Disney has officially announced that plans for the new Disney-branded luxury hotel at the west end of Downtown Disney in Anaheim are cancelled. The area where the hotel was supposed to be built will remain focused on shopping, dining and entertainment.
Disney spokeswoman Lisa Haines said the following in a statement:
We’ve taken the time to review the economics of our proposed four-diamond hotel for Anaheim and have made the final decision to cancel the project. While this is disappointing for many, the conditions and agreements that stimulated this investment in Anaheim no longer exist and we must therefore adjust our long-term investment strategy.
Disney prosed plans for the Four Diamond Hotel last October. The 700-room hotel was slated to open in 2021 and create about 1,100 permanent jobs and generate $400 million in hotel room taxes over 20 years, plus millions more in sales and property taxes.
Back in August, Disney executives pulled the project over a tax dispute with the City of Anaheim.
Many business in Downtown Disney District closed to make way for the new hotel including Rainforest Cafe, ESPN Zone sports bar and restaurant, the AMC Theatres and the popular Earl of Sandwich eatery. Earl of Sandwich reopened last week in its former location however, there is no word yet whether the other establishments will return as well.