Epic Universe opened last Thursday at Universal Studios in Orlando. It took over six years to build and cost over $7 billion. It is the first major theme park to open in the US since 2001. It adds five new immersive worlds and three hotels to help solidify Universal as a vacation destination.

And this is just the beginning of expansions on the horizon.

Universal Studios plans to open a year-round Hollywood Horror Nights themed experience in Las Vegas later this year. And parks in Frisco, Texas, and the U.K. within the next six years.

Last year, theme parks accounted for just under 20% of total revenue for parent company Comcast Corp. (CMCSA), or about 44% of EBITDA.

I had no idea that Universal Studios was owned by Comcast. I associate the company with its subsidiary Xfinity, ungodly long customer service hold times, and rising monthly bills, not Harry Potter, the Simpsons, and Super Mario.

It’s an interesting combination in the current economy. Xfinity is a consumer staple, and many of its users (me included) have no better option for home internet. Combine that with theme parks—a consumer discretionary purchase—and a $7 billion spend while consumer sentiment is dropping and the economy looks shaky.

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Will Consumers Trim Their Fun Budget?

Universal isn’t alone with its growth plans. The Walt Disney Company (DIS) has announced expansions at Disney World, Disneyland, and Disneyland Paris. It expects to spend over $60 billion on innovation and improvements over the next decade.

Last year, Six Flags and Cedar Fair completed an $8 billion merger to create the largest amusement park operator in the US—Six Flags Entertainment Corp. (FUN). The company recently announced the closure of Six Flags America in Maryland and plans for a wider strategic repositioning of the new company.

All signs point to investing in the future of theme parks big and small, despite current economic uncertainty.

There will always be budget-conscious consumers that write-off adventure parks. But that fact has collided with another trend we’ve seen since COVID—the shift from buying stuff to buying experiences. That preference is especially true for Millennials and Gen Zers. So, even as purse strings tighten, amusement parks should retain more dollars than companies selling discretionary goods.

I’m bullish on theme parks, live music, and other activities. But I’m not suggesting we collect a 3.8% yield from Comcast, 3.5% from Six Flags Entertainment, or a paltry 0.9% from Disney.

For entertainment dollars, I do have a favorite stock. It’s a real estate play with exposure to multiple categories of entertainment and currently yields 5.5%.

“Invest in the Experience”

That is the trademarked tag line of VICI Properties (VICI). It’s one of my favorite real estate investment trusts (REITs). REITs were created in 1960 as a means to give all investors access to income-producing real estate.

VICI’s portfolio is focused on experiential real estate. Examples include casinos, golf courses, Chelsea Pier, and Great Wolf Lodge. It doesn’t own these businesses, but instead owns the land and partners with business operators for future expansion and growth. And it’s always looking to expand its relationships.

So far this year, VICI has added a strategic partnership with Cain International and Eldridge Industries for the development of One Beverly Hills. The project will transform 17.5 acres into a dynamic, mixed-use city center. It also announced an agreement with Red Rocks Resorts to provide up to $510 million for the development of a casino on tribal land in central California.

In the first quarter of 2025, VICI had total revenues of $984.2 million, up 3.4% year over year. AFFO attributable to shareholders was $616 million, or $0.58 per share, up 5.6% and 4.3%, respectively. And the company raised its full-year guidance for AFFO.

Shares have been essentially flat for the past four years. Meanwhile, its distributions to shareholders continued to grow, resulting in a current yield of 5.5%. Remember, if your goal is solid current income, don’t be afraid of flat trading stocks, especially those with rising payments.

This is still one of my favorite stocks for 2025 and beyond. It’s definitely worth a look if you want to add real estate, consumer discretionary, or “experiences” exposure to your portfolio.

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For more income, now and in the future,

Kelly Green

• Comcast CMCSA
• Disney DIS
• experiential real estate
• Six Flags FUN
• VICI Properties VICI