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Crystal Lagoons® PAL™ Business Model Sparks Japanese Investor Interest

05/29/2020

Having established itself in the United States, Crystal Lagoons® has set Japan as its priority market in Asia, with lagoons expected in cities such as Tokyo, Yokohama, Osaka, Kyoto, Nagoya, Kobe, Okinawa, among others.

Crystal Lagoons is in advanced negotiations in Japan, a highly densified country renowned for its technology, to develop 30 Public Access Lagoons™, also known as PAL™, in cities such as Tokyo, Yokohama, Osaka, Kyoto, Nagoya, Kobe, Okinawa, among others.

The developments are to be established in the country, despite the high costs of land, confirming the urban, entertainment and added value these projects contribute, which have attracted important investors interested in this business model.

Despite being the country with the largest number of amusement parks after the United States, Japanese investors have recognized that these developments deliver greater profitability and are an allure for new businesses. The projects would be carried out through a master license, exclusive license agreements for specific geographical areas and a specific volume of projects.

PAL are characterized by monumental crystalline lagoons surrounded by white sand beaches, accessed via ticketed entry. The PAL business model can transform any location into a dynamic entertainment hub. With the allure of year-round beach life and activities, PAL are a catalyzer for a wide array of revenue streams. The low investment and maintenance cost make PAL a business of unprecedented profitability.

Japanese investors have identified these developments as a new long-term investment alternative, with return rates of over 50%, low investment and limited risk, because these projects, which are quickly built, generate profits and produce a financial pyramid, allowing a small initial investment to create a company with a very high present value,” says Felipe Baldwin, Global Business Director at Crystal Lagoons.

In just seven months, the company has signed four licensing contracts, one of them in Korea to develop 30 lagoons with a multinational consortium. These agreements have generated the highest sales ever recorded in Crystal Lagoons history, demonstrating the resounding success of these projects.

In addition to Korea, the contracts are to develop 16 PAL across the United States together with Epic, 30 lagoons in Mexico, and 18 projects in different Central American countries, projects with a present value of US $3.8 billion.

“Japan is a market with great potential for PAL due to its climate, its population, among other factors. These projects will enhance the urban way of life of millions of Japanese people by bringing a piece of the ocean close to their homes while eliminating having to travel by car or plane to go to the beach, positively impacting the environment. It’s a very robust urban proposal, for which Crystal Lagoons is choosing the best partners around the world”, explains Baldwin.

 

 

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