Marked against last year's 10-K:
cut words struck through, new words highlighted and underlined.
Risk Factors 246 words changed in this paragraph; it is 34% similar to last year's version.
We believe that each of Host Inc. and its subsidiary REIT has been organized and has operated in such a manner as to qualify as a REIT under the Code, commencing with its taxable year beginning January 1, 1999, and April 11, 2006, respectively, and both currently intend to continue to operate and qualify as a REIT during future years. As the requirements for qualification and taxation as a REIT are extremely complex and interpretations of the federal income tax laws governing qualification and taxation as a REIT are limited, no assurance can be provided that Host Inc. currently qualifies as a REIT or will continue to qualify as a REIT or that Host Inc.’s subsidiary REIT qualifies as a REIT or will continue to qualify as a REIT. If our subsidiary REIT were to fail to qualify as a REIT, it is possible that Host Inc. would fail to qualify as a REIT unless it (or the subsidiary REIT) could avail itself of certain relief provisions. If Host Inc. or its subsidiary REIT were to fail to qualify as a REIT, and any available relief provisions do not apply, the non-qualifying REIT would not be allowed to take a deduction for dividends paid to its stockholders in computing its taxable income, and it would be subject to federal and state corporate income tax on its taxable income. Any such corporate income tax liability could be substantial and would reduce the non-qualifying REIT’s cash available for, among other things, operations and dividends to its stockholders. In addition, if Host Inc. were to fail to qualify as a REIT, it would not be required to pay dividends to its stockholders. Moreover, unless entitled to statutory relief, the non-qualifying REIT could not qualify as a REIT for the four taxable years following the year during which REIT qualification was lost.
Source: Item 1A, 10-K 0001070750-26-000054 vs Item 1A, 10-K 0001070750-25-000071
MD&A 236 words changed in this paragraph; it is 50% similar to last year's version.
Capital Projects. We continue to pursue opportunities to enhance asset value through select capital improvements, including projects that are designed to increase the eco-efficiency of our hotels, incorporate elements of sustainable design and replace aging equipment and systems with more efficient technology. During 2024, 2025, we spent approximately $548 $644 million on capital expenditures, of which $260 $282 million represented return on investment (“ROI”) capital expenditures, $252 $287 million represented renewal and replacement projects and $36 $75 million was for hurricane and other restoration work. This included completing the final steps of our restoration efforts following Hurricane Ian of bringing the permanent central energy plant online at The Ritz-Carlton, Naples. For all properties impacted by Hurricane Ian, Don CeSar following Hurricanes Helene and Milton, for which we estimate the total property reconstruction and remediation costs, including significant resiliency enhancements, was approximately $315 $105 million, of which approximately 30% related to remediation costs. In 2024, The Don CeSar reopened to guests on March 26, 2025, as part of a phased reopening, with the final amenities reopened during the third quarter of 2025. As of December 31, 2025, we reached a final settlement with our have received total insurance providers on covered costs proceeds of $73 million related to damage and disruption caused by Hurricane Ian, our claims, of which totaled $308 million. In total, $99 $24 million has been recognized as business interruption proceeds. Subsequent to year-end, we received an additional $8 million of the insurance receipts were recognized as a gain on proceeds, of which $7 million related to business interruption. Another major capital project completed during Final determination on insurance claims related to The Don CeSar is expected in 2026. In addition to the year was the repositioning renovations hurricane restoration at The Singer Oceanfront Don CeSar, in 2025 we also completed a planned 10,000 square foot ballroom expansion at the property and, subsequent to year end, completed the expansion project at The Phoenician, A Luxury Collection Resort, Curio Collection by Hilton, including rooms, public space, and food and beverage outlets. to add a 20-key, eight-villa development at the Canyon Suites.
Source: Item 7, 10-K 0001070750-26-000054 vs Item 7, 10-K 0001070750-25-000071
Legal Proceedings 137 words changed in this paragraph; it is 61% similar to last year's version.
We are still evaluating the complete scope of property damage and business interruption loss at our Florida properties. At The Don CeSar, our current estimate of the book value of the property and equipment written off and remediation costs is approximately $51 $64 million, for which we have recorded a corresponding insurance receivable of $51 $64 million. As of December 31, 2025, we have received $73 million of insurance proceeds related to these claims, of which $49 million reduced our receivable to $15 million. The remaining $24 million of these proceeds were recognized as a gain on business interruption, which is included in net gain on insurance settlements on our consolidated statements of operations. Subsequent to year-end, we received an additional $8 million of insurance proceeds, including $7 million of business interruption proceeds. We believe our insurance coverage should be is sufficient to cover substantially all of the property damage and the near-term loss of business in excess of our insurance deductibles; therefore, we have not recorded any loss related to The Don CeSar on the consolidated statements of operations as of December 31, 2024. However, for deductibles. For certain of our other properties, we have recorded a loss of $6 million for the year ended December 31, 2024 related to property damage and remediation costs for which we will not be filing an insurance claim. The loss is included in net gain on insurance settlements on our consolidated statements of operations as of December 31, 2024. operations.
Source: Item 3, via Note 17 – Legal Proceedings, Guarantees and Contingencies, 10-K 0001070750-26-000054 vs Item 3, via Note 17 – Legal Proceedings, Guarantees and Contingencies, 10-K 0001070750-25-000071
Accounting Policies 74 words changed in this paragraph; it is 83% similar to last year's version.
Five partnerships in which we invest are considered VIE’s, as the general partner of these partnerships maintains control over the decisions that most significantly impact the partnerships. The first VIE is the operating partnership, Host L.P., which is consolidated by Host Inc., of which Host Inc. is the general partner and holds 99% of the limited partner interests. Host Inc.’s sole significant asset is its investment in Host L.P. and substantially all of Host Inc.’s assets and liabilities represent assets and liabilities of Host L.P. All of Host Inc.’s debt is an obligation of Host L.P. and may be settled only with assets of Host L.P. The consolidated partnership that owns the Houston Airport Marriott at George Bush Intercontinental, of which we are the general partner and hold 85% of the partnership interests, also is a VIE. The total assets of this VIE at December 31, 2024 2025 are $47 million and consist primarily of cash, a right-of-use (“ROU”) asset and property and equipment. Liabilities for the VIE total $26 million and primarily consist of a lease liability and accounts payable. Three unconsolidated partnerships that own hotel properties, of which we hold limited partner interests ranging from 11% - 32%, also are VIEs. The combined carrying amount of our investments in these entities at December 31, 2024 is $77 million and is included in advances to and investments in affiliates. The mortgage debt held by these VIEs is non-recourse to us. See Note 4 - Investments in Affiliates for further information.
Source: Item 8, Note 1 – Summary of Significant Accounting Policies, 10-K 0001070750-26-000054 vs Item 8, Note 1 – Summary of Significant Accounting Policies, 10-K 0001070750-25-000071