Universal Orlando Resort Expansion News (Part 2)

[Happytycho]

I definitely think that the "Resort Rd" refers to hotels.

They probably have room back there for 1-2 hotels with up to a combined 1000-1500 rooms.

The big question is whether they will have park integration (e.g. Nintendo hotel) or just be generic with access to a secondary park entrance.

 

[GadgetGuru]

I definitely think that the "Resort Rd" refers to hotels.

They probably have room back there for 1-2 hotels with up to a combined 1000-1500 rooms.

The big question is whether they will have park integration (e.g. Nintendo hotel) or just be generic with access to a secondary park entrance.

My gut says that Universal is doing the same kind of market research Disney is doing with the Star Wars Hotel.

If Star Wars Hotel is a hit, there’s no way Universal won’t try a IP-hotel. If it isn’t, Universal might hold back.

There’s also the question of capital. Who pays for building new hotels? Universal? Loewe’s? Combination? The more generic the hotel, the cheaper it is to build. Universal has a lot more money and can work with longer timespans than Loewe’s can.

 

[Brian G.]

 

[natespf]

There really isn't much space back there though. This is inside the perimeter road, which is about the space needed for a themepark anyway. So I think if they did something back there it would need to be special, possibly in the 500 room range. Small for a resort hotel but still large for an iconic themed structure.

 

[Nick]

My gut says that Universal is doing the same kind of market research Disney is doing with the Star Wars Hotel.

If Star Wars Hotel is a hit, there’s no way Universal won’t try a IP-hotel. If it isn’t, Universal might hold back.

There’s also the question of capital. Who pays for building new hotels? Universal? Loewe’s? Combination? The more generic the hotel, the cheaper it is to build. Universal has a lot more money and can work with longer timespans than Loewe’s can.

Universal build/pays for the hotels, Loews simply runs them.

 

[Scott W.]

Here's the overview with the labels from the video for context.

Could there be a tiny boutique themed hotel you can see from the park or is it just a service entrance?

Thank you! The stupid EU regulations means I can't access the Orlando Sentinel any more.

 

[Orlandofan12]

Universal build/pays for the hotels, Loews simply runs them.

Actually, they're 50/50 ownership partners. Page 12 in the PDF. http://phx.corporate-ir.net/Externa...yfFBhcmVudElEPTUyNjc4MDV8Q2hpbGRJRD02ODgwOTE=

However, the original 3 resorts (Portofino, HRH, RP) are 50-25-25 joint ventures between Loews, Universal, and Seminole, respectively.

 

[JungleSkip]

Actually, they're 50/50 ownership partners. Page 12 in the PDF. http://phx.corporate-ir.net/Externa...yfFBhcmVudElEPTUyNjc4MDV8Q2hpbGRJRD02ODgwOTE=

However, the original 3 resorts (Portofino, HRH, RP) are 50-25-25 joint ventures between Loews, Universal, and Seminole, respectively.

Pretty sure Hard Rock is the only one were the Seminole Tribe is involved due to them owning the Hard Rock brand

 

[zg44]

Pretty sure Hard Rock is the only one were the Seminole Tribe is involved due to them owning the Hard Rock brand

It's a single joint venture that built and owns the first 3 hotels at UOR. That joint venture is 50-25-25 ownership among the 3 partners; at the time Vivendi didn't want to have to deal with as much of the debt on the venture to build the hotels, so they took a 25% stake.

Universal build/pays for the hotels, Loews simply runs them.

The hotels are separate joint ventures. The joint ventures assume all of the debt/cost of building, not the corporate owners Universal/Loews.

The joint ventures borrow money from the parents equally (or from banks which are then ascribed to the owners equally). I believe Loews receives additional management payments while profits are equally split between the partners.

 

[JungleSkip]

It's a single joint venture that built and owns the first 3 hotels at UOR. That joint venture is 50-25-25 ownership among the 3 partners; at the time Vivendi didn't want to have to deal with as much of the debt on the venture to build the hotels, so they took a 25% stake.

Gotcha. It's been a while since I read the agreement. I thought the Seminole were only involved with HRH

 

[Mad Dog]

Interesting. The Loews Rewards Program (You First), which is now eliminated, worked on Portofino and Royal Pacific and Sapphire (not CBBR since it was not Lowes branded), but could not be used on Hard Rock due to the Seminole partial ownership. I'm not sure we're getting the correct info here.

 

[Bobharlem]

What happens to these bus lanes once you get to Sand lake road? Does it veer over toward the Endless Summer hotels or continue on up Kirkman? And where from there? how is this connecting to the existing resort?

 

[Teebin]

The timeline for completion of this is a bit out there... but perhaps a universal project might happen sooner with other entrances maybe perhaps.

 

[ragerunner]

My understanding is they are looking at a connection to the endless summer resorts and adding bus lanes along Universal Drive across I-4. I hope they use this as an opportunity to launch autonomous buses.

 

[JungleSkip]

The timeline for completion of this is a bit out there... but perhaps a universal project might happen sooner with other entrances maybe perhaps.

Yea, I'm interested to see how this project finishing in 2025, and UOR's third park opening in 2023 mesh.

 

[Magic-Man]

Yea, I'm interested to see how this project finishing in 2025, and UOR's third park opening in 2023 mesh.

I thought this was starting construction in 2020? No way that it takes five years to build a road.

 

[JoeCamel]

My understanding is they are looking at a connection to the endless summer resorts and adding bus lanes along Universal Drive across I-4. I hope they use this as an opportunity to launch autonomous buses.

Would you want to be the first to roll out that tech? If I were in charge of the brand I wouldn't want to be the first, I want something proven. Let some city take that risk and work out the bugs hurting what little rep they have.

 

[zg44]

Interesting. The Loews Rewards Program (You First), which is now eliminated, worked on Portofino and Royal Pacific and Sapphire (not CBBR since it was not Lowes branded), but could not be used on Hard Rock due to the Seminole partial ownership. I'm not sure we're getting the correct info here.

UCF Hotel Venture - the joint venture owns the 3 hotels. There's other UCF Hotel Venture's now with i-v after them that own the other hotels.

From Comcast-NBCU's merger prospectus guaranteeing debt notes:

"Universal Orlando Resort also includes three on-site themed hotels. These hotels are owned by UCF Hotel Venture, a joint venture indirectly owned approximately 50% by Loews Hotel Holding Corp. (“Loews Hotels”), 25% by Universal Studios Hotel LLC, a subsidiary of Universal City Studios Productions LLLP (“UCSP”), and 25% by Rank Hotels Orlando, Inc., a subsidiary of Seminole Hard Rock Entertainment, Inc. The hotels, Loews Portofino Bay Hotel, Hard Rock Hotel® and Loews Royal Pacific Resort, have a total of 2,400 rooms and approximately 130,000 square feet of meeting space. All three hotels are within walking distance of UCDP’s two theme parks and CityWalk. Hotel guests enjoy preferential benefits at the theme parks and at certain restaurants in the parks and at CityWalk. Although UCDP owns the land on which these hotels are located and is responsible for sales, marketing and promotional activities relating to the hotels, it does not own the hotels and derives only a small portion of its total operating revenues from them."


It appears that Universal and Loews created new UCF Hotel Venture i-v to control the hotels that they share 50-50.

 

[Happytycho]

What happens to these bus lanes once you get to Sand lake road? Does it veer over toward the Endless Summer hotels or continue on up Kirkman? And where from there? how is this connecting to the existing resort?

The bus lanes continue north in the Kirkman median until Carrier Drive. They are also going to rebuild carrier drive with bus lines in the middle for the short distance west to Universal Blvd. I believe they will then just use the general traffic lanes on Universal Blvd to get back to the existing resort.

 

[WAJAS]

The bus lanes continue north in the Kirkman median until Carrier Drive. They are also going to rebuild carrier drive with bus lines in the middle for the short distance west to Universal Blvd. I believe they will then just use the general traffic lanes on Universal Blvd to get back to the existing resort.

Almost right, carrier will only have one right turn lane specifically for buses turning into the the Kirkman bus lanes. Buses going to Carrier from Kirkman will enter directly into the general use lanes.

FYI, those lanes continue south to Universal and they will be publicly owned, so any bus will be able to use them.