterestRateCapMember us-gaap:FairValueInputsLevel3Member us-gaap:FairValueMeasurementsRecurringMember 2019-12-31 0001574085 us-gaap:CreditDefaultSwapMember us-gaap:FairValueInputsLevel3Member us-gaap:FairValueMeasurementsRecurringMember 2019-12-31 0001574085 us-gaap:FairValueMeasurementsRecurringMember 2019-12-31 0001574085 us-gaap:InterestRateCapMember us-gaap:FairValueMeasurementsRecurringMember 2019-12-31 0001574085 us-gaap:FairValueInputsLevel3Member us-gaap:FairValueMeasurementsRecurringMember 2019-12-31 0001574085 us-gaap:InterestRateFloorMember us-gaap:FairValueInputsLevel1Member us-gaap:FairValueMeasurementsRecurringMember 2019-12-31 0001574085 us-gaap:InterestRateCapMember us-gaap:FairValueInputsLevel2Member us-gaap:FairValueMeasurementsRecurringMember 2019-12-31 0001574085 us-gaap:InterestRateFloorMember us-gaap:FairValueInputsLevel2Member us-gaap:FairValueMeasurementsRecurringMember 2019-12-31 0001574085 us-gaap:InterestRateFloorMember us-gaap:FairValueInputsLevel3Member us-gaap:FairValueMeasurementsRecurringMember 2019-12-31 0001574085 us-gaap:InterestRateCapMember us-gaap:FairValueInputsLevel1Member us-gaap:FairValueMeasurementsRecurringMember 2019-12-31 0001574085 us-gaap:FairValueInputsLevel1Member us-gaap:FairValueMeasurementsRecurringMember 2019-12-31 0001574085 us-gaap:InterestRateCapMember us-gaap:FairValueMeasurementsRecurringMember 2020-06-30 0001574085 us-gaap:CreditDefaultSwapMember us-gaap:FairValueMeasurementsRecurringMember 2020-06-30 0001574085 us-gaap:InterestRateCapMember us-gaap:FairValueInputsLevel1Member us-gaap:FairValueMeasurementsRecurringMember 2020-06-30 0001574085 us-gaap:FairValueInputsLevel2Member us-gaap:FairValueMeasurementsRecurringMember 2020-06-30 0001574085 us-gaap:FairValueMeasurementsRecurringMember 2020-06-30 0001574085 us-gaap:CreditDefaultSwapMember us-gaap:FairValueInputsLevel2Member us-gaap:FairValueMeasurementsRecurringMember 2020-06-30 0001574085 us-gaap:FairValueInputsLevel1Member us-gaap:FairValueMeasurementsRecurringMember 2020-06-30 0001574085 us-gaap:FairValueInputsLevel3Member us-gaap:FairValueMeasurementsRecurringMember 2020-06-30 0001574085 us-gaap:CreditDefaultSwapMember us-gaap:FairValueInputsLevel3Member us-gaap:FairValueMeasurementsRecurringMember 2020-06-30 0001574085 us-gaap:InterestRateCapMember us-gaap:FairValueInputsLevel3Member us-gaap:FairValueMeasurementsRecurringMember 2020-06-30 0001574085 us-gaap:InterestRateCapMember us-gaap:FairValueInputsLevel2Member us-gaap:FairValueMeasurementsRecurringMember 2020-06-30 0001574085 us-gaap:CreditDefaultSwapMember us-gaap:FairValueInputsLevel1Member us-gaap:FairValueMeasurementsRecurringMember 2020-06-30 0001574085 us-gaap:CreditDefaultSwapMember us-gaap:DerivativeFinancialInstrumentsAssetsMember 2020-04-01 2020-06-30 0001574085 us-gaap:CreditDefaultSwapMember us-gaap:DerivativeFinancialInstrumentsAssetsMember 2019-01-01 2019-06-30 0001574085 us-gaap:CreditDefaultSwapMember us-gaap:DerivativeFinancialInstrumentsAssetsMember 2020-01-01 2020-06-30 0001574085 us-gaap:CreditDefaultSwapMember us-gaap:DerivativeFinancialInstrumentsAssetsMember 2019-04-01 2019-06-30 0001574085 srt:MinimumMember 2020-06-30 0001574085 srt:MaximumMember 2020-06-30 0001574085 srt:MinimumMember 2019-12-31 0001574085 srt:MaximumMember 2019-12-31 0001574085 us-gaap:RestrictedStockMember 2020-04-01 2020-06-30 0001574085 us-gaap:PerformanceSharesMember 2020-01-01 2020-06-30 0001574085 us-gaap:PerformanceSharesMember 2020-04-01 2020-06-30 0001574085 us-gaap:PerformanceSharesMember 2019-01-01 2019-06-30 0001574085 us-gaap:RestrictedStockMember 2019-04-01 2019-06-30 0001574085 us-gaap:PerformanceSharesMember 2019-04-01 2019-06-30 0001574085 us-gaap:RestrictedStockMember 2019-01-01 2019-06-30 0001574085 us-gaap:RestrictedStockMember 2020-01-01 2020-06-30 0001574085 bhr:OperatingPartnershipUnitsMember 2020-01-01 2020-06-30 0001574085 bhr:AdvisoryServicesIncentiveFeeSharesMember 2020-01-01 2020-06-30 0001574085 us-gaap:SeriesBPreferredStockMember 2019-04-01 2019-06-30 0001574085 us-gaap:SeriesBPreferredStockMember 2020-01-01 2020-06-30 0001574085 bhr:OperatingPartnershipUnitsMember 2019-04-01 2019-06-30 0001574085 us-gaap:SeriesBPreferredStockMember 2020-04-01 2020-06-30 0001574085 us-gaap:PerformanceSharesMember 2019-04-01 2019-06-30 0001574085 us-gaap:RestrictedStockMember 2019-01-01 2019-06-30 0001574085 us-gaap:PerformanceSharesMember 2019-01-01 2019-06-30 0001574085 bhr:AdvisoryServicesIncentiveFeeSharesMember 2020-04-01 2020-06-30 0001574085 us-gaap:PerformanceSharesMember 2020-04-01 2020-06-30 0001574085 us-gaap:RestrictedStockMember 2020-01-01 2020-06-30 0001574085 bhr:AdvisoryServicesIncentiveFeeSharesMember 2019-04-01 2019-06-30 0001574085 us-gaap:PerformanceSharesMember 2020-01-01 2020-06-30 0001574085 us-gaap:RestrictedStockMember 2020-04-01 2020-06-30 0001574085 us-gaap:SeriesBPreferredStockMember 2019-01-01 2019-06-30 0001574085 bhr:OperatingPartnershipUnitsMember 2020-04-01 2020-06-30 0001574085 bhr:AdvisoryServicesIncentiveFeeSharesMember 2019-01-01 2019-06-30 0001574085 us-gaap:RestrictedStockMember 2019-04-01 2019-06-30 0001574085 bhr:OperatingPartnershipUnitsMember 2019-01-01 2019-06-30 0001574085 bhr:BraemarHotelsResortsInc.Member 2020-01-01 2020-06-30 0001574085 bhr:BraemarHotelsResortsInc.Member 2019-01-01 2019-12-31 0001574085 bhr:OperatingPartnershipUnitsMember 2020-01-01 2020-06-30 0001574085 bhr:OperatingPartnershipUnitsMember 2019-04-01 2019-06-30 0001574085 bhr:OperatingPartnershipUnitsMember 2019-01-01 2019-06-30 0001574085 bhr:OperatingPartnershipUnitsMember 2020-04-01 2020-06-30 0001574085 bhr:LongTermIncentivePlanUnitsMember 2020-05-01 2020-05-31 0001574085 srt:DirectorMember bhr:May2020Grant2Member bhr:LongTermIncentivePlanUnitsMember 2020-05-22 2020-05-22 0001574085 srt:DirectorMember bhr:May2020Grant1Member bhr:LongTermIncentivePlanUnitsMember 2020-05-31 0001574085 bhr:PerformanceLongTermIncentivePlanUnitsMember 2020-03-01 2020-03-31 0001574085 bhr:LongTermIncentivePlanUnitsMember 2020-03-01 2020-03-31 0001574085 srt:DirectorMember bhr:May2020Grant1Member bhr:LongTermIncentivePlanUnitsMember 2020-05-01 2020-05-31 0001574085 srt:MinimumMember bhr:PerformanceLongTermIncentivePlanUnitsMember 2020-01-01 2020-06-30 0001574085 srt:MaximumMember bhr:PerformanceLongTermIncentivePlanUnitsMember 2020-01-01 2020-06-30 0001574085 bhr:LongTermIncentivePlanUnitsMember 2020-06-30 0001574085 bhr:PerformanceLongTermIncentivePlanUnitsMember 2020-06-30 0001574085 srt:DirectorMember bhr:May2020Grant2Member bhr:LongTermIncentivePlanUnitsMember 2020-05-22 0001574085 bhr:PerformanceLongTermIncentivePlanUnitsMember 2020-03-31 0001574085 bhr:LongTermIncentivePlanUnitsMember 2020-01-01 2020-06-30 0001574085 bhr:StockRepurchaseProgramMember 2017-12-05 0001574085 us-gaap:PerformanceSharesMember 2020-03-01 2020-03-31 0001574085 bhr:StockRepurchaseProgramMember 2017-12-11 0001574085 srt:MinimumMember us-gaap:PerformanceSharesMember 2020-01-01 2020-06-30 0001574085 srt:DirectorMember bhr:May2020Grant1Member bhr:NonEmployeeRestrictedStockMember 2020-05-31 0001574085 srt:DirectorMember bhr:May2020Grant2Member bhr:NonEmployeeRestrictedStockMember 2020-05-22 0001574085 srt:DirectorMember bhr:May2020Grant1Member bhr:NonEmployeeRestrictedStockMember 2020-05-01 2020-05-31 0001574085 us-gaap:PerformanceSharesMember 2020-06-30 0001574085 bhr:StockRepurchaseProgramMember 2020-06-30 0001574085 srt:DirectorMember bhr:May2020Grant2Member bhr:NonEmployeeRestrictedStockMember 2020-05-22 2020-05-22 0001574085 srt:MaximumMember us-gaap:PerformanceSharesMember 2020-01-01 2020-06-30 0001574085 us-gaap:RestrictedStockMember 2020-03-01 2020-03-31 0001574085 bhr:StockRepurchaseProgramMember 2020-01-01 2020-06-30 0001574085 us-gaap:CommonStockMember 2019-01-01 2019-06-30 0001574085 us-gaap:CommonStockMember 2019-04-01 2019-06-30 0001574085 us-gaap:CommonStockMember 2020-04-01 2020-06-30 0001574085 bhr:StockRepurchaseProgramMember 2019-01-01 2019-06-30 0001574085 bhr:StockRepurchaseProgramMember 2019-04-01 2019-06-30 0001574085 bhr:StockRepurchaseProgramMember 2020-04-01 2020-06-30 0001574085 srt:MaximumMember bhr:EquityDistributionAgreementsWithSalesAgentsMember 2019-12-04 2019-12-04 0001574085 bhr:EquityDistributionAgreementsWithSalesAgentsMember 2019-12-04 2019-12-04 0001574085 srt:MinimumMember us-gaap:SeriesBPreferredStockMember 2020-06-30 0001574085 us-gaap:SeriesBPreferredStockMember us-gaap:PreferredStockMember 2020-04-01 2020-06-30 0001574085 bhr:AshfordInc.Member 2020-04-01 2020-06-30 0001574085 bhr:LismoreCapitalMember srt:SubsidiariesMember 2020-06-30 0001574085 bhr:AshfordLLCMember 2019-01-15 2019-01-15 0001574085 bhr:LismoreCapitalMember srt:SubsidiariesMember 2020-03-20 2020-03-20 0001574085 bhr:LismoreCapitalMember 2020-03-20 0001574085 bhr:AshfordInc.Member 2019-10-01 2019-12-31 0001574085 bhr:AshfordLLCMember 2019-01-15 0001574085 2018-08-08 2018-08-08 0001574085 bhr:RemingtonLodgingMember srt:MinimumMember bhr:ManagementFeesMember 2020-01-01 2020-06-30 0001574085 bhr:AshfordLLCMember srt:MaximumMember 2019-01-15 0001574085 2018-08-08 0001574085 bhr:LismoreCapitalMember srt:SubsidiariesMember 2020-01-01 2020-06-30 0001574085 bhr:AshfordInc.Member us-gaap:OtherAssetsMember 2019-12-31 0001574085 bhr:LismoreCapitalMember bhr:SuccessFeesMember srt:SubsidiariesMember 2020-03-20 2020-03-20 0001574085 bhr:LismoreCapitalMember 2020-03-20 2020-03-20 0001574085 srt:MinimumMember bhr:ManagementFeesMember 2019-01-01 2019-11-05 0001574085 bhr:AshfordInc.Member srt:MaximumMember 2019-09-25 2019-09-25 0001574085 bhr:AshfordTrustMember bhr:AshfordInc.Member 2020-01-01 2020-06-30 0001574085 bhr:RemingtonLodgingMember srt:MinimumMember bhr:ManagementFeesMember 2019-01-01 2019-11-05 0001574085 bhr:AshfordInc.Member 2020-01-01 2020-06-30 0001574085 bhr:AshfordInc.Member us-gaap:OtherAssetsMember 2020-06-30 0001574085 bhr:AshfordLLCMember bhr:ReimbursableExpensesMember srt:AffiliatedEntityMember 2019-04-01 2019-06-30 0001574085 bhr:AshfordLLCMember srt:AffiliatedEntityMember 2019-01-01 2019-06-30 0001574085 bhr:AshfordLLCMember bhr:BaseFeeMember srt:AffiliatedEntityMember 2020-01-01 2020-06-30 0001574085 bhr:AshfordLLCMember bhr:ReimbursableExpensesMember srt:AffiliatedEntityMember 2020-04-01 2020-06-30 0001574085 bhr:AshfordLLCMember bhr:ReimbursableExpensesMember srt:AffiliatedEntityMember 2020-01-01 2020-06-30 0001574085 bhr:AshfordLLCMember bhr:EquityBasedCompensationMember srt:AffiliatedEntityMember 2019-04-01 2019-06-30 0001574085 bhr:AshfordLLCMember bhr:EquityBasedCompensationMember srt:AffiliatedEntityMember 2019-01-01 2019-06-30 0001574085 bhr:AshfordLLCMember srt:AffiliatedEntityMember 2019-04-01 2019-06-30 0001574085 bhr:AshfordLLCMember bhr:EquityBasedCompensationMember srt:AffiliatedEntityMember 2020-04-01 2020-06-30 0001574085 bhr:AshfordLLCMember bhr:IncentiveManagementFeeMember srt:AffiliatedEntityMember 2020-01-01 2020-06-30 0001574085 bhr:AshfordLLCMember bhr:IncentiveManagementFeeMember srt:AffiliatedEntityMember 2019-04-01 2019-06-30 0001574085 bhr:AshfordLLCMember bhr:IncentiveManagementFeeMember srt:AffiliatedEntityMember 2020-04-01 2020-06-30 0001574085 bhr:AshfordLLCMember bhr:EquityBasedCompensationMember srt:AffiliatedEntityMember 2020-01-01 2020-06-30 0001574085 bhr:AshfordLLCMember bhr:BaseFeeMember srt:AffiliatedEntityMember 2020-04-01 2020-06-30 0001574085 bhr:AshfordLLCMember bhr:ReimbursableExpensesMember srt:AffiliatedEntityMember 2019-01-01 2019-06-30 0001574085 bhr:AshfordLLCMember bhr:IncentiveManagementFeeMember srt:AffiliatedEntityMember 2019-01-01 2019-06-30 0001574085 bhr:AshfordLLCMember bhr:BaseFeeMember srt:AffiliatedEntityMember 2019-04-01 2019-06-30 0001574085 bhr:AshfordLLCMember srt:AffiliatedEntityMember 2020-04-01 2020-06-30 0001574085 bhr:AshfordLLCMember srt:AffiliatedEntityMember 2020-01-01 2020-06-30 0001574085 bhr:AshfordLLCMember bhr:BaseFeeMember srt:AffiliatedEntityMember 2019-01-01 2019-06-30 0001574085 srt:MinimumMember bhr:ManagementFeesMember 2020-01-01 2020-06-30 0001574085 us-gaap:PendingLitigationMember 2020-06-30 0001574085 us-gaap:PendingLitigationMember us-gaap:SubsequentEventMember 2020-07-20 0001574085 srt:MinimumMember us-gaap:PendingLitigationMember 2020-06-30 0001574085 srt:MaximumMember bhr:RestrictedCashMember 2020-01-01 2020-06-30 0001574085 srt:MaximumMember bhr:ManagementFeesMember 2020-01-01 2020-06-30 0001574085 srt:MinimumMember bhr:ManagementFeesMember 2020-01-01 2020-06-30 0001574085 srt:MinimumMember bhr:RestrictedCashMember 2020-01-01 2020-06-30 0001574085 srt:MaximumMember us-gaap:PendingLitigationMember 2020-06-30 0001574085 srt:DirectorMember bhr:COVID19Member 2020-03-16 0001574085 srt:DirectorMember us-gaap:SubsequentEventMember bhr:COVID19Member 2020-08-06 bhr:contract iso4217:USD xbrli:shares iso4217:USD xbrli:pure bhr:hotel bhr:state xbrli:shares bhr:installment bhr:extension bhr:management_company bhr:segment bhr:day

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

FORM 10-Q



☑	QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended June 30, 2020



☐	TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from ________________ to ________________

Commission file number: 001-35972

BRAEMAR HOTELS & RESORTS INC.

(Exact name of registrant as specified in its charter)



Maryland		46-2488594
(State or other jurisdiction of incorporation or organization)		(IRS employer identification number)

14185 Dallas Parkway
Suite 1100
Dallas
Texas		75254
(Address of principal executive offices)		(Zip code)

(972) 490-9600

(Registrant’s telephone number, including area code)

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. ☑ Yes ☐ No

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). ☑ Yes ☐ No

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “small reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.



Large accelerated filer	☐	Accelerated filer	☑
Non-accelerated filer	☐	Smaller reporting company	☑
		Emerging growth company	☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). ☐ Yes ☑ No

Securities registered pursuant to Section 12(b) of the Act:



Title of each class	Trading Symbol(s)	Name of each exchange on which registered
Common Stock	BHR	New York Stock Exchange
Preferred Stock, Series B	BHR-PB	New York Stock Exchange
Preferred Stock, Series D	BHR-PD	New York Stock Exchange

Indicate the number of shares outstanding of each of the issuer’s classes of common stock, as of the latest practicable date.



Common Stock, $0.01 par value per share		33,528,000
(Class)		Outstanding at August 4, 2020

BRAEMAR HOTELS & RESORTS INC.

FORM 10-Q

FOR THE QUARTER ENDED JUNE 30, 2020

TABLE OF CONTENTS



PART I. FINANCIAL INFORMATION
ITEM 1. FINANCIAL STATEMENTS (unaudited)
Condensed Consolidated Balance Sheets as of June 30, 2020 and December 31, 2019	2
Condensed Consolidated Statements of Operations for the Three and Six Months Ended June 30, 2020 and 2019	3
Condensed Consolidated Statements of Comprehensive Income (Loss) for the Three and Six Months Ended June 30, 2020 and 2019	4
Condensed Consolidated Statements of Equity for the Three and Six Months Ended June 30, 2020 and 2019	5
Condensed Consolidated Statements of Cash Flows for the Six Months Ended June 30, 2020 and 2019	8
Notes to Condensed Consolidated Financial Statements	10
ITEM 2. MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS	32
ITEM 3. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK	56
ITEM 4. CONTROLS AND PROCEDURES	57
PART II. OTHER INFORMATION
ITEM 1. LEGAL PROCEEDINGS	57
ITEM 1A. RISK FACTORS	58
ITEM 2. UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS	62
ITEM 3. DEFAULTS UPON SENIOR SECURITIES	62
ITEM 4. MINE SAFETY DISCLOSURES	62
ITEM 5. OTHER INFORMATION	62
ITEM 6. EXHIBITS	63
SIGNATURES	64

Table of Contents

PART I. FINANCIAL INFORMATION

ITEM 1. FINANCIAL STATEMENTS (unaudited)

BRAEMAR HOTELS & RESORTS INC. AND SUBSIDIARIES

CONDENSED CONSOLIDATED BALANCE SHEETS

(unaudited, in thousands, except share and per share amounts)



	June 30, 2020			December 31, 2019
ASSETS
Investments in hotel properties, gross	$	1,786,366		$	1,791,174
Accumulated depreciation	(338,186		)	(309,752		)
Investments in hotel properties, net	1,448,180			1,481,422
Cash and cash equivalents	102,568			71,995
Restricted cash	41,464			58,388
Accounts receivable, net of allowance of $187 and $153, respectively	7,747			19,053
Inventories	2,611			2,794
Prepaid expenses	5,338			4,992
Investment in unconsolidated entity	1,845			1,899
Derivative assets	756			582
Operating lease right-of-use assets	81,913			82,596
Other assets	14,971			13,018
Intangible assets, net	4,830			5,019
Due from related parties, net	887			551
Due from third-party hotel managers	8,867			16,638
Total assets	$	1,721,977		$	1,758,947
LIABILITIES AND EQUITY
Liabilities:
Indebtedness, net	$	1,123,313		$	1,058,486
Accounts payable and accrued expenses	69,821			94,919
Dividends and distributions payable	3,208			9,143
Due to Ashford Inc.	2,694			4,344
Due to third-party hotel managers	971			1,685
Operating lease liabilities	61,010			61,118
Other liabilities	19,410			17,508
Total liabilities	1,280,427			1,247,203
Commitments and contingencies (note 15)
5.50% Series B cumulative convertible preferred stock, $0.01 par value, 5,031,473 and 5,008,421 shares issued and outstanding at June 30, 2020 and December 31, 2019	107,352			106,920
Redeemable noncontrolling interests in operating partnership	32,060			41,570
Equity:
Preferred stock, $0.01 value, 80,000,000 shares authorized:
Series D cumulative preferred stock, 1,600,000 shares issued and outstanding at June 30, 2020 and December 31, 2019	16			16
Common stock, $0.01 par value, 250,000,000 shares authorized, 33,528,000 and 32,885,217 shares issued and outstanding at June 30, 2020 and December 31, 2019, respectively	335			329
Additional paid-in capital	525,846			519,551
Accumulated deficit	(212,431		)	(150,629		)
Total stockholders’ equity of the Company	313,766			369,267
Noncontrolling interest in consolidated entities	(11,628		)	(6,013		)
Total equity	302,138			363,254
Total liabilities and equity	$	1,721,977		$	1,758,947

See Notes to Condensed Consolidated Financial Statements.

Table of Contents

BRAEMAR HOTELS & RESORTS INC. AND SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

(unaudited, in thousands, except per share amounts)



	Three Months Ended June 30,						Six Months Ended June 30,
	2020			2019			2020			2019
REVENUE
Rooms	$	6,533		$	75,121		$	77,001		$	151,852
Food and beverage	2,077			25,790			30,880			57,904
Other	4,285			17,605			22,534			37,268
Total hotel revenue	12,895			118,516			130,415			247,024
Other	—			—			—			5
Total revenue	12,895			118,516			130,415			247,029
EXPENSES
Hotel operating expenses:
Rooms	3,445			16,833			21,325			33,815
Food and beverage	3,649			19,394			27,550			41,604
Other expenses	12,979			36,335			55,069			75,230
Management fees	466			4,166			4,343			8,582
Total hotel operating expenses	20,539			76,728			108,287			159,231
Property taxes, insurance and other	7,244			5,206			14,904			12,666
Depreciation and amortization	18,553			18,474			36,891			35,160
Advisory services fee	4,901			4,397			9,970			10,421
Transaction costs	—			70			—			704
Corporate general and administrative	1,513			932			3,445			2,058
Total expenses	52,750			105,807			173,497			220,240
Gain (loss) on disposition of assets	—			9			—			9
OPERATING INCOME (LOSS)	(39,855		)	12,718			(43,082		)	26,798
Equity in earnings (loss) of unconsolidated entity	(40		)	(51		)	(80		)	(101		)
Interest income	24			287			153			649
Other income (expense)	(64		)	(139		)	(202		)	(256		)
Interest expense and amortization of loan costs	(12,797		)	(14,055		)	(24,694		)	(28,248		)
Write-off of loan costs and exit fees	(2,237		)	—			(2,237		)	(312		)
Unrealized gain (loss) on investment in Ashford Inc.	—			(4,626		)	—			(3,919		)
Unrealized gain (loss) on derivatives	(969		)	654			187			(218		)
INCOME (LOSS) BEFORE INCOME TAXES	(55,938		)	(5,212		)	(69,955		)	(5,607		)
Income tax (expense) benefit	4,447			(411		)	3,077			(1,338		)
NET INCOME (LOSS)	(51,491		)	(5,623		)	(66,878		)	(6,945		)
(Income) loss attributable to noncontrolling interest in consolidated entities	2,404			248			2,976			149
Net (income) loss attributable to redeemable noncontrolling interests in operating partnership	5,297			865			7,182			1,305
NET INCOME (LOSS) ATTRIBUTABLE TO THE COMPANY	(43,790		)	(4,510		)	(56,720		)	(5,491		)
Preferred dividends	(2,555		)	(2,532		)	(5,110		)	(5,064		)
NET INCOME (LOSS) ATTRIBUTABLE TO COMMON STOCKHOLDERS	$	(46,345	)	$	(7,042	)	$	(61,830	)	$	(10,555	)
INCOME (LOSS) PER SHARE - BASIC:
Net income (loss) attributable to common stockholders	$	(1.41	)	$	(0.22	)	$	(1.89	)	$	(0.34	)
Weighted average common shares outstanding – basic	32,907			32,307			32,688			32,213
INCOME (LOSS) PER SHARE - DILUTED:
Net income (loss) attributable to common stockholders	$	(1.41	)	$	(0.22	)	$	(1.89	)	$	(0.34	)
Weighted average common shares outstanding – diluted	32,907			32,307			32,688			32,213

See Notes to Condensed Consolidated Financial Statements.

Table of Contents

BRAEMAR HOTELS & RESORTS INC. AND SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS)

(unaudited, in thousands)



	Three Months Ended June 30,						Six Months Ended June 30,
	2020			2019			2020			2019
NET INCOME (LOSS)	$	(51,491	)	$	(5,623	)	$	(66,878	)	$	(6,945	)
OTHER COMPREHENSIVE INCOME (LOSS), NET OF TAX
Total other comprehensive income (loss)	—			—			—			—
TOTAL COMPREHENSIVE INCOME (LOSS)	(51,491		)	(5,623		)	(66,878		)	(6,945		)
Comprehensive (income) loss attributable to noncontrolling interest in consolidated entities	2,404			248			2,976			149
Comprehensive (income) loss attributable to redeemable noncontrolling interests in operating partnership	5,297			865			7,182			1,305
COMPREHENSIVE INCOME (LOSS) ATTRIBUTABLE TO THE COMPANY	$	(43,790	)	$	(4,510	)	$	(56,720	)	$	(5,491	)

See Notes to Condensed Consolidated Financial Statements.

Table of Contents

BRAEMAR HOTELS & RESORTS INC. AND SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENTS OF EQUITY

(unaudited, in thousands except per share amounts)



	8.25% Series D Cumulative Preferred Stock			Common Stock				Additional Paid-in Capital			Accumulated Deficit			Noncontrolling Interest in Consolidated Entities			Total			5.50% Series B Cumulative Convertible Preferred Stock			Redeemable Noncontrolling Interests in Operating Partnership
	Shares	Amount		Shares		Amount		Additional Paid-in Capital			Accumulated Deficit			Noncontrolling Interest in Consolidated Entities			Total			Shares	Amount
Balance at March 31, 2020	1,600	$	16	33,511		$	335	$	524,341		$	(166,108	)	$	(9,224	)	$	349,360		5,031	$	107,352	$	36,786
Purchase of common stock	—	—		(15	)	—		(42		)	—			—			(42		)	—	—		—
Equity-based compensation	—	—		—		—		1,499			—			—			1,499			—	—		549
Issuance of restricted shares/units	—	—		35		—		48			—			—			48			—	—		44
Forfeiture of restricted common shares	—	—		(3	)	—		—			—			—			—			—	—		—
Dividends declared – preferred stock - Series B ($0.34/share)	—	—		—		—		—			(1,730		)	—			(1,730		)	—	—		—
Dividends declared – preferred stock - Series D ($0.52/share)	—	—		—		—		—			(825		)	—			(825		)	—	—		—
Net income (loss)	—	—		—		—		—			(43,790		)	(2,404		)	(46,194		)	—	—		(5,297		)
Redemption value adjustment	—	—		—		—		—			22			—			22			—	—		(22		)
Balance at June 30, 2020	1,600	$	16	33,528		$	335	$	525,846		$	(212,431	)	$	(11,628	)	$	302,138		5,031	$	107,352	$	32,060



	8.25% Series D Cumulative Preferred Stock			Common Stock				Additional Paid-in Capital			Accumulated Deficit			Noncontrolling Interest in Consolidated Entities			Total			5.50% Series B Cumulative Convertible Preferred Stock			Redeemable Noncontrolling Interests in Operating Partnership
	Shares	Amount		Shares		Amount		Additional Paid-in Capital			Accumulated Deficit			Noncontrolling Interest in Consolidated Entities			Total			Shares	Amount
Balance at December 31, 2019	1,600	$	16	32,885		$	329	$	519,551		$	(150,629	)	$	(6,013	)	$	363,254		5,008	$	106,920	$	41,570
Purchase of common stock	—	—		(35	)	—		(124		)	—			—			(124		)	—	—		—
Equity-based compensation	—	—		—		—		2,923			—			—			2,923			—	—		1,110
Issuance of preferred stock	—	—		—		—		—			—			—			—			23	432		—
Issuance of restricted shares/units	—	—		346		3		45			—			—			48			—	—		44
Forfeiture of restricted common shares	—	—		(7	)	—		—			—			—			—			—	—		—
Dividends declared – preferred stock - Series B ($0.69/share)	—	—		—		—		—			(3,460		)	—			(3,460		)	—	—		—
Dividends declared – preferred stock - Series D ($1.03/share)	—	—		—		—		—			(1,650		)	—			(1,650		)	—	—		—
Distributions to noncontrolling interests	—	—		—		—		—			—			(2,639		)	(2,639		)	—	—		—
Redemption/conversion of operating partnership units	—	—		339		3		3,451			—			—			3,454			—	—		(3,454		)
Net income (loss)	—	—		—		—		—			(56,720		)	(2,976		)	(59,696		)	—	—		(7,182		)
Redemption value adjustment	—	—		—		—		—			28			—			28			—	—		(28		)
Balance at June 30, 2020	1,600	$	16	33,528		$	335	$	525,846		$	(212,431	)	$	(11,628	)	$	302,138		5,031	$	107,352	$	32,060

Table of Contents



	8.25% Series D Cumulative Preferred Stock			Common Stock				Additional Paid-in Capital			Accumulated Deficit			Noncontrolling Interest in Consolidated Entities			Total			5.50% Series B Cumulative Convertible Preferred Stock			Redeemable Noncontrolling Interests in Operating Partnership
	Shares	Amount		Shares		Amount		Additional Paid-in Capital			Accumulated Deficit			Noncontrolling Interest in Consolidated Entities			Total			Shares	Amount
Balance at March 31, 2019	1,600	$	16	32,841		$	328	$	514,739		$	(132,575	)	$	(5,292	)	$	377,216		4,966	$	106,123	$	51,010
Purchase of common stock	—	—		(13	)	—		(182		)	—			—			(182		)	—	—		—
Equity-based compensation	—	—		—		—		1,377			—			—			1,377			—	—		644
Forfeiture of restricted common shares	—	—		(3	)	—		—			—			—			—			—	—		—
Dividends declared – common stock ($0.16/share)	—	—		—		—		—			(5,336		)	—			(5,336		)	—	—		—
Dividends declared – preferred stock - Series B ($0.34/share)	—	—		—		—		—			(1,707		)	—			(1,707		)	—	—		—
Dividends declared – preferred stock-Series D ($0.52/share)	—	—		—		—		—			(825		)	—			(825		)	—	—		—
Distributions to noncontrolling interests	—	—		—		—		—			—			—			—			—	—		(769		)
Redemption/conversion of operating partnership units	—	—		55		1		766			—			—			767			—	—		(767		)
Net income (loss)	—	—		—		—		—			(4,510		)	(248		)	(4,758		)	—	—		(865		)
Redemption value adjustment	—	—		—		—		—			7,178			—			7,178			—	—		(7,178		)
Balance at June 30, 2019	1,600	$	16	32,880		$	329	$	516,700		$	(137,775	)	$	(5,540	)	$	373,730		4,966	$	106,123	$	42,075

Table of Contents



	8.25% Series D Cumulative Preferred Stock			Common Stock				Additional Paid-in Capital			Accumulated Deficit			Noncontrolling Interest in Consolidated Entities			Total			5.50% Series B Cumulative Convertible Preferred Stock			Redeemable Noncontrolling Interests in Operating Partnership
	Shares	Amount		Shares		Amount		Additional Paid-in Capital			Accumulated Deficit			Noncontrolling Interest in Consolidated Entities			Total			Shares	Amount
Balance at December 31, 2018	1,600	$	16	32,512		$	325	$	512,545		$	(115,410	)	$	(5,391	)	$	392,085		4,966	$	106,123	$	44,885
Impact of adoption of new accounting standard	—	—		—		—		—			(103		)	—			(103		)	—	—		—
Purchase of common stock	—	—		(30	)	—		(384		)	—			—			(384		)	—	—		—
Equity-based compensation	—	—		—		—		2,355			—			—			2,355			—	—		1,194
Preferred stock offering costs	—	—		—		—		(13		)	—			—			(13		)	—	—		—
Issuance of restricted shares/units	—	—		237		2		(2		)	—			—			—			—	—		7
Forfeiture of restricted common shares	—	—		(4	)	—		—			—			—			—			—	—		—
Dividends declared – common stock ($0.32/share)	—	—		—		—		—			(10,665		)	—			(10,665		)	—	—		—
Dividends declared – preferred stock - Series B ($0.69/share)	—	—		—		—		—			(3,414		)	—			(3,414		)	—	—		—
Dividends declared – preferred stock-Series D ($1.03/share)	—	—		—		—		—			(1,650		)	—			(1,650		)	—	—		—
Distributions to noncontrolling interests	—	—		—		—		—			—			—			—			—	—		(1,547		)
Redemption/conversion of operating partnership units	—	—		165		2		2,199			—			—			2,201			—	—		(2,201		)
Net income (loss)	—	—		—		—		—			(5,491		)	(149		)	(5,640		)	—	—		(1,305		)
Redemption value adjustment	—	—		—		—		—			(1,042		)	—			(1,042		)	—	—		1,042
Balance at June 30, 2019	1,600	$	16	32,880		$	329	$	516,700		$	(137,775	)	$	(5,540	)	$	373,730		4,966	$	106,123	$	42,075

See Notes to Condensed Consolidated Financial Statements.

Table of Contents

BRAEMAR HOTELS & RESORTS INC. AND SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

(unaudited, in thousands)



	Six Months Ended June 30,
	2020			2019
CASH FLOWS FROM OPERATING ACTIVITIES
Net income (loss)	$	(66,878	)	$	(6,945	)
Adjustments to reconcile net income (loss) to net cash flows provided by (used in) operating activities:
Depreciation and amortization	36,891			35,160
Equity-based compensation	4,033			3,549
Bad debt expense	439			166
Amortization of loan costs	2,018			2,201
Write-off of loan costs and exit fees	2,237			312
Amortization of intangibles	414			237
Amortization of non-refundable membership initiation fees	(173		)	(67		)
Interest expense accretion on refundable membership club deposits	415			438
(Gain) loss on disposition of assets	—			(9		)
Unrealized (gain) loss on investment in Ashford Inc.	—			3,919
Realized and unrealized (gain) loss on derivatives	(112		)	358
Net settlement of trading derivatives	30			(175		)
Equity in (earnings) loss of unconsolidated entity	80			101
Deferred income tax expense (benefit)	(734		)	592
Changes in operating assets and liabilities, exclusive of the effects of hotel acquisition:
Accounts receivable and inventories	10,027			(5,325		)
Prepaid expenses and other assets	(1,677		)	(3,147		)
Accounts payable and accrued expenses	(16,287		)	6,336
Operating lease right-of-use assets	269			170
Due to/from related parties, net	(336		)	(1,099		)
Due to/from third-party hotel managers	7,057			1,066
Due to/from Ashford Inc.	(971		)	(381		)
Operating lease liabilities	(108		)	(86		)
Other liabilities	80			(4,892		)
Net cash provided by (used in) operating activities	(23,286		)	32,479

CASH FLOWS FROM INVESTING ACTIVITIES
Proceeds from property insurance	2,528			—
Acquisition of hotel properties, net of cash and restricted cash acquired	—			(111,751		)
Investment in unconsolidated entity	(26		)	(156		)
Net proceeds from disposition of assets	—			1,420
Improvements and additions to hotel properties	(12,294		)	(72,707		)
Net cash provided by (used in) investing activities	(9,792		)	(183,194		)

CASH FLOWS FROM FINANCING ACTIVITIES
Borrowings on indebtedness	109,317			249,000
Repayments of indebtedness	(44,317		)	(187,086		)
Payments of loan costs and exit fees	(4,941		)	(2,440		)
Payments for derivatives	(92		)	(62		)
Purchase of common stock	(30		)	(202		)
Payments for dividends and distributions	(11,045		)	(16,456		)
Proceeds from issuance of preferred stock	474			—
Preferred stock offering costs	—			(110		)
Distributions to noncontrolling interest in consolidated entities	(2,639		)	—
Other	—			7
Net cash provided by (used in) financing activities	46,727			42,651
Net change in cash, cash equivalents and restricted cash	13,649			(108,064		)
Cash, cash equivalents and restricted cash at beginning of period	130,383			258,488
Cash, cash equivalents and restricted cash at end of period	$	144,032		$	150,424

SUPPLEMENTAL CASH FLOW INFORMATION
Interest paid	$	16,060		$	25,427
Income taxes paid (refunded)	775			(494		)
SUPPLEMENTAL DISCLOSURE OF NON-CASH INVESTING AND FINANCING ACTIVITIES
Common stock purchases accrued but not paid	$	42		$	182
Dividends and distributions declared but not paid	3,208			9,334
Capital expenditures accrued but not paid	9,685			16,396
Accrued preferred stock offering expenses	17			—

Table of Contents



	Six Months Ended June 30,
	2020		2019
SUPPLEMENTAL DISCLOSURE OF CASH, CASH EQUIVALENTS AND RESTRICTED CASH
Cash and cash equivalents at beginning of period	$	71,995	$	182,578
Restricted cash at beginning of period	58,388		75,910
Cash, cash equivalents and restricted cash at beginning of period	$	130,383	$	258,488

Cash and cash equivalents at end of period	$	102,568	$	80,360
Restricted cash at end of period	41,464		70,064
Cash, cash equivalents and restricted cash at end of period	$	144,032	$	150,424

See Notes to Condensed Consolidated Financial Statements.

Table of Contents

BRAEMAR HOTELS & RESORTS INC. AND SUBSIDIARIES

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(unaudited)

1. Organization and Description of Business

Braemar Hotels & Resorts Inc., together with its subsidiaries (“Braemar”), is a Maryland corporation that invests primarily in high revenue per available room (“RevPAR”) luxury hotels and resorts. High RevPAR, for purposes of our investment strategy, means RevPAR of at least twice the then-current U.S. national average RevPAR for all hotels as determined by Smith Travel Research. Braemar has elected to be taxed as a real estate investment trust (“REIT”) under the Internal Revenue Code of 1986, as amended (the “Code”). Braemar conducts its business and owns substantially all of its assets through its operating partnership, Braemar Hospitality Limited Partnership (“Braemar OP”). In this report, the terms the “Company,” “we,” “us” or “our” refers to Braemar Hotels & Resorts Inc. and, as the context may require, all entities included in its condensed consolidated financial statements.

We are advised by Ashford Hospitality Advisors LLC (“Ashford LLC” or the “Advisor”) through an advisory agreement. Ashford LLC is a subsidiary of Ashford Inc. All of the hotel properties in our portfolio are currently asset-managed by Ashford LLC. We do not have any employees. All of the services that might be provided by employees are provided to us by Ashford LLC.

We do not operate any of our hotel properties directly; instead we employ hotel management companies to operate them for us under management contracts. Remington Hotels, a subsidiary of Ashford Inc. after November 6, 2019, manages three of our thirteen hotel properties. Third-party management companies manage the remaining hotel properties.

Ashford Inc. also provides other products and services to us or our hotel properties through certain entities in which Ashford Inc. has an ownership interest. These products and services include, but are not limited to project management services, debt placement services, broker-dealer and distribution services, audio visual services, real estate advisory services, insurance claims services, hypoallergenic premium rooms, watersport activities, travel/transportation services and mobile key technology.

The accompanying condensed consolidated financial statements include the accounts of wholly-owned and majority-owned subsidiaries of Braemar OP that as of June 30, 2020, own thirteen hotel properties in six states, the District of Columbia and the U.S. Virgin Islands (“USVI”). The portfolio includes eleven wholly-owned hotel properties and two hotel properties that are owned through a partnership in which Braemar OP has a controlling interest. These hotel properties represent 3,722 total rooms, or 3,487 net rooms, excluding those attributable to our partner. As a REIT, Braemar is required to comply with limitations imposed by the Internal Revenue Code related to operating hotels. As of June 30, 2020, twelve of our thirteen hotel properties were leased by wholly-owned or majority-owned subsidiaries that are treated as taxable REIT subsidiaries (“TRS”) for federal income tax purposes (collectively the TRS entities are referred to as “Braemar TRS”). One hotel property, located in the USVI, is owned by our USVI TRS. Braemar TRS then engages third-party or affiliated hotel management companies to operate the hotel properties under management contracts. Hotel operating results related to the hotel properties are included in the condensed consolidated statements of operations.

As of June 30, 2020, ten of the thirteen hotel properties were leased by Braemar’s wholly-owned TRS and the two hotel properties majority-owned through a consolidated partnership were leased to a TRS wholly-owned by such consolidated partnership. Each leased hotel is leased under a percentage lease that provides for each lessee to pay in each calendar month the base rent plus, in each calendar quarter, percentage rent, if any, based on hotel revenues. Lease revenue from Braemar TRS is eliminated in consolidation. The hotel properties are operated under management contracts with Marriott International, Inc. (“Marriott”), Hilton Worldwide (“Hilton”), Accor Management US Inc. (“Accor”), Hyatt Hotels Corporation (“Hyatt”), Ritz-Carlton, Inc., a subsidiary of Marriott (“Ritz-Carlton”) and Remington Hotels, which are eligible independent contractors under the Internal Revenue Code.

COVID-19, Management’s Plans and Liquidity

In December 2019, COVID-19 was identified in Wuhan, China, which subsequently spread to other regions of the world, and has resulted in significant travel restrictions and extended shutdown of numerous businesses in every state in the United States. In March 2020, the World Health Organization declared COVID-19 to be a global pandemic. Since late February 2020, we have experienced a significant decline in occupancy and RevPAR and we expect the significant occupancy and RevPAR declines associated with COVID-19 to continue as we are experiencing significant reservation cancellations as well as a significant reduction in new reservations. The prolonged presence of the virus has resulted in health and other government authorities imposing widespread restrictions on travel and other businesses. The hotel industry and our portfolio have experienced the postponement or cancellation of a significant number of business conferences and similar events. Following the government mandates and health official orders in March 2020, the Company temporarily suspended operations at 11 of its 13 hotels and dramatically reduced staffing and expenses at its hotels that remained operational. As of June 30, 2020, operations at two of the Company’s hotels remain

Table of Contents

BRAEMAR HOTELS & RESORTS INC. AND SUBSIDIARIES

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (continued)

(unaudited)

temporarily suspended. COVID-19 has had a significant negative impact on the Company’s operations and financial results to date. The full financial impact of the reduction in hotel demand caused by the pandemic and suspension of operations at the Company’s hotels cannot be reasonably estimated at this time due to uncertainty as to its severity and duration. The Company expects that the COVID-19 pandemic will have a significant negative impact on the Company’s results of operations, financial position and cash flow for at least the remainder of 2020 and into 2021. As a result, in March 2020, the Company fully drew down on its $75 million secured revolving credit facility, which was later converted into a term loan, suspended the quarterly cash dividend on its common stock, reduced planned capital expenditures and reduced the cash compensation of its board of directors, and, working closely with its hotel managers, significantly reduced its hotels’ operating expenses. The Company’s advisor adopted a remote-work policy at its corporate office in an effort to protect the health and safety of its employees. See note 6 for term loan details.

As of June 30, 2020, the Company maintained unrestricted cash of $102.6 million. All of the Company’s property-level debt is non-recourse. Beginning on April 1, 2020, we did not make at least one interest payment under nearly all of our loan agreements, which constituted an “Event of Default” as such term is defined under the applicable loan documents. Further, the Company triggered an “Event of Default,” as defined under the secured revolving credit facility agreement as a result of the Company being in default on mortgage and mezzanine loans with an aggregate principal amount in excess of $200 million. Pursuant to the terms of the applicable loan documents, such an Event of Default caused an automatic increase in the interest rate on our outstanding loan balance for the period such Event of Default remains outstanding. Following an Event of Default, our lenders can generally elect to accelerate all principal and accrued interest payments that remain outstanding under the applicable loan agreement and foreclose on the applicable hotel properties that are security for such loans. Such Event of Default under the senior revolving credit facility agreement was eliminated by the First Amendment to Second Amended and Restated Credit Agreement, dated June 8, 2020, which provides that defaults under mortgage and mezzanine loans with an aggregate principal amount in excess of $200 million do not trigger a default under the senior revolving credit agreement unless such mortgage or mezzanine loans are also accelerated, and excluding from the $200 million threshold, any default and acceleration under those certain mortgage and mezzanine loans having an aggregate principal amount of $435 million and secured by the Marriott Seattle Waterfront, Sofitel Chicago Magnificent Mile, The Notary Hotel and Courtyard San Francisco Downtown. During the second quarter of 2020, we reached forbearance and other agreements with our lenders relating to mortgage loans secured by the Pier House Resort, Ritz-Carlton Sarasota, Ritz-Carlton Lake Tahoe, Hotel Yountville, Bardessono Hotel, Sofitel Chicago Magnificent Mile, The Notary Hotel, Courtyard San Francisco Downtown, and Marriott Seattle Waterfront. In the aggregate, we have entered into forbearance and other agreements with varying terms and conditions that conditionally waive or defer payment defaults for loans with a total outstanding principal balance of approximately $760.0 million out of approximately $1.1 billion in property level debt outstanding as of June 30, 2020. The Company amended its secured revolving credit facility converting it into a $65 million secured term loan and changed the terms of certain financial covenants that the Company was subject to under the secured revolving credit facility.

Additionally, the Company did not make rental payments under two ground leases that are paid monthly; however, the Company executed a forbearance agreement with the landlord of the Bardessono Hotel and executed a rent deferral letter (consistent with the terms of Ordinance Number O-21177, passed by the Council of the City of San Diego on March 25, 2020) with the landlord of the Hilton La Jolla Torrey Pines, each of which temporarily resolve any potential events of default arising out of such non-payments.

As of June 30, 2020, the Company maintained unrestricted cash of $102.6 million and restricted cash of $41.5 million. During the three months ended June 30, 2020, we utilized cash, cash equivalents and restricted cash of $43.2 million. During the vast majority of the second quarter of 2020, 11 of the Company’s 13 hotels were closed. Currently only two hotels remain closed. We are taking several steps to reduce our cash utilization. There is uncertainty surrounding future cash flows. As a result of these uncertainties, and based on certain circumstances, it is possible that the Company could utilize all of its cash, cash equivalents and restricted cash within the next twelve months.

Based on these factors, the Company has determined that there is substantial doubt about the Company’s ability to continue as a going concern within one year after the date the financial statements are issued. In making this determination pursuant to U.S. generally accepted accounting principles, the Company cannot consider any remedies that are outside of the Company’s control and have not been fully implemented. As a result, the Company could not consider future potential fundraising activities, whether through equity or debt offerings, dispositions of hotel properties or the likelihood of obtaining forbearance agreements as we could not conclude they were probable of being effectively implemented. Any forbearance agreement will most likely lead to increased costs, increased interest rates, additional restrictive covenants and other possible lender protections. In addition to or in lieu of obtaining forbearance agreements as described above, the Company could turn over the hotels securing the mortgage loans to the respective lenders.

Table of Contents

BRAEMAR HOTELS & RESORTS INC. AND SUBSIDIARIES

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (continued)

(unaudited)

The condensed consolidated financial statements have been prepared assuming that the Company will continue as a going concern and do not include any adjustments that might result from the outcome of this uncertainty.

2. Significant Accounting Policies

Basis of Presentation and Principles of Consolidation—The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with generally accepted accounting principles (“GAAP”) for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by GAAP for complete financial statements. In the opinion of management, all adjustments (consisting of normal recurring accruals) considered necessary for a fair presentation have been included. These condensed consolidated financial statements include the accounts of Braemar Hotels & Resorts Inc., its majority-owned subsidiaries, and its majority-owned entities in which it has a controlling interest. All significant intercompany accounts and transactions between consolidated entities have been eliminated in these condensed consolidated financial statements. We have condensed or omitted certain information and footnote disclosures normally included in financial statements presented in accordance with GAAP in the accompanying unaudited condensed consolidated financial statements. We believe the disclosures made herein are adequate to prevent the information presented from being misleading. However, the financial statements should be read in conjunction with the consolidated financial statements and notes thereto included in our 2019 Annual Report on Form 10-K, as originally filed with the Securities and Exchange Commission (“SEC”) on March 13, 2020.

Braemar OP is considered to be a variable interest entity (“VIE”), as defined by authoritative accounting guidance. A VIE must be consolidated by a reporting entity if the reporting entity is the primary beneficiary because it has (i) the power to direct the VIE’s activities that most significantly impact the VIE’s economic performance and (ii) the obligation to absorb losses of the VIE or the right to receive benefits from the VIE. All major decisions related to Braemar OP that most significantly impact its economic performance, including but not limited to operating procedures with respect to business affairs and any acquisitions, dispositions, financings, restructurings or other transactions with sellers, purchasers, lenders, brokers, agents and other applicable representatives, are subject to the approval of our wholly-owned subsidiary, Braemar OP General Partner LLC, its general partner. As such, we consolidate Braemar OP.

The following items affect reporting comparability of our historical condensed consolidated financial statements:


•	historical seasonality patterns at some of our hotel properties cause fluctuations in our overall operating results. Consequently, operating results for the three and six months ended June 30, 2020, are not necessarily indicative of the results that may be expected for the year ending December 31, 2020; and


•	on January 15, 2019, we acquired the Ritz-Carlton, Lake Tahoe. The operating results of the hotel property have been included in the results of operations as of its acquisition date.

Use of Estimates—The preparation of these condensed consolidated financial statements in accordance with accounting principles generally accepted in the United States requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates.

Income Taxes—On March 27, 2020, the Coronavirus Aid, Relief, and Economic Security Act (the “CARES Act”) was signed into law and includes certain income tax provisions relevant to businesses. The Company is required to recognize the effect on the consolidated financial statements in the period the law was enacted. For the period ended June 30, 2020, the CARES Act did not have a material impact on the Company’s consolidated financial statements. At this time, the Company does not expect the impact of the CARES Act to have a material impact on the Company’s consolidated financial statements for the year ended December 31, 2020.

Recently Adopted Accounting Standards—In June 2016, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Updated (“ASU”) 2016-13, Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments (“ASU 2016-13”). The ASU sets forth an “expected credit loss” impairment model to replace the current “incurred loss” method of recognizing credit losses. The standard requires measurement and recognition of expected credit losses for most financial assets held. The ASU is effective for fiscal years beginning after December 15, 2019, including interim periods within those fiscal years. Early adoption is permitted for periods beginning after December 15, 2018. In November 2018, the FASB issued ASU 2018-19, Codification Improvements to Topic 326, Financial Instruments – Credit Losses (“ASU 2018-19”). ASU 2018-19 clarifies that receivables arising from operating leases are not within the scope of Subtopic 326-20. Instead, impairment of receivables arising from operating leases should be accounted for in accordance with Topic 842, Leases. In November 2019, the FASB issued ASU 2019-10, Financial Instruments – Credit Losses (Topic 326), Derivatives and Hedging (Topic 815)

Table of Contents

BRAEMAR HOTELS & RESORTS INC. AND SUBSIDIARIES

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (continued)

(unaudited)

and Leases (Topic 842): Effective Dates (“ASU 2019-10”). ASU 2019-10 updates the effective dates for ASU 2016-13, but there is no change for public companies. In November 2019, the FASB issued ASU 2019-11, Codification Improvements to Topic 326, Financial Instruments – Credit Losses (“ASU 2019-11”). ASU 2019-11, clarifies specific issues within the amendments of ASU 2016-13. We adopted the standard effective January 1, 2020 and the adoption of this standard did not have a material impact on our condensed consolidated financial statements.

Recently Issued Accounting Standards—In January 2020, the FASB issued ASU 2020-01, Investments – Equity Securities (Topic 321), Investments—Equity Method and Joint Ventures (Topic 323), and Derivatives and Hedging (Topic 815) – Clarifying the Interactions between Topic 321, Topic 323, and Topic 815 (a consensus of the Emerging Issues Task Force) (“ASU 2020-01”), which clarifies the interaction between the accounting for equity securities, equity method investments, and certain derivative instruments. The ASU, among other things, clarifies that a company should consider observable transactions that require a company to either apply or discontinue the equity method of accounting under Topic 323, Investments—Equity Method and Joint Ventures, for the purposes of applying the measurement alternative in accordance with Topic 321 immediately before applying or upon discontinuing the equity method. ASU 2020-01 is effective for fiscal years beginning after December 15, 2020, and interim periods within those fiscal years and should be applied prospectively. Early adoption is permitted. We are currently evaluating the impact that ASU 2020-01 may have on our condensed consolidated financial statements and related disclosures.

In March 2020, the FASB issued ASU 2020-04, Reference Rate Reform (Topic 848) (“ASU 2020-04”). ASU 2020-04 contains practical expedients for reference rate reform related activities that impact debt, leases, derivatives and other contracts. The guidance in ASU 2020-04 is optional and may be elected over time as reference rate reform activities occur. The Company continues to evaluate the impact of the guidance and may apply the elections as applicable as changes in the market occur.

3. Revenue

The following tables present our revenue disaggregated by geographical areas (in thousands):



	Three Months Ended June 30, 2020
Primary Geographical Market	Number of Hotels	Rooms			Food and Beverage			Other Hotel		Other		Total
California	5	$	1,910		$	270		$	520	$	—	$	2,700
Colorado	1	116			27			334		—		477
Florida	2	3,309			1,617			2,336		—		7,262
Illinois	1	311			37			67		—		415
Pennsylvania	1	534			—			83		—		617
Washington	1	67			—			64		—		131
Washington, D.C.	1	(9		)	(13		)	376		—		354
USVI	1	295			139			505		—		939
Total	13	$	6,533		$	2,077		$	4,285	$	—	$	12,895



	Three Months Ended June 30, 2019
Primary Geographical Market	Number of Hotels	Rooms		Food and Beverage		Other Hotel		Other		Total
California	5	$	26,549	$	7,956	$	3,526	$	—	$	38,031
Colorado	1	1,376		1,416		1,728		—		4,520
Florida	2	11,444		6,591		4,181		—		22,216
Illinois	1	8,229		2,408		406		—		11,043
Pennsylvania	1	7,257		905		254		—		8,416
Washington	1	7,901		1,606		425		—		9,932
Washington, D.C.	1	12,363		4,430		436		—		17,229
USVI	1	2		478		6,649		—		7,129
Total	13	$	75,121	$	25,790	$	17,605	$	—	$	118,516

Table of Contents

BRAEMAR HOTELS & RESORTS INC. AND SUBSIDIARIES

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (continued)

(unaudited)



	Six Months Ended June 30, 2020
Primary Geographical Market	Number of Hotels	Rooms		Food and Beverage		Other Hotel		Other		Total
California	5	$	25,897	$	8,041	$	4,938	$	—	$	38,876
Colorado	1	8,267		4,282		3,239		—		15,788
Florida	2	17,298		9,360		7,030		—		33,688
Illinois	1	2,932		889		363		—		4,184
Pennsylvania	1	5,000		1,206		319		—		6,525
Washington	1	3,765		791		422		—		4,978
Washington, D.C.	1	6,526		3,478		882		—		10,886
USVI	1	7,316		2,833		5,341		—		15,490
Total	13	$	77,001	$	30,880	$	22,534	$	—	$	130,415



	Six Months Ended June 30, 2019
Primary Geographical Market	Number of Hotels	Rooms		Food and Beverage		Other Hotel		Other		Total
California	5	$	56,463	$	18,121	$	7,452	$	—	$	82,036
Colorado	1	10,973		6,252		5,394		—		22,619
Florida	2

BHR

Braemar Hotels and Resorts News