Bethesda-based Marriott International Inc. has agreed to pay $210 million for the Gaylord Hotels brand and hotel management company, Marriott announced Thursday.
Gaylord Entertainment Co.'s shareholders must approve the company's conversion to a real estate investment trust before the sale, according to a statement from Marriott. The vote is expected in August and the transaction should close by October, Marriott said.
If shareholders approve the conversion, Gaylord will continue to own its existing hotels but Marriott will take over their management under long-term agreements; the initial term will be 35 years, the statement said.
The sale adds the management of four conference center hotels and roughly 7,800 rooms to Marriott's business, which now includes more than 3,700 properties worldwide.
Marriott said it expects the Gaylord purchase to add 2 cents to its earnings per share in 2013. Marriott also expects to receive an incentive fee in its first full year of managing Gaylord's properties that will be based on the increase in Gaylord Hotels' profitability.
Gaylord Hotels include properties in Nashville, Tenn.; Kissimmee, Fla.; and Dallas. Gaylord also owns the National Harbor conference hotel and event center in Prince George's County, south of Washington on the east bank of the Potomac River.