Chatham Lodging Trust

Property · Location · Acquisition · Opened · of Rooms · Price · per Room · Debt Balance

Homewood Suites by Hilton Hartford-Farmington · Farmington, Connecticut · 4/23/2010 · 1999 · 121 · 11.5 · million · 95,041 · —

Residence Inn Long Island Holtsville · Holtsville, New York · 8/3/2010 · 2004 · 124 · 21.3 · million · 171,774 · —

Residence Inn White Plains · White Plains, New York · 9/23/2010 · 1982 · 138 · 21.2 · million · 159,398 · —

Residence Inn New Rochelle · New Rochelle, New York · 10/5/2010 · 2000 · 127 · 21.0 · million · 169,355 · —

Residence Inn Garden Grove · Garden Grove, California · 7/14/2011 · 2003 · 200 · 43.6 · million · 218,000 · —

Homewood Suites by Hilton San Antonio River Walk · San Antonio, Texas · 7/14/2011 · 1996 · 146 · 32.5 · million · 222,603 · —

Residence Inn Washington DC · Washington, DC · 7/14/2011 · 1974 · 104 · 29.4 · million · 280,000 · —

Residence Inn Tysons Corner · Vienna, Virginia · 7/14/2011 · 2001 · 121 · 37.0 · million · 305,785 · —

Hampton Inn Portland Downtown · Portland, Maine · 12/27/2012 · 2011 · 125 · 28.0 · million · 229,508 · —

Hyatt Place Pittsburgh North Shore · Pittsburgh, Pennsylvania · 6/17/2013 · 2010 · 178 · 40.0 · million · 224,719 · 23.3 · million

Hampton Inn Exeter · Exeter, New Hampshire · 8/9/2013 · 2010 · 112 · 15.2 · million · 136,937 · 15.0 · million

Residence Inn Bellevue · Bellevue, Washington · 10/31/2013 · 2008 · 231 · 71.8 · million · 316,883 · —

Springhill Suites Savannah · Savannah, Georgia · 12/5/2013 · 2009 · 162 · 39.8 · million · 248,438 · 22.0 · million

Residence Inn Silicon Valley I · Sunnyvale, CA · 6/9/2014 · 1983 · 231 · 92.8 · million · 401,776 · —

Residence Inn Silicon Valley II · Sunnyvale, CA · 6/9/2014 · 1985 · 248 · 102.0 · million · 411,103 · —

Residence Inn San Mateo · San Mateo, CA · 6/9/2014 · 1985 · 160 · 72.7 · million · 454,097 · —

Residence Inn Mountain View · Mountain View, CA · 6/9/2014 · 1985 · 144 · 56.4 · million · 503,869 · —

Hyatt Place Cherry Creek · Glendale, CO · 8/29/2014 · 1987 · 199 · 32.0 · million · 164,948 · —

Courtyard Addison · Addison, TX · 11/17/2014 · 2000 · 176 · 24.1 · million · 137,178 · —

Residence Inn San Diego Gaslamp · San Diego, CA · 2/25/2015 · 2009 · 240 · 90.0 · million · 375,000 · —

Residence Inn Dedham · Dedham, MA · 7/17/2015 · 2008 · 81 · 22.0 · million · 271,605 · —

Residence Inn Il Lugano · Fort Lauderdale, FL · 8/17/2015 · 2013 · 105 · 33.5 · million · 319,048 · —

Hilton Garden Inn Marina del Rey · Marina del Rey, CA · 9/17/2015 · 1998 · 136 · 45.1 · million · 336,194 · —

Home2 Suites Woodland Hills · Woodland Hills, CA · 8/29/2017 · 2022 · 170 · 70.9 · million · 418,107 · —

Hilton Garden Inn Portsmouth · Portsmouth, NH · 9/20/2017 · 2006 · 136 · 43.5 · million · 332,061 · —

Summerville Courtyard · Summerville, SC · 11/15/2017 · 2014 · 96 · 20.2 · million · 210,417 · 9.0 · million

Embassy Suites Springfield · Springfield, VA · 12/6/2017 · 2013 · 219 · 68.0 · million · 310,502 · —

Summerville Residence Inn · Summerville, SC · 8/27/2018 · 2018 · 96 · 20.8 · million · 216,667 · 9.5 · million

Dallas DT Courtyard · Dallas, TX · 12/5/2018 · 2018 · 167 · 49.0 · million · 293,413 · 24.5 · million

Residence Inn Austin Northwest/The Domain Area · Austin, TX · 8/3/2021 · 2016 · 132 · 37.0 · million · 280,000 · 20.9 · million

TownePlace Suites Austin Northwest/The Domain Area · Austin, TX · 8/3/2021 · 2021 · 137 · 34.3 · million · 250,000 · 19.1 · million

Hilton Garden Inn Destin Miramar Beach · Miramar Beach, FL · 3/8/2022 · 2020 · 111 · 31.0 · million · 279,000 · —

Home2 Suites Phoenix Downtown · Phoenix, AZ · 5/30/2024 · 2024 · 148 · 43.3 · million · 293,000 · —

Total · 5,021 · 1,400.9 · million · 279,008 · 143.2 · million

We lease our headquarters at 222 Lakeview Avenue, Suite 200, West Palm Beach, FL 33401. The lease for our headquarters has an initial term that expires in 2026. We entered into a new 10-year corporate office lease in 2024 that will commence on or before September 1, 2026. The Residence Inn New Rochelle hotel is subject to an air rights lease and garage lease that each expire on December 1, 2104. The Residence Inn San Diego Gaslamp hotel is subject to a ground lease with an expiration of January 31, 2065. The Hilton Garden Inn Marina del Rey hotel is subject to a ground lease with an expiration of December 31, 2067. The Home2 Phoenix Downtown hotel is subject to a finance lease with an expiration in 2032; the property will be conveyed to us at no cost at the expiration of this term. For more information on the leases to which we or our hotels are subject, see "Item 1. Business - Leases".

• Fluctuations in our financial performance, capital expenditure requirements and excess cash flow could adversely affect our ability to make distributions to our shareholders.
• Future debt service obligations could adversely affect our overall operating results or cash flow and may require us to liquidate our properties, which could adversely affect our ability to make distributions to our shareholders and our share price.
• If we are unable to repay our debt obligations in the future, we may be forced to refinance debt or dispose of or encumber our assets, which could adversely affect distributions to shareholders.
• Interest expense on our debt may limit our cash available to fund our growth strategies and shareholder distributions.
• Failure to hedge effectively against interest rate changes may adversely affect our results of operations and our ability to make shareholder distributions.
• Joint venture investments that we may make could be adversely affected by our lack of decision-making authority, our reliance on joint venture partners' financial condition and disputes between us and our joint-venture partners.
• We may from time to time make distributions to our shareholders in the form of our common shares, which could result in shareholders incurring tax liability without receiving sufficient cash to pay such tax.
• Our conflict of interest policy may not be successful in eliminating the influence of future conflicts of interest that may arise between us and our trustees, officers and employees.
• There may be conflicts of interest between us and affiliates owned by our Chief Executive Officer.
• Hotel development is subject to timing, cost, and other risks.
• Inflation and price volatility in the global economy could negatively impact our business and results of operations.
• The lodging industry has experienced significant declines in the past and failure of the lodging industry to exhibit improvement may adversely affect our ability to execute our business strategy.
• Our ability to make distributions to our shareholders may be affected by various operating risks common in the lodging industry.
• Competition for acquisitions may reduce the number of properties we can acquire.
• Competition for guests may lower our hotels' revenues and profitability.
• The cyclical nature of the lodging industry may cause the return on our investments to be substantially less than we expect.
• Due to our concentration in hotel investments, a downturn in the lodging industry would adversely affect our operations and financial condition.
• The ongoing need for capital expenditures at our hotel properties may adversely affect our business, financial condition and results of operations and limit our ability to make distributions to our shareholders.
• The increasing use by consumers of Internet travel intermediaries and alternative lodging market places may adversely affect our profitability.
• The need for business-related travel and, thus, demand for rooms in our hotels may be materially and adversely affected by the increased use of business-related technology.
• We and our hotel managers rely on information technology in our operations, and any material failure, inadequacy, interruption or security failure of that technology could harm our business.
• We may face challenges managing rapidly advancing artificial intelligence in our business which could adversely affect our competitive position.
• Future terrorist attacks, rumors or threats of war, or changes in terror alert levels could adversely affect travel and hotel demand.
• We may assume liabilities in connection with the acquisition of hotel properties, including unknown liabilities, which, if significant, could adversely affect our business.
• Uninsured and underinsured losses could adversely affect our operating results and our ability to make distributions to our shareholders.
• We face risks associated with natural disasters and the direct and indirect physical effects of climate change, which may include more frequent and more severe storms, hurricanes, flooding, droughts and wildfires, any of which could have a material adverse effect on our hotel properties, operations, cash flows and financing options.
• Noncompliance with environmental laws and governmental regulations could adversely affect our operating results and our ability to make distributions to shareholders.
• Compliance with the ADA and other changes in governmental rules and regulations could substantially increase our cost of doing business.
• The outbreak of widespread contagious disease, such as COVID-19, could reduce travel and adversely affect hotel demand.
• A delay in approving a budget and/or continuing appropriation legislation to fund the operations of the federal government, failure to raise the borrowing limit for the federal government, and other legislative changes and governmental disruptions could affect travel directly and indirectly and may thereby negatively impact our revenues and cash available for distributions.
• General Risks Related to Real Estate Industry
• Illiquidity of real estate investments could significantly impede our ability to respond to adverse changes in the performance of our hotel properties.
• Increases in our property taxes would adversely affect our ability to make distributions to our shareholders.
• Our hotel properties may contain or develop harmful mold, which could lead to liability for adverse health effects and costs of remediating the problem.
• Our rights and the rights of our shareholders to take action against our trustees and officers are limited, which could limit your recourse in the event of actions not in your best interests.
• Provisions of Maryland law may limit the ability of a third party to acquire control of our Company and may result in entrenchment of management and diminish the value of our common shares.
• Provisions of our declaration of trust may limit the ability of a third party to acquire control of our Company and may result in entrenchment of management and diminish the value of our common shares.
• Failure to make required distributions would subject us to tax.
• Failure to maintain our qualification as a REIT would subject us to federal income tax and potentially to state and local taxes.
• Our TRS Lessee structure subjects us to the risk of increased hotel operating expenses that could adversely affect our operating results and our ability to make distributions to our shareholders.
• Our TRS structure increases our overall tax liability.
• Our transactions with our TRS will cause us to be subject to a 100% penalty tax on certain income or deductions if those transactions are not conducted on arm's-length terms.
• If our leases with our TRS Lessees are not respected as true leases for federal income tax purposes, we would fail to qualify as a REIT.
• Dividends payable by REITs do not qualify for the reduced tax rates available for some dividends.
• If our hotel managers do not qualify as "eligible independent contractors," we would fail to qualify as a REIT.
• Our ownership limitations may restrict or prevent you from engaging in certain transfers of our common shares.
• The ability of our Board of Trustees to revoke our REIT qualification without shareholder approval may cause adverse consequences to our shareholders.
• The ability of our Board of Trustees to change our major policies may not be in our shareholders’ interest.
• If we fail to maintain an effective system of internal controls, we may not be able to accurately determine our financial results or prevent fraud. As a result, our investors could lose confidence in our reported financial information, which could harm our business and the value of our shares.
• Complying with REIT requirements may cause us to forego otherwise attractive opportunities or liquidate otherwise attractive investments.
• We may be subject to adverse legislative or regulatory tax changes that could reduce the market price of our shares.
• We may be unable to generate sufficient cash flows from our operations to make distributions to our shareholders at any time in the future.
• Our revolving credit facility and term loan may limit our ability to pay dividends on common shares.
• The market price of our equity securities may vary substantially, which may limit your ability to liquidate your investment.
• The number of shares available for future sale could adversely affect the market price of our common shares.
• Future offerings of debt or equity securities or incurrence of debt may adversely affect the market price of our common shares.