Lightstone Value Plus REIT IV, Inc. reported its financial results for the third quarter and nine months ended September 30, 2024, showing notable changes in revenue, expenses, and overall financial position compared to the previous fiscal period.

As of September 30, 2024, the company’s total assets increased to $146.8 million from $145.5 million at the end of 2023. Investment properties, particularly buildings and improvements, rose to $83.5 million, up from $82.9 million. Cash and cash equivalents also saw an increase, reaching $8.1 million compared to $6.7 million at the end of 2023. However, total liabilities increased significantly to $114.0 million from $104.0 million, primarily due to a rise in mortgages payable, which grew to $92.1 million from $83.7 million.

The company reported hotel revenues of $8.5 million for the three months ended September 30, 2024, a 10% increase from $7.7 million in the same period of 2023. For the nine months, hotel revenues surged to $21.3 million, up from $15.8 million year-over-year. This growth was attributed to increased occupancy rates and higher average daily rates (ADR), which rose to $298.72 in Q3 2024 from $279.93 in Q3 2023. The revenue per available room (RevPAR) also improved, reaching $280.62 in Q3 2024 compared to $244.66 in Q3 2023.

Despite the revenue growth, the company reported a net loss of $1.4 million for Q3 2024, an improvement from a net loss of $3.5 million in Q3 2023. For the nine-month period, the net loss decreased to $8.2 million from $11.0 million in the prior year. The reduction in losses was supported by a decrease in total expenses for the quarter, which fell to $7.0 million from $7.7 million, and for the nine months, total expenses increased to $20.2 million from $19.0 million.

Strategically, the company has continued to focus on its joint ventures, holding a 75% interest in the Williamsburg Moxy Hotel Joint Venture, which opened in March 2023. The hotel has shown strong performance metrics, with occupancy rates reaching 94% in Q3 2024. Additionally, the company holds a 33.3% interest in the 40 East End Ave. Joint Venture, where 25 out of 29 luxury condominium units have been sold.

The company’s stockholders’ equity decreased to $32.8 million as of September 30, 2024, down from $41.5 million at the end of 2023, reflecting the ongoing net losses. The company continues to evaluate its financial strategies, including potential distributions to shareholders, which have been suspended since March 2020.