Dollywood’s Billionaire Owners Plot Future Without Dolly Parton

(Bloomberg) -- Since it opened in 1986, Dollywood has been both monument to Dolly Parton and a bustling venue where visitors can wander through a replica of the two-room log cabin where the singer-songwriter grew up and munch on loaves of her fragrant cinnamon bread between thrill rides.

Now the Tennessee theme park's legacy rests in the hands of a low-key billionaire family.

Following Parton's death last month at age 80, her long-time partner and Dollywood's co-owner, Herschend Entertainment, has assumed the role of overseeing and growing the venue, which was molded in the entertainer's image near her birthplace in the Smoky Mountains. Her impact will keep unfolding in the years ahead as the park is in the middle of a $500 million expansion with rides and amenities that were all Parton-approved.

"We want to honor her by continuing to make Dollywood what she intended it to be," said Chris Herschend, chair of Herschend Entertainment and a third-generation member of the family that owns the closely held business. He spoke in a video conference from his office in front of shelves stuffed with children's books, surplus from Parton's Imagination Library. "Nobody could replace Dolly. She was one of one."

In Herschend, Parton found a partner that shared her mix of business savvy and social responsibility, said Robert Niles, founder and editor of Theme Park Insider. Herschend offers a range of perks to its 22,000 employees, or "hosts," from profit sharing to free tuition, while donating 1% of its top-line revenue to charity.

"Dolly was a businesswoman, it's not like she was some altruistic saint, she hustled every day of her life," Niles said. "But she treated her customers with respect and delivered value."

The success of Dollywood has allowed Herschend to expand significantly. The suburban Atlanta-based company now owns and runs 10 other US theme parks as well as water parks, resorts, campgrounds, aquariums, a jeep-touring operation and the Harlem Globetrotters.

Moody's estimated the company generated around $1.2 billion in revenue last year. Based on that and other financial information, the Bloomberg Billionaires Index values the business at at least $1.7 billion. It's entirely owned by the Herschends, who declined to comment on the valuation.