That's the idea, yes.
Phantom ran for a decade, mostly on busses full of American tourists. Other shows (Crazy For You, Forever Plaid, etc.) had lengthy runs on a similar model. The model was in slow decline in the late 1990s (Phantom had closed, can you imagine?), but then September 11th happened and it suddenly got much more difficult for people to cross borders.
And then SARS hit in 2003, which basically cut off all tourism to Toronto for about a year. Lion King closed as a direct result, and since then, not a single production anywhere in the city has lasted longer than two years.
On the plus side, the Mirvish has had a string of major successes at the Panasonic, which they've developed as an industrial-looking, youth-oriented venue. Almost everything which pulls through the Panasonic seems to get held over. (And did I mention the youthful crowds who pack the place? Makes me just a little hopeful!)