Goldman Sachs just put out a very bullish report on the potential power of Disney’s new Shanghai theme park, set to open in 2015, saying it could expand Disney’s parks business on the same level that Macau casinos did for gaming.
Macau’s projected revenue is three times greater than that of Las Vegas casinos which saw another setback yesterday.
From Goldmann’s James Mitchell (emphasis ours):
The park could ultimately be Disney’s third-largest at 1,728 acres, behind Disney World (25,000 acres) and Disneyland Paris 95,510 acres) but ahead of Disneyland (510 acres) and Hong Kong Disneyland (311 acres). Phase one will cover 950 acres and will include a Magic Kingdom theme park, three hotels and entertainment facilities. We believe Disneyland Shanghai could potentially sharply expand the scope of Disney’s parks business, much as Macau casinos expanded the scope of Las Vegas Sands and Wynn Resorts.
The cost for phase one of the park will be $3.7 billion, according to a Bloomberg report.
The park will be very well connected just like Macau, with new transit systems including two subway lines coming into the park, and in close proximity to the Shanghai Pudong airport.
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