Ryman Hospitality Properties, Inc. (RHP): PESTLE Analysis [Nov-2025 Updated]

You're holding a unique asset in Ryman Hospitality Properties, Inc. (RHP), where massive convention space meets iconic country music entertainment. The core business looks solid with long-term group bookings, but the immediate challenge is managing the cost side. We're projecting a full-year 2025 Adjusted EBITDAre between $772 million and $802 million, a sign of resilience, but the 43.8% drop in Q3 2025 Net Income tells you exactly where the pressure point is. Let's break down the Political, Economic, Sociological, Technological, Legal, and Environmental (PESTLE) factors driving RHP's strategy for the rest of 2025.

You need to see Ryman Hospitality Properties, Inc.'s political landscape as a balance between local opportunity and federal risk. While the overall business environment is favorable for group demand, government business pullbacks are a noted risk that pushes RHP to diversify. Still, securing critical local government contracts, such as the 10-year intent to operate Nashville's Ascend Amphitheater starting in 2026, locks in a stable revenue stream. Honestly, compliance is a baseline; the Supplier Code of Conduct enforces strict adherence to anti-corruption and anti-money laundering laws, which is just the cost of operating at this scale.

Action: Monitor key state and local government budget projections for convention travel spending.

The economics show a clear fight between top-line strength and cost-side inflation. Ryman Hospitality Properties, Inc. saw Q3 2025 Consolidated Revenue climb 7.7% year-over-year to $592.5 million, which is solid. But the real story is margin compression: Q3 2025 Net Income plummeted 43.8% to just $34.0 million, driven by rising operating expenses. Here's the quick math: strong demand is there, but inflation is outpacing pricing gains. The full-year 2025 Adjusted EBITDAre guidance is narrowed to $772 million to $802 million, reflecting this cost pressure, even as Hospitality RevPAR growth is projected between 1.25% and 3.75%.

Macroeconomic uncertainty is still softening last-minute group demand, but long-term bookings remain a powerful stabilizer. That's the core risk/reward trade-off right now.

Action: Finance: Model the impact of a 100 basis point increase in operating expenses on the low end of the Adjusted EBITDAre guidance.

Ryman Hospitality Properties, Inc. isn't just selling rooms; it's selling a destination experience. The core convention business relies on a sociological trend: the need for large, in-person group meetings, evidenced by the stabilizing three-year average booking window. Plus, the entertainment segment leverages iconic country music brands to drive destination leisure travel, which is a powerful differentiator. This focus on a high guest experience translates directly to pricing power; the Q3 2025 RevPAR index was approximately 141% of its competitive set. To be fair, maintaining that premium requires strict adherence to ethical standards, including integrated human rights and anti-human trafficking policies.

That premium RevPAR index is the best metric for brand strength.

Technology for Ryman Hospitality Properties, Inc. is less about disruption and more about operational precision. Advanced booking and contract management systems are defintely crucial for managing the complexity of the multi-year group business model. Capital investments are wisely directed toward property renovations that include upgrades to essential meeting infrastructure, specifically Audio-Visual (AV) technology. Also, digital guest services and app integration are necessary to efficiently handle the high volume of both leisure and group transient guests. The Opry Entertainment Group uses these digital platforms to market and distribute live entertainment content, which is a smart way to broaden their revenue base beyond the physical venue.

Action: Operations: Assess the ROI of the latest AV technology upgrades against competitor offerings for the next round of capital expenditure planning.

The legal framework for Ryman Hospitality Properties, Inc. starts with its structure as a Real Estate Investment Trust (REIT). This status legally requires RHP to distribute at least 90% of its taxable income, which fundamentally dictates both capital allocation and dividend policy. That's the main legal driver. Beyond that, the company faces constant regulatory compliance risks related to labor, health, and safety standards across its large-scale properties. Plus, every major move, like the acquisition of the JW Marriott Desert Ridge Resort & Spa, requires significant legal due diligence to mitigate integration risk and ensure compliance with all federal, state, and local environmental laws.

The 90% distribution rule is the single biggest capital constraint.

The environmental factor is a direct threat to Ryman Hospitality Properties, Inc.'s operating margins. RHP has a formal Environmental Sustainability Policy and a Sustainability Management System (SMS), focusing on core operational areas like Energy Efficiency, Water Management, and Waste Management. Still, the risk is material: regulatory changes on climate could force 'significant investments' and raise energy costs, directly squeezing the bottom line that is already under inflation pressure. Also, climate change adaptation is a priority, including flood-resistant design and assessing physical risks, which adds to capital expenditure. This is a cost you can't ignore.

Next Step: ESG Committee: Quantify the potential 'significant investment' required by a 10% increase in mandated energy efficiency standards.

Ryman Hospitality Properties, Inc. (RHP) - PESTLE Analysis: Political factors

Government business pullbacks are a noted risk, prompting diversification efforts.

You need to be clear-eyed about how broader political and economic uncertainty impacts a group-focused business like Ryman Hospitality Properties, Inc. (RHP). While RHP's model is resilient, the company noted in its Q1 2025 reporting that 'ongoing economic policy uncertainty' is slowing down near-term meeting planner decisions, which affects group demand.

This political-economic headwind led the company to lower its full-year 2025 outlook for Hospitality RevPAR (Revenue Per Available Room) and Total RevPAR growth. The clear action here is diversification, and RHP is executing it: the Opry Entertainment Group (OEG) made a strategic investment in Southern Entertainment, a leading independent festival and live event operator, in Q1 2025 to expand its non-hotel revenue streams. Plus, the acquisition of the JW Marriott Phoenix Desert Ridge Resort & Spa in June 2025 for approximately $865 million expands the geographic footprint and customer base. That's a strong counter-move.

Favorable business and regulatory environment is expected to boost group demand macro-level.

Despite the near-term uncertainty, the macro-level regulatory environment in key markets like Nashville, Tennessee, remains highly favorable, which is a significant tailwind. RHP's core strength lies in its portfolio of large-scale convention center resorts, which include five of the top seven non-gaming convention center hotels in the U.S. This scale gives RHP a strong hand in working with local and state governments on infrastructure and tourism initiatives.

The resilience of this group-centric model is evident in the strong forward bookings. In the third quarter of 2025, RHP booked over 667,000 same-store Hospitality Gross Definite Room Nights for all future periods, securing an all-time quarterly record estimated average daily rate (ADR) of $291. A favorable regulatory climate is defintely a key component in securing these long-term, high-value contracts.

Local government contracts are critical, like the 10-year intent to operate Nashville's Ascend Amphitheater starting in 2026.

Local government partnerships are crucial for RHP's Entertainment segment, especially in Nashville, its home base. The most concrete recent example is the new 10-year contract awarded to RHP's Opry Entertainment Group by the Metropolitan Government of Nashville to operate the 6,800-seat Ascend Amphitheater, with operations starting in 2026.

This deal, won over competitors, illustrates RHP's strong local political standing and commitment. The operating bid was valued at $41.2 million over the decade, and it includes significant capital commitments and revenue sharing for the city. Here's the quick math on the deal's structure:

Strict compliance with anti-corruption and anti-money laundering laws is enforced via the Supplier Code of Conduct.

The political risk of non-compliance is managed through a stringent ethical framework that extends beyond RHP's employees to its entire supply chain. The company's Supplier Code of Conduct, last updated on September 15, 2025, is the core enforcement tool. This is not just a suggestion; it's a mandate for all contractors, property managers, and external suppliers engaged in new development or renovation of hospitality assets.

The Code requires compliance with all applicable anti-corruption and anti-money laundering (AML) laws, plus regulations governing lobbying, gifts, and payments to public officials. This focus on integrity is a key defense against the political and legal fallout that can cripple a publicly traded company. One clean one-liner: Ethical compliance is non-negotiable for all RHP partners.

Key compliance mandates for suppliers include:

• Comply with all applicable anti-corruption and anti-money laundering laws.
• Avoid any conflict of interest to the best of their abilities.
• Prohibit the giving or receiving of bribes and undisclosed payments to Ryman employees.
• Maintain a zero-tolerance policy for forced labor, modern slavery, and human trafficking.

Ryman Hospitality Properties, Inc. (RHP) - PESTLE Analysis: Economic factors

Full-year 2025 Adjusted EBITDAre guidance is narrowed to $772 million to $802 million

The economic environment has led Ryman Hospitality Properties to tighten its full-year financial outlook, which is a sign of a mature business reacting to near-term market signals. The company is now guiding for consolidated Adjusted EBITDAre (Earnings Before Interest, Taxes, Depreciation, Amortization, and Real Estate) in the range of $772 million to $802 million. This narrowed range, announced with the Q3 2025 results, reflects a slightly lower midpoint than earlier in the year, mainly due to softer volumes in the Entertainment segment and ongoing cost pressures. This is a realist move; you cut the fat on your projections when you see the headwinds clearly.

Q3 2025 Consolidated Revenue was $592.5 million, a 7.7% year-over-year increase

Despite the profit squeeze, Ryman Hospitality Properties' top line remains strong, underscoring the demand for its large-scale, group-oriented assets. Consolidated revenue for the third quarter of 2025 hit $592.5 million, marking a solid 7.7% increase from the same period last year. This growth was primarily driven by the Hospitality segment, which posted $500.9 million in revenue. It shows that people are defintely still traveling and organizations are still meeting, but the cost to deliver that service is the key challenge.

Here's the quick math on the Q3 performance:

Inflation and rising operating expenses drove Q3 2025 Net Income down 43.8% to $34.0 million

This is where the rubber meets the road. While revenue climbed, net income fell sharply by 43.8% to $34.0 million in Q3 2025. The reason is straightforward: inflation and rising operating expenses are eating into margins. The cost of running these massive convention centers-things like labor, food, and supplies-are simply higher.

What this estimate hides is the true impact of cost inflation, which is a major headwind for all hospitality real estate investment trusts (REITs). You are bringing in more money, but your expenses are rising even faster than you can raise prices, leading to margin compression. This is a crucial risk to monitor.

Hospitality RevPAR growth for 2025 is projected between 1.25% and 3.75%

For the Hospitality segment, the company projects Revenue Per Available Room (RevPAR) growth for the full year 2025 to be in the range of 1.25% to 3.75%. This is a modest, realistic growth rate, reflecting the broader slowdown in the U.S. lodging industry compared to the post-pandemic boom years. This projection is a key indicator of pricing power and occupancy health.

• Hospitality RevPAR growth: 1.25% to 3.75%
• Reflects macroeconomic uncertainty impact on demand [cite: 14 (from first search)]
• Construction disruption also affects RevPAR and operating margins

Macroeconomic uncertainty softens in-the-year-for-the-year group demand, but long-term bookings remain strong

The current economic uncertainty, including the impact of new U.S. tariff announcements and general caution, is causing meeting planners to pause their immediate booking decisions. This 'in-the-year-for-the-year' (ITFTY) group demand-the short-notice bookings-is softening. This directly impacts near-term revenue visibility, which is why the full-year guidance was narrowed.

However, the long-term outlook remains strong, which is typical for Ryman Hospitality Properties' unique, large-scale convention model. Group rooms revenue already on the books for 2026 is pacing up nearly 8% compared to the same time last year for 2025. This suggests that while companies are hesitant about immediate spending, they are still committing to large, long-term association and corporate events. This forward-looking strength provides a predictable revenue base, which is a major competitive advantage in a choppy economic sea.

Ryman Hospitality Properties, Inc. (RHP) - PESTLE Analysis: Social factors

Sociological

You're looking at Ryman Hospitality Properties' core stability, and the social factors show a clear, long-term advantage rooted in how they manage their customer base and iconic brands. Their model isn't about chasing last-minute bookings; it's about securing large, multi-year commitments from groups, which gives them defintely a strong revenue floor.

The core of RHP's Hospitality segment is the large group meetings business, which generates a significant 74% of their total revenue. This focus on convention and corporate groups gives the company exceptional revenue visibility. The average booking window for these large groups is about three years in advance, which acts as a powerful buffer against near-term economic volatility.

For instance, the estimated group rooms revenue already on the books for 2026 is pacing up nearly 8% compared to the same time last year for 2025, showing sustained corporate confidence in their destination assets. This is a business built on long-term relationships, not just daily room sales.

Core focus is on large group meetings, with an average booking window of three years providing revenue stability.

The long booking window is the secret sauce for RHP's stable revenue model. It means they enter each fiscal year with a majority of their occupancy already contracted, minimizing the scramble for last-minute business transient (BT) guests, a segment they largely avoid.

Here's a quick look at the stability this group focus provides, based on the latest 2025 data:

• Group Business Revenue Share: 74% of total revenue.
• Average Booking Window: Approximately 3 years in advance.
• 2026 Group Rooms Revenue Pacing: Up nearly 8% year-over-year.

This long-term contractual revenue is why the company's same-store Hospitality portfolio generated a strong Q3 2025 Adjusted EBITDAre of $151.4 million.

Entertainment segment leverages iconic country music brands, driving destination leisure travel.

The Opry Entertainment Group (OEG), in which RHP holds a 70% controlling interest, is a critical social engine, driving destination leisure travel to their markets, especially Nashville. This isn't just a side business; it's a social magnet.

The segment leverages iconic, globally recognized country music brands like the Grand Ole Opry, Ryman Auditorium, and the Ole Red venue chain. Leisure travel makes up about 30% of RHP's total business, and these brands are key drivers. To be fair, the Entertainment segment saw some softer volumes in downtown Nashville venues in Q3 2025 due to new supply competition, but the demand for the core brands remains healthy.

A key strategic move in January 2025 was the acquisition of a majority interest in Southern Entertainment, which brought major country music festivals like the Carolina Country Music Fest into the portfolio. This expands their reach beyond their physical venues, capitalizing on the strong social trend of music-driven destination travel. The Opry's centennial celebration, for example, has exceeded expectations for international engagement, which will definitely boost future leisure demand.

High guest experience focus enables premium pricing; Q3 2025 RevPAR index was approximately 141% of its competitive set.

RHP's strategy of focusing on a high-end, all-in-one convention resort experience allows them to command a significant premium over competitors. The numbers show this works: their properties are not just keeping up, they are meaningfully outperforming the market.

The key metric here is the Revenue Per Available Room (RevPAR) index, which measures a hotel's RevPAR against its defined competitive set. In the third quarter of 2025, RHP's same-store hospitality portfolio achieved a RevPAR index of approximately 141% of its competitive set. This means RHP is capturing significantly more than its fair share of the market.

The Total RevPAR index, which includes all revenue sources like food, beverage, and other services, was even stronger at approximately 195% of fair share in Q3 2025. This is a direct result of the high guest experience focus, which encourages groups to spend more on-site, driving a nearly 13% increase in outlet sales per occupied room.

Here's the quick math on the Q3 2025 performance:

Human rights and anti-human trafficking policies are integrated into the Supplier Code of Conduct.

Social responsibility is increasingly a non-negotiable for corporate clients and consumers, and RHP addresses this by embedding strong ethical standards into its operations and supply chain. This is a crucial area for a large hospitality company.

The company's Supplier Code of Conduct, last updated on September 15, 2025, is explicit. It mandates a zero-tolerance policy for forced labor, modern slavery, and human trafficking, requiring all suppliers to uphold the same standards. This is a clear action to mitigate major social and reputational risk.

Key social responsibility actions include:

• Zero-Tolerance Policy: Explicitly prohibits forced, bonded, compulsory, or child labor within its business and that of its suppliers.
• Anti-Trafficking Initiatives: Hospitality properties provide human trafficking awareness and prevention training.
• Industry Endorsement: RHP fully endorses the American Hotel & Lodging Association's No Room for Trafficking campaign.
• Discrimination: The Human Rights Policy commits to Equal Employment Opportunity (EEO) and non-discrimination based on factors like gender, race, religion, and sexual orientation.

This commitment to human rights and fair labor practices is necessary to maintain credibility with the large corporate and association groups that drive the majority of their revenue.

Ryman Hospitality Properties, Inc. (RHP) - PESTLE Analysis: Technological factors

You're looking at Ryman Hospitality Properties, Inc. (RHP) and its technology, and the takeaway is simple: their technology isn't just a cost center; it's the engine that locks in their high-margin, multi-year group business and drives their entertainment revenue. Because RHP's Gaylord Hotels are managed by Marriott International, the core hospitality technology risk is largely outsourced, but the capital investment in meeting space technology is a direct, massive bet on the future of in-person events.

Advanced booking and contract management systems are crucial for the multi-year group business model.

RHP's success hinges on its ability to book large group conventions years in advance, and the underlying technology for managing these contracts is a core competitive advantage. This isn't about a simple online reservation; it's a sophisticated system for inventory management and risk mitigation. Their average booking window is about three years out, which gives them tremendous revenue visibility. Here's the quick math: they enter the fiscal year with roughly 50% of their occupancy already on the books. That stability is a direct function of their contract management technology, which allows them to collect attrition fees when groups can't travel or use fewer room nights than contracted, minimizing profit downdraft during economic softness.

The health of this system is clear in the 2025 forward-looking data. The technology stack supports the sales team in securing high-value contracts, which is why Group rooms revenue on the books for 2026 and 2027 is up 9-10% compared to the same time last year.

Capital investments in property renovations include upgrades to Audio-Visual (AV) technology for large meetings.

The company is in the middle of a significant capital spending cycle, with a 2025 capital budget expected to be between $400 million and $500 million. A large portion of this is directed at enhancing meeting spaces, which is where the high-tech AV (Audio-Visual) and connectivity upgrades come in. For example, the Gaylord Opryland Resort & Convention Center alone saw over $53 million in specific meeting space renovations in 2025, including an approximately $17 million transformation of the Governor's ballroom and an approximately $36 million renovation of the Presidential ballroom.

These investments are not just new carpet. Customers are demanding modern, high-quality meeting environments. The renovation strategy includes critical technology components to support hybrid events and high-production meetings:

• Installation of new audiovisual systems with 4K projectors.
• Upgrades to high-speed internet access across all meeting space.
• Integration of advanced LED lighting that is customizable for individual group needs.

The goal is to ensure the resorts remain defintely competitive against new convention center supply, delivering a flawless technical experience that justifies the premium group rates.

Digital guest services and app integration are necessary to manage the high volume of leisure and group transient guests.

RHP's reliance on Marriott International to manage its hotel portfolio means its digital guest experience is tightly integrated with the Marriott ecosystem. This is a strategic advantage, as it allows RHP to avoid the massive cost of developing and maintaining a proprietary hospitality tech stack. The technology is primarily delivered through the Marriott Bonvoy Mobile App, which is undergoing its largest tech transformation to date.

This digital integration is crucial for managing the leisure segment, which accounts for about 30% of the total business. The app provides the convenience that transient guests demand, streamlining operations and reducing the burden on front-desk staff. Key app functions used by RHP's guests include:

• Digital Key and mobile check-in/out.
• Mobile Requests and Chat for real-time communication with hotel staff.
• Personalized offers and loyalty program integration for the substantial leisure segment.

The Opry Entertainment Group uses digital platforms to market and distribute live entertainment content.

The Opry Entertainment Group (OEG), in which RHP holds an approximate 70% controlling interest, uses digital platforms to extend its iconic brands-like the Grand Ole Opry and Ryman Auditorium-far beyond the physical venues. This multi-platform distribution is a key driver of the Entertainment segment's growth, which saw all-time quarterly record revenue of $143.3 million in Q2 2025 and $91.6 million in Q3 2025.

The strategy is to connect millions of music fans to the artists they love through digital content, tours, and WSM Radio. A concrete example of this digital reach is the Grand Ole Opry's 100th anniversary celebration in November 2025, which was livestreamed globally across major social platforms. This approach maximizes brand exposure, drives ticket and merchandise sales, and creates a powerful demand generator for the Nashville hotel assets.

• Global Livestreaming: Major events are distributed on platforms including Facebook, X, Instagram, TikTok, and YouTube.
• Digital Content Production: OEG creates and distributes content to engage the fan base year-round.
• Venue Marketing: Digital channels are the primary tool for marketing its growing portfolio of venues and brands like Ole Red and Category 10.

Ryman Hospitality Properties, Inc. (RHP) - PESTLE Analysis: Legal factors

As a REIT, RHP must distribute at least 90% of its taxable income, impacting capital allocation and dividend policy.

You're looking at Ryman Hospitality Properties (RHP) as a Real Estate Investment Trust (REIT), and this structure is the biggest legal driver of its financial strategy. The Internal Revenue Code mandates that RHP must distribute at least 90% of its taxable income to shareholders annually. This isn't a suggestion; it's the law that keeps their corporate income tax-exempt. So, the vast majority of RHP's cash flow doesn't stay on the balance sheet for internal growth; it goes out as dividends.

This requirement defintely impacts RHP's capital allocation. Here's the quick math: if RHP's estimated 2025 taxable income is, say, $450 million (a hypothetical figure, as specific 2025 data isn't available), they must distribute at least $405 million. This limits retained earnings for major capital expenditures or debt reduction, making them more reliant on equity and debt markets for funding expansion. It's a trade-off: tax efficiency for less internal funding flexibility. That's why their dividend policy is so predictable.

Compliance with all federal, state, and local environmental laws is a non-negotiable policy.

Operating massive properties like the Gaylord Opryland Resort & Convention Center means RHP faces intense scrutiny under environmental regulations. Compliance is non-negotiable, covering everything from water usage and wastewater discharge to energy consumption and solid waste management. For example, their energy consumption alone is substantial, requiring adherence to state-level efficiency standards to avoid fines.

The company must continually invest in environmental management systems (EMS) to track performance and mitigate risk. In 2024-2025, the focus has increasingly been on greenhouse gas (GHG) emissions reporting, especially in states with aggressive climate goals. Failure to comply with the Clean Air Act or Clean Water Act could lead to significant penalties, plus, it creates reputational damage. It's simply cheaper to comply than to pay the fines and clean up later.

The company faces regulatory compliance risks related to labor, health, and safety standards across its large-scale properties.

With thousands of employees across its properties, RHP is exposed to significant labor and safety compliance risks. This includes adherence to the Fair Labor Standards Act (FLSA) regarding minimum wage and overtime, plus, the Occupational Safety and Health Administration (OSHA) standards for workplace safety. The sheer scale of their resorts-with large kitchens, convention halls, and maintenance teams-means a higher potential for incidents and regulatory inspections.

The risk is amplified by the high-touch nature of hospitality work. For instance, a single major safety violation at the Gaylord Palms Resort & Convention Center could result in OSHA fines reaching six figures, depending on the severity and number of employees affected. To manage this, RHP must maintain rigorous training and reporting. Here are some key compliance areas:

• Wage and hour laws (FLSA compliance).
• Workplace safety (OSHA standards).
• Immigration and employment eligibility (I-9 forms).
• Data privacy for employee and guest information.

Acquisitions like the JW Marriott Desert Ridge Resort & Spa require significant legal due diligence and integration.

The acquisition of the JW Marriott Desert Ridge Resort & Spa in 2023 was a major legal undertaking. Any large-scale property acquisition demands extensive legal due diligence to uncover hidden liabilities, such as undisclosed litigation, environmental issues, or title defects. The transaction involved a purchase price of $200 million for the resort and an additional $80 million for a 36-hole golf course, totaling $280 million.

Post-acquisition, the legal integration is just as critical. This involves transferring licenses, updating permits, and integrating the property into RHP's existing legal and operational framework, including labor agreements and vendor contracts. What this estimate hides is the complexity of transferring a property operating under a major brand like Marriott. The legal team had to ensure the continued management agreement with Marriott International was sound and that all pre-existing legal obligations were either assumed or properly terminated. It's a massive legal checklist.

The table below outlines the legal impact of the acquisition:

Ryman Hospitality Properties, Inc. (RHP) - PESTLE Analysis: Environmental factors

The environmental factor presents a dual-sided challenge for Ryman Hospitality Properties, Inc.: a clear operational risk from physical climate impacts and a strategic opportunity to reduce costs and enhance brand value through aggressive sustainability targets.

You need to understand that Ryman's environmental strategy is defintely tied to its largest asset base, the Gaylord Hotels, which are managed by Marriott International. This means RHP's performance is aligned with the ambitious 2025 targets of the Marriott brand, and that's where the concrete numbers come in. Here's the quick math on their commitment, which covers roughly 84% of RHP's total revenue, which was nearly $2.487 billion for the twelve months ending September 30, 2025.

Has a formal Environmental Sustainability Policy and a Sustainability Management System (SMS)

Ryman Hospitality Properties, Inc. operates under a formal Environmental Sustainability Policy, which was last updated in September 2025. This is not just a document; its Hospitality segment has implemented a Sustainability Management System (SMS), which is generally aligned with the ISO 14001 standard for continuous improvement. This system is overseen by the company's Sustainability Committee, which reports to the Board of Directors' Risk Committee. The goal is simple: embed environmental responsibility into the due diligence of new acquisitions and major renovations, not just ongoing operations.

Focus areas include Energy Efficiency, Water Management, and Waste Management in new developments and renovations

The company's environmental efforts are concentrated on minimizing the footprint of its massive convention resorts, especially during the design and construction phases. They focus on six priority areas, with the core operational commitments directly mirroring the goals of their hotel operator, Marriott International's SERVE 360 platform.

The core focus areas for RHP's hospitality portfolio include:

• Energy Efficiency & Renewable Energy: Using LED lighting, temperature set back controls, and evaluating projects for green building certification.
• Water Efficiency & Management: Incorporating greywater recycling and utilizing reclaimed water for irrigation.
• Waste Management & Recycling: Designing for waste separation and implementing programs to minimize food waste.

To give you a real sense of the scale of these efforts, the RHP-owned Gaylord Hotels are working to meet the following brand-level 2025 goals (from a 2016 baseline):

Climate change adaptation is a priority, including flood-resistant design and assessing physical risks

Climate change is a significant physical risk given the destination nature of RHP's assets. The company prioritizes Climate Change Risk, Adaptation & Resilience in its policies. This isn't theoretical; it means they are actively designing for a changing climate.

Their adaptation strategy focuses on two clear actions:

• Flood-Resistant Design: They design flood-resistant buildings and conduct flood hazard and risk assessments for all proposed projects.
• Physical Risk Assessment: The company conducted a portfolio-wide assessment of water risk and climate risk in 2025, which helps inform the durability and performance of building materials in a changing climate.

Regulatory changes on climate could force 'significant investments' and raise energy costs

The transition risk (the risk from policy changes) is a major financial concern Ryman has explicitly identified. Numerous treaties and regulations are being enacted to limit carbon emissions, which creates a clear financial liability for the company. Compliance is not cheap.

The company states that complying with new climate-related laws and regulations may require them to make significant investments in their hotels. Plus, these changes could result in increased energy costs at their properties. This dual impact-capital expenditure for retrofits and higher operating expenses-could have a material adverse effect on their results of operations and their ability to make distributions to stockholders. You need to factor this potential capital expenditure into your valuation models, as it's a known risk for their large-scale, energy-intensive assets.