Service Properties Trust : Investor Presentation November 2024

SVC

Investor Presentation

November 2024 | Nasdaq: SVC

Investment Highlights

1 Diversified net lease necessity-based retail and hotel portfolio with national scale creates resilience through market cycles.

2 Retail assets with quality tenants position SVC to generate consistent cash flows.

3 Transforming hotel portfolio to focus on full-service hotels and high performing focused service hotels in key markets.

4 Capex investment in hotel portfolio to improve asset quality and operating performance.

5 Strong financial position with no near-term debt maturities and ample liquidity for portfolio optimization initiatives.

33

SVC: A Diversified Portfolio

SVC is a publicly traded REIT with over $11 billion invested in two asset categories, hotels and service- focused retail net lease properties, significantly diversifying its cash flows.

Hotel PortfolioService-Focused Retail Net Lease Portfolio

214

36,875

$6.4B

745

13.3M

$5.0B

Properties

Keys

Investment

Properties

Rentable

Investment

Square Feet

Total Company

959

46

22

146

Properties

States, Washington, D.C.,

Industries

Brands

Puerto Rico & Canada

180

$11.4B

$1.9B

$699M

Tenants / Operators

Total Investment

Total Revenues

Liquidity

Trailing Twelve Months

4

Complementary Portfolios Create Stability Through Market Cycles with Significant Upside

Diverse portfolio of hotel assets with

Defensively positioned service-focused

national brands

retail net lease portfolio

5

Hotel Portfolio

66

Hotel Portfolio: At a Glance

Portfolio Statistics

Geographic Diversification

Top MSAs(1)

214

36,875

California

18.6%

Properties

Number of Keys

Florida

7.5%

Illinois

6.5%

172

CA, FL, TX

Georgia

6.5%

Texas

5.7%

Average Keys Per Hotel

Top States by Revenue

Louisiana

4.0%

Arizona

3.7%

$6.4B

$173K

Puerto Rico: 1 hotel

Missouri

2.5%

Canada: 2 hotels

Pennsylvania

2.1%

Investment

Investment Per Key

SVC owns more than one hotel in this state

Ohio

2.0%

Portfolio Segmentation Highlights

Service Level(1)

27%

57%

16%

Full Service

Extended Stay

Select Service

Chain Scale(2)

Location(2)

Customer Mix(3)

25%

20%

38%

7%

47%

48%

1%

18%

72%

15%

8%

1%

Transient

Upscale

Suburban

Urban

Group

Upper Midscale/Midscale

Airport

Resort

Contract

Upper Upscale

Other

Other

7

Hotel Portfolio: 213 Comparable Property Operating Trends

Monthly Operating Metrics

80%

70%

60%

50%

40%

30%

20%

10%

0%

$35

$30

$25

$20

$15

$10

$5

$0

($5)

71.2%

$250

69.9%

65.3%

66.9%

66.4%

63.0%

66.0%

68.5%

69.3%

66.8%

65.8%

57.6%

$200

56.5%

49.8%

50.5%

$150

$144

$136

$143

$147

$131

$137

$139

$144

$141

$143

$147

$143

$138

$141

$134

$104

$100

$100

$89

$96

$97

$91

$93

$98

$99

$92

$93

$79

$77

$65

$69

$50

$0

Jul '23 Aug'23

Sep '23

Oct '23 Nov '23

Dec '23

Jan '24

Feb '24 Mar '24

Apr '24

May '24

Jun '24

Jul '24

Aug'24

Sep '24

Occupancy

ADR

RevPAR

Monthly Hotel EBITDA

$31.7

$32.2

($ in millions)

$31.7

$29.1

$28.6

$23.0

$22.3

$23.1

$20.4

$15.8

$16.7

$9.1

$7.8

$2.7

($0.5)

Jul '23

Aug '23 Sep '23 Oct ' 23 Nov '23 Dec '23 Jan '24 Feb'24 Mar '24

Apr '24 May '24 Jun '24

Jul '24 Aug '24 Sep '24

See Financial Information for a reconciliation of non-GAAP financial metrics to the closest GAAP metrics.

8

Hotel Portfolio: Sonesta at a Glance

Sonesta Portfolio Highlights

Sonesta Brands

Source: Sonesta International Hotels, Inc.

9

Hotel Portfolio: Announced Plan in October 2024 to Sell 114 Sonesta Hotels and Use Proceeds to Reduce Leverage

October 2024 Hotel Disposition Announcement

Sonesta Exit Hotels Announced in October 2024

Number of

Number of

Number of

Net Carrying

Brand

Hotels

Keys

States

Value ($M)

Sonesta Select

31

4,564

14

$239.8

Sonesta ES Suites

44

5,611

22

$440.6

Sonesta Simply

39

4,750

23

$182.8

Suites

Total

114

14,925

28

$863.2

Sonesta Retained Hotels

Number of

Number of

Number of

Net Carrying

Service Level

Hotels

Keys

States1

Value ($M)

Full Service

39

12,868

21

$2,270.9

Extended Stay

14

2,102

7

$159.0

Select Service

6

873

3

$46.6

Total

59

15,843

25

$2,476.5

1. Includes two hotels in Toronto, Ontario, one hotel in Puerto Rico and one hotel in Washington, D.C.

10

Disclaimer

Service Properties Trust published this content on November 18, 2024, and is solely responsible for the information contained herein. Distributed by Public, unedited and unaltered, on November 18, 2024 at 21:03:09.131.