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The amusement park will cover an area of 1.16 square km, inside the 3.9 square km Shanghai Disney Resort.
Shanghai boasts of a burgeoning middle class and a huge population of more than 25 million.
The resort will initially be comprised of Shanghai Disneyland, a Magic-Kingdom-style park as well as two themed hotels, a large retail, dining and entertainment venue, recreational facilities, a lake and transportation hubs.
A large transport terminal will also be built alongside the Shanghai Disney Resort at a cost of 217 million yuan ($35 million).
Source: Agencies