Core Insights - Chatham Lodging Trust has acquired a portfolio of six Hilton-branded hotels for $92 million, translating to approximately $156,000 per room [1] - The newly acquired hotels have an average age of ten years, while the company sold six older hotels averaging 25 years for around $100 million over the last 18 months [2] - The acquisition is expected to enhance free cash flow and support an 11% increase in the quarterly common dividend to $0.10 per share for 2026 [4] Financial Performance - The acquired portfolio posted a revenue per available room (RevPAR) of $116 and EBITDA margins of 42% projected for 2025 [2] - Chatham reported a net income of $7.03 million for Q2 2024, reflecting a 24.89% decrease from $9.36 million in the same period the previous year [5] Strategic Outlook - The company’s president and CEO highlighted the potential for strong multi-year growth in the lodging industry due to low new supply growth, increased investments in technology, and reshoring manufacturing to the US [3] - Management noted that operational expense pressures, particularly regarding labor costs, are moderating, which may further support profitability [4]

Investor Presentation March 2026 Safe Harbor Disclosure We make forward-looking statements in this presentation that are subject to risks and uncertainties. These forward-looking statements include information about possible or assumed future results of our business, financial condition, liquidity, results of operations, cash flow and plans and objectives. When we use the words "believe," "expect," "anticipate," "estimate," "plan," "continue," "intend," "should," "may" or similar expressions, we intend to i ...

Core Insights - The hotel development sector is facing challenges due to high interest rates, elevated construction costs, and tighter credit conditions, which have slowed new supply [3] - A significant number of hotel owners have delayed or canceled development projects amid weakened demand, as reported by an August survey from the American Hotel & Lodging Association [4] - Despite the challenges, Peachtree Group remains optimistic about hotel development, noting that many existing properties have been undercapitalized since the pandemic [4] Industry Challenges - The hospitality industry is experiencing a "triple whammy" effect from tariffs, a lack of travelers, and geopolitical tensions [3] - High costs and reduced demand have led to a slowdown in hotel development projects [4] Company Strategy - Peachtree Group is focusing on developing newer hotels that are better positioned to capture demand and outperform in the long term [5] - The firm is scaling its projects across key U.S. markets, aiming to redefine guest experiences and partner value [5] Development Portfolio - Peachtree Group's hotel development portfolio has surpassed $2 billion, even as many hotel developers have stalled projects due to financial pressures [7] - The company is particularly active in Qualified Opportunity Zones and is undertaking ambitious projects, such as a dual-branded hotel in Austin [7] Recent Openings and Future Plans - The largest property opened by Peachtree this year is the Embassy Suites Beach Resort in Gulf Shores, Alabama, featuring 257 all-suite guest rooms [6] - The firm plans to open two additional hotels in 2025, including a Home2 Suites in Ashburn, Virginia, and a Tru by Hilton in Huntsville, Alabama [6]