Disney has now reportedly decided to axe a one billion dollar development in Florida as its conflict with Governor Ron DeSantis continues.
Disney referred to Florida Gov. Ron DeSantis’ obstinate efforts to tighten regulation of the company’s theme park resort in Orlando as “anti-business” in March.
Josh D’Amaro, the chairman of Disney’s theme parks and consumer goods division, and Mr. Iger proved on Thursday that they weren’t playing games by canceling the development of an Orlando office complex that was estimated to cost $1 billion.
The $864 million project at Lake Nona Town Center has recently been estimated to cost more like $1.3 billion.
Disney intended to move up to 2,000 people from Southern California, including the majority of the Imagineering division, which collaborates with Disney’s film studios to create theme park attractions.
A Florida tax credit that would have allowed Disney to recover as much as $570 million over 20 years for developing and occupying the complex played a role in the company’s decision to stay put despite the harsh complaints of the majority of the impacted employees and several employee resignations.
A spokesman for DeSantis commented on the news, remarking that “Disney announced the possibility of a Lake Nona campus nearly two years ago. Nothing ever came of the project, and the state was unsure whether it would come to fruition. Given the company’s financial straits, falling market cap and declining stock price, it is unsurprising that they would restructure their business operations and cancel unsuccessful ventures.”