Good day, and thank you for standing by. Welcome to the Summit Hotel Properties Q4 2023 and full-year conference call. At this time, all participants are in a listen-only mode. After the speaker's presentation, there will be a question-and-answer session. To ask a question during the session, you will need to press star 11 on your telephone. You will then hear an automated message advising your hand is raised. To withdraw your question, please press star 11 again. Please be advised that today's conference is being recorded. I would now like to hand the conference over to your speaker today, Adam Wudel, Senior Vice President of Finance, Capital Markets, and Treasurer. Please go ahead. Thank you, Dee Dee, and good morning. I am joined today by Summit Hotel Properties President and Chief Executive Officer Jon Stanner and Executive Vice President and Chief Financial Officer Trey Conkling. Please note that many of our comments today are considered forward-looking statements as defined by federal securities laws. These statements are subject to risks and uncertainties, both known and unknown, as described in our SEC filings. Forward-looking statements that we make today are effective only as of today, 29 February 2024, and we undertake no duty to update them later. You can find copies of our SEC filings and earnings release, which contain reconciliations to non-GAAP financial measures referenced on this call, on our website at www.shpreit.com. Please welcome Summit Hotel Properties President and CEO Jon Stanner. Thanks, Adam, and thank you all for joining us today for our Q4 and full-year 2023 earnings conference call. 2023 proved to be another highly successful year for Summit, culminating with strong Q4 results. For the full year, RevPAR increased 6.6%, which outpaced the broader industry by 170 basis points, and resulted in hotel EBITDA and adjusted EBITDA-RE growth of approximately 6% and 5%, respectively. We continue to enhance the overall quality of our portfolio through strategic acquisitions while disposing of non-core assets with meaningful near-term capital investment needs. We have methodically refinanced approximately $1 billion in bank debt over the past 10 months, further improving the balance sheet and our ability to execute on important strategic initiatives. Today, Trey and I will discuss our 2023 financial results, our outlook for 2024, and how our recent capital allocation and balance sheet activities position Summit for growth moving forward. Fundamentals continue to improve across our portfolio in 2023 as RevPAR across all segments experienced positive growth despite the normalization of leisure travel witnessed throughout the year, most notably in the summer months. Robust demand in group and negotiated business drove 12% and 7% RevPAR growth in those segments, respectively, as travel to urban markets continued to accelerate. Full-year pro forma RevPAR growth of 6.6% was comprised of roughly equal increases in occupancy and average rate. While average daily rates in the portfolio are more than 5% ahead of 2019, occupancy continues to trail prior peak levels, creating meaningful opportunity for continued growth, particularly given our exposure to urban markets that have been slower to recover. RevPAR growth in our portfolio is increasingly driven by midweek demand as weekday RevPAR for the full year increased over 9% compared to 2022, a trend that accelerated throughout the year and helped partially offset the normalization of leisure demand that has driven weekend RevPARs to all-time highs. More specifically, RevPAR on Tuesdays and Wednesdays increased by 11% year-over-year, again primarily driven by the strength in the group and negotiated segments. The stable operating trends we experienced throughout the Q4 have continued into early 2024, with preliminary January RevPAR increasing approximately 5% year-over-year. We expect February to finish relatively flat to 2023, in part driven by the challenging Super Bowl comparison in Phoenix last year, where we own five hotels. Non-rooms revenue increased 15% in 2023, driven primarily by a 20% increase in food and beverage revenue. Midweek occupancy gains, driven in part by robust group demand, facilitated healthy banquet and catering revenue growth and higher in-house outlet utilization. Other non-rooms revenue increased as a result of successful parking contract renegotiations, increased resort fee capture, and various other opportunistic strategies that were deployed. Growth in the NewcrestImage portfolio, which we have now owned for approximately two years, continues to be a key driver of our results as full-year 2023 RevPAR increased a robust 13%, driving a 15% increase in Hotel EBITDA. Group and negotiated demand were again the primary drivers of our top-line growth, which generated RevPAR increases of 25% and 17%, respectively, in those segments for the year. As we have highlighted on prior calls, our ability to deploy cluster sale strategies alongside the benefit of participating in our first traditional corporate RFP process drove the NCI portfolio's RevPAR index to 112% in 2023. This represents a 530 basis point improvement from 2022, driven by index gains in the second half of the year that approached 700 basis points. The performance of the NCI portfolio further validates our conviction in this transformational transaction and highlights our ability to appropriately identify and underwrite opportunities, as well as develop and implement effective business plans for high-quality, well-located hotels. These assets have clearly been a bright spot in our portfolio, and we remain encouraged by the demand trends in these markets and are optimistic in our ability to gain additional market share and improve profitability, positioning the portfolio to deliver continued outsized growth in 2024 and beyond. Expense pressures broadly began to moderate in 2023, particularly in the second half of the year, as the operating environment continues to normalize. Operating expenses increased by only 2% per occupied room in the Q4, despite revenue growth that was driven primarily by occupancy gains. Operating expenses per occupied room in the second half of 2023 were approximately 2% lower than the first half of the year, and year-over-year, operating expense growth decelerated from 8.5% in the first half of the year to a mere 1.4% in the second half of the year on a per occupied room basis. We anticipate continued stabilization in the labor environment in 2024 and believe there is further opportunity for improved productivity and flow-through with reduced reliance on contract labor and lower turnover, which remain well above 2019 levels. Capital allocation remains a key strategic priority, and 2023 was another successful year from a capital recycling standpoint as we improved the overall quality of our portfolio through several strategic transactions. In 2023, we closed on the sale of five hotels in the suburbs of Chicago, Minneapolis, and Baltimore. Subsequent to year-end, through our joint venture with GIC, we sold our Hyatt Place in Plano, Texas. In aggregate, these six non-core hotels were sold for gross proceeds of $46.6 million at a blended cap rate of 4.3% based on the trailing 12-month net operating income at the time of sale. When adjusted for the approximately $31 million of foregone CapEx, the blended cap rate was 2.6%. These hotels generated a weighted average trailing 12-month RevPAR of $73 at the time of sale, a 40% discount to our pro forma portfolio. Our non-core dispositions were supplemented by two strategic acquisitions in our joint venture with GIC. In the Q2, we acquired the 120-guest room Residence Inn Scottsdale North and the 47-guest room Nordic Lodge in downtown Steamboat Springs for a total of $42.7 million. Collectively, these two hotels generated an average 2023 RevPAR of $137, a 14% premium to the pro forma portfolio and nearly double the blended RevPAR of the six sold hotels. These hotels require minimal near-term capital expenditures but offer future high ROI capital investment opportunities and complement our existing exposure in their respective markets, allowing our operations team to create or enhance sales clusters and leverage various staffing positions to generate outsized RevPAR growth and return profiles. On a combined basis, we expect these hotels to generate a yield on cost of over 9% in 2024 as benefits from our asset management initiatives begin to materialize. Before I turn the call over to Trey, let me provide a quick overview of our 2024 outlook. Our full-year RevPAR growth range of 2%-4% reflects a stable demand outlook and assumes the broad continuation of operating trends we experienced in the second half of 2023. Specifically, we expect continued strength in midweek demand, particularly in urban markets, which constitutes 50% of our portfolio exposure. We also expect to benefit from strong group demand, which accounts for approximately 15% of our room-night mix, driven by a combination of small self-contained events, which in many cases are a function of a more prevalent hybrid work environment, compression from citywide events, and general overflow from full-service hotels. Our RevPAR outlook also reflects the continued normalization of leisure demand, which faces difficult year-over-year comparisons, particularly in the first half of the year, but remains quite strong in a historical context. Finally, we believe our portfolio is positioned to outperform the broader industry again, in part given our exposure to several urban markets that have been slower to recover, including the San Francisco Bay Area, New Orleans, Minneapolis, Baltimore, and Louisville, where combined hotel EBITDA at our 19 hotels in these markets remains approximately $25 million below 2019 levels. Broader macroeconomic risks always exist in our business, and as is our custom, we are providing guidance that assumes a continuation of today's stable economic conditions. While we expect the moderation of expense growth we experienced in the second half of 2023 to continue in 2024, our hotel EBITDA guidance range assumes 4%-5% annual operating expense growth as a portion of our RevPAR mix is driven by occupancy gains and certain expenses in our business continue to grow at above inflationary levels. This results in positive year-over-year hotel EBITDA growth and modest EBITDA margin contraction at the midpoint of our RevPAR growth range. Lastly, based on our current view of the transaction market, we expect to be a net seller of assets in the first half of the year. However, we do believe the transaction environment will improve throughout the year, and given the progress we've made on the balance sheet, we believe we will be positioned to take advantage of acquisition opportunities as they arise. With that, I will turn the call over to our CFO, Trey Conkling. Thanks, Jon, and good morning, everyone. Throughout 2023, RevPAR within our portfolio improved across all location types, most notably within our urban and suburban portfolios, which produced RevPAR growth of 9% and 8%, respectively, for the full year. Growth in our urban and suburban portfolios was driven by several of our larger Sunbelt markets, such as Houston, Dallas-Fort Worth, and Atlanta, which comprise approximately 25% of our pro forma key count and generated RevPAR growth of 26%, 17%, and 13%, respectively, for the full year. Despite this significant growth in 2023, nominal RevPAR in our urban and suburban portfolios remains below 2019 levels, leaving continued opportunity for outsized future growth. Today, our urban and suburban hotels comprise approximately 75% of our pro forma guest room count. Turning to our resort and small-town metro assets, full-year 2023 RevPAR growth was approximately 3% as leisure demand remained steady but below the peak growth rates experienced in 2022. RevPAR performance in both of these location types continues to perform meaningfully above 2019 levels, a trend we expect to continue. Resort and small-town metro assets account for 15% of our pro forma guest room count. Pro forma hotel EBITDA for the full year 2023 was $260.5 million, an increase of 6% to 2022. This translated to full-year adjusted EBITDA of $190 million, an increase of 5% to 2022. Adjusted FFO for the full year 2023 was $112.8 million or $0.92 per share. Moving to the Q4, pro forma RevPAR increased 2.9% year-over-year, an acceleration from our Q3 RevPAR growth of 2.4%, driven by a 2.4% increase in occupancy and a 0.4% increase in average rate. This resulted in Q4 market share improving year-over-year by more than 300 basis points to 116%. By comparison, for the full year, RevPAR index for our pro forma portfolio was 113%, an increase of nearly 200 basis points from the prior year. Similar to the full year, Q4 pro forma RevPAR growth was driven by growth in our urban and suburban portfolios, which produced RevPAR increases of 5% and 4%, respectively. Key markets driving Q4 growth include Dallas, Atlanta, Boston, and Oklahoma City, all of which significantly outpaced the pro forma portfolio. RevPAR growth for our resort and small-town metro assets remained relatively flat to Q4 2022. furthermore, Q4 performance was largely driven by strong weekday RevPAR growth of approximately 6%. Weekday growth in our portfolio resulted from better-than-expected demand in the group segment, which generated fourth-quarter RefPAR growth of 10% and, in turn, allowed us to deploy strategies targeting the higher-rated retail segment, for which RefPAR increased approximately 8% in the quarter. This continues a trend from the Q3, where meaningful corporate and small-group demand, particularly in our urban portfolio, have served as catalysts to portfolio RefPAR and non-rooms revenue growth. Our asset management team continues to deliver strong results in a challenging operating environment, particularly on the labor front. FTEs remained relatively stable in the Q4, and we continue to operate with FTE counts approximately 20% below 2019 levels on average. Further evidence of an improving labor market is the continued decline in contract labor utilization. Contract labor expense in the Q4 declined 10% on a per-occupied room basis from the prior year and over 3% sequentially from Q3 2023 and now represents the lowest absolute contract labor spend since the Q1 of 2022. That said, nominal contract labor does remain approximately two times that of 2019 levels, indicating there is additional progress to be made. Wage growth also moderated throughout 2023, with nominal wages in the Q4 essentially flat to the Q3. All of this translated to a cost-per-occupied room increase of just 2% in the Q4 on a year-over-year basis, a trend we expect to continue into 2024. Pro forma hotel EBITDA for the Q4 2023 was $62.4 million, which is essentially in line with Q4 2022. This translated to fourth-quarter adjusted EBITDA of $46.4 million, an increase of approximately 1% to the prior year period. Adjusted FFO for the Q4 was $26.9 million or $0.22 per share. Turning to the balance sheet, to recap our recent capital markets activities, we successfully refinanced our $600 million senior unsecured credit facility in June and our $200 million senior credit facility for the GIC joint venture in September. Both of these refinancings maintain their previous interest rate pricing grids and have fully extended maturity dates of June and September 2028, respectively. Earlier this month, we completed a new $200 million senior unsecured term loan with a fully extended maturity date of February 2029 and an interest rate pricing ranging from 135-235 basis points over Term SOFR. Proceeds from the $200 million financing, along with asset sale proceeds, cash on hand, and our revolver, were used to retire our $225 million term loan scheduled to mature in February of 2025. We now have no significant maturities until 2026. The company continues to be proactive in managing interest rate risk. In March 2023, we entered into two $100 million interest rate swaps, fixing one-month Term SOFR at 3.354% through January 2026 for floating-rate debt within our GIC joint venture. In January of this year, we entered into an additional $100 million interest rate swap, fixing one-month Term SOFR at 3.765%, which is nearly 150 basis points below the current SOFR rate. This also is for floating-rate debt within our GIC joint venture. The latest swap becomes effective in October of 2024 and expires in January of 2026. Today, the net asset position of our swap portfolio is approximately $14 million. As a result of our interest rate management efforts, our balance sheet is well-positioned with an average pro-rata interest rate of 4.8%, and approximately 75% of our pro-rata share of debt is fixed after consideration of interest rate swaps at year-end 2023. When accounting for the company's Series E, F, and Z preferred equity within our capital structure, we are approximately 80% fixed. With no significant maturities until 2026, an average length to maturity of nearly four years, and an overall liquidity position of approximately $400 million, we believe the company is well-positioned to achieve its growth objectives. From a capital expenditure standpoint, in the Q4 and for the full year 2023, we invested approximately $27 million and $90 million, respectively, in our portfolio on a consolidated basis and approximately $22 million and $73 million, respectively, on a pro-rata basis. In 2023, our design and construction team executed several transformational renovations, including the Hilton Garden Inn Houston Energy Corridor, two Hyatt Places in Orlando, the Residence Inn downtown Portland, our Hilton Garden Inn San Jose Milpitas, the SpringHill Suites downtown Dallas, the Embassy Suites Tucson, two Hyatt Places in South Denver, our Courtyard Metairie New Orleans, and finally our Staybridge Suites Cherry Creek Denver. These newly renovated hotels, which comprise approximately 12% of our pro forma portfolio guest rooms, are now positioned for outsized growth and will continue to drive profitability, market share, and ensure the quality and relative age of our portfolio. On 25th January 2024, our board of directors declared a quarterly common dividend of $0.06 per share or an annualized $0.24 per share, which represents a dividend yield of approximately 4%. The current dividend, which was increased by 50% throughout the year, continues to reflect a prudent AFFO payout ratio and balances ample room for continued increases over time while preserving liquidity for growth opportunities. Included in our press release last evening, we provided full-year guidance for key 2024 operational metrics, in addition to certain non-operational items. This outlook does not include any additional acquisition, disposition, or capital markets activity beyond what we have discussed today. For the full year, we anticipate RevPAR growth of 2%-4%, which translates to an adjusted EBITDA range of $188 -200 million and an adjusted FFO range of $0.90-$1 per share. At the midpoint of our RevPAR guidance range, we would expect hotel EBITDA margins to contract approximately 75 basis points year-over-year, which incorporates approximately 30 basis points of headwinds from higher property taxes. We expect pro-rata interest expense, excluding the amortization of deferred financing costs, to be $57 million, Series E and Series F preferred dividends to be $15.9 million, Series Z preferred distributions to be $2.6 million, and pro-rata capital expenditures to range from $65-85 million. Finally, as previously mentioned, the increased size of the GIC joint venture results in fee income payable to Summit covering approximately 15% of annual cash corporate G&A expense, excluding any promote distributions Summit may earn during the year. With that, we will open the call to your questions. Thank you. As a reminder, to ask a question, please press star 11 on your telephone and wait for your name to be announced. To withdraw your question, please press star 11 again. Please stand by while we compile the Q&A roster. Our first question comes from Austin Wurschmidt of KeyBanc Capital Markets. Yeah, good morning, everybody. Jon or Trey, you guys have, you know, $73 million listed as held for sale on the balance sheet, which I presume does include the Plano asset you sold earlier this year. But, I mean, should we just view this as you continue to move down a path towards selling additional assets, you know, maybe, you know, even in the near term? H ow do we think about use of proceeds? Because, Jon, I believe you did kinda mention that you'll, you know, continue to be in a position to, you know, pursue opportunities to the extent that they may materialize. Yeah, thanks for the question. Good morning, Austin. We did disclose in the 10-K that we've moved several assets into the held-for-sale bucket. We disclosed that we're under contract for the sale of three additional assets for a total sale price of $84 million, combined with what we've already announced in the press release t hat bring kinda the total disposition portfolio to about nine hotels and $130 million. The hotels that are under contract that are classified as held for sale, the earnest money associated with those contracts is not fully non-refundable. W e typically don't publicly announce them or talk through valuation metrics or anything else and until they've either closed or the earnest money is non-refundable i do think what you alluded to is exactly right, Austin. This is consistent with what the strategy has been over the last 12-18 months, where we've been able to sell, you know, some lower RevPAR, lower cap rate type of hotels, albeit it is still what is a relatively slow transaction environment. A lot of what we've sold has had, you know, pretty significant CapEx needs going forward. I think in the near term, you can expect us to continue to use proceeds to pay down leverage and pay down and delever the balance sheet. You know, as we did say in the prepared remarks, we expect to be a net seller of hotels in the first half of this year. W anna make sure we're in a good position as we continue to make progress through the year, to be positioned to be opportunistic on the acquisition side as well. J ust to clarify, it's fair to assume that those sales are not captured in your guidance at this point and that, you know, like what you've done before, these are lower cap rate assets that could be used to repay some higher rate debt that you have outstanding? That's correct. Fair. T hen just last one. I mean, you know, we've had some markets that have kinda lagged in the recovery. Just curious how those set up this year. You know, the Bay Area assets, many, you know, some you've talked about in the past, but just curious what your outlook is for, for some of those markets, and whether or not the some of those, you know, may be included in these, these assets held for sale. Thanks. Yeah, you know, yeah. We, we did, you know, kinda outline, you know, five markets, that, that have been significantly slower to recover in our portfolio, those markets being the, the Bay Area, San Francisco, Minneapolis, Louisville, New Orleans, and, and Baltimore. Collectively, those markets are running about 75%-80% of 2019 RevPAR levels, and EBITDA is between kinda 50%-60%, depending on the market. W e do think that there is a lot of upside left in those markets. Many of those markets are still challenged today, but the bar for incremental growth is, is relatively low. I think we're optimistic that we're starting to see some green shoots in some of those markets N ew Orleans is having a really, really strong Q1. The Sugar Bowl certainly helped, but we had a strong Mardi Gras in New Orleans in the Q1. I think San Francisco, while the convention calendar is down, we're starting to see some green shoots, even in Silicon Valley, where we're seeing some of the tech business come back, albeit slowly. Again, the bar for growth here is pretty low. Louisville's a market that's got a couple of special event tailwinds this year i t's the 150th running of the Kentucky Derby, the PGA Championships at Valhalla this year. W e started to see some green shoots in Minneapolis last year. I t is certainly a focus of ours operationally this year, and we do think that those markets set us up for outsized growth relative to the industry for the year. That's all help. Thanks for the time. Thanks, Austin. Thank you. One moment for our next question. Our next question comes from Michael Bellisario of Baird. Thanks, guys. Good morning. Good morning, Mike. Just wanna follow up there on some of those markets. You shared your 2%-4% RevPAR guide. How are you forecasting the performance of the wholly-owned portfolio that has a lot of those assets versus the GIC portfolio? Is there any outsized lift in those assets that's embedded in guidance, and how should we think about the performance in 2024, wholly-owned versus JV? Yeah, I think that we do think that those markets will have outsized growth for the year. I think on a blended basis, the expectation is for the portfolios to perform relatively in line with each other, maybe slightly better performance this year in the wholly-owned portfolio than the GIC portfolio. We certainly saw that in the Q4 of this year. I do think, as you alluded to, Mike, there's probably more embedded upside in the wholly-owned portfolio just because we have exposure to some of these slower-to-recover markets. That being said, the portfolio in the GIC portfolio the performance in the GIC portfolio and the NCI portfolio, particularly, has continued to be quite strong i think four of our top seven markets, RevPAR growth-wise in 2023, were all Texas markets. Everything that we've identified and that has us excited about the NCI portfolio and its performance, those, the bar is higher next year, but the underlying demographic growth and corporate relocation growth and everything that's driven those properties' performance continues. Got it. Understood. T hen just one more on guidance, the 4-5 expense growth range. I think you said 2% cost per occupied room m aybe that was just for the Q4. But either way, what are you assuming big picture for wages? Where does contract labor end in 2024 versus 2023, insurance, taxes, etc.? Thanks. Yep. W e outline kind of broad expense growth in 2024 at kind of 4%-5%. That is, as you alluded to, some of that is driven by the fact that, about two-thirds of our RevPAR growth is forecasted to come from occupancy. W hen you break down the expense growth, it's roughly 50/50, the difference between expense growth per occupied room and just incremental occupancy across the portfolio. Our assumption for wage growth is somewhere between 3%-4% for the year. A s we talked about in the prepared remarks, we do think there's the opportunity to continue to reduce our reliance on contract labor and turnover i think that's where the real dollars are. We saw that in the back half of the year. Our expense growth per occupied room was up less than 1.5% in the back half of the year. A lot of that is the great work the team has done, again, to get rid of some of this contract labor. Our contract labor was actually down year-over-year in the second half of the year. That being said, it's still almost two times what it was pre-pandemic. I don't expect to get all the way back down to where we were in 2019, but incremental progress there should help us mitigate what is still an environment where we still are seeing some inflationary pressure on expenses. Got it. T hen just last one from me. Just if and when you sell those three hotels, where would pro forma net leverage go? T hen just on the acquisition front, I know you mentioned being opportunistic, but any specific markets of interest to you or regions of the country that you're maybe sharpening the pencil on? And that's all from me. Thanks. Hey, Mike. It's Trey. From a leverage perspective, if you see our guidance, we're really probably in the mid-fives right now. I think when we talk about those asset sales, given the profile of what they are that John kinda outlined versus what we've sold through 2023, you'd probably see leverage in the low-fives. W e could see it moving at probably a little more than a quarter of a turn, which is kind of how we're looking at it today. I'll turn it back to John for the markets. Yeah. On acquisitions, no specific target markets, Mike. You know, you can see that, you know, post-pandemic, we've bought about $1 billion of assets w e've been heavily concentrated in the Sunbelt and some of these markets in some of these mountain markets. We still like the demographics and all the demand and growth drivers in those markets. Y ou know, ultimately, we're underwriting risk-adjusted returns a nd I think we're happy to look, maybe not everywhere, but almost everywhere for the right opportunity. Perfect. Thanks for that, Caller. Thanks, Austin. Thank you. One moment for our next question. Our next question comes from Bill Crow of Raymond James. Hey, good morning. Couple lines of questions. On the expense front, can you kinda talk about what percentage of your portfolio is doing nightly housekeeping versus, you know, pre-COVID? How has that evolved over the last few years? Yeah. You know, Bill, very, very small portion of the portfolio is actually doing nightly housekeeping a gain, I think it's one of the benefits of the model and one of the benefits of, you know, being in where we sit with the brands is that the vast majority of our hotels have gone to an opt-in cleaning. Now, we are cleaning more rooms than we were certainly in, in 2020 and 2021. You've seen some of these patterns return normal, and our length of stays have generally normalized. W e don't have these three- and four-night length of stays as much as we have in the past. W e're clearly going to see the benefits of the model shifting to an opt-in cleaning model. I'm always hesitant to say forever, but certainly, indefinitely is the way that it's looked on. You can see it in our FTE counts. You know, we're running about 80% of our prior peak FTE counts i t's that, and a lot of that is driven by the fact that we're not cleaning every night. Does it make a difference what market you're in and whether they're union or non-union or anything like that as far as what happens at your hotels? Yeah. You know, there's definitely some differences in patterns among BT customers and leisure customers. C ertainly, if you're in a union market, in your union hotel, you've got a different set of rules that you need to play by, y ou're not seeing nightly cleaning flexibility in those markets nearly as much t hankfully, we have very, very little union exposure. W e do have a fair amount of flexibility to do this. I think we're finding the sweet spot around, you know, delivering exactly what the guest wants, and still creating a very positive guest experience and doing it in a way that's the most efficient for us to manage the bottom line. Great. On the acquisition front, and I understand it might be the second half of the year or even later, but I know at one point you were hoping you'd see some broken development deals. I 'm curious whether you were starting to see any of that or whether that was, you know, the economic recovery, demand recovery has come back too much to really open that door. A lso, you know, you have done a couple of developments, ground-up developments i 'm wondering whether that's an opportunity for capital deployment going forward. Yeah. You know, we didn't see a lot, and we haven't seen a lot in terms of the just broken development deals where we could step in and take over the development. I think somewhat consistent with what we've seen in past cycles, we just haven't seen a whole lot of real distress come through the system. That being said, part of it is we just haven't seen a lot of development. I think one of the silver linings of the industry right now is the lack of supply growth that has been well-documented. But we're in a, you know, 1% or sub-1% supply growth environment for the next several years. K inda by definition, there's not a whole lot of development happening, you know, in this environment. We do think that it's potentially an interesting time to selectively look at developments. We've been historically, as you'll recall, active with our mezzanine lending program. We think that there's the potential now where there's really high-quality projects that can't get done because they can't get financed efficiently. I t's is a potential use of capital as we get further out into the year and we get some of these other asset sales completed and something that we're actively looking at. I'm gonna push my luck and see if I can get one more question in on the same topic. That is, you know, are you starting to see more displacement between the brands trying to enforce their standards and hotels that have deferred capital, whether you'd step in to do more, you know, renovation projects of not distressed but certainly aged assets? Yeah. Well, look, we think that it's gonna create transaction activity over time. I do think, again, as you alluded to, the brands rightfully are gonna take a more aggressive approach with owners to try to get their hotels renovated t his has been an undercapitalized, from a CapEx perspective, industry really since the pandemic. I think the brands are highly focused on making sure that they have a collection of assets that are maintained appropriately. W e spend a lot of time internally trying to be thoughtful around where and how we allocate capital. A s I said, you know, earlier, one of the common themes across the portfolio, the hotels that we have sold has been significant capital needs where we just didn't feel like the ROI justified the capital that needed to go into the hotel. The inverse of that, again, as you alluded to, is that could create some opportunities. We, we've always really liked to buy broken assets, and you know, kinda fix them. P art of that fix often could be from capital a nd I do think that you will see more of those opportunities present themselves over the next, you know, 6, 12, 18 months. P art of that will be driven by the brands. Great. That's it for me. Thank you. Thanks, Bill. Thank you. One moment for our next question. Our next question comes from Chris Woronka of Deutsche Bank. Hey, good morning, guys. John, I wanna ask you about extended stay brands. You guys have some exposure there, right, with more, with a couple of big companies. They've all recently announced new extended stay brands, kind of, generally at the lower end than where they've been. Does that create any, you know, threat or opportunity for you guys? Is there any kinda pressure to either, you know, renovate one of your existing hotels or, or potentially build a new one of the new brand? Yeah. You know, it is interesting a nd I think, as you alluded to, all of the three, you know, large brands, Marriott, Hilton, and Hyatt, have all come out with new, you know, what I'll about broadly call mid-scale extended stay hotel options. I do think they're gonna fit in different places in kind of the overall chain-scale picture over time. You know, we're not a natural developer of those type of, of properties. I certainly understand from the brand's perspective, how they fit in, in the impetus to try to, to roll those out. In some ways, I think it creates some opportunities for us in, in certain markets with potential other brand options. I think, you know, at this point in time, we're content to kinda see how the brand rollout happens and assess our ability to take advantage of any of those new brands, over time. Okay. Yeah. Thanks for that, John. T hen, going back to the asset sales and what you've got kind of under contract, and you mentioned you might you know, hopefully, be more aggressive later in the year on the acquisition front if there's opportunities. But, you know, interest rate outlook, right? I guess it's a little surprising to you. Is the reason you don't wait until later in the year to sell what you're selling, is that because the CapEx needs have some kind of, like, hard deadline to start, or is there another factor to, you know, if we think hotel pricing, right, might improve, meaning what you can sell for, cap rates go down later in the year, would it make sense to wait, or is there some reason to do it now? Yeah. Look, we obviously don't think we've left, you know, money on the table by selling now. I think part of that has been, you know, the nature of the assets that we've been selling have been a little bit w e've found buyers that are a little more focused on room revenue multiples and a little less focused on yields a nd I think that's helped facilitate some of these transactions at, you know, low cap rates, certainly cap rates well inside where we trade as a public company. I think we wanna make sure that we're positioned for taking advantage of acquisition opportunities later in the year. Y ou know, the earlier we can do it, the earlier we can show a little progress on deleveraging the balance sheet, we think there's a benefit to that. We certainly do weigh in on any of these transactions the rationale of going now or waiting t here have been certain assets that we've entertained sales on that we haven't executed on because we do think we can wait till we get a more normalized, at least into a more normalized interest rate environment to transact. I t is a balance, and we think we've, you know, struck the appropriate balance in going now versus waiting. Okay. Very good. Hey, thanks, John. Thanks, Chris. Thanks. Thank you. I would now like to turn it back to Jonathan Stanner for closing remarks. Okay. Thank you all for joining us today. We look forward to seeing many of you in Florida next week and at investor conferences later in the year. Thank you very much. This concludes today's conference call. Thank you for participating, and you may now disconnect.