PEBNYSEReal Estate Investment TrustsUS GAAP · USD

Pebblebrook Hotel Trust

Pebblebrook Hotel Trust is a Maryland real estate investment trust that owns interests in hotel and resort properties in major U.S. cities and select destination leisure markets. Its portfolio is concentrated in gateway coastal markets and other urban and resort locations, and the business is organized through an operating partnership and a taxable REIT subsidiary structure.

Ask about the company
Revenue1,476m USD
+1.5 %y/y
Operating profit (EBIT)43.8m USD
−47.9 %y/y
EBIT margin3.0%
−2.8 ppy/y
Net income-65.8m USD
−1,451.4 %y/y
Free cash flow250m USD
−9.2 %y/y

Fiscal year 2025 · change from previous year

Development 2020–2025

-50005001,0001,500m USD2020: 443 m USD2020: EBIT -293 m USD20202021: 733 m USD2021: EBIT -90 m USD20212022: 1,392 m USD2022: EBIT 15 m USD20222023: 1,420 m USD2023: EBIT 38 m USD20232024: 1,453 m USD2024: EBIT 84 m USD20242025: 1,476 m USD2025: EBIT 44 m USD20251,47644
RevenueOperating profit (EBIT)

Business

Share of revenue
Hotel property ownership70 %

Ownership interests in full-service hotels and resorts held for long-term investment.

Urban gateway hotels20 %

Hotels in major U.S. cities that serve business, leisure, and group demand.

Destination resort properties10 %

Resort hotels in leisure markets near primary urban centers and select destinations.

Products

Reported · share of revenue
62.4%26.3%11.3%FY2025100 %
  • Occupancy62.4 %
  • Food and Beverage26.3 %
  • Hotel Other11.3 %

Source: 10-K FY2025, revenue the company reports per product line (SEC XBRL). Shares are of the lines shown and add up to 100 %.

Customers

Pebblebrook’s customers are the guests who stay at its hotels, including business travelers, leisure travelers, and group or meeting guests. Demand comes from major city markets, coastal gateway destinations, and resort locations where the company’s properties compete on location, service, amenities, and brand positioning.

Business travelers

Guests staying in major urban hotels for corporate travel, meetings, and events.

Leisure travelers

Guests booking resort and destination properties for vacations and weekend travel.

Group and meeting guests

Organizations and event planners using full-service hotels with meeting space and amenities.

Brand-loyal hotel guests

Travelers choosing branded properties for consistency, loyalty benefits, and service standards.

Strategy

Pebblebrook focuses on acquiring and investing in upper-upscale hotels and resorts in markets with barriers to entry and diverse demand drivers. It also emphasizes property positioning, renovations, capital improvements, and active asset management to support hotel performance and long-term returns.

Acquire and own hotels in high-barrier marketsMedium term

Scarcity and demand diversity can support long-term pricing power and asset value.

Improve property-level performance through asset managementShort term

Positioning, renovations, and expense control can enhance hotel-level returns.

Maintain a portfolio mix of urban and leisure assetsMedium term

Diversification across demand sources helps balance business and leisure cycles.

Geography

Pebblebrook’s portfolio is concentrated in the United States, with properties in major cities and resort markets. Its footprint includes Boston, Chicago, Washington, D.C., Los Angeles, San Francisco, San Diego, Portland, and several Florida and coastal leisure destinations, which creates exposure to regional travel demand, local economic cycles, and seasonal patterns.

Risks

Pebblebrook is exposed to hotel demand cyclicality, regional downturns, and intense competition from both existing and newly developed properties. Its REIT structure, use of third-party hotel managers, debt obligations, and ongoing capital needs also create operating and financial risks that can affect distributions and asset values.

Sorted by severity
LowMediumHighLowMediumHighImpact →Likelihood →Seasonality and cyclical lodging demand1Competitive pressure in hotel markets2Debt service and refinancing risk3Capital improvement and redevelopment risk4Third-party management execution risk5
Impact is the risk’s severity and likelihood how probable it is over the next few years, both assessed from the company’s reports. Numbers match the list.
  1. Seasonality and cyclical lodging demandImpact: HighLikelihood: Medium

    Hotel revenue and cash flow typically weaken in slower travel periods and during economic downturns.

    Exposure: Urban and resort hotel portfolio

  2. Competitive pressure in hotel marketsImpact: HighLikelihood: Medium

    Existing, renovated, and newly built hotels can reduce pricing power and occupancy.

    Exposure: Major U.S. cities and gateway coastal markets

  3. Debt service and refinancing riskImpact: HighLikelihood: Medium

    Hotel REITs rely on financing and may face covenant or refinancing constraints.

    ExposureUnsecured term loansSenior notesMortgage loans
  4. Capital improvement and redevelopment riskImpact: MediumLikelihood: Medium

    Renovations can be delayed, over budget, or temporarily reduce room availability.

    Exposure: Owned hotel portfolio

  5. Third-party management execution riskImpact: MediumLikelihood: Medium

    Hotels are operated by independent contractors, so performance depends on external managers.

    Exposure: Operating Partnership and TRS structure

Accounting

Judgemental items
REIT and operating partnership consolidation

Most assets and operations run through the operating partnership and TRS, affecting presentation and ownership interests.

Impact: Impacts consolidation, non-controlling interests, and tax accounting

Seasonality and same-property comparisons

Hotel results vary by quarter and by acquisition/disposition timing.

Impact: Affects comparability of occupancy, ADR, RevPAR, and cash flow

Property valuations and capitalized improvements

Hotel assets require ongoing renovations and capital spending, which involve judgment on useful lives and recoverability.

Impact: Affects depreciation, carrying values, and impairment risk

Non-GAAP hotel performance metrics

FFO, Adjusted FFO, EBITDAre, and Hotel EBITDA are central to analysis but differ from GAAP earnings.

Impact: Affects investor interpretation of operating performance and liquidity

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Last updated: 24/09/2026