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Thread: New Hotel on Construction Hiatus Indefinitely

  1. #1

    New Hotel on Construction Hiatus Indefinitely

    https://www.ocregister.com/2018/08/1...-indefinitely/

    Looks like the city and Disney could not agree upon terms in which the hotel would be built.

    So themat begs the question, can they reopen Earls, RFC, ESPN, and theaters!!!

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    I think those are already either in the process of being torn down and most likely contracted to re-open elsewhere. I don't see Disney letting go of this idea since it was not due to open until 2021 so I don't see them bringing businesses(any businesses) back in to an area that is still eventually going to be demolished and reworked. This is a hiccup but granting a short term lease or anything to a business that would need to come it to a gutted building would probably be cost prohibitive for that business.


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    Fun is wherever you find it... olegc's Avatar
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    it would be a lot of hassle to bring back all of those employees, supplies, deliveries, etc. - all without knowing when they'd close again. its a lot of start up cost again for a minimal gain if any.

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    At home in the hills candles71's Avatar
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    Quote Originally Posted by LdyApxr View Post
    I think those are already either in the process of being torn down and most likely contracted to re-open elsewhere. .
    Actually, the demo permits have not been issued. It was one of the things making us wonder what was going on.

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    It was a good day! Malcon10t's Avatar
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    Quote Originally Posted by indiejones33 View Post
    So themat begs the question, can they reopen Earl’s, RFC, ESPN, and theaters!!!
    The interiors are pretty much gone. We watched in mid-July as they were removing the interior of the AMC theater.

    Monday, Aug 20th, there is a council meeting to discuss the hotels. The "Indefinitely" may end in a couple weeks. Personally, I hope they don't build the hotel where they are showing, but I think it is going to happen.
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    It was a good day! Malcon10t's Avatar
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    Quote Originally Posted by candles71 View Post
    Actually, the demo permits have not been issued. It was one of the things making us wonder what was going on.
    I had thought demo permits had been issues in May? Guess I have to go hunting again. I hate their system.
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    The Hotel was removed from the August 20th meeting. The demo permits were filed in May, but the City has done no work on them at all.

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    Quote Originally Posted by candles71 View Post
    Actually, the demo permits have not been issued. It was one of the things making us wonder what was going on.
    Gotcha. They're empty though right? I think EoS last business day was sometime in July(Damn I am going to MISS those sandwiches because I have not found on other than the DTD one in my area of NorCal!)

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    Quote Originally Posted by indiejones33 View Post
    Looks like the city and Disney could not agree upon terms in which the hotel would be built.
    They actually had agreed to terms, and Disney violated them by building the hotel in a different place than the agreement stated. To qualify for the tax break (70% of the transient occupancy tax on the new luxury hotel would be given to Disney for 20 years, IIRC), the hotel had to be built where the original agreement said. Disney could still build the hotel in the new location, but they wouldn't get the tax break. From the articles I read, it seems like they have been wrangling over this for 8 months and the city finally put its foot down.
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    At home in the hills candles71's Avatar
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    Quote Originally Posted by LdyApxr View Post
    Gotcha. They're empty though right? I think EoS last business day was sometime in July(Damn I am going to MISS those sandwiches because I have not found on other than the DTD one in my area of NorCal!)
    I don't think we have another EoS in the state, I think it was the only one.

  12. #11

    There is an EoS in the Harrahs Casino near Valley Center 😉


  13. #12

    According to their website, EoS also has locations in downtown L.A., San Jose, and in one of the terminals at LAX.

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    It was a good day! Malcon10t's Avatar
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    Quote Originally Posted by Janis and Aaron View Post
    They actually had agreed to terms, and Disney violated them by building the hotel in a different place than the agreement stated. To qualify for the tax break (70% of the transient occupancy tax on the new luxury hotel would be given to Disney for 20 years, IIRC), the hotel had to be built where the original agreement said. Disney could still build the hotel in the new location, but they wouldn't get the tax break. From the articles I read, it seems like they have been wrangling over this for 8 months and the city finally put its foot down.
    From what I understand, in Oct of 2017, Disney went to Anaheim and changed the hotel location. City of Anaheim approved the change. Nothing was said at this time about the subsidy not being allowed. It came up in late May. As of now, all 3 planned 4 Diamonds are on hold, Disney's and Wincome's.
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    I guess I don't understand why the tax subsidy hinges on *where*, what specific part of the resort the hotel is built on, as long as it's on Disney property. Why does it matter if it's oriented one way or the other, if it's 50 feet one direction or the other.

    Karin


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    At home in the hills candles71's Avatar
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    Quote Originally Posted by Karin View Post
    I guess I don't understand why the tax subsidy hinges on *where*, what specific part of the resort the hotel is built on, as long as it's on Disney property. Why does it matter if it's oriented one way or the other, if it's 50 feet one direction or the other.
    I *think the City is using it as an excuse as the current people in charge are not keen on the tax breaks the last Council were allowing. That's of course speculation and knowing government bureaucracy.

    Harrah's near Valley center means nothing to me. Unless that is Tahoe or Reno, those I could do. A day drive to Tahoe is always lovely and Reno, I've got family I can visit.
    San Jose? I may need to make trade. Niece can bring me EoS and I'll make her lasagna.

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    Quote Originally Posted by Karin View Post
    I guess I don't understand why the tax subsidy hinges on *where*, what specific part of the resort the hotel is built on, as long as it's on Disney property. Why does it matter if it's oriented one way or the other, if it's 50 feet one direction or the other.
    not specific to Disney - but when you seek to build new construction on existing sites you need to do an economic impact assessment. When it was at the old location that was just a parking lot. Easy to come up with. When they changed the location - it impacted several retail establishments which means jobs, commerce for customers. etc. So its different and by most city laws the agreements are not the same any longer. Whether Disney did or did not provide an update to the city , and whether it included all the necessary information for the change, has not been publicly corroborated (City has no t commented that Disney did present them the change from what I have seen; Disney says they did). The city is essentially using city code to force and issue which some feel is beyond reasonable.
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    It was a good day! Malcon10t's Avatar
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    Quote Originally Posted by olegc View Post
    not specific to Disney - but when you seek to build new construction on existing sites you need to do an economic impact assessment. When it was at the old location that was just a parking lot. Easy to come up with. When they changed the location - it impacted several retail establishments which means jobs, commerce for customers. etc. So its different and by most city laws the agreements are not the same any longer. Whether Disney did or did not provide an update to the city , and whether it included all the necessary information for the change, has not been publicly corroborated (City has no t commented that Disney did present them the change from what I have seen; Disney says they did). The city is essentially using city code to force and issue which some feel is beyond reasonable.
    It was my understanding Disney did get approved for the change in Oct 2017. The council didn't say "No subsidy." That came about June 2018.....
    Planning 3 trips at once...

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    Quote Originally Posted by candles71 View Post
    I *think the City is using it as an excuse as the current people in charge are not keen on the tax breaks the last Council were allowing. That's of course speculation and knowing government bureaucracy.
    I think this is probably what is up more then anything. They obviously would have had to go through proper channels with the city to change which part of their property they wanted the hotel on and be approved for it. Since it seems its not just them that are being held up but another, I take it is the CC members that are anti-Disney Resort area that are the issues. So I can see Disney holding out until Nov elections to see how that plays out before making a final decision. What bugs me in all this though is the jobs lost from the places that had to close....as well as the future construction jobs that were to come from it and future resort jobs being put on hold like this.
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    Disney officially cancelled the Hotel idea a few days ago.


  21. #20

    Even when they said they're not building a fourth hotel, I think the reality is still:
    Disney is not building a fourth hotel until they build a fourth hotel.


  22. #21

    I was never high on the idea of a new onsite hotel but I think they will probably be open to discussion with whoever wins the mayor and new city council seats


  23. #22

    Seems like nobody at all is or would be fond of a hotel there. Maybe it is glad they did not build it.

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  24. #23

    New Hotel on Construction Hiatus Indefinitely

    My biggest problem with the hotel was that it was going to be even more expensive than the ones already there.


  25. #24
    Fun is wherever you find it... olegc's Avatar
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    Quote Originally Posted by TTFN92 View Post
    My biggest problem with the hotel was that it was going to be even more expensive than the ones already there.
    well, that's a given. Nothing goes backwards and Disney does not have space (on property) to devote it to a Value resort a la WDW. And the incentives that the City Council had in place for for construction of more 4 star hotels. I guess that means more taxes and prestige for Anaheim. That's a double whammy because affordable hotels are being bulldozed and rebuilt to be 4 stars as well.

    I know there has been talk in blogs about Disney getting land in Garden Grove along Harbor and building a new hotel. I doubt that will be in any value category. As with everything in the parks - if I can up-sell I'm going to do it.
    "[Disneyland] has that thing - the imagination, and the feeling of happy excitement - I knew when I was a kid." - Walt Disney

  26. #25
    Quote Originally Posted by olegc View Post
    I know there has been talk in blogs about Disney getting land in Garden Grove along Harbor and building a new hotel. I doubt that will be in any value category. As with everything in the parks - if I can up-sell I'm going to do it.
    Depending on how much Disney has to pay to get property in Garden Grove/tax incentives from that city, I could see Disney considering if not a true value, at least a moderate. I think people would complain about a Deluxe that wasn't within walking Distance but for a price break, I think vacationers might be convinced to stay at an off-site Disney hotel.

    If they do that (and since there's no solid indication that they will this is all speculation) I could see Disney demolishing the Paradise Pier Hotel and rebuilding a Deluxe/DVC hotel in that footprint, potentially expanding into the adjacent parking area.

    It does seem that the Anaheim Resort District (or whatever it's actually called) is a bit like the Vegas Strip at the moment. There isn't room to expand so any new/better offerings will have to come from the demolition and rebuilding of existing properties. And I agree that all the new hotels are going to be more expensive than the ones they replace.

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