from left: Steve Craig, Rachael, Gabriel, Marie Osmond
01/04/2013 at 06:00 AM EST
Sleigh bells weren't the only bells ringing at the Osmond house over the holidays.
As a beaming Marie Osmond and close family looked on, the star's daughter Rachael, 23, married boyfriend Gabriel Krueger, 22, during an intimate Christmas Day ceremony in a Park City, Utah, cabin, PEOPLE has learned exclusively.
"I have never seen Rachael look happier!" says Osmond. "We welcomed Gabriel with open arms into our loving family."
The Las Vegas-based couple met in Chicago more than a year ago, while Krueger, a fashion designer, was studying at the Illinois Institute of Art and Rachael, a costume designer, was in town with her mom and her uncle, Donny Osmond, working on wardrobe for the Donny & Marie holiday show.
The South Dakota-raised Krueger proposed to Rachael on the Santa Monica Pier on Dec. 15.
"I absolutely love Gabriel," gushes Osmond, "and couldn't be more excited for the two of them to start a wonderful life together!"