Yearly 150 mill Investment for UOR

[JungleSkip]

So yea, read this: http://www.nytimes.com/2012/05/21/b...l?pagewanted=1&_r=1&seid=auto&smid=tw-nytimes and then come back here. It's a great article about the forward momentum Comcast is push through the parks, and honestly, it's what I was saying was going to happen if Comcast bought the parks. Steve Burke and Comcast don't want to be second fiddle. Will they be? in attendance, yes. But they don't want to lose the buzz game, and they have the ability to win there. We're seeing the beginning of an arms race people. At least as far as uni is concerned.

150 million dollars every year for at least the next five years is awfully amazing considering Forbidden Journey cost less than 100.

 

[jtsalien]

So where is that $150 mil going for next year? FFL at the Studios? Or just a ton of refurbs between both parks?

And I still don't buy that Disney is scared. Because if they are, they are doing a terrible job to protect themselves. And I don't think they changed the Fantasyland expansion because of Potter, I think they changed it because the public reaction was horrible.

 

[JungleSkip]

So where is that $150 mil going for next year? FFL at the Studios? Or just a ton of refurbs between both parks?

I'm sure we don't know yet.

And I still don't buy that Disney is scared.

They're definitely worried. UOR's guest spending numbers are huge, some are bigger than Disney's. They aren't panicking, but they aren't ignoring it either.

 

[shiekra38]

Never thought I would say this but yay Comcast! Great to hear that they are investing in their purchase

And I still don't buy that Disney is scared. Because if they are, they are doing a terrible job to protect themselves. And I don't think they changed the Fantasyland expansion because of Potter, I think they changed it because the public reaction was horrible.

Arrogance does not reap rewards in the long term..if Disney knows what's best for them they will react instead of continuing to just throw out commercials talking about how great they are...
btw Cars Land is brilliant and I see the Test Track redux being spectacular as well..
The fact that this made the NY Times also seems rather significant to me..then again a lot of "news" makes it into the NY Times

 

[BJCool]

GO UNI!!!!!!!


Side note: I love how the writer of that article included the bit about Taylor Kitsch being the common denominator in both companies' recent film flops!

 

[ReelJustice]

So where is that $150 mil going for next year? FFL at the Studios? Or just a ton of refurbs between both parks?.

Maintenance and additions. Important to note: 1) they used to/ currently get $50 million per year for this. 2) costs of new attractions are spread across years.

 

[jtsalien]

Maintenance and additions. Important to note: 1) they used to/ currently get $50 million per year for this. 2) costs of new attractions are spread across years.

Right. So probably 50-75 for Potter 2.0...um I mean the Jaws Replacement? Whatever mystery they may be hiding there.

 

[tiredoldspook]

Well consider Expedition Everest was what in the market of 150 million? Mission Space 125 million, 150 for 5 years is a lot of money to throw in a park with not a lot of space to build...

 

[Teebin]

So, is this $750 million over 5 years just for the 3 American Parks? I would assume so as the other parks are not owned by Uni. The Asian parks pay there own construction costs etc.

 

[Parkscope Joe]

I read that as $150m each year for 5 years over all their parks (or at least USH, USF, & IoA). I don't think the $150 a year is only for UOR.

 

[Teebin]

I read that as $150m each year for 5 years over all their parks (or at least USH, USF, & IoA).

That is what I said. I was wondering if the if the asian parks are included. Does anyone have a firm grasp on how the asian contracts work or if Universal ever spends money on them or is Universal only paid to work on them.

 

[Andy]

I just wanted to share what a respected Disney fan boy said on a Disney fan site. Not starting anything here, I just want other to realize that even Disney fans are starting to lose there cool a little.



"I visited Uni once when I was young (early 90s - it was a newborn). Since then, I hadn't been until a few weeks ago (May 6). Wife and I were in Orlando for a conference. Stayed on WDW property using certain discounts, and rented a car for the first time ever.

And since wife is a travel agent, we went to Uni to complete her "Certification" program. I'm glad I went. It opened my eyes in more ways that one.

Caveat: I suffer from severe motion sickness. But since we needed to ride as much as possible, I doubled up on my Dramamine and kept my stomach full. The heat didn't help, but I got through the day with my eyes closed a lot. Thus, my opinion of some rides is a bit skewed, only because they made me want to

In one way, I quickly realized that Uni is CURRENTLY leaps and bounds beyond Disney in utilizing ride technology and integrating numerous types of effects into one attraction. I'd only heard of all these rides and attractions, and had seen some YouTube videos. But after experiencing things like Simpsons, Spiderman, Mummy and a few others, it quickly became apparent to me that the top dogs at Uni are investing in themselves, instead of the stockholders.

But on the flip side, Universal felt cheap and run down. That park is old, but is in worse overall shape than DHS. Plus, it's like walking through a Midway or down a beach in Jamaica, where people are literally hawking stuff non-stop.

Now, my visit to IoA was overwhelming. The attention to detail is incredible. It's sensory overload. I liken it to the MK, where there's theming and atmosphere no matter where you look. I've never read or seen anything "Potter", but that area of the park was simply awe inspiring. I can see why it drove attendance through the roof. And being the end of our day, I popped some more medicine and braved the new Potter ride (whatever it's called). Ignoring the fact that only 1% of the world's population is healthy enough, or in the perfect condition to ride it....it's simply awesome. Again, my eyes were closed a lot, and my forehead was sweating profusely, but I opened them enough times to appreciate what they had built. Beyond words.

So then I step back and look at my beloved WDW, which I have gone to the defense of for years. And now I'm second guessing myself. Sure, I love the classic rides, and I love the immersive theming of a couple of the parks (my favorite, MK and my least favorite, AK), but if someone who's into amazing rides and thrills goes to Uni first....they're going to be disappointed with WDW.

If you're a family, and you have kids, WDW is the place for you - because you simply couldn't do more than about 2 things at Uni. But if you have teens, or are a couple of young adults, and you go to Uni....you might start scratching your head when you head back over to WDW and wonder where all the thrills and immersive experiences are.

I'm playing Devil's Advocate, of course, because my heart belongs to WDW (obviously). But having experienced Uni/IoA myself, in 2012, I can see where WDW is going to have to step up their game to compete with Uni...who seems to be more in tune with today's youth and society."

 

[Teebin]

^He lost me at:

"I love the immersive theming of a couple of the parks (my favorite, MK and my least favorite, AK)" :look:

 

[UNIrd]

That was a great article and I agree with the fact that this is the New York Times and not the Orlando Sentinel makes it seem pretty major. But as a theme park lover, I'm glad the heads of these companies are taking note of the parks and just how profitable they can be when done right.

As for the $150 million a year investment, I'm glad Universal and it's parent company see that if they build it, they will come. Excited to see what else is on the horizon for the parks and not just Potter-wise.

 

[ShiftyPig]

$150 million each of the next five years with a typical annual maintenance budget of $50m says one thing: we're putting Potter at our other three parks (USF, USH, USJ). You better be happy with everything basically as is for the next five years. And for all the good reviews for Transformers, it's already here. After the Spiderman update, it look as though IoA is in for a long wait for any sort of addition, excluding the train station on the opposite end of Potter2.

The 2008-2010 period of flat attendance was a good time for Disney to refurb existing attractions and not needlessly increase capacity. People forget... these rides are old. Look at the past four years... Space Mountain is 37 years old. Big Thunder is 32 years old. Even Splash is 20 years old. TT needs its refresh. Star Wars went from dated to top-of-the-line. Add to that - supposedly $1 billion into Next Gen (whatever comes of that). $400m into Fantasyland. $500m into Cars Land. Disney hasn't been sitting around, it's just been doing things with a long-term perspective and setting the stage for 2014-2020.

It will be interesting to see the 2011 attendance report next month. Seeing that the news of massive queues surrounding WWoHP has drawn down a lot, I'm interested to see what happens to attendance numbers with a full year of WWoHP. The real test will be the effects of when Uni inevitably links the two parks via Potter or in about 2017 if we're all still riding ET, Terminator, Disaster, and Twister because Uni spent all its cash on Potter.

 

[ReelJustice]

Sorry ShiftyPig, I've heard the opposite. Potter is just the beginning at UOR and USH. The next 5 years for Universal will be huge.

 

[Jakemeister]

2 years after most attractions open they don't still pull the crowds Potter does. It's crazy to think that Wizarding World still has to get locked down due to capacity and Forbidden Journey still pulls those 2 hour waits in the off season. Disney is only other theme park who has that affect. Harry Potter might plateau some but I don't think it'll ever slow down like other attractions have.

 

[1.21Gigawatts]

$150 million each of the next five years with a typical annual maintenance budget of $50m says one thing: we're putting Potter at our other three parks (USF, USH, USJ). You better be happy with everything basically as is for the next five years. And for all the good reviews for Transformers, it's already here. After the Spiderman update, it look as though IoA is in for a long wait for any sort of addition, excluding the train station on the opposite end of Potter2.

The 2008-2010 period of flat attendance was a good time for Disney to refurb existing attractions and not needlessly increase capacity. People forget... these rides are old. Look at the past four years... Space Mountain is 37 years old. Big Thunder is 32 years old. Even Splash is 20 years old. TT needs its refresh. Star Wars went from dated to top-of-the-line. Add to that - supposedly $1 billion into Next Gen (whatever comes of that). $400m into Fantasyland. $500m into Cars Land. Disney hasn't been sitting around, it's just been doing things with a long-term perspective and setting the stage for 2014-2020.

It will be interesting to see the 2011 attendance report next month. Seeing that the news of massive queues surrounding WWoHP has drawn down a lot, I'm interested to see what happens to attendance numbers with a full year of WWoHP. The real test will be the effects of when Uni inevitably links the two parks via Potter or in about 2017 if we're all still riding ET, Terminator, Disaster, and Twister because Uni spent all its cash on Potter.

Do you have any evidence or sources to support your claim that universal is ONLY putting the money to maintenance and Potter in the next five years? Have you considered the amount of additional profit Potter is currently bringing in and will continue to in that five year period? Or are you just rooting for Disney no matter what is actually happening? because your post seems very similar to those I have read in the last couple years from nervous Disneyheads, no offense.

 

[BJCool]

Disney doesn't need a pity party. They have the financial means to do/add whatever the crap they want. It's just whether or not the bean counters say if something is cost effective that the Mouse will do so.

Universal hasn't had the money in the past to keep updating things. With Potter and now the Comcast allowance, things are beginning to change.

 

[Thor]

Disney doesn't need a pity party. They have the financial means to do/add whatever the crap they want. It's just whether or not the bean counters say if something is cost effective that the Mouse will do so.

Universal hasn't had the money in the past to keep updating things. With Potter and now the Comcast allowance, things are beginning to change.

And that scares the Disney fanboy to death. Just read the baseless and blind defending of the mouse. People are going to have to start waking up. Universal is giving Disney a run for its money, and winning. People have finally started taking notice. Will Universal ever over take Magic Kingdom in attendance? No. But it can chip away slowly at the attendance figures of the other four parks. And THAT scares Disney fanboys to death.