CNL Hotels & Resorts to Acquire Grande Lakes Orlando Resort

CNL Hotels & Resorts, Inc., has entered into an agreement to acquire the 500-acre Grande Lakes Orlando Resort. The property includes an 18-hole Greg Norman-designed championship golf course, a 584-room Ritz-Carlton, a 998-room JW Marriott and a 40,000-square-foot spa.

CNL is buying the resort from an affiliate of Annapolis, Md.-based Thayer Lodging Group for approximately $753 million. The transaction is expected to close during the first quarter of 2006. CNL plans to use proceeds in part from the sale of its interest in the Waikiki Beach Marriott Resort and the pending sale of its interest in the Hotel del Coronado to acquire Grande Lakes.

The Grande Lakes addition will bring the CNL portfolio to 95 properties with more than 27,000 rooms with 20 hotel brands. Other destination resorts in its portfolio include: the 780-room Grand Wailea Resort Hotel & Spa in Maui, Hawaii; the 617-room La Quinta Resort & Club in La Quinta, Calif.; the 950-room JW Marriott Desert Ridge Resort & Spa in Phoenix, Ariz.; and the 692-room Doral Golf Resort & Spa in Miami, Fla.

To enhance existing meeting space at The Ritz-Carlton, a 14,100-square-foot ballroom is being developed in a new 27,000-square-foot building, along with a separate 3,000-square-foot private exterior patio for outdoor functions. And as part of the transaction, CNL has allocated approximately $10 million for capital improvements at the resort, including the completion of the ballroom and other capital projects such as a high-tech wireless connectivity system.