Disneyland Abu Dhabi is expected to open within five years

Abu Dhabi's new Disney theme park is set to open by 2030, defeating the upcoming British post base of arch rival Universal for a year.

With the report forecasted on Monday, Disney CEO Bob Iger announced today at a glorious ceremony that the media giant will be building its seventh resort in Abu Dhabi, which has become a powerhouse in the theme parks industry.

Abu Dhabi is already home to SeaWorld, Warner Bros. and Ferrari theme parks with land based on Harry Potter under development. Due to the heat of the United Arab Emirates, the parks are all indoors and have been praised for being the best in their class. They are all located on artificial Yas Island, where Disney's new resort is also located, unlike their counterparts. The concept art shows it looks like a hybrid of indoor and outdoor attractions.

Disney is the crown jewel of Yas Island and a key part of the long-term strategy to diversify the UAE economy due to the decline in fossil fuel reserves.

The United Arab Emirates is paying off by pouring its profits from oil into leisure investments. The country's GPD (value of all the goods and services it produces) rose 3.9% in 2024, and the central bank says it is being driven by a non-oil economy. This is expected to increase by 4.6% last year and increase by 5.1% in 2025. Yas Island recorded over 38 million visits in 2024, 10% more visits than the previous year, making the theme parks a pioneer.

Last year, hotel guests in the United Arab Emirates rose from 9.5% to 30.8 million, accounting for 77% of the 2031 target set by the country's national tourism strategy. This milestone was a hit seven years before planned, and Disneyland Abu Dhabi should accelerate it even further.

It will be the first park of media giants in the Middle East and its first new front post since launching Shanghai Disney in 2016. Disneyland Abu Dhabi is also the first park to feature concept art with concept art showing an icy version of a trademark castle sitting on the beach. It is set to cast powerful spells.

“The resorts in Abu Dhabi will be the most advanced and interactive destination in our portfolio,” Josh Damaro, chairman of Disney's Experience Theme Parks segment, said in a press release. “The groundbreaking resort destination represents a new frontier for the theme park development.”

It gives a magical touch to the already rosy Disney bottom line. In the three months ended March 30th, Disney earned operating profit of $4.4 billion, up 7% to $23.6 billion. The new resort gives both its top and bottom lines a sparkle as Disney receives license revenue, but there is no need to put the cost of developing or building it.

ForbesDisney announces new Disneyland theme park in Abu Dhabiby Megan Dubois

That's because it will be developed and built by Miral, supported by the government that runs Yas Island and its theme parks. This is a similar model to the Tokyo Disneyland model and is owned and operated by Oriental Land Company (OLC), a specialized leisure venue operator listed on the Nikkei Stock Exchange in Japan.

The OLC has signed Disney's Imaginer Design division to develop attractions and hotels at Tokyo Disneyland, and Media Giant has also earned royalties on the revenue generated by the resort. According to declarations from other foreign Disney parks, “The royalty rates charged by TWDC (Walt Disney Company) at Disney resorts outside the US are roughly the same as 5% to 10% of revenue, depending on the source of revenue (products, food, drinks, admission, etc.).”

Disney has not disclosed accurate royalty levels, but according to a 2017 report from market research firm Skift, Disney's effective royalty rate (based on parks and hotels) averages 6.1% over 11 years, at 6.1%. For the year ended March 31, 2025, it generated $266 million or 2.9% of Disney's $9.3 billion experience operating profit.

Royalties are pure profits, as Disney doesn't have to spend money on capital spending or running parks in Tokyo. The same can be said for shareholders of Abu Dhabi and Disney. You don't have to wait long to get this happy ending.

Last week, the author explained that today's announcement will introduce “the vision of Yas Island over the next five years.”

ForbesDisney is building a new theme park in Abu Dhabi.by Allison Durkey

Ironically, another major UAE city, Dubai's Universal Theme Park, was in development until the 2009 financial crisis knocked down the curtains. With local branches of retail chains such as Oshkosh B'gosh, Williams Sonoma, Payless Shoour, Bloomingdale's, Bath & Body Works, Pottery Barn, Ace and The Children's Place, the UAE has an incredible affinity for American brands. The same goes for restaurants as they have an outlet from Orlando-based casual dining chain Tony Roma, owned by Applebee's, Black Tap, Buffalo Wild Wings, Chuck E. Cheese, Dave's Hot Chicken, Dickey's Barbecue Pit, Ihop, and even Dallas Cowboys founder Clint Murchison Jr.

These chains are located in the UAE. This is because 88.5% of the 10.2 million residents are expatriates, so they are in the UAE. There is a good reason for this. The United Arab Emirates is located within a four-hour flight, one-third of the world's population, making it an important gateway for tourism. It also has the world's largest global airline hub, with 120 million passengers traveling to Abu Dhabi and Dubai every year.

As this author reported earlier this week, Disneyland Abu Dhabi ensures that Mouse has a universal theme park in important Europe, the Middle East, India and Africa (Emeia) regions. Universal's British Park will be joined by one of India to provide two forward posts in the Emea region. Disney already has two parks in Paris, so Abu Dhabi will help maintain the crown. Maybe more will come.

YAS Island is available on land that is about six times as much as Hong Kong Disneyland's footprint. Perhaps hinting at Walt Disney World in Orlando, home to four theme parks and two water parks, His Excellency Mohamed Halifa Al Mubarak, chairman of Miral, said, “What we are creating together with Disney in Abu Dhabi is a whole new world of imagination. Abu Dhabi continues to strengthen its position as a major global destination for cultural and family tourism.”

The announcement follows the debut of its first Disney store in Abu Dhabi and Dubai over the past few months, despite the closing of brick and mortar shops in most parts of the world.

Miral is already making the most of its partnership with Disney. Tonight, we will host the largest fireworks display in Yas Island's history, with the drone show and fountain dancing in time for a classic Disney song played by famous pianist Lang Lang. Even an experienced operator like Miral will make it a whole new world.