Revenue during the quarter went down marginally by 1.76 percent to $289.49 million from $294.68 million in the previous year period.

Cost of revenue dropped 3.31 percent or $4.05 million during the quarter to $118.32 million. Gross margin for the quarter expanded 65 basis points over the previous year period to 59.13 percent.

Total expenses were $251.94 million for the quarter, down 1.94 percent or $4.98 million from year-ago period. Operating margin for the quarter expanded 16 basis points over the previous year period to 12.97 percent.

Operating income for the quarter was $37.56 million, compared with $37.77 million in the previous year period. However, the adjusted EBITDA for the quarter stood at $86.04 million compared with $89.53 million in the prior year period. At the same time, adjusted EBITDA margin contracted 66 basis points in the quarter to 29.72 percent from 30.38 percent in the last year period.

Occupancy revenue for the quarter was almost stable at $203.42 million, when compared with the previous year period. Food and beverage revenue was $62.57 million during the quarter, down 9.59 percent or $6.64 million from year-ago period. Revenue from other hotel operating activities was $22.08 million for the quarter, up 6.50 percent or $1.35 million from year-ago period.

Other income during the quarter was $1.42 million, down 36.86 percent or $0.83 million from year-ago period.

"Throughout 2016, our portfolio performed well in a slow growth operating environment, with softening industry demand and increasing hotel supply. We are proud that our teams continue to operate with excellent efficiency across the portfolio, as evidenced by limited annual expense growth and our highest-ever reported annual EBITDA margin," said Michael D. Barnello, president and chief executive officer of LaSalle Hotel Properties.