Dollywood Shuts 2 Parks as Regional Amusement Industry Faces $5 Billion Crisis

Herschend Closes Two Georgia Properties Amid Industry Consolidation

Herschend Family Entertainment Corporation, the company who owns Dolly Parton’s Dollywood, permanently shut down two of their amusement parks. Malibu Norcross and Mountasia, both located in Georgia, have been permanently shut down after decades in business. Malibu Norcross was an arcade and go-kart amusement center in Gwinnet County. Mountasia was a Marietta go-kart, mini-golf and family fun park.

The closures mark a strategic shift following Herschend’s major acquisition. Herschend acquired Palace Entertainment’s, the former parent company of Mountasia, Malibu Norcross and 22 other parks, earlier this year. While Dollywood itself continues operations as a flagship property, the shuttering of these smaller entertainment centers reflects broader challenges facing regional operators across the country.

Six Flags Collapses Under Crushing Debt Load

Six Flags Entertainment stock dropped 70% in 2025 after its 2024 merger exposed integration issues and weak attendance. Six Flags cut full-year EBITDA guidance from $1.08B-$1.12B to $780M-$805M and carries $5B in debt. The staggering financial collapse of the merged Six Flags and Cedar Fair entity has sent shockwaves through the regional amusement park sector. The combined company inherited substantial debt, approximately $5 billion at the end of Q3 2025, which severely constrained financial flexibility and forced cost-cutting measures that ultimately damaged operations.

The theme park industry endured a tough 2025, with operators facing ongoing economic pressures that reduced discretionary consumer spending, extreme weather events that closed parks on numerous high-traffic days, and growing competition for leisure dollars. Regional amusement parks, reliant on local and drive-in visitation, suffered disproportionately compared to large, diversified destination operators. Two parks have already closed permanently. The company announced it would permanently close the Six Flags America theme park and its accompanying water park, Hurricane Harbor Maryland, in Woodmore, Maryland. Hurricane Harbor Maryland closed on September 6, 2025, and Six Flags America closed on November 2, 2025.