Hersha Hospitality Trust Announces Dividend Classification for 2022
Hersha Hospitality Trust (HT) announced the tax classification for its 2022 distributions of Common Shares and Series C, D, and E Preferred Shares. The total cash distribution per Common Share reached $0.600, with 97.83% classified as capital gains. Series C, D, and E Preferred Shares saw total distributions of $2.1485, $2.03125, and $2.03125, respectively, with similar capital gains classifications. The tax information is for federal income tax reporting and investors are urged to consult their tax advisors for individual treatment. The announcement reflects the company's ongoing commitment to shareholder returns amidst intricate tax implications.
- Total cash distribution per Common Share is $0.600.
- 97.83% of the Common Share distribution is classified as capital gains, which may benefit shareholders.
- None.
PHILADELPHIA, Jan. 25, 2023 (GLOBE NEWSWIRE) -- Hersha Hospitality Trust (NYSE: HT); (“Hersha” or “the Company”), owner of high quality upscale hotels in urban gateway markets and coastal destinations, today announced the tax classification of its Priority Class A Common Share (“Common Shares”), Series C Cumulative Redeemable Preferred Share (“Series C Preferred Shares”), Series D Cumulative Redeemable Preferred Share (“Series D Preferred Shares”) and Series E Cumulative Redeemable Preferred Share (“Series E Preferred Shares”) distributions for 2022 for Federal income tax reporting purposes. The tax information provided below should not be construed as tax advice and is not a substitute for careful tax planning and analysis. Shareholders should consult their tax advisors as to the tax treatment of the distributions.
| CLASS A COMMON SHARES | ||||||||||||||||||||||||||||||||
| Record Dates | Paid Dates | Total Cash Distribution Per Share | Taxable Ordinary Income | Total Capital Gain Distribution | Unrecaptured Sec. 1250 Gain | Nontaxable Distribution (Return of Capital)* | Section 199A Dividends | Section 897 Ordinary Dividends | Section 897 Capital Gain | Section 1061 One-Year Capital Gain** | Section 1061 Three-Year Capital Gain** | |||||||||||||||||||||
| 9/30/2022 | 10/17/2022 | $ | 0.050000 | $ | 0.001086 | $ | 0.048914 | $ | 0.021015 | $ | - | $ | 0.001086 | $ | 0.001086 | $ | 0.048914 | $ | - | $ | - | |||||||||||
| 12/30/2022 | 1/18/2023 | $ | 0.550000 | $ | 0.011949 | $ | 0.538051 | $ | 0.231164 | $ | - | $ | 0.011949 | $ | 0.011949 | $ | 0.538051 | $ | - | $ | - | |||||||||||
| TOTAL | $ | 0.600000 | $ | 0.013035 | $ | 0.586965 | $ | 0.252179 | $ | - | $ | 0.013035 | $ | 0.013035 | $ | 0.586965 | $ | - | $ | - | ||||||||||||
| Percent | N/A | N/A | N/A | |||||||||||||||||||||||||||||
| The CUSIP number for Hersha Hospitality Trust's Common Shares is 427825500. | ||||||||||||||||||||||||||||||||
| SERIES C PREFERRED SHARES | ||||||||||||||||||||||||||||||||
| Record Dates | Paid Dates | Total Cash Distribution Per Share | Taxable Ordinary Income | Total Capital Gain Distribution | Unrecaptured Sec. 1250 Gain | Nontaxable Distribution (Return of Capital)* | Section 199A Dividends | Section 897 Ordinary Dividends | Section 897 Capital Gain | Section 1061 One-Year Capital Gain** | Section 1061 Three-Year Capital Gain** | |||||||||||||||||||||
| 12/31/2021 | 1/18/2022 | $ | 0.429700 | $ | 0.009336 | $ | 0.420364 | $ | 0.180602 | $ | - | $ | 0.009336 | $ | 0.009336 | $ | 0.420364 | $ | - | $ | - | |||||||||||
| 3/31/2022 | 4/18/2022 | $ | 0.429700 | $ | 0.009336 | $ | 0.420364 | $ | 0.180602 | $ | - | $ | 0.009336 | $ | 0.009336 | $ | 0.420364 | $ | - | $ | - | |||||||||||
| 7/1/2022 | 7/15/2022 | $ | 0.429700 | $ | 0.009336 | $ | 0.420364 | $ | 0.180602 | $ | - | $ | 0.009336 | $ | 0.009336 | $ | 0.420364 | $ | - | $ | - | |||||||||||
| 10/1/2022 | 10/17/2022 | $ | 0.429700 | $ | 0.009336 | $ | 0.420364 | $ | 0.180602 | $ | - | $ | 0.009336 | $ | 0.009336 | $ | 0.420364 | $ | - | $ | - | |||||||||||
| 12/30/2022 | 1/17/2023 | $ | 0.429700 | $ | 0.009336 | $ | 0.420364 | $ | 0.180602 | $ | - | $ | 0.009336 | $ | 0.009336 | $ | 0.420364 | |||||||||||||||
| TOTAL | $ | 2.148500 | $ | 0.046680 | $ | 2.101820 | $ | 0.903010 | $ | - | $ | 0.046680 | $ | 0.046680 | $ | 2.101820 | $ | - | $ | - | ||||||||||||
| Percent | N/A | N/A | N/A | |||||||||||||||||||||||||||||
| The CUSIP number for Hersha Hospitality Trust's Series C Preferred Shares is 427825401 | ||||||||||||||||||||||||||||||||
| SERIES D PREFERRED SHARES | ||||||||||||||||||||||||||||||||
| Record Dates | Paid Dates | Total Cash Distribution Per Share | Taxable Ordinary Income | Total Capital Gain Distribution | Unrecaptured Sec. 1250 Gain | Nontaxable Distribution (Return of Capital)* | Section 199A Dividends | Section 897 Ordinary Dividends | Section 897 Capital Gain | Section 1061 One-Year Capital Gain** | Section 1061 Three-Year Capital Gain** | |||||||||||||||||||||
| 12/31/2021 | 1/18/2022 | $ | 0.406250 | $ | 0.008826 | $ | 0.397424 | $ | 0.170746 | $ | - | $ | 0.008826 | $ | 0.008826 | $ | 0.397424 | $ | - | $ | - | |||||||||||
| 3/31/2022 | 4/18/2022 | $ | 0.406250 | $ | 0.008826 | $ | 0.397424 | $ | 0.170746 | $ | - | $ | 0.008826 | $ | 0.008826 | $ | 0.397424 | $ | - | $ | - | |||||||||||
| 7/1/2022 | 7/15/2022 | $ | 0.406250 | $ | 0.008826 | $ | 0.397424 | $ | 0.170746 | $ | - | $ | 0.008826 | $ | 0.008826 | $ | 0.397424 | $ | - | $ | - | |||||||||||
| 10/1/2022 | 10/17/2022 | $ | 0.406250 | $ | 0.008826 | $ | 0.397424 | $ | 0.170746 | $ | - | $ | 0.008826 | $ | 0.008826 | $ | 0.397424 | $ | - | $ | - | |||||||||||
| 12/30/2022 | 1/17/2023 | $ | 0.406250 | $ | 0.008826 | $ | 0.397424 | $ | 0.170746 | $ | - | $ | 0.008826 | $ | 0.008826 | $ | 0.397424 | |||||||||||||||
| TOTAL | $ | 2.031250 | $ | 0.044130 | $ | 1.987120 | $ | 0.853730 | $ | - | $ | 0.044130 | $ | 0.044130 | $ | 1.987120 | $ | - | $ | - | ||||||||||||
| Percent | N/A | N/A | N/A | |||||||||||||||||||||||||||||
| The CUSIP number for Hersha Hospitality Trust's Series D Preferred Shares is 427825609 | ||||||||||||||||||||||||||||||||
| SERIES E PREFERRED SHARES | ||||||||||||||||||||||||||||||||
| Record Dates | Paid Dates | Total Cash Distribution Per Share | Taxable Ordinary Income | Total Capital Gain Distribution | Unrecaptured Sec. 1250 Gain | Nontaxable Distribution (Return of Capital)* | Section 199A Dividends | Section 897 Ordinary Dividends | Section 897 Capital Gain | Section 1061 One-Year Capital Gain** | Section 1061 Three-Year Capital Gain** | |||||||||||||||||||||
| 12/31/2021 | 1/18/2022 | $ | 0.406250 | $ | 0.008826 | $ | 0.397424 | $ | 0.170746 | $ | - | $ | 0.008826 | $ | 0.008826 | $ | 0.397424 | $ | - | $ | - | |||||||||||
| 3/31/2022 | 4/18/2022 | $ | 0.406250 | $ | 0.008826 | $ | 0.397424 | $ | 0.170746 | $ | - | $ | 0.008826 | $ | 0.008826 | $ | 0.397424 | $ | - | $ | - | |||||||||||
| 7/1/2022 | 7/15/2022 | $ | 0.406250 | $ | 0.008826 | $ | 0.397424 | $ | 0.170746 | $ | - | $ | 0.008826 | $ | 0.008826 | $ | 0.397424 | $ | - | $ | - | |||||||||||
| 10/1/2022 | 10/17/2022 | $ | 0.406250 | $ | 0.008826 | $ | 0.397424 | $ | 0.170746 | $ | - | $ | 0.008826 | $ | 0.008826 | $ | 0.397424 | $ | - | $ | - | |||||||||||
| 12/30/2022 | 1/17/2023 | $ | 0.406250 | $ | 0.008826 | $ | 0.397424 | $ | 0.170746 | $ | - | $ | 0.008826 | $ | 0.008826 | $ | 0.397424 | |||||||||||||||
| TOTAL | $ | 2.031250 | $ | 0.044130 | $ | 1.987120 | $ | 0.853730 | $ | - | $ | 0.044130 | $ | 0.044130 | $ | 1.987120 | $ | - | $ | - | ||||||||||||
| Percent | N/A | N/A | N/A | |||||||||||||||||||||||||||||
| The CUSIP number for Hersha Hospitality Trust's Series E Preferred Shares is 427825708 | ||||||||||||||||||||||||||||||||
| * Distributions will reduce a shareholder's adjusted tax basis in its shares. Any amount of the distribution that exceeds a shareholder's adjusted tax basis in its shares will be treated as gain from the sale or exchange of property. | ||||||||||||||||||||||||||||||||
| ** Additional Information Pursuant to Treasury Regulation §1.1061-6(c): The total Box 2a capital gain distributions are Section 1231 gains and therefore are not taken into account for purposes of section 1061 under Reg. 1.1061-4(b)(7)(i). | ||||||||||||||||||||||||||||||||
Hersha Hospitality Trust (HT) is a self-advised real estate investment trust in the hospitality sector, which owns and operates luxury and lifestyle hotels in coastal gateway and resort markets. The Company's 25 hotels totaling 3,811 rooms are located in New York, Washington, DC, Boston, Philadelphia, South Florida and California. The Company's common shares are traded on The New York Stock Exchange under the ticker “HT”. For more information on the Company, and the Company’s hotel portfolio, please visit the Company’s website at www.hersha.com.
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, and, as such, may involve known and unknown risks, uncertainties and other factors that may cause the actual results or performance to differ from those reflected in the forward-looking statement. For a description of these factors that may cause the Company’s actual results or performance to differ from its forward-looking statements, please review the information under the heading “Risk Factors” included in the Company’s most recent Annual Report on Form 10-K and subsequent Quarterly Reports on Form 10-Q filed by the Company with the Securities and Exchange Commission (“SEC”) and other documents filed by the Company with the SEC from time to time.
Contact: Michael Gillespie, Chief Accounting Officer
Phone: (717) 236-4400
FAQ
What is the total cash distribution for Hersha Hospitality Trust Common Shares in 2022?
What percentage of the Common Share distribution is considered capital gains?
What are the record and payment dates for the Common Shares distribution?
When will shareholders receive the Series C, D, and E Preferred Shares distributions?
Is the distribution amount for Hersha Hospitality Trust sustainable?
