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- **Urban Strength**: Urban hotels outperformed portfolio, with San Francisco CBD RevPAR +19.4% and Atlanta +12.1%.
- **Non-Room Growth**: Non-room revenues grew 1.3%, outpacing RevPAR by 600 basis points.
- **Balance Sheet Strength**: $1B liquidity, 74% debt fixed/hedged, and $28.6M shares repurchased.
- **Q4 Challenges**: Government shutdown and FAA disruptions caused October RevPAR -2%, moderating full-year outlook to -1.9% to -2.6% RevPAR.
- **2026 Catalysts**: World Cup, U.S. 250th anniversary, and Northern California AI-driven demand poised to drive recovery.

**【CEO Summary Section】**
- **RevPAR Performance**: Q3 RevPAR declined 5.1% YoY, driven by occupancy (-3.1%) and ADR (-2.1%). Urban hotels outperformed the portfolio, with San Francisco CBD RevPAR up 19.4% and Atlanta up 12.1%.
- **Out-of-Room Revenue Growth**: Non-room revenues grew 1.3% despite lower occupancy, outpacing RevPAR by 600 basis points, supported by ROI initiatives in F&B and event spaces.
- **Renovations and Conversions**: Completed renovations in Waikiki, Key West, and Fort Lauderdale are expected to ramp in 2026. New conversions include Renaissance Pittsburgh (Marriott Autograph) and Wyndham Boston (Hilton Tapestry), targeting 40%+ EBITDA upside.
- **Challenges**: Government shutdown and FAA disruptions impacted October RevPAR (-2%), delaying renovations' contribution and moderating Q4 outlook.

**【CFO Financial Commentary】**
- **Financial Results**: Q3 hotel EBITDA of $80.8M (24.5% margin) and AFFO per share of $0.27. Non-room revenue growth offset RevPAR headwinds, with total revenue outpacing RevPAR by 110 basis points.
- **Balance Sheet**: $1B liquidity, $375M cash, and $600M revolver. Debt at 4.7% interest rate, 74% fixed/hedged. Shares repurchased: 3.3M ($28.6M).
- **Outlook**: Full-year RevPAR decline expected between 1.9% and 2.6%. 2026 positioned for recovery with World Cup, U.S. 250th anniversary, and Northern California AI-driven demand.

**【Q&A Highlights】**
- **Booking Channels**: Group pace improved in September (+700 points), but October softened due to shutdown. Leisure demand stable, with urban leisure up 3.2%.
- **Market Trends**: San Francisco CBD benefits from AI conferences and Salesforce return. New York Knickerbocker seeing strong NYE bookings. Hilton's fee reduction incentive for quality scores could benefit RLJ's 25 Hilton properties.
- **Labor Management**: Contract labor down 9.5% YoY, focusing on productivity and retention through labor management systems.

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