Ryman Hospitality Properties Inc. (NYSE:RHP) said Monday it agreed to acquire the Grande Lakes Orlando Resort from Trinity Investments for $1.38 billion, expanding its portfolio in one of the country’s largest meetings and convention markets.
Ryman shares traded lower following the announcement.
The purchase price values the property at 12.5x trailing-twelve-month adjusted EBITDA through June 30, 2026.
The 409-acre property includes a 1,010-room JW Marriott, a 582-room Ritz-Carlton, and a Greg Norman-designed 18-hole championship golf course, with Marriott International Inc. (NASDAQ:MAR) expected to continue operating both hotels under their existing brands.
Ryman expects the acquisition to be accretive to 2027 adjusted FFO per diluted share and plans to complete the transaction in the third quarter of 2026, subject to customary closing conditions.
Ryman Hospitality Expands Orlando Footprint With Grande Lakes Deal
This acquisition aligns with Ryman’s strategy to expand its presence in prime tourism markets. The Grande Lakes Orlando Resort, featuring two luxury hotels and extensive conference facilities, is expected to drive significant revenue growth for the company.
Ryman’s focus on high-demand locations like Orlando is part of its broader strategy to leverage popular tourist destinations for sustained growth. The acquisition of Grande Lakes positions the company to capitalize on the robust demand for luxury accommodations in the region.
Ryman Launches Stock Offering To Fund Grande Lakes Deal
Separately, Ryman launched an underwritten registered offering of 5.1 million common shares. The company also expects to give underwriters a 30-day option to buy up to 765,000 additional shares.
Ryman plans to contribute the net proceeds to its operating partnership. The partnership will use the funds to finance part of the Grande Lakes acquisition and related fees and expenses.
The company plans to fund the remaining purchase price with cash and debt. That could include revolving credit borrowings, unsecured financing or the assumption of an existing property-level secured loan.
The stock offering is expected to close before the Grande Lakes transaction and is not dependent on the acquisition closing. If the deal falls through, Ryman plans to use the proceeds for general corporate purposes.
As of June 30, Ryman had $366.1 million in unrestricted cash and cash equivalents.
What Ryman Hospitality Properties Does
Ryman Hospitality is a real estate investment trust focused on upscale convention resorts and country music entertainment assets.
Its resort portfolio primarily serves meetings and group travelers. Marriott manages the properties under brands including Gaylord Hotels and JW Marriott.
Ryman operates through its Hospitality, Entertainment, and Corporate and Other segments. Most of its revenue comes from the Hospitality segment.
The Entertainment segment includes Opry Entertainment Group assets, giving the company exposure to live entertainment alongside its lodging business.
Ryman Hospitality Price Action
RHP Price Action: Ryman Hospitality Props shares were down 3.49% at $116.62 at the time of publication on Monday, according to Benzinga Pro data.
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