Good afternoon, everyone, and thank you for joining the Xenia Hotels & Resorts, Inc Q1 2026 Earnings Conference Call. My name is Reagan, and I'll be your moderator today. All lines will be muted during the presentation portion of the call, with an opportunity for questions and answers at the end. If you'd like to ask a question, you may do so by pressing star one on your telephone keypad. I would now like to pass the conference over to our host, Aldo Martinez, Director of Finance. Please proceed. Thank you, Reagan, and welcome to Xenia Hotels & Resorts first quarter 2026 earnings call and webcast. I'm here with Marcel Verbaas, our Chair and Chief Executive Officer, Barry Bloom, our President and Chief Operating Officer, and Atish Shah, our Executive Vice President and Chief Financial Officer. Marcel will begin with a discussion on our performance. Barry will follow with more details on operating trends and capital expenditure projects. Atish will conclude today's remarks on our balance sheet and outlook. We will then open up the call for Q&A. Before we get started, let me remind everyone that certain statements made on this call are not historical facts and are considered forward-looking statements. These statements are subject to numerous risks and uncertainties as described in our annual report on Form 10-K and other SEC filings, which could cause our actual results to differ materially from those expressed in or implied by our comments. Forward-looking statements in the earnings release that we issued this morning, along with the comments on this call, are made only as of today, May 1, 2026, and we undertake no obligation to publicly update any of these forward-looking statements as actual events unfold. You can find the reconciliation of non-GAAP financial measures to net income and definitions of certain items referred to in our remarks in our first quarter earnings release, which is available on the investor relations section of our website. The property-level information we'll be speaking about today is on a Same-Property basis for all 30 hotels unless specified otherwise. An archive of this call will be available on our website for 90 days. I will now turn it over to Marcel to get started. Thanks, Aldo. Good afternoon, everyone. We are pleased to report strong first quarter 2026 results that exceeded our expectations across all key metrics. Our portfolio delivered exceptional first quarter performance, driven by strength in both the group and transient demand segments, especially in the month of March. We also saw highly encouraging results at Grand Hyatt Scottsdale Resort as it continues on its path towards stabilization following the completion of its transformative renovation. For the first quarter of 2026, we reported net income of $19.8 million, Adjusted EBITDA of $81.4 million, an increase of nearly 12% to last year, and adjusted FFO per share of $0.63, which was 23.5% higher than the first quarter of 2025. For the first quarter, our Same-Property RevPAR grew 7.4%, with occupancy increasing 180 basis points and average daily rate increasing 4.8% compared to the first quarter of 2025. Additionally, we continue to benefit from strong growth in non-room revenues, as evidenced by our Same-Property total RevPAR for the quarter growing to $370.13, reflecting an increase of 7.2% as compared to the same quarter last year. Food and beverage revenues increased 6.2% on the Same-Property basis, reflecting continued growth in banquet and catering revenues, as well as our ongoing focus on outlet optimization efforts, while other revenues were up nearly 11% for the quarter. Same-Property hotel EBITDA for the quarter was $87.8 million, an increase of almost 18% compared to the same period last year. Significant growth in rooms revenues, a large portion of which consisted of rate growth, combined with disciplined expense management, drove an improvement in Same-Property hotel EBITDA margin from 27% in the first quarter of 2025 to 29.7% this year, an expansion of 270 basis points. At Grand Hyatt Scottsdale Resort, record revenues and hotel EBITDA were achieved for the first quarter as a ramp-up of the overall resort continues. The resort has seen successful execution of occupancy driven ramp-up plans that have produced significant transient business volumes to supplement the growing base of group demand. These improvements have translated throughout the operation into record food and beverage outlets, spa, recreation, parking, and miscellaneous revenues. Expenses have grown at a slower pace as much of the occupancy gains have required relatively limited incremental costs. As a result, the resort's hotel EBITDA margin improved significantly during the first quarter. While Grand Hyatt Scottsdale was a significant driver of our first quarter outperformance, we experienced broad-based strength across our portfolio of luxury and upper upscale hotels or resorts. Increased group and transient demand contributed to RevPAR and total RevPAR increases in 15 of our 22 markets. In addition to the Phoenix, Scottsdale market, we experienced double-digit percentage total RevPAR growth in Salt Lake City, Birmingham, Portland, Santa Clara, Santa Barbara, and Houston, which is indicative of the range of markets and demand segments that contributed to our strong performance for the quarter. Our weakest performance for the quarter on a year-over-year basis were as anticipated, as these properties either benefited from one-time events last year, such as the Super Bowl in New Orleans and the presidential inauguration in Washington, D.C., or experienced some disruption due to capital projects, specifically Fairmont Pittsburgh and W Nashville. W Nashville also was impacted by several weather events that negatively impacted performance quarter. We continue to benefit from our portfolio's favorable positioning and diversification as it relates to the various demand segments. Group rooms revenues increased in excess of 7% for the quarter as compared to the same period last year. Bolstering our performance, transient room revenues also grew approximately 7% for the quarter, primarily driven by extremely strong performance in March as the timing of Easter and early April appeared to compress high levels of corporate transient leisure demands into the month of March. Turning to capital expenditures. We continue to expect to spend between $70 million and $80 million on property improvements during the year. During the first quarter, we completed the renovation of the M Club at Marriott Dallas Downtown and the guest room renovation at Fairmont Pittsburgh, which was completed as planned with limited disruption on budget and in advance of the NFL Draft that took place in Pittsburgh last week with record attendance. On our last couple of earnings calls, we expressed our excitement about the re-concepting of the food and beverage outlets at W Nashville. We are pleased to report that all outlets have opened for business and were completed on time and within budget. The new outlets are tremendous new amenities for the hotel, initial feedback from customers has been extremely positive. Barry will provide additional details on our capital projects, including the Nashville food and beverage re-concepting during his remarks. Looking ahead to the second quarter, we are encouraged by the continuation of the positive momentum our operators are reporting for April. While calendar shifts related to Easter timing and spring breaks contributed to our outstanding results in the month of March, we estimate that April Same-Property RevPAR increased nearly 6% as compared to April 2025. The estimated RevPAR growth of over 10% that our portfolio experienced during the combined months of March and April is a reflection of strong demand in our markets when eliminated the impact of the timing of Easter compared to last year, with our largest resorts benefiting a bit due to safety concerns in Mexico and weather conditions in Hawaii. Turning to our outlook for the remainder of the year. Given the stronger than projected first quarter results, we have raised our full year 2026 Adjusted EBITDAre guidance by $6 million to $266 million at the midpoint. Our guidance for adjusted FFO per share for full year 2026 is now $1.94 at the midpoint. This would represent an increase of approximately 10% over 2025. We are encouraged by our first quarter performance as well as demand trends in April, a significant amount of overall market and geopolitical uncertainty continues to exist as we look ahead to the remainder of the year. We have not changed our outlook for the balance of the year when compared to our previously issued guidance. Atish will walk through all of our current 2026 guidance items in more detail, including our updated views of the anticipated demand lift from one-time events such as the FIFA World Cup and America 250. Although we have not completed any transactions since the sale of Fairmont Dallas last year, we have significantly improved our portfolio through robust acquisition and disposition activity since our listing in 2015. We continue to evaluate potential transactions with an eye toward further portfolio improvements and sustainable earnings growth in the years ahead. The transaction markets and opportunity sets appear to be a bit more robust than they have been in the last couple of years, and we will continue to evaluate these opportunities while being mindful of our balance sheet and other capital allocation priorities. While the macroeconomic environment remains fluid and uncertain, we continue to believe our portfolio is very well positioned for continued earnings growth. The quality of our luxury and upper upscale hotels and resorts in top 25 and key leisure markets, combined with our experienced operating partners and a favorable supply backdrop for the next several years, provide a solid platform for continued outperformance in 2026 and in the years ahead. I will now turn the call over to Barry to provide more details on our first quarter operating results and our capital projects. Thank you, Marcel, and good afternoon, everyone. For the first quarter, our 30 Same-Property portfolio RevPAR was $205.93, an increase of 7.4% as compared to the first quarter in 2025, based on occupancy of 71.4% and an average daily rate of $288.62. Properties achieving double-digit RevPAR growth as compared to the first quarter of 2025 included Grand Hyatt Scottsdale, RevPAR up 46.2%, Kimpton Hotel Monaco Salt Lake City, 27.2%, Andaz Savannah, up 16.4%, Hyatt Regency Santa Clara, up 14.7%, Grand Bohemian Hotel Mountain Brook, up 13.9%, and Kimpton Canary Hotel Santa Barbara, up 12%. Growth at these properties was due to a variety of factors, including increased citywide demand, stronger leisure demand in drive two markets, and one-off major events. Properties with softer performance in Q1 this year included Loews New Orleans, which hosted the Super Bowl in Q1 of 2025, The Ritz-Carlton, Pentagon City, which lapped last year's presidential inauguration, and W Nashville, due to poor weather and anticipated disruption from the José Andrés food and beverage relaunch. Looking at each month of the quarter, January RevPAR was $163.59, up 1.4% to January 2025, with occupancy flat and ADR up 1.4%. February RevPAR was $216.11, up 4.8% compared to February 2025, with occupancy down 40 basis points and ADR up 5.4%. March was the strongest month of the quarter across all three metrics, with RevPAR of $239.08, up 14.3% compared to March of 2025, with occupancy up 540 basis points and ADR up 6.5%. Group business continued to maintain its recent strength during the quarter, with group rooms revenue up over 7%, reflecting strength in group business that is expected to continue to improve throughout the rest of the year. Overall, for the quarter, group nights were up 2.5%, with ADR up 4.4%. Business levels grew for each night of the week during the quarter compared to the first quarter of 2025. Occupancies grew by 210 basis points on weekdays and 110 basis points on weekends, with ADR growth of 4.5% on weekdays and 5.3% on weekends. RevPAR on Wednesday nights was up a notable 11% for the quarter. Leisure business during the quarter was consistent across the large resorts in the portfolio, with significant increase in leisure business at Grand Hyatt Scottsdale and Hyatt Regency Grand Cypress, as well as strength at Park Hyatt Aviara, which lapped a difficult comparison to the first quarter of 2025. At our smaller leisure-focused hotels, leisure business grew significantly at Andaz Savannah, Royal Palms, and Kimpton Canary Hotel Santa Barbara. Now turning to expenses and profit. First quarter Same-Property hotel EBITDA was $87.8 million, an increase of 17.9%, driven by a total revenue increase of 7.3% compared to the first quarter of 2025, resulting in 270 basis points of margin improvement. Our operators are now able to better control expenses in a more stable occupancy and a growing rate environment. For the 30 Same-Property portfolio, food and beverage revenues increased 6.2% in the quarter as a result of nearly 11% growth in banquets, while outlet growth declined slightly, primarily as a result of outlet closures at W Nashville during the quarter. Other operating department income, including parking, spa, and golf revenues, grew by approximately 13%. Rooms expenses were well controlled, increasing 2.3% on a per occupied room basis, while F&B profit margin improved by approximately 150 basis points. A&G grew by approximately 4.5%, while sales and marketing expenses remained flat during the quarter. In line with recent trends, the strategies have been refined and focused across the portfolio. Property operations and maintenance expenses grew by just 1.3% due primarily to lower general expenses, while energy expenses across the portfolio grew at over 9% due to significant winter storms, which drove higher costs, especially for gas. Turning to CapEx, during the first quarter, we invested $15.2 million in portfolio improvements. We completed two projects during the first quarter, including the completion of a guest room renovation at Fairmont Pittsburgh and a renovation of the M Club at Marriott Dallas Downtown. More significantly, we reconcepted the food and beverage facilities at W Nashville pursuant to our previously announced agreements with José Andrés Group, which JAG now operates under licenses to potentially all of the hotel's food and beverage outlets. These outlets include Zaytinya, an Eastern Mediterranean concept serving lunch and dinner, Bar Mar, a coastal seafood and premium meat dinner concept, Butterfly, a high-energy rooftop bar with a Mexican-inspired menu, and Glowbird, a new pool deck concept with an expanded bar and upgraded food and beverage offerings. All reconcepted outlets opened in the first quarter with the exception of Glowbird, which opened in late April. These projects were completed on time and within budget. These outlets are truly beautiful and significantly upgrade the F&B offerings of the properties by menus ideally matched to the market. Each outlet is off to a great start, and we look forward to sharing future progress with you. Our in-house project management team continues work on two important guest room and corridor renovations that are expected to begin in the fourth quarter at Andaz Napa and The Ritz-Carlton, Denver, as well as ongoing work upgrading our hotel's infrastructure through physical plant and facade upgrades at 10 hotels this year. With that, I will turn the call over to Atish. Thank you, Barry. I will provide an update on our balance sheet and our current 2026 guidance. At quarter end, we had approximately $1.4 billion of outstanding debt. Just over three quarters of our debt was at fixed rates inclusive of hedges. Our weighted average interest rate at quarter end was 5.5%. Additionally, at quarter end, our leverage ratio, as defined in our corporate credit facility, was approximately 4.8x trailing 12 months net debt to EBITDA. We expect our leverage ratio to further decline as Grand Hyatt Scottsdale stabilizes in the next couple of years. Our long-term leverage target is sub 4x net debt to EBITDA. As a reminder, we have no preferred equity or senior capital. During the quarter, we paid off the $52 million mortgage loan at The Grand Bohemian Orlando with cash on hand. We also resized the Andaz Napa mortgage loan with a $6.3 million principal payment in March, thereby bringing the loan back into covenant compliance. In total, 28 of our 30 hotels are free of property-level debt, representing a source of balance sheet strength. Our debt maturities are well laddered with a weighted average duration of over three years. Our available cash at quarter end was over $100 million, and our $500 million line of credit remains undrawn. As such, total liquidity was over $600 million at quarter end. In April, we paid a first quarter dividend of $0.14 per share. If annualized, our current yield is over 3%, assuming this level of dividend is maintained. Turning next to our current 2026 guidance that we issued this morning. Based on the 1st quarter outperformance, we've raised our full year outlook. Our overall expectations for the second quarter through year-end are roughly in line from where they were when we last issued guidance about two months ago. In specific, our RevPAR is expected to grow between 2.75% and 5.25% for the full year. This is an increase of 100 basis points at the midpoint. Total RevPAR is expected to grow between 3.75% and 6.25% for the full year. This is an increase of 75 basis points at the midpoint from prior guidance. While total RevPAR growth was healthy in the first quarter, we saw more growth on the room side, particularly in the month of March, which is the reason for the larger increase in our RevPAR outlook. Our adjusted EBITDAre guidance has increased by $6 million to $266 million at the midpoint. The $6 million increase is a combination of a $7 million increase to hotel EBITDA driven by top line, offset by $1 million of higher G&A expense. As we look ahead, we are seeing strength in transient and group demand across the portfolio, including in many of our urban markets. As Marcel and Barry each discussed, that strength has been broad, and we expect it to continue. Based on our preliminary estimate of April RevPAR, our March/April blended RevPAR increased in the teens percentage range at many of our business transient and group-oriented hotels, such as Hyatt Regency Santa Clara, Waldorf Astoria Atlanta Buckhead, Kimpton Hotel Palomar Philadelphia, The Ritz-Carlton, Denver, and Westin Galleria and Oaks Houston. Offsetting this higher expectation and the reason why our remainder of the year outlook has not changed much is that we are now expecting less of a boost from special events. Specifically, we're trimming our prior expectation of 75 basis points of RevPAR growth from special events to a range of between 25 and 50 basis points. While demand for the NFL Draft in Pittsburgh was strong and we expect America 250 demand to benefit D.C. and Philadelphia, our growth expectation for the FIFA World Cup has come in. Six of our hotels are expected to benefit from the FIFA World Cup, but the degree of benefit varies considerably. Our hotels in Atlanta, Buckhead, and Philadelphia should do well, but our hotels in Houston, Santa Clara, SFO, and Dallas are less likely to see a strong boost. Given that our assets in Atlanta, Buckhead, and Philadelphia are smaller than those in the other markets and represent about 5% of our total room base, the benefit is expected to be more limited than previously expected. To provide a bit more color as we look by segment, on the group side, there has been wash on the group blocks over the FIFA World Cup event period, such that about half the prior group business booked currently remains on the books. As such, these six properties will be more dependent on transient demand than expected. In terms of occupancy and rates on current definite business, this is for both group and transient on game days at the six hotels, less than half of our inventory is booked, with more than half remaining to be booked. Some hotels are loosening restrictions, including minimum length of stay requirements. ADR for the business that has booked is up about 50% versus last year. This is likely to come down as we get closer to the event but is obviously a good sign. In addition, our expectations regarding the days before and after game dates have also come in as definite business on those dates is a bit softer. Moving ahead to our earnings cadence by quarter, I want to take a moment to provide this info to assist with your modeling. We expect full year adjusted EBITDAre to be weighted across the remaining quarters as follows: second quarter in the high 20s percentage range, third quarter nearly 20%, and fourth quarter in the low 20s percentage range. On margins, we are now expecting margin expansion for the full year, which is up from our prior expectation for a margin decline. For the full year, we expect cost per occupied room to grow in the mid 2% range, which is below our prior estimate of 3%. Our operators are doing a better job at managing expenses than expected. We have confidence that the rate of expense increase that we've experienced over the last several years will continue to decline as we look forward. Our AFFO per share forecast is increased by $0.06 to $1.94 at the midpoint. As projected, this would make for another year of double-digit percentage growth in FFO per share. Our estimates for capital expenditures, income taxes, and interest expense are unchanged. Turning ahead to group room revenue pace for our 30 hotels. Our group room revenue pace continues to be healthy. As of the end of the first quarter, group revenue pace for May through December of this year was up approximately 6% compared to the same period in 2025. For the second half of this year, group pace was up about 9%. Excluding Grand Hyatt Scottsdale, group pace would be about 100 basis points lower for each period. That reflects several properties across the portfolio having strong pace growth. Group production was solid in the first quarter. First quarter group room revenue production for May through December increased about 5% compared to production for the first quarter of 2025 for that same May through December period. For the May to December period, over 80% of our projected group business for these months is definite. In summary, we are very pleased with the strong start to 2026. Our portfolio is performing well across both group and transient segments. Our balance sheet provides meaningful financial flexibility, and our team and operating partners are executing at a high level. With that, we will turn the call back over to Reagan to begin our Q&A session. Thank you. If you would like to ask a question, please press star one on your telephone keypad and if you are going to remove your question, please press star two. As a reminder, use your speaker phone, please remember to pick up your handset before asking a question. Our first question comes from the line of Michael Bellisario of Baird. Your line is open. Thanks. Good afternoon, everyone. Afternoon. First, just wanna start on the demand front. Can you talk a little bit more about the urban improvement that you saw? Was that business or leisure picking up? Any specific markets or comments to add some color there would be helpful. Yeah. I think when we think about urban, a lot of that is more near urban or suburban than truly downtown CBD when you look across the portfolio. I think what we saw certainly in the quarter, and we're continuing to see into the second quarter, is improvement in both corporate demand, certainly on weeknights. I talked about Wednesday night demand being up 11%, for the quarter in terms of demand, which is very significant obviously. I think we were pleasantly surprised to see across the portfolio a relatively even mix between what weekdays were up and what weekends were up. Those are the things we look at as the primary determinant of how much is really being driven by business versus how much by leisure. We've seen growth certainly in both segments. I mean, group, we always knew would be strong. I think we had a lot of hope heading into Q1 that negotiated corporate demand would continue at the levels that had been growing in Q4. That certainly continued, and I think we had, as I think we all mentioned in our remarks, some higher than expected growth in leisure in particular, both in the resort-oriented properties, but as well as in our smaller, drive to leisure-focused properties as well. That's helpful. Just one more, probably for you here, Barry. Just the Hyatt loyalty program changes and the different tiering now, what's your take on how that might impact demand and RevPAR for several of your bigger Hyatt resorts that presumably get a lot of redemption business? Thanks. Thanks. Thanks, Mike. We're still looking through and obviously looking at that on a property by property basis. Some of these you've been aware of, or anticipating for a while. Some of them are changes that we actually had recommended as it relates to our portfolios. Our portfolio, we have a couple of large assets that had very low redemption rates, and we'd look to the increase in category, changing that dynamic, but it's really too early for us to put that into anything definitive. We certainly overall, we view the change as positive for our larger resorts. Okay. Thank you. Thank you. Our next question comes from the line of Ari Klein of BMO Capital Markets. Your line is open. Thank you. Maybe first just a clarification on the special event changes. Does the 25 to 50 basis points assume any kind of uplift from the World Cup? And then just related to that, where do you think the softness is coming from? Is it on the international side, or is it broader based than that, you think? To answer your first question, there is an assumption that we do have some lift from World Cup. Obviously, you know, the three big events, NFL Draft, America 250, and World Cup are all factored into the initial 75 basis point lift. We've reduced that to 25 to 50, but we do still expect World Cup to be beneficial in all of the markets, frankly, that, you know, we've talked about in the past, including those six hotels, just not as beneficial as, you know, previously expected. Now digging a little bit deeper, I think the one thing we can see with more accuracy is the group sizing and the group blocks. Obviously, as I mentioned, that's washed, so we have about half the level of group on the books for that period than we did several months ago. That's the piece that has washed. As I mentioned, we're more dependent on transient, and that's just more uncertain. That's why we're both giving a range because it's, we're not really gonna know that number until we get much closer. There is definitely gonna be some variation in performance based on what the actual teams are and how that lines up. Again, I think that's really what's causing our view to come in on World Cup is really just less visibility and more uncertainty around what actually may materialize. With regard to, you know, domestic versus international, I'm just not sure we have enough data and information on that at this point. Certainly there's still a lot of confidence that these games are gonna be big drivers of inbound activity. Again, we're not quite seeing that in the booking activity to date. As we get closer, we just wanna be, you know, very precise about what we are and aren't seeing. I think the bigger story is that we've obviously, you know, not adjusted our overall guidance downward, so we're seeing business more broadly that's more than making up for, or making up for, the special events coming down, which frankly gives us a lot more confidence 'cause that's business that's likely more durable and business that may continue into the fall and into next year, as opposed to one-time or type business. Thanks for that. Then maybe, shifting gears a little bit, Marcel, you talked a little bit about that transaction markets opening up. I guess it's been a few years since you've done an acquisition, though I believe the last two new hotels were new hotels in new to Xenia markets. When you think about potential acquisitions moving forward, is there any preference to kind of follow a similar pattern of new markets and newly developed hotels, or is it just really about the opportunity? Yeah, it's really about the opportunity. You know, obviously if you look at kind of what some of the more successful or the most successful acquisitions are that we did, essentially, you know, over kind of a five-year timeframe pre-COVID. All of them really were branded hotels, with a good demand segmentation, you know, a good group component to them. In many cases, also some properties that did require some initial CapEx, whether that be, you know, a room renovation or some of the common spaces. I think that's probably where our preference would lie, you know. It's, to your point, it's really gonna be dependent on the opportunity set. You know, we're not really gonna limit ourselves to saying, you know, we need to be in X, Y, or Z markets. It's really gonna be as long as it fits with our overall long-term strategy. You know, we're open to adding some hotels in certain markets where we are already. We certainly would be open to some markets that we're not in yet. Thanks for the color. Thank you. Our next question comes from the line of Austin Wurschmidt of KeyBanc. Your line is open. Great, thanks. Yeah, Atish, just wanted to go back to your comment on the durability of some of the regular way business and then the upward RevPAR growth guidance revision. The guidance increase was simply flowing through 1 Q that was then partially offset by a tweak downward from World Cup contribution. You didn't flow through that regular way strength of the midweek business you cited through the balance of the year. Is that correct? Not quite. The guidance increase reflects first quarter and a smidge more. That's really, you know, the change to RevPAR and the change to EBITDA. What I was trying to say is, even though our expectation for World Cup has come in, there's other business that we're expecting that over the course of the year that will make up for that. Really that's kinda how you should think about it. The guidance increase was first quarter. Any softness we're seeing on the World Cup, we're making up for that across the business, across the portfolio and with our big segments, BT and Group. That's the piece that, you know, gives us the sort of confidence as we look forward, you know, even past this year, because obviously so much of our business is BT and Group, and those are the biggest pieces of the pie, as opposed to leisure or events specifically. Understood. Just switching gears, going back to the commentary on the transaction market, I guess, Atish, Marcel, you know, as you think about potential opportunities out there, you know, to, you know, acquire or, you know, transact, how are you thinking about funding? Is there anything across the portfolio that, you know, you're seeing a good opportunity maybe to reshape the portfolio or sell maybe something that's a little bit slower growth or, you know, CapEx needs? You know, is there anything today that you're looking to, you know, test the waters a little bit on the marketing side, to fund any future, you know, acquisitions? Yeah, you know, obviously, you know, as we're talking about the overall transaction markets, you know, my commentary is really around the fact that we are seeing some more assets that could be interesting and are building a bit more of a pipeline. We're still gonna have to be very mindful of our overall, you know, different ways to allocate capital, obviously. We've paid down some debts like we did earlier in the year. Obviously, we were very active buying back stock last year. So, you know, it still would have to be something that really, you know, is additive to the portfolio, gives us better growth going forward. You know, long term, continues to improve the quality of the portfolio. You know, it's not to say like, you know, that's, you know, I expect some kind of flood of acquisitions coming up, obviously. As far as, you know, the funding element of it, as Atish pointed out, you know, we have about $600 million of liquidity through both cash on hand and our fully undrawn line of credit. That's available as a potential source. Obviously, we could look at property-specific financing to the extent that that's something that looks appealing. You know, and on the disposition side, it's really think about it in kind of a continuation of what we've done throughout our history. You know, we're certainly looking at a few hotels where we think we may want to potentially sell those, you know, over the next, you know, the relatively, you know, near to medium term, when there are some significant CapEx coming up, we don't feel we're gonna get the appropriate return. That's not gonna be any kind of, you know, seismic, you know, level of volume that we would be doing. I mean, that's just around the margin because we've clearly fine-tuned the portfolio quite a bit over the last several years. I mean, over the last decade, really. Yeah, very helpful. Thank you for the time. Thank you. Our next question comes from the line of Logan Epstein of Wolfe Research, LLC. Your line is open. Yeah. Thanks for taking the question. Just because you have the upcoming renovation at the Andaz Napa, maybe just touch on that market and that hotel specifically on how it's performing and the outlook there, given broader Northern California has been performing pretty well so far in the year. Yeah. As I think you know, it's been a very good performer for us for this year will be our 13th year of ownership of that hotel. It's been a good performer. It's certainly well located within downtown Napa, and downtown Napa has experienced tremendous growth over that period of time in terms of amenities and tasting rooms and things like that. The Napa market overall has certainly been a little bit challenged. We think we're at the right price point in that market because we offer a high-end product at a price point below some of the more resort oriented assets. Having said that, the wine business has struggled a lot this year, both on the commercial side, which we play quite a bit in terms of serving the wine industry itself and people that come to visit and do business in Napa. We're certainly seeing some renewed strength in the leisure market, in part due to growth coming out of San Francisco. More people being in the city obviously means more people taking time to do add-on pre- and post-downtown San Francisco visits to the hotel. It's an asset we believe in, which is why we had committed to this renovation over a year ago, and then put it on hold for a year as a result of concern over tariffs and tariff impact. It's been a good performing hotel for us, continues to be so, and look forward to getting it in top shape post the renovation. Thanks. Maybe a follow-up, just a broader big picture question, similar to Ari's question earlier. Just taking a step back from the quarter, just can you touch on what markets in your portfolio specifically you're expecting to kind of benefit over the next three to five years from the low supply environment? On the flip side, any markets like Nashville or others that you're watching that maybe new supply over the last years has impacted the portfolio? Yeah, I'll start. I think certainly we have expectations for continued growth in Northern California. There, talking about Andaz Napa, Marriott San Francisco Airport, and Hyatt Regency Santa Clara, where we continue to see We talked about Napa, but we continue to see growth and recovery in corporate transient demand clearly through the Bay Area in general, but in particular in Santa Clara, which has become kind of the, one of the hubs and focus given its Silicon Valley location, for all of the AI activity that's gone on. The hotel is showing pretty remarkable year-over-year growth, even ex the benefit we had from Super Bowl in Q1. I think longer term, many of our assets are in markets that have a lot of protection from supply. When I think about some of those markets, I think about Atlanta, I think about Houston to a lesser extent. Assets that are the quality assets within each of those markets, both in The Woodlands and Galleria. We feel still really good about growth and recovery in the Phoenix and Scottsdale markets, both related to general market conditions and market recovery, but in addition, related to obviously the growth we're gonna get, continue to get as Grand Hyatt Scottsdale ramps back up. I think those touch certainly on a few of those. Yeah. As it relates to Nashville, I mean, obviously, as you know, there has been, you know, very significant supply additions over the past several years. It's not, certainly not completely ended. I mean, there's obviously gonna be some. There have been some things announced that will be added to the supply over the next several years. It has certainly slowed from kind of the peak of when a lot of new supply came in. We've talked about that before, and that has certainly made it a little bit tougher for us in the early going because the market really needed to absorb a lot of this new luxury supply that has come in over the last several years. We expect that absorption to continue over the next, you know, over the next several years, because there's still a lot of very positive momentum in Nashville on the demand side as well. Yes, there is some more supply coming, but I think we feel like we're gonna be pretty well-positioned to deal with that over the next several years. Thank you. Thank you. Our next question comes from the line of Jack Armstrong of Wells Fargo. Your line is open. Hey, good afternoon. Thanks for taking the question. You touched on it briefly, could you walk us through how you're thinking about the best uses of incremental capital right now, given where your shares are trading? Would you say that repurchases are likely still at the top of that list, or is there more debt that you'd like to see down or maybe another big ROI project that you'd like to pursue? Yeah, thanks for the question, Jack. You know, I think we take a balanced approach, so obviously internal growth, external growth, share repurchases, debt reduction. You've seen us do all of that over the last several years. You know, it, it's gonna vary a little bit based on what we see in terms of outlook, what we see in terms of opportunities, certainly share price. It's hard to give you a, you know, a definitive priority 'cause it does change. I would say a few things. I mean, one, the portfolio's generally in really good condition, so, you know, we've put capital behind the portfolio over the last several years, done some big renovations. We have, you know, kind of, CapEx coming down now to, you know, more of a normalized level. That's one. Two, you've seen us pay down some debt, and as I mentioned, we feel like we'll naturally deleverage over time here as Grand Hyatt Scottsdale picks up. There's not sort of an immediate pressure to pay down debt. Certainly having a little bit more dry powder and resources would be good, particularly as, you know, we expect the acquisition market, transaction market to loosen over the next several years. Finally, on the share repurchase side, as you mentioned, I mean, we bought a lot of stock back last year, roughly 9% of the company. We feel really good about, you know, those purchases, given where the stock's trading now. We obviously felt like that was the right thing to do, and it continues. You know, we continue to trade below NAV. It's not off the table. I just think we're gonna balance all those various things to drive, you know, the strongest returns and the best capital allocation for the owners of the company. That's really something we've done, you know, pretty consistently since we've been public, you know, over the years, and we've kind of played in all of those various areas, depending on the timing, to drive long-term shareholder returns, and that continues to be the mantra and the focus. No, that's really helpful. One on the W Nashville. Obviously some really exciting stuff on the horizon there with the new F&B offerings. Can you talk to us a little bit about how you're thinking about how the asset is positioned in that market, and when we might see it return to RevPAR growth, and how you're thinking about where it's gonna stabilize in terms of earnings and how long it'll take to get there? Yeah, sure. You know, I think in terms of the market and its market positioning, the hotel and the sub-market of The Gulch continues to come into, I think, better focus and has become a more desirable destination, even in the couple of years, the few years that we've now owned the asset. I think what you see is obviously people choosing to stay in The Gulch as opposed to staying out of kind of the melee of Broadway if they're there for leisure. It's a very upscale residential style neighborhood. I think people really like what the other attractions and amenities are. I think as we've talked about before. in terms of corporate demand, that I think the corporate market really recognizes it as the top-tier Marriott hotel to stay in within the sub-market, and has been able to capture a lot of longer term traditional kind of consulting and accounting firm consulting type business, which has been great for the hotel. It continues to be a good strong leisure destination, and the hotel's figured out, and continues to figure out really how to balance group within the hotel. We think the outlets, the new outlets give us a great opportunity to sell a little more into the private dining market, which the small groups that favor our hotel seem to really enjoy the opportunity to enjoy the José Andrés custom banquet menus within the hotel's environment, whether in the private dining rooms of the restaurant or within the meeting space itself. Yeah, I know on the financial side of it, I think we spoke about this a little bit last quarter too. We expect, you know, through this change in the outlets, incremental EBITDA of, you know, somewhere between $3 million-$5 million over time. That's not gonna happen overnight. It is really based on not only, certainly, you know, greater revenues and getting, and getting some profitability out of the actual outlets, but it's also about continuing to improve the appeal of the property and getting, you know, the type of customers that Barry was talking about. We think that's getting that incremental EBITDA will get us, you know, somewhere in the low $20 million over time of EBITDA. Again, I mean, it's hard to put a. Exact timeline on this because it's really something that's kinda needs to start building upon itself as the reputation of the property grows. Really helpful. Thanks for the color. Thank you. Once again, if you'd like to ask a question, please press star one on your telephone keypad. Our next question comes from the line of Alex Hino of Jefferies. Your line is open. Great. Thanks for taking the question, guys. I'm on for David. Just wanted to, you know, dive into kind of the state of the union for luxury and upper upscale. I know over the last couple of months we've heard a lot about the K-shaped economy, and this week we got a little bit of commentary around kind of the C-shaped economy suggesting some deceleration at the top end. Just wanted to get your reaction there and any commentary you can provide. Thanks. Well, you know, what we've obviously seen and is that luxury and upper upscale continue to perform really well. We've seen clearly you've seen it in our portfolio, being 100% focused on luxury and upper upscale. We've seen very good growth in group demand over the last couple years. Certainly, you know, that's gonna at some point start leveling off a little bit. Simultaneously now we're starting to see some pretty good momentum on the transient side, and particularly on business transient continuing to build. If you look at the supply backdrop for luxury and upper upscale, you know, it's still extremely benign for the next several years. You know, it's setting up pretty nicely for not only the industry overall with overall supply being pretty modest, supply growth being pretty modest, but particularly in our, in our segments too. You know, we talked about it quite a bit today, and we'll be seeing a lot of strength in all these different demand segments. Certainly the higher end consumer doesn't seem to be pulling back yet. We're pretty optimistic that that will continue going forward. You know, I would also add, you know, these properties, as we've demonstrated over the last couple years, have a lot of levers to pull, and in terms of driving, you know, food and beverage and ancillary revenue. We've been able to optimize them over the last couple of years, and we think, you know, it speaks well to, you know, where the consumer's headed and our ability with these properties to keep driving cash flows in this environment. We really saw a lot of strength in the quarter, and even subsequent to the quarter. Nothing changing. The trajectory looks quite strong. Great. Thanks. That's all for me. Thank you so much. That will conclude our Q&A session. I'll now pass it back over to Marcel, if you would like to give any closing or further remarks. Thanks, Reagan. Thanks everyone for joining us today. Appreciate the interest, appreciate the questions. Obviously, it was a great quarter for us and we look forward to the rest of the year. Look forward to seeing many of you at the various conferences coming up. Thank you for being as attentive as you were today after many hotel earnings calls over the last couple days. With that, we'll conclude our call. Thank you. That'll conclude today's call. Thank you for your participation. You may now disconnect your line.