News

Attractions industry news

21 Jun 2017

Paramount splits from £3.2bn Kent theme park project

London Resort Company Holdings (LRCH) – the developer behind the Paramount theme park in Kent – has announced a surprise split from the film studio, which was to act as the masthead for the multi-billion-pound attraction.

The £3.2bn (US$4bn, €3.6bn) London Paramount project was being lined up as a major entertainment resort, with several rides and attractions based on Paramount IP such as Star Trek, The Godfather and Mission Impossible.

Those brands will no longer be used for the attraction, however, a LRCH spokesperson confirmed that the project would “still be going ahead” with its name changed to London Resort.

Attractions Management understands that LRCH is exploring new IPs to replace the Paramount brands – something that was previously a challenge with the overarching Paramount masthead.

It already has agreements with the BBC to use IP from Dr Who, Top Gear and Sherlock, as well as Aardman Animations, which most famously created Wallace and Gromit.

“We are in conversations with other IP holders,” a spokesperson told Attractions Management. “There will be major brands involved but not one overarching studio leading the way.

“It doesn’t really change anything. The branding is what will be shifting. The team, the consultants, the plans and the surveys are still working. It’s all on track from that side of things.”

An attractions industry analyst suggested that the project was “over ambitious”, and that projects of such scale are in general difficult to get off the ground in the European marketplace.

But they added there was still hope for the project, which free of the Paramount brand could reevaluate its ambition and scope going into the next consulting stage, which is expected to take place over the summer.

LRCH’s parent company, Kuwaiti European Holding Group (KEH), has invested £35m (US$44m, €39.6m) into the project so far. The opening date – currently scheduled for 2022 – has been pushed back three times, with delays in securing land necessary to deliver the development.

Infrastructure issues also mean that there are further complexities in terms of public transport, which has had to be addressed. LRCH estimates that the project will generate 27,000 jobs for the area.

Commenting on the split, new CEO Humphrey Percy expressed his thanks to Paramount and added that LRCH was working closely with the local authorities, landowners and local community prior to submitting its Development Consent Order later this year.

“We are creating a unique entertainment destination offering a scale and quality unprecedented in the UK where much loved characters and stories will be brought to life from iconic movies, television, books, electronic gaming and toys,” he added.