A 1,592-key resort complex featuring a JW Marriott hotel and a Ritz-Carlton is set to change ownership this fall.
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Nashville-based Ryman Hospitality Properties has agreed to pay nearly $1.4B to buy the Grande Lakes Orlando resort in Florida from a joint venture of Trinity Investments and Elliott Management Corp., Ryman disclosed Monday in a filing with the Securities and Exchange Commission.
If the deal closes, which is expected to happen by the end of September, it will be the largest transaction on record for a nongaming U.S. resort, according to a release announcing the deal.
The Grande Lakes Orlando resort is a 409-acre complex that includes the 1,010-key JW Marriott hotel, the 582-key Ritz-Carlton, 320K SF of meeting and event space, and an 18-hole, Greg Norman-designed golf course that hosts the PGA Tour’s PNC Championship.
“Grande Lakes is a terrific asset and one that fits all of our ownership criteria,” Ryman CEO and President Mark Fioravanti said in a statement. “The transaction strengthens our JW Marriott and Gaylord Hotels customer rotation strategies, expands our presence in the nation’s top meetings market and creates the opportunity for meaningful portfolio synergies.”
Ryman intends to continue operating the hotels under their existing brands. The deal is also the first Ritz-Carlton acquisition in Ryman’s portfolio, Fioravanti said in the statement.
Miami-based Trinity and West Palm Beach-based Elliott acquired the property for $870M in 2018 from Blackstone, CoStar News reported. The joint venture invested roughly $150M in the resort, with a focus on the hotels’ meeting spaces, public areas and rooms.
“Grande Lakes Orlando joins a growing list of resorts where our team has driven significant operational improvement and created lasting value for our investors and partners,” Trinity CEO, President and Managing Partner Sean Hehir said in a statement. “We’re immensely proud of what our team has accomplished and excited to see the resort’s next chapter.”
Trinity also sold the JW Marriott Phoenix Desert Ridge Resort & Spa to Ryman last year for $865M. It bought the 950-key hotel for $602M in 2019 and poured $100M into renovations.
Ryman’s other properties span multiple Gaylord-branded hotels and two JW Marriott-branded properties, including the Phoenix Desert Ridge Resort. The portfolio also includes a 70% stake in the company that owns the Grand Ole Opry House in Nashville, which Ryman is reportedly considering selling.
Ryman reported an all-time quarterly record for consolidated revenue of $749M during the second quarter, according to a Thursday release. That was up from $664M in the first quarter.
Its total revenue per available room increased 10.3% quarter-over-quarter, while its stock price has climbed about 27% year-over-year.
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