Hersha Hospitality Trust : HT Investor Presentation - January 2023

I N V E S T O R P R E S E N TAT I O N

J A N U A R Y 2 0 2 3

S A N C T U A R Y B E A C H R E S O R T

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I N V E S T M E N T T H E S I S

L O D G I N G R E C O V E R Y

C O R E M A R K E T D R I V E R S

S U S T A I N A B I L I T Y

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T H E R I T T E N H O U S E H O T E L

I N V E S T M E N T T H E S I S

T H E R I T Z - C A R L T O N , G E O R G E T O W N

I N V E S T M E N T T H E S I S S U M M A R Y

TRANSFORMED PORTFOLIO FOCUSED ON LUXURY & LIFESTYLE ASSETS AND NEW YORK CITY

BEST-IN-CLASS HOTELS WITH DEMONSTRABLE PRIVATE MARKET VALUE, POSITIONED FOR OUTSIZED GROWTH

RIGHTSIZED BALANCE SHEET WITH NO MATERIAL MATURITIES THROUGH 2025

LONG-TERM MARGIN GROWTH

ALIGNED MANAGEMENT TEAM

N U H O T E L B R O O K L Y N

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S T R AT E G I C D I S P O S I T I O N S

H I G H L I G H T P O R T F O L I O VA L U E

• Our strategic dispositions have allowed us to significantly improve our leverage profile, reduce the weighted average cost of debt, reinstate our dividend and build up substantial cash reserves without diluting our shareholders
• In 2022 Hersha generated ~$650 Million in gross proceeds from hotel sales
• In conjunction with its strategic dispositions, Hersha refinanced its corporate credit facility with no meaningful maturities through 2025
• Sale proceeds reduced our cumulative debt load by approximately $500M and generated nearly $120M in unrestricted cash
• Projected year-end balance of approximately $220M cash on hand

T H E P A R R O T K E Y H O T E L & V I L L A S

Our most recent dispositions of the Pan Pacific Seattle and Hotel Milo Santa Barbara were executed at ~ $450K/ Key highlighting the significant disparity between the public and private market valuation of our portfolio

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