Overall demand in the second quarter was robust and much stronger than we expected just 90 days ago.
Same-property revenues of $162.5 million were down 57.8% versus the same period in 2019.
This was a significant improvement from the first quarter when same-property revenues were down 74.7% versus 2019.
Sequentially, same-property revenues grew 95.4% from Q1 to Q2.
June same-property revenues were more than 50% higher than April, and July is expected to be almost 20% higher than June, an encouraging turnaround in such a short time.
This accelerating strength in hotel demand during the second quarter allowed us to generate $17.1 million of adjusted EBITDA.
This is a dramatic improvement compared with a negative $25 million of adjusted EBITDA for the first quarter of 2021 and demonstrates the rapid turnaround for our portfolio, and the results improved substantially every month throughout the quarter.
Adjusted FFO per share was a negative $0.12 per share, better than the negative $0.42 per share from the first quarter.
Drilling down to our hotel operating results for same-property RevPAR versus the comparable period in 2019, April was down 66.3%, May was down 60.1% and June was down 51.6%.
We're forecasting July to be down 38% to 42%, continuing the very positive recovery trend.
For the third quarter, we currently expect RevPAR to also be down between 30% and 42% compared with the comparable period in 2019, which also continues the improving quarterly trend.
Total hotel level expenses of $134.2 million were reduced by 45.1% versus Q2 2019.
Expenses before fixed costs, like property taxes and insurance, were cut by 50.9%.
Our total property-level expense reduction was 78% of the revenue decline and 88% before fixed expenses, pretty incredible, frankly.
Our eight resorts generated a positive $28.4 million of hotel EBITDA in the quarter.
This resulted from an occupancy of 66% at an average daily rate of $386, which is more than $107 and a 38% increase over the comparable 2019 second quarter.
As a result, total revenue per occupied room was 17% higher than Q2 2019.
This allowed our resorts to produce $28.4 million of EBITDA in the second quarter, a 17.5% increase over the comparable period in 2019 and a $13.9 million improvement almost doubling from Q1.
EBITDA margins were up an impressive 622 basis points from Q2 2019.
Occupancy was 33.3%, ADR reached $198 and total revenues were $91.6 million.
Urban hotels were just under the breakeven level in second quarter with a negative EBITDA of just $0.8 million.
Yet in our sequential world, our urban hotels achieved $5.3 million of EBITDA in June with a 43.5% occupancy and a $210 ADR. Impressive results considering the still low occupancy levels in our urban markets and operationally, not something we would have thought possible before the pandemic started.
In the second quarter, we completed an $11.7 million redevelopment of L'Auberge in Del Mar in South California.
In early July, we completed -- we commenced the $25 million transformation of Hotel Vitale to 1 Hotel San Francisco and a $15 million comprehensive guest room renovation at the Southernmost Resort in Key West.
We expect the 1 Hotel to be completed by the end of this year and Southernmost early in the fourth quarter.
For 2021, we anticipate reinvesting a total of $70 million to $90 million in the portfolio, which is in line with our prior estimate.
Combined with previous sales we completed since June of last year, this represents approximately $330 million of sales proceeds to reallocate into other assets.
In late June, we executed a contract to acquire Margaritaville Hollywood Beach Resort in Hollywood, Florida for $270 million.
This acquisition is anticipated to be funded from existing cash on hand and through the assumption of $161.5 million of favorably priced existing nonrecourse property debt.
And last week, we completed the acquisition of the iconic Jekyll Island Club Resort for $94 million.
As a result of these property sales and acquisitions and assuming Villa Florence is sold and Margaritville is acquired, our 10 resorts will comprise roughly 23% to 24% of our 2019 same-property EBITDA.
Our San Francisco share in 2019 dollars were declined to 19% with 10 properties, and our Southeast focus will increase to 15% with five resorts and one hotel.
Of course, the world moving forward will be different, and we expect these 10 resorts will likely represent a more significant percentage of our EBITDA on a go-forward basis than they did in 2019.
On May 13, we raised $230 million of capital through our 6.375% Series G preferred equity raise.
On July 27, we successfully raised $250 million through our 5.7% Series H preferred equity raise, the largest preferred offering ever in the lodging space and equal to the lowest rate ever.
This raise refinances an equivalent amount of higher price redeemable preferable securities, our 6.5% Series C preferred shares and 6.375% Series D preferred shares.
This effect of $250 million swap will reduce our preferred dividend payments by approximately $1.8 million annually or $0.014 per share.
After completing our Jekyll Island Resort acquisition, we have approximately $875 million of liquidity, which includes roughly $230 million of cash on hand and $644 million available on our unsecured credit facility.
We also have approximately $235 million of reinvestment proceeds available under our current bank arrangements.
April RevPAR was 22.4% higher than March, may was 20.3% higher than April and then June rose even more, up 32.1% to May.
We think July will be up 25% to June.
We estimate that business travel doubled from the first quarter and probably recovered to about 30% to 40% of 2019 levels by the end of the second quarter.
The airlines who certainly have more visibility than our industry have indicated they believe that business travel will improve to 50% to 60% of 2019 levels by the end of the third quarter, with further improvement through the end of the year and into next year.
Their forecast seems reasonable given the bookings we've been seeing and the significant advances each month in urban weekday occupancies, which improved from 24.5% in March to 39% by June, and they look like they'll be up to around 47% or 48% in July.
Overall, urban occupancy rose from 29.5% in March to 43.8% in June, just below our overall portfolio occupancy for June of 46.4% July looks to be over 52%.
In July, looks like occupancies at our properties in San Francisco will average around 30%; L.A., 64%; San Diego, 74%; Portland, 58%; Seattle, 58%; D.C., 34%; and Boston at 66%.
For example, ADR year-to-date at LaPlaya in Naples is up $159 or 34% from the first half of 2019.
And ADR for business on the books in both Q3 and Q4 is ahead by a whopping $250 versus same time 2019 or roughly 100% increase in Q3 and 70% in Q4.
And consider this, total room revenue currently on the books at LaPlaya is $5.8 million ahead of total room revenue achieved for all of 2019, and we're only in July with five more months to book into this year.
On the other side of the country, at L'Auberge Del Mar in Southern California, where we just completed a highly impactful $11.7 million luxury redevelopment in Bay.
In June, we achieved an average rate $258 or 66% higher than for June 2019.
Rate currently on the books for July is at $878.
That's $372 or 73% higher than July 2019.
This past weekend, the resort ran 97% at a rate handily over $1,000.
At Paradise Point just down the road in Mission Bay, San Diego, Q3 ADR on the books is currently at $450 versus $269 for Q3 2019.
Transient revenue on the books for 2021 is already $2.8 million ahead of total transit revenue achieved for all of 2019.
Just across the water from Paradise Point at San Diego Mission Bay Resort, which was a Hilton when we acquired LaSalle and where a year ago we completed a $32 million multiphase transportation -- transformation of the property into a luxury independent resort, ADR is climbing as well compared to 2019.
In Q2, we achieved a 23% higher rate than Q2 2019 as we established this new independent resort and gained significant ADR share versus our market competitors.
For Q3, as we gain momentum, ADR is the books is currently ahead by $115 or 46% compared to Q3 2019.
At The Marker in Key West, we've also gained ADR and RevPAR share on our competitors following the $5 million of upgrades we made in 2019 at this small 96-room resort.
In Q2, ADR was up 45% or $143 to $459 compared to $316 in Q2 '19.
The third quarter is running $157 or 65% higher versus Q3 2019.
While in most cases we haven't yet achieved rates higher than 2019, we have grown our city ADR significantly since the pandemic recovery earlier this year, even as we reopened our hotels in the slower-to-recover markets, like Chicago, San Francisco and D.C. Average rate for our urban hotels has grown every month from a low of $155 in January to $158 in February to $160 in March to $175 in April, $196 in May and finally reaching $206 in June.
In July, we look to be up again as ADR achieved at our urban properties has increased another 10% from June at $227 through July 25, and rate on the books for the fall is running even higher.
At The Nines in Portland, where our luxury collection hotel is the market rate leader and the only luxury property in the city, ADR in the second quarter was down just 7% in Q2 at $250 and our rate on the books is currently running 9% higher than third quarter 2019, the Nines benefits from its number one position in the city and its high-quality suites and event spaces that appeal to high-end leisure and business travelers.
At the Mondrian in West Hollywood, where we completed a major comprehensive renovation just two years ago, ADR in Q2 recovered to within 4% of Q2 2019.
Third quarter ADR in the books at Mondrian is currently within 1% of same time 2019 and Q4 rate is up over 10% compared to same time 2019.
Le Parc in L.A., which received an $80,000 per key upgrading and repositioning just a year ago, is also closing in on 2019 rates on its way to even higher rates.
In Q2, ADR was down just 5.5% from Q2 '19.
In Boston, at The Liberty, which is one of the most unique and popular higher-end properties in Boston, we've achieved a $332 ADR month-to-date through July 25, and it's doing this at an impressive 86% occupancy level.
While we're not yet back to the $375 rate and 97% occupancy we achieved in July 2019, The Liberty, like our other properties in Boston, has certainly come back a long way from January's 30% at $186 and April's 61% at $210.
In fact, we're currently forecasting that July's same-property ADR will reach $270 to $275, which will exceed July 2019's ADR by $5 to $10.
For example, in June, with total revenues down 50% from 2019, our hotel EBITDA margin was 23.7%.
But for July, with 20% sequential growth in revenues, our hotel EBITDA margin should recover to around 27% to 28%.
While this is still lower than the 35.5% achieved in July 2019, it's a heck of a lot closer in a much shorter time than we were expecting just three months ago.
Yet not surprisingly, group revenue on the books for Q3 and Q4 is down about 64% and 54%, respectively, versus same time in 2019 for the same quarters.
And as of July, we had about 32% fewer group nights on the books, but it's at a 5% higher ADR as compared to the same time in 2018 for 2019.
In this case, very similar to what we've been accomplishing at Skamania Lodge over the last 10 years and with much more to come there as well.
This would be similar to what we did with the two historic bread and breakfast buildings at Southernmost Resort in Key West where we consistently achieve $100 to $200 or more in rate premiums than the rest of the resort because of the higher personal service and special exclusive club atmosphere that was created and that higher-end guests find very appealing.

Summary:
Adjusted FFO per share was a negative $0.12 per share, better than the negative $0.42 per share from the first quarter.
We're forecasting July to be down 38% to 42%, continuing the very positive recovery trend.