Ryman Hospitality to acquire JW Marriott Phoenix for $865 million

NASHVILLE - Ryman Hospitality Properties, Inc. (NYSE: RHP), a real estate investment trust specializing in group-oriented, destination hotel assets, announced today the definitive agreement to purchase the JW Marriott Phoenix Desert Ridge Resort & Spa for $865 million. The resort will continue to be operated by Marriott International under the JW Marriott brand.

The acquisition price is based on a 12.7x Adjusted EBITDAre multiple of the resort’s 2024 results. The JW Marriott Desert Ridge is currently undergoing meeting space renovations, which are expected to impact its 2025 results but not its long-term financial performance. Ryman Hospitality, which maintains a healthy dividend yield of 4.65% and has demonstrated revenue growth of 9.48% over the last twelve months, anticipates the acquisition will be accretive to its adjusted funds from operations per share in 2026. For deeper insights into RHP’s financial metrics and growth potential, explore the comprehensive Pro Research Report available on InvestingPro.

Mark Fioravanti, President and CEO of Ryman Hospitality, expressed enthusiasm for the acquisition, stating it has been a top target for the company due to its fit with Ryman’s group strategy and existing portfolio. He also highlighted the potential for operational synergies and long-term value creation opportunities.

The JW Marriott Desert Ridge, situated on 402 acres in the Sonoran Desert, is one of the largest hotels in the Phoenix/Scottsdale area, boasting 950 guest rooms, 243,000 square feet of meeting space, a spa, multiple dining options, water amenities, and two golf courses. The property has seen nearly $100 million in capital investments, including room renovations and upgraded amenities.

Phoenix’s strong position as a top meetings market and its leisure demand drivers, along with the expansion plans for the Phoenix-Sky Harbor Airport, contribute to the strategic value of this acquisition for Ryman Hospitality. With analysts maintaining a Strong Buy consensus and the company’s liquid assets exceeding short-term obligations, the transaction is expected to close in the second or third quarter of 2025, subject to customary closing conditions. Discover more strategic insights and financial analysis with InvestingPro, where you’ll find 8 additional ProTips and extensive financial metrics for informed investment decisions.

Ryman Hospitality’s portfolio includes several large non-gaming convention center hotels and entertainment assets managed by Marriott International. The company also has a controlling interest in Opry Entertainment Group, which owns a collection of country music brands and related properties.

This news is based on a press release statement from Ryman Hospitality Properties, Inc.

In other recent news, Ryman Hospitality Properties reported a strong first quarter for 2025, surpassing analysts’ expectations. The company achieved an earnings per share of $1, significantly beating the forecast of $0.69, and reported revenue of $587.28 million, exceeding the expected $546.4 million. The hospitality segment set records in revenue and adjusted EBITDAre, with a notable RevPAR growth of 109% and an average daily rate increase of nearly 6%. Additionally, Ryman Hospitality Properties has revised its 2025 RevPAR growth guidance to a range of 1.25%-3.75%, reflecting a cautious yet optimistic outlook. On the governance front, shareholders approved key proposals at the company’s annual meeting, including the election of nine director nominees and the appointment of Ernst & Young LLP as the independent accounting firm. The company’s proactive cost management strategies have enabled it to maintain its adjusted EBITDAre guidance despite potential economic uncertainties. These developments indicate a robust performance and strategic positioning in the current market environment.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.