Pebblebrook Hotel Trust
For the period ended Jun 30, 2026. Filed Jul 29, 2026.
View on SEC.govAbout this filing
A company's report for each of its first three quarters. The financial statements are not audited. It shows how the business has moved since the last annual report, and what management says changed.
Jun 30, 2026 · Filed Jul 29, 2026
PEB$21.12+1.5%Stored close · as of Nov 6, 2026
What changed in Management’s Discussion and Analysis?
Read the current filingPrevious report: 10-Q
Period ended 2026-03-31; filed 2026-04-28.
0001474098-26-000039
Item 2. Management's Discussion and Analysis of Financial Condition and Results of OperationsCurrent report: 10-Q
Period ended 2026-06-30; filed 2026-07-29.
0001474098-26-000055
Item 2. Management's Discussion and Analysis of Financial Condition and Results of OperationsThe baseline is this issuer’s latest earlier reporting period of the same form that was filed before the current report. A previous 10-Q is a different quarter, not a year-over-year comparison. Amendments are excluded.
Compared 99 previous paragraphs and 113 current paragraphs.
62 unchanged; 34 reworded; 11 added; 3 removed; 0 previous and 6 current paragraphs rearranged.
Tables are not compared: 5 previous and 5 current tables excluded. Dates, whitespace, punctuation and numbering changes are ignored; changes to financial figures remain significant.
A changed paragraph is not evidence that risk increased or decreased. An unchanged paragraph does not establish that risk stayed the same.
Added paragraphs (11)
Current report
Second quarter operating results built on the strength we saw in the first quarter. Both business and leisure demand continued to grow. Our resort properties led the portfolio growth, particularly LaPlaya Beach Resort & Club, Estancia La Jolla Hotel & Spa, Paradise Point Resort & Spa, and Newport Harbor Island Resort. San Francisco's recovery continued to gain momentum, with a significant increase in RevPAR as corporate and leisure demand broadened alongside an active citywide convention calendar. Chicago, Los Angeles, and Boston also benefited from healthy ADR increases. Pricing power strengthened across our portfolio and our continued focus on operating efficiencies initiatives have resulted in higher earnings growth. While the quarter was positive, we remain cautious towards the remainder of the year given an uncertain macroeconomic environment.
Current report
•We repurchased 1,487,038 preferred shares for an aggregate purchase price of $28.6 million, or an average of approximately $19.22 per share, under our preferred share repurchase program.
Current report
•We sold the Chamberlain West Hollywood Hotel for $43.5 million.
Current report
Revenues —Total revenues decreased by $0.4 million primarily due to the loss of $19.7 million in revenues from the sales of the non-comparable properties, offset by an increase in revenues at many of the resort properties, including Paradise Point Resort & Spa, Estancia La Jolla Hotel & Spa, LaPlaya Beach Resort & Club and Newport Harbor Island Resort, as well as an increase in revenues at our Los Angeles and San Francisco properties due to their continued recovery.
Current report
Hotel operating expenses —Total hotel operating expenses decreased by $1.2 million primarily as a result of the sales of non-comparable properties, partially offset by an increase in costs at our comparable properties associated with higher revenues.
Current report
Repurchase of preferred shares — Repurchase of preferred shares represents the preferred share issuance costs offset by the repurchase discount. In 2026, we repurchased 1,487,038 preferred shares under our preferred share repurchase program at a discount to the redemption value. The discount, net of the issuance costs associated with the preferred shares repurchased, is included in the determination of net income (loss) attributable to common shareholders.
Current report
Comparison of the six months ended June 30, 2026 to the six months ended June 30, 2025
Current report
Depreciation and amortization —Depreciation and amortization expense decreased by $11.1 million primarily due to the sales of the non-comparable properties and lower capital expenditures in 2025 and 2026.
Current report
Repurchase of preferred shares — Repurchase of preferred shares represents the preferred share issuance costs offset by the repurchase discount. In 2026, we repurchased 1,487,038 preferred shares under our preferred share repurchase program at a discount to the redemption value. The discount, net of the issuance costs associated with the preferred shares repurchased, is included in the determination of net income (loss) attributable to common shareholders.
Current report
Preferred Share Repurchase Programs
Current report
During the six months ended June 30, 2026, we repurchased and retired 1,487,038 preferred shares for an aggregate purchase price of $28.6 million, or an average of approximately $19.22 per share. This includes 1,347,614 preferred shares received as partial consideration for the sale of Chamberlain West Hollywood Hotel and 139,424 preferred shares repurchased in the market. As of June 30, 2026, $45.6 million remained available for repurchase of preferred shares under this program.
Removed paragraphs (3)
Previous report
Operating results for the first quarter were strong and significantly exceeded expectations. Strength came from continued recovery in San Francisco and Los Angeles and the ramp-up of recently redeveloped resorts. San Diego urban hotels and Chicago also delivered healthy RevPAR growth. A continued focus on expense management also resulted in positive earnings growth. While the quarter results were positive, we remain cautious towards the remainder of the year given an increasingly uncertain macroeconomic environment.
Previous report
Preferred Share Repurchase Program
Previous report
During the three months ended March 31, 2026, no preferred shares were repurchased. As of March 31, 2026, $74.1 million of preferred shares remained available for repurchase under this program.
Reworded paragraphs (34)
Previous wording
During the three months ended March 31, 2026, we had the following transactions and events:
Current wording
During the six months ended June 30, 2026, we had the following transactions and events:
Previous wording
•We repurchased 405,821 common shares for an aggregate purchase price of $4.9 million, or an average of $12.12 per share, under our common share repurchase program.
Current wording
•We repurchased 944,452 common shares for an aggregate purchase price of $12.9 million, or an average of approximately $13.63 per share, under our common share repurchase program.
Previous wording
The following table represents the key same-property hotel operating statistics for our hotels for the three months ended March 31, 2026 and 2025:
Current wording
The following table represents the key same-property hotel operating statistics for our hotels for the three and six months ended June 30, 2026 and 2025:
Previous wording
For the three months ended March 31, 2026 and 2025, the above table of hotel operating statistics includes information from all hotels owned as of March 31, 2026.
Current wording
For the three and six months ended June 30, 2026 and 2025, the above table of hotel operating statistics includes information from all hotels owned as of June 30, 2026 and includes Chamberlain West Hollywood Hotel for the first quarter only due to its sale in May 2026.
Previous wording
The following table reconciles net income (loss) to FFO, FFO available to common share and unit holders and Adjusted FFO available to common share and unit holders for the three months ended March 31, 2026 and 2025 (in thousands):
Current wording
The following table reconciles net income (loss) to FFO, FFO available to common share and unit holders and Adjusted FFO available to common share and unit holders for the three and six months ended June 30, 2026 and 2025 (in thousands):
Previous wording
The following table reconciles net income (loss) to EBITDA, EBITDAre, Adjusted EBITDAre and Hotel EBITDA for the three months ended March 31, 2026 and 2025 (in thousands):
Current wording
The following table reconciles net income (loss) to EBITDA, EBITDAre, Adjusted EBITDAre and Hotel EBITDA for the three and six months ended June 30, 2026 and 2025 (in thousands):
Previous wording
At March 31, 2026 and 2025, our consolidated financial statements included the operations of 44 and 46 hotel properties, respectively, which have been included in our results of operations during the respective periods since their dates of acquisition or through their dates of disposition. Based on when a property was acquired or disposed of, operating results for certain properties are not comparable for the three months ended March 31, 2026 and 2025. The properties listed in the table below are hereinafter referred to as "non-comparable properties" and all other properties are referred to as "comparable properties".
Current wording
At June 30, 2026 and 2025, our consolidated financial statements included the operations of 43 and 46 hotel properties, respectively, which have been included in our results of operations during the respective periods since their dates of acquisition or through their dates of disposition. Based on when a property was acquired or disposed of, operating results for certain properties are not comparable for the three and six months ended June 30, 2026 and 2025. The properties listed in the table below are hereinafter referred to as "non-comparable properties" and all other properties are referred to as "comparable properties".
Previous wording
Depreciation and amortization —Depreciation and amortization expense decreased by $5.5 million primarily due to the sale of the non-comparable properties in 2025.
Current wording
Depreciation and amortization —Depreciation and amortization expense decreased by $5.5 million primarily due to the sales of non-comparable properties and lower capital expenditures in 2025 and 2026.
Previous wording
Impairment — We recognized an impairment loss of $7.7 million in 2026 related to one hotel. No impairment loss was recognized in the first quarter of 2025.
Current wording
Impairment — We recognized an impairment loss of $1.1 million in 2026 related to one hotel. No impairment loss was recognized in the second quarter of 2025.
Previous wording
Interest expense — Interest expense decreased slightly by $0.8 million primarily as a result of lower borrowings in 2026.
Current wording
Interest expense — Interest expense decreased by $1.2 million primarily as a result of lower borrowings in 2026.
Previous wording
Non-controlling interests — Non-controlling interests represents the allocation of income or loss of the Operating Partnership to third-party common OP unit holders and to the preferred OP unit holders.
Current wording
Non-controlling interests — Non-controlling interests represents the allocation of income or loss of the Operating Partnership to third-party OP unit holders and preferred OP unit holders.
Previous wording
Revenues —Total revenues increased by $25.4 million primarily due to an increase in revenues at our Los Angeles properties which were negatively impacted in 2025 by the wildfires, and an increase in revenue at our San Francisco properties due to partial recovery of business travel as well as the Super Bowl. These increases were partially offset by decreases in revenue from non-comparable properties, a decline in revenue at the Washington, D.C. properties resulting from the presidential inauguration occurring only in 2025 and a decrease in revenue at Revere Hotel Boston Common as a result of a room refreshment.
Current wording
Revenues —Total revenues increased by $25.0 million primarily due to an increase in revenues at our Los Angeles properties, which were negatively impacted in 2025 by the wildfires, and an increase in revenues at our San Francisco properties due to the continued recovery of business travel as well as the Super Bowl. In addition, many of the resort properties had increases in revenues, primarily Paradise Point Resort & Spa, Estancia La Jolla Hotel & Spa and LaPlaya Beach Resort & Club. These increases were partially offset by decreases in revenues from non-comparable properties, a decline in revenues at the Washington, D.C. properties resulting from the presidential inauguration occurring only in 2025 and a decrease in revenues at Revere Hotel Boston Common as a result of a room refreshment.
Previous wording
Hotel operating expenses —Total hotel operating expenses increased by $4.9 million primarily as a result of higher revenues in Los Angeles and San Francisco, which was offset by a decrease in hotel operating expenses associated with non-comparable properties.
Current wording
Hotel operating expenses —Total hotel operating expenses increased by $3.6 million primarily as a result of higher revenues as described above, which was offset by a decrease in hotel operating expenses associated with non-comparable properties.
Previous wording
Real estate taxes, personal property taxes, property insurance and ground rent —Real estate taxes, personal property taxes, property insurance and ground rent decreased by $0.5 million primarily due to a decrease in real estate tax on non-comparable properties, partially offset by higher percentage ground rent as a result of higher revenues at properties subject to ground leases.
Current wording
Real estate taxes, personal property taxes, property insurance and ground rent —Real estate taxes, personal property taxes, property insurance and ground rent decreased by $2.2 million primarily due to a decrease in real estate taxes at non-comparable properties, partially offset by higher percentage ground rent resulting from higher revenues at properties subject to ground leases.
Previous wording
General and administrative —General and administrative expenses decreased by $1.2 million primarily due to a decrease in non-cash compensation expense. General and administrative expenses consist of employee compensation costs, legal and professional fees, insurance and other expenses.
Current wording
General and administrative —General and administrative expenses decreased by $1.8 million primarily due to a decrease in non-cash compensation expense. General and administrative expenses consist of employee compensation costs, legal and professional fees, insurance and other expenses.
Previous wording
Income tax (expense) benefit — Income tax benefit decreased by $3.1 million due primarily to a decrease in the taxable loss of our TRS during the quarter compared to the same period in the prior year.
Current wording
Income tax (expense) benefit — Income tax expense increased by $3.0 million primarily due to an increase in the taxable income of our TRS compared to the same period in the prior year.
Previous wording
Our primary sources of liquidity are cash provided by our operations, borrowings under our credit facilities, net proceeds from equity and debt offerings, and net proceeds from property sales. Our primary cash requirements in the short term (i.e., those requiring cash on or before March 31, 2027) will be to fund property lease obligations, interest and current principal on debt, capital improvements, dividends on common and preferred shares, and working capital of our property operations. We believe our cash and cash equivalents, restricted cash and the amount available on our senior unsecured revolving credit facility, which totaled $845.8 million as of March 31, 2026, along with cash generated from ongoing operations will be sufficient to satisfy our short-term cash requirements. As of March 31, 2026, we had no off-balance sheet arrangements.
Current wording
Our primary sources of liquidity are cash provided by our operations, borrowings under our credit facilities, net proceeds from equity and debt offerings, and net proceeds from property sales. Our primary cash requirements in the short term (i.e., those requiring cash on or before June 30, 2027) will be to fund property lease obligations, interest and current principal on debt, capital improvements, dividends on common and preferred shares, and working capital of our property operations. We believe our cash and cash equivalents, restricted cash and the amount available on our senior unsecured revolving credit facility, which totaled $911.6 million as of June 30, 2026, along with cash generated from ongoing operations will be sufficient to satisfy our short-term cash requirements. As of June 30, 2026, we had no off-balance sheet arrangements.
Previous wording
We expect that future principal and interest payments associated with our remaining debt obligations outstanding as of March 31, 2026 will be $2.4 billion through their maturity, with $352.2 million of principal and $88.1 million of interest payable on or before March 31, 2027. We intend to pay amounts due with available cash, borrowings under our revolving credit facility or proceeds from property sales or to refinance amounts due with long-term debt.
Current wording
We expect that future principal and interest payments associated with our remaining debt obligations outstanding as of June 30, 2026 will be $2.4 billion through their maturity, with $352.2 million of principal and $85.4 million of interest payable on or before June 30, 2027. We intend to pay amounts due with available cash, borrowings under our revolving credit facility or proceeds from property sales or to refinance amounts due with long-term debt.
Previous wording
Future fixed minimum payments associated with our hotel, ground and finance leases total $1.9 billion as of March 31, 2026, with $25.0 million payable on or before March 31, 2027.
Current wording
Future fixed minimum payments associated with our hotel, ground and finance leases total $1.9 billion as of June 30, 2026, with $24.8 million payable on or before June 30, 2027.
Previous wording
As of March 31, 2026, we had $0.7 million of outstanding purchase commitments, all of which will be paid on or before March 31, 2027. These purchase commitments represent outstanding purchase orders and contracts that have been executed for capital and renovation projects at our properties. See Capital Investments (below) for discussion on planned capital investments.
Current wording
As of June 30, 2026, we had $3.4 million of outstanding purchase commitments, all of which will be paid on or before June 30, 2027. These purchase commitments represent outstanding purchase orders and contracts that have been executed for capital and renovation projects at our properties. See Capital Investments (below) for discussion on planned capital investments.
Previous wording
Preferred dividends and Series Z preferred operating partnership units
Current wording
Preferred share dividends and Series Z distributions
Previous wording
We expect to pay aggregate annual dividends and distributions of approximately $46.4 million on our outstanding Series E, Series F, Series G and Series H Cumulative Redeemable Preferred Shares and Series Z Cumulative Perpetual Preferred Units on or before March 31, 2027 and in future years until the shares/units are redeemed. For further discussion on our preferred shares and preferred units, see Note 7. Equity to our consolidated financial statements included in Part I, Item 1 of this Quarterly Report on Form 10-Q.
Current wording
We expect to pay aggregate annual dividends and distributions of approximately $44.1 million on our outstanding Series E, Series F, Series G and Series H Cumulative Redeemable Preferred Shares and Series Z Cumulative Perpetual Preferred Units on or before June 30, 2027 and in future years until the shares/units are redeemed. For further discussion on our preferred shares and preferred units, see Note 7. Equity to our consolidated financial statements included in Part I, Item 1 of this Quarterly Report on Form 10-Q.
Previous wording
Operating Activities. Our net cash provided by operating activities was $84.1 million for the three months ended March 31, 2026 and $50.3 million for the three months ended March 31, 2025. Fluctuations in our net cash provided by (used in) operating activities are primarily the result of changes in hotel revenues, operating cash requirements and corporate expenses.
Current wording
Operating Activities. Our net cash provided by operating activities was $170.4 million for the six months ended June 30, 2026 and $140.9 million for the six months ended June 30, 2025. Fluctuations in our net cash provided by (used in) operating activities are primarily the result of changes in hotel revenues, operating cash requirements and corporate expenses.
Previous wording
Investing Activities. Our net cash used in investing activities was $9.0 million for the three months ended March 31, 2026 and $20.9 million for the three months ended March 31, 2025. Fluctuations in our net cash provided by (used in) investing activities are primarily the result of capital improvements and additions to our properties.
Current wording
Investing Activities. Our net cash used in investing activities was $5.4 million for the six months ended June 30, 2026 and $47.5 million for the six months ended June 30, 2025. Fluctuations in our net cash provided by (used in) investing activities are primarily the result of disposition activities, as well as capital improvements and additions to our properties.
Previous wording
•During the three months ended March 31, 2025, we invested $20.7 million in improvements to our hotel properties.
Current wording
•During the six months ended June 30, 2026, we invested $24.4 million in improvements to our hotel properties, received $16.1 million from the sale of Chamberlain West Hollywood Hotel and received $3.2 million in property insurance proceeds.
Previous wording
•During the three months ended March 31, 2026, we invested $11.9 million in improvements to our hotel properties and received $3.2 million in property insurance proceeds.
Current wording
•During the six months ended June 30, 2025, we invested $49.5 million in improvements to our hotel properties and received $2.4 million in property insurance proceeds.
Previous wording
Financing Activities. Our net cash used in financing activities was $66.7 million for the three months ended March 31, 2026 and $28.9 million for the three months ended March 31, 2025. Fluctuations in our net cash provided by (used in) financing activities are primarily the result of our issuance and repurchase of debt and equity securities and distributions paid on our preferred and common shares.
Current wording
Financing Activities. Our net cash used in financing activities was $90.8 million for the six months ended June 30, 2026 and $43.8 million for the six months ended June 30, 2025. Fluctuations in our net cash provided by (used in) financing activities are primarily the result of our issuance and repurchase of debt and equity securities and distributions paid on our preferred and common shares.
Previous wording
•During the three months ended March 31, 2026, we borrowed $360.0 million and repaid $400.8 million of debt, repurchased $5.9 million of common shares through our common share repurchase program and for tax withholding purposes in connection with vestings of share-based equity awards, paid $6.6 million in deferred financing costs and paid $12.7 million in preferred and common distributions.
Current wording
•During the six months ended June 30, 2026, we borrowed $360.0 million and repaid $401.3 million of debt, repurchased $13.9 million of common shares through our common share repurchase program and for tax withholding purposes in connection with vestings of share-based equity awards, paid $6.6 million in deferred financing costs and paid $25.5 million in preferred and common distributions.
Previous wording
•During the three months ended March 31, 2025, we repaid $0.5 million of debt, repurchased $14.6 million of common shares through our common share repurchase program and for tax withholding purposes in connection with vestings of share-based equity awards and paid $13.0 million in preferred and common distributions.
Current wording
•During the six months ended June 30, 2025, we repaid $1.1 million of debt, repurchased $15.6 million of common shares through our common share repurchase program and for tax withholding purposes in connection with vestings of share-based equity awards and paid $26.0 million in preferred and common distributions.
Previous wording
For the three months ended March 31, 2026, we invested $11.9 million in capital investments to reposition and/or improve our properties, including the capital maintenance projects and renovations of Chaminade Resort & Spa.
Current wording
For the six months ended June 30, 2026, we invested $24.4 million in capital investments to reposition and/or improve our properties, including the capital maintenance projects and renovations of Chaminade Resort & Spa.
Previous wording
Common Share Repurchase Program and Preferred Share Repurchase Program
Current wording
Common Share Repurchase Program and Preferred Share Repurchase Programs
Previous wording
During the three months ended March 31, 2026, we repurchased 405,821 common shares for an aggregate purchase price of $4.9 million, or an average of approximately $12.12 per share. As of March 31, 2026, $145.1 million of common shares remained available for repurchase under this program.
Current wording
During the six months ended June 30, 2026, we repurchased 944,452 common shares for an aggregate purchase price of $12.9 million, or an average of approximately $13.63 per share. As of June 30, 2026, $137.1 million of common shares remained available for repurchase under this program.
Previous wording
On February 17, 2023, our Board of Trustees authorized a share repurchase program of up to $100.0 million of preferred shares. Under the terms of the program, we may repurchase up to an aggregate of $100.0 million of our 6.375% Series E Cumulative Redeemable Preferred Shares, 6.30% Series F Cumulative Redeemable Preferred Shares, 6.375% Series G Cumulative Redeemable Preferred Shares and 5.70% Series H Cumulative Redeemable Preferred Shares from time to time in transactions on the open market or by private agreement.
Current wording
On February 17, 2023, our Board of Trustees authorized a share repurchase program of up to $100.0 million of preferred shares (the "2023 Preferred Share Repurchase Program"). Under the terms of the program, we may repurchase up to an aggregate of $100.0 million of our 6.375% Series E Cumulative Redeemable Preferred Shares, 6.30% Series F Cumulative Redeemable Preferred Shares, 6.375% Series G Cumulative Redeemable Preferred Shares and 5.70% Series H Cumulative Redeemable Preferred Shares from time to time in transactions on the open market or by private agreement.
Previous wording
The timing, manner, price and amount of any repurchases will be determined by us in our discretion and will depend on a variety of factors, including legal requirements, price, liquidity and economic considerations, and market conditions. The program does not require us to repurchase any specific number of preferred shares. The program does not have an expiration date and may be suspended, modified or discontinued at any time.
Current wording
The timing, manner, price and amount of any repurchases will be determined by us in our discretion and will depend on a variety of factors, including legal requirements, price, liquidity and economic considerations, and market conditions. The programs do not require us to repurchase any specific number of preferred shares. The programs do not have an expiration date and may be suspended, modified or discontinued at any time.
Rearranged current paragraphs (6)
Current report — wording carried from elsewhere
Real estate taxes, personal property taxes, property insurance and ground rent —Real estate taxes, personal property taxes, property insurance and ground rent decreased by $1.7 million primarily due to a decrease in real estate taxes at the non-comparable properties and reductions resulting from assessment appeals and a decrease in property insurance costs, partially offset by higher percentage ground rent resulting from higher revenues at properties subject to ground leases.
Current report — wording carried from elsewhere
Business interruption insurance income and gain on insurance settlement — We recognized business interruption insurance income in 2025 related to partial settlements with our insurance carriers for lost income at LaPlaya Beach Resort & Club resulting from Hurricanes Helene and Milton. There was no business interruption insurance income in 2026.
Current report — wording carried from elsewhere
Impairment — We recognized an impairment loss of $8.8 million in 2026 related to one hotel. No impairment loss was recognized in 2025.
Current report — wording carried from elsewhere
Interest expense — Interest expense decreased by $2.0 million primarily as a result of lower borrowings in 2026.
Current report — wording carried from elsewhere
Non-controlling interests — Non-controlling interests represents the allocation of income or loss of the Operating Partnership to third-party OP unit holders and preferred OP unit holders.
Current report — wording carried from elsewhere
On July 24, 2026, our Board of Trustees authorized a new share repurchase program of up to $50.0 million of preferred shares (the "2026 Preferred Share Repurchase Program"), which will commence upon the completion of the 2023 Preferred Share Repurchase Program. Under the 2026 Preferred Share Repurchase Program, we may repurchase up to an aggregate of $50.0 million of our 6.375% Series E Cumulative Redeemable Preferred Shares, 6.30% Series F Cumulative Redeemable Preferred Shares, 6.375% Series G Cumulative Redeemable Preferred Shares and 5.70% Series H Cumulative Redeemable Preferred Shares from time to time in transactions on the open market or by private agreement.