LaSalle Hotel: Damage from Irma at Key West resorts 'not significant'
LaSalle Hotel Properties provided a second Hurricane Irma impact update regarding its resorts in Key West, Florida. After both resorts closed on Wednesday, September 6, 2017 to comply with all mandatory evacuations of the island ahead of Hurricane Irma, the Southernmost Beach Resort has partially re-opened and The Marker Waterfront Resort remains closed. The company has not identified any structural damage at either of its resorts. While the company is still assessing the condition of both properties, it currently believes that the damage is not significant and is primarily related to water intrusion. The company expects both resorts will resume full operations by the end of October 2017. The company is evaluating the financial impact to both resorts and will provide another update on its third quarter earnings call on October 20, 2017. As previously stated, the company maintains property, flood, fire, and business interruption insurance at its two resorts in Key West. For the combined properties, insurance is subject to deductibles of approximately $5M in total.