Time Warner's (NYSE: TWX) Warner Brothers and General Electric's (NYSE: GE) Universal Studios have pulled off the magic trick of the decade by gaining the rights to create a theme park based on J. K. Rowling's Harry Potter book series. "The Wizarding World of Harry Potter" will be created in Universal's "Islands of Adventure" theme park at the Universal Orlando Resort in Florida. Completion is expected in 2009.

The announcement is timed to take advantage of this summer's Pottermania. The seventh and final book of the series, Harry Potter and the Deathly Hallows, is scheduled for release July 21. The next Harry Potter film, the Warner Brothers feature Harry Potter and the Order of the Phoenix, opens July 11.

The park will offer rides and interactive attractions, as well as shopping and restaurants based on the novels. Expect Universal to put huge money into this development to make it a world-class experience.

WB and Universal are betting that, even though no new HP books will be forthcoming, the product will remain popular. With the continuation of the profitable film series keeping Harry in the public eye, I'll bet demand for the park will still be strong in 2009.