Disney to build its 7th theme park, this one in the United Arab Emirates
FILE – With the city skyline in backdrop, people of different nationalities enjoy a good weather of 24 degrees Celsius (75.2 degrees Fahrenheit) n Abu Dhabi, United Arab Emirates, Wednesday, Jan. 14, 2015. (AP Photo/Kamran Jebreili, File)
CALIFORNIA, United States — Disney will build its seventh theme park, this one in the United Arab Emirates, the entertainment company said Wednesday.
The waterfront resort will be built on Yas Island on the outskirts of Abu Dhabi, already home to Formula One’s Abu Dhabi Grand Prix, the Ferrari and Warner Bros. amusement parks, SeaWorld and a waterpark.
Abu Dhabi is the capital of the United Arab Emirates, a federation of seven sheikhdoms on the Arabian Peninsula.
Home to 9 million people, it has leveraged its long-haul carriers Emirates and Etihad Airways to bring in more tourists over the years. A real-estate boom and the city’s highest-ever tourism numbers have made Dubai a destination as well as a layover.
Disney and Miral, the Abu Dhabi developer overseeing the project, hope to capitalize on the 120 million airline passengers that travel through Abu Dhabi and Dubai each year.
While long viewed as more buttoned up than the beaches and raucous nightlife in neighboring Dubai, Abu Dhabi also is home to the Louvre Abu Dhabi and there are more museums currently under construction.
READ: A Guide to UAE Real Estate Markets (Dubai, Abu Dhabi, Sharjah and Beyond)
Trump to visit
The theme park announcement is being made ahead of a visit by U.S. President Donald Trump to the region next week.
Trump has promised a series of business deals with Saudi Arabia, Qatar and the UAE.
The theme park will be built and operated by Miral, but Disney will handle the design and development. Disney will also license its intellectual property and provide development and management services, according to a regulatory filing.
The California company will not be providing any capital for the project. It will earn royalties based on the resort’s revenues. It will also earn service fees.
Miral has been involved in the development of almost all of the entertainment complexes built on the island.
A projected opening date has not been announced.
Shares of Disney, which also reported second-quarter financial results on Wednesday that beat Wall Street’s expectations, jumped more than 9 percent in morning trading.
READ: Disney earnings beat expectations, streaming subscribers grow
