What to know about resort closures and closures from Disney to Disney World
A number of Disney resorts have closed this week, including Florida’s Grand Floridian Resort and Walt Disney World Resort.
Disney said on Tuesday it would close three resorts, one of which was in the US state of Florida.
The resort closures were due to rising water levels, which are expected to keep the lake level from rising as much as the government expected.
“Due to water levels on the lake, the park will close in early June 2019 and reopen in late 2019,” Disney said in a statement.
However, Disney said that it would reopen some of its parks, including the Orlando and Disney Springs, in the same time frame.
In a statement, the Walt Disney Company said the resort closures would take place as planned, with a handful of “limited” openings at the resorts.
Disney said it was cancelling the resort at Florida’s Magic Kingdom.
“The Walt Disney Resort at Orlando will remain open to guests and families until June 30, 2019, which will be the date of the scheduled opening of the Disney Springs Resort at Disney’s Hollywood Studios,” the company said.
A spokesman for Disney declined to comment.
Meanwhile, a new report claims that US resorts may be closing as soon as the end of next year.
It said in the report from the Wall Street Journal, that there could be “up to a dozen” resorts closing in the next year as the US resorts continue to struggle financially, the US resort chains’ finances are in bad shape and the companies are under pressure to cut costs and cut prices.
For example, in December, a survey conducted by consulting firm Mercer found that most US resort owners were in the red.
Mercer, which is based in New York, surveyed about 1,500 US resort operators.
According to the survey, the average resort owner expects to save $7,813 in the first six months of 2020, which would translate into a total loss of $6,976 per year.
“While it may be tempting to cut prices and close resorts, the reality is that these decisions are not the only cost of doing business,” Mercer’s survey said.
“As the resort industry becomes more and more reliant on a single resort, it is clear that it will be difficult for them to meet future operating and capital requirements.”
The US resort industry is also under pressure from the US government.
On Monday, President Donald Trump signed an executive order to reduce regulations on the US economy and boost investment.
But some resorts, such as Grand Floridan, have closed down because of a lack of funds and funding from the federal government.