Disney abandons plans for its massive Lake Nona regional campus following the actions of Florida Governor Ron DeSantis

Disney has officially cancelled the Lake Nona project.

"In March, Disney called Gov. Ron DeSantis of Florida “anti-business” for his scorched-earth attempt to tighten oversight of the company’s theme park resort near Orlando. Last month, when Disney sued the governor and his allies for what it called “a targeted campaign of government retaliation,” the company made clear that $17 billion in planned investment in Walt Disney World was on the line.

“Does the state want us to invest more, employ more people, and pay more taxes, or not?” Robert A. Iger, Disney’s chief executive, said on an earnings-related conference call with analysts last week.

On Thursday, Mr. Iger and Josh D’Amaro, Disney’s theme park and consumer products chairman, showed that they were not bluffing, pulling the plug on a nearly $1 billion office complex that was scheduled for construction in Orlando. It would have brought more than 2,000 jobs to the region, with $120,000 as the average salary, according to an estimate from the Florida Department of Economic Opportunity.

The project, known as the Lake Nona Town Center, was supposed to involve the relocation of more than 1,000 employees from Southern California, including most of a department known as Imagineering, which works with Disney’s movie studios to develop theme park attractions. Most of the affected employees complained bitterly about having to move — some quit — but Disney largely held firm, partly because of a Florida tax credit that would have allowed the company to recoup as much as $570 million over 20 years for building and occupying the complex."

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"Mr. D’Amaro’s tone in an email to employees on Thursday was notably different. He cited “changing business conditions” as a reason for canceling the Lake Nona project. “I remain optimistic about the direction of our Walt Disney World business,” Mr. D’Amaro said in the memo. He noted that $17 billion was still earmarked for construction at Disney World over the next decade — growth that would create an estimated 13,000 jobs. “I hope we’re able to,” he said.

But the company’s battle with Mr. DeSantis and his allies in the Florida Legislature figured prominently into Disney’s decision to cancel the Lake Nona project, according to two people briefed on the matter, who spoke on the condition of anonymity to discuss private deliberations. A spokeswoman for Mr. Iger said he was not available for an interview.

About 200 Disney employees already relocated to Florida from California. Mr. D’Amaro said in his note that the company would discuss options with them, “including the possibility of moving you back.” The Lake Nona project had initially been scheduled to open next year. Last July, Disney pushed back the move-in date to 2026, citing construction delays."

Full article below.
https://www.nytimes.com/2023/05/18/business/disney-ron-desantis-florida.html

Lmaoooooooooooooooooooooooooooooooooooooooo.

This was expected.

Good. If Florida wants to play these games, expect the golden goose to stop giving you eggs.

Play stupid games, win stupid prizes.

Oh boy…

Announcement of special session for retribution er um leveling the playing field in 3,2....................

How many people quit or got let go or actually relocated to an office that will never open?

No paywall version:

https://www.nytimes.com/2023/05/18/business/disney-ron-desantis-florida.html?unlocked_article_code=b4I345YGDGbe39mruFrafZ0rQkuIdKSQM7m3rv7P3KGIGm3fEoK5DabIYpR3Nrx3P9RT3gE21va10CRZOH3sgmkmhuYnZkzjiZUXTPgjQ7_St2mRgaHXvZCzYRP18Ty4_CbSwIlup1pvGwWNc4B3Lwv-apmR4xK0pL1sBFTb4gKBgiyefbK-tl_rm6Y_XumtOoaj9aPmDwOpwzwLYID0g2GepImcFc-V6G8b-BB6xmBQFgtBXu2JGXJYkSU_11LKCR5qExMZVnzyS7cbr1iXopQRgJeCbtOEtXifivRLCESv8UMfY8gP6zZ8OSDkBpcwDRpq8Mo7UasHL4GYPYOU9Wp25zMMeA&smid=url-share

He noted that $17 billion was still earmarked for construction at Disney World over the next decade — growth that would create an estimated 13,000 jobs. “I hope we’re able to,” he said.

<hint, hint>

Lake Nona No More!

Boy, do I feel for the folks who had to move from CA to FL. Hopefully, they'll be able to get out the swamps.

The article said that 200 people had already made the move. I wasn't aware that many (which isn't a lot of people for a corporation like Disney) had already made the switch.

Thank goodness.

I feel bad for the employees who decided the move made sense for them, and I hope Disney will be generous in working with them to continue their employment, relocation or severance. I remember at one of the Disney panels, D23 or an anniversary event, one of the people involved with the development of WDW was tasked with determining fair relocation packages for people moving from CA to FL. So he researched what other companies did and presented his findings to Roy O. Roy O's response was, "It's not enough." You often hear about Roy being all business, but the story stuck with me because it demonstrated he shared the idea that taking care of your people would equal taking care of the company.

200 people relocating cross-country twice is probably $10 million. That's not nothing to just flush down the drain.

"You may think you're so powerful, but this is MY dream!"