Please ensure Javascript is enabled for purposes of website accessibility

Disney Is Buying More Land. Is a New Theme Park on the Way?

By Jennifer Saibil – Updated Apr 2, 2020 at 9:51AM

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

According to public records, the entertainment giant just bought more land abutting part of Disney World.

While Walt Disney (DIS -2.31%) stock is reeling from coronavirus-related losses and theme parks remain closed in the U.S. indefinitely, the Orlando Business Journal disclosed that county records show the company just bought an extra 26.3 acres of land. 

More magic in the kingdom

Disney bought the land from Lake Reedy Development Group, LLC, in Orlando, Florida. It sits on the west side of The Magic Kingdom, the oldest of the parks that make up Walt Disney World.

A woman with a child on a ride at Disney World.

Image source: Disney.

The transaction was made by Celebration Company, a subsidiary of Disney that handles development in the area. The purchase is in addition to 235 acres of land the company purchased from the same group last December. Both parcels sit in the same area.

The records show the land was bought on March 31 for a total of $1.05 million, or just about $39,924 per acre.

Lots of new land

This is a small amount compared to other purchases Celebration has made over the past two years, which amount to more than 5,000 acres of nearby properties.

The Walt Disney Company has not commented on what the land will be used for. While a new theme park for the resort is a possibility, it's also possible that the land will be used for conservation efforts. The more land the company buys and conserves, the more it can develop other properties while still maintaining a high level of land conservation.

It may also be used as grounds for a more private, upscale hotel experience for guests who want to visit Disney World with a greater luxury atmosphere. 

In the meantime, development is on hold while the parks are on standby.

Jennifer Saibil has no position in any of the stocks mentioned. The Motley Fool owns shares of and recommends Walt Disney and recommends the following options: long January 2021 $60 calls on Walt Disney and short April 2020 $135 calls on Walt Disney. The Motley Fool has a disclosure policy.

Invest Smarter with The Motley Fool

Join Over 1 Million Premium Members Receiving…

  • New Stock Picks Each Month
  • Detailed Analysis of Companies
  • Model Portfolios
  • Live Streaming During Market Hours
  • And Much More
Get Started Now

Stocks Mentioned

The Walt Disney Company Stock Quote
The Walt Disney Company
DIS
$95.85 (-2.31%) $-2.27

*Average returns of all recommendations since inception. Cost basis and return based on previous market day close.

Related Articles

Motley Fool Returns

Motley Fool Stock Advisor

Market-beating stocks from our award-winning analyst team.

Stock Advisor Returns
327%
 
S&P 500 Returns
105%

Calculated by average return of all stock recommendations since inception of the Stock Advisor service in February of 2002. Returns as of 09/28/2022.

Discounted offers are only available to new members. Stock Advisor list price is $199 per year.

Premium Investing Services

Invest better with The Motley Fool. Get stock recommendations, portfolio guidance, and more from The Motley Fool's premium services.