
	March 31, 2026		December 31, 2025
Land	$	752,108	$	754,384
Buildings and improvements	4,997,277		4,995,530
Furniture, fixtures and equipment	528,695		526,414
Finance lease asset	91,181		91,181
Construction in progress	3,717		1,203
	$	6,372,978	$	6,368,712
Right-of-use asset, operating leases	351,424		353,873
Investment in hotel properties	$	6,724,402	$	6,722,585
Less: Accumulated depreciation	(1,749,669)		(1,699,128)
Investment in hotel properties, net	$	4,974,733	$	5,023,457

The Company reviews its investment in hotel properties for impairment whenever events or circumstances indicate potential impairment. The Company periodically adjusts its estimate of future operating cash flows and estimated hold periods for certain properties. As a result of this review, the Company may identify an impairment trigger has occurred and assess its investment in hotel properties for recoverability.

During the three months ended March 31, 2026, the Company recognized an impairment loss of $7.7 million for one hotel as a result of its fair value being lower than its carrying value. The impairment loss was determined using Level 2 inputs under authoritative guidance for fair value measurements using purchase and sale agreements and information from marketing efforts for this property. During the three months ended March 31, 2025, no impairment losses were incurred.

The Company recognized right-of-use assets and related liabilities related to its ground leases, all of which are operating leases. When the rate implicit in the lease could not be determined, the Company used incremental borrowing rates, which ranged from 4.7% to 7.6%. In addition, the term used includes any options to exercise extensions when it is reasonably certain the Company will exercise such option. See Note 11. Commitments and Contingencies for additional information about the ground leases.

The operating lease right-of-use assets and liabilities are amortized to ground rent expense over the term of the underlying lease agreements. As of March 31, 2026, the Company's lease liabilities consisted of operating lease liabilities of $333.0 million and finance lease liabilities of $44.7 million. As of December 31, 2025, the Company's lease liabilities consisted of operating lease liabilities of $333.1 million and finance lease liabilities of $44.6 million. The finance lease liabilities are included in accounts payable, accrued expenses and other liabilities on the Company's accompanying consolidated balance sheets.