Company: BHR-PD
Filing Date: 2025-03-12
Form Type: 10-K
Source: 0001574085-25-000024
Chunk: 241

Company: Braemar Hotels & Resorts Inc.
Filing Date: 2025-03-12
Form: 10-K
Item: Item 8
Chunk 241
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 applicable periods:Year Ended December 31,Interest rate caps:(1)202420232022Notional amount (in thousands)$935,280 $537,780 $776,500 Strike rate low end of range3.50 %3.50 %3.50 %Strike rate high end of range8.00 %5.25 %4.50 %Effective date rangeJanuary 2024 - December 2024January 2023 - December 2023February 2022 - December 2022Termination date rangeJanuary 2025 - August 2026January 2024 - January 2026May 2023 - January 2025Total cost of interest rate caps (in thousands)$1,592 $5,051 $3,030 _______________(1)    No instruments were designated as cash flow hedges.Interest rate derivatives consisted of the following:Interest rate caps: (1)December 31, 2024December 31, 2023Notional amount (in thousands)$1,185,880 $778,280 Strike rate low end of range3.50 %2.00 %Strike rate high end of range8.00 %5.25 %Termination date rangeJanuary 2025 - August 2026June 2024- January 2025Aggregate principal balance on corresponding mortgage loans (in thousands)$1,074,693 $777,693 _______________(1)No instruments were designated as cash flow hedges.

Warrants—On August 5, 2021, as part of the consideration paid to acquire the Cameo Beverly Hills (formerly known as the Mr. C Beverly Hills Hotel) and five adjacent luxury residences, the Company issued 500,000 warrants for the purchase of Braemar common stock with a $6.00 strike price on or after August 5, 2021 until August 5, 2024. The warrants expired worthless on August 5, 2024.

10. Fair Value Measurements

Fair Value Hierarchy—Our financial instruments measured at fair value either on a recurring or a non-recurring basis are classified in a hierarchy for disclosure purposes consisting of three levels based on the observability of inputs in the marketplace as discussed below:•Level 1: Fair value measurements that are quoted prices (unadjusted) in active markets that we have the ability to access for identical assets or liabilities. Market price data generally