Disney has entered into a 15-year development agreement with the state of Florida, promising to invest up to $17 billion in its resort over the next 10 to 20 years. The agreement was the result of a settlement following a legal dispute between Disney and Governor Ron DeSantis. The newly renamed Central Florida Tourism Oversight District will oversee all public services in the Walt Disney World resort area, with board supervisors chosen by the governor. This agreement is seen as a positive step forward for both parties involved.
The president of Walt Disney World Resort, Jeff Vahle, stated that the new development agreement will allow Disney to invest billions in the resort, supporting growth and fueling the Florida economy. The agreement sets expectations for services that Disney may need the CFTOD to provide as it looks to expand. Disney has committed to funding attainable housing projects and creating a local business hiring program. There are plans for potential theme park expansions, with vague descriptions of a comprehensive plan for five major and five minor theme parks.
The $17 billion investment is expected to include the construction of a new fifth gate, which would be the first new theme park in Florida in 26 years. Industry experts believe this is necessary for Disney to maintain its position as a leader in the theme park market, especially with Universal preparing to open its new theme park, Epic Universe, in 2025. The agreement between Disney and Florida creates a framework for future projects and developments within the resort.
The legal disputes between Disney and Florida began with the passage of the “Don’t Say Gay” bill in 2022, which prohibited discussions of sexual orientation and gender identity in certain educational settings. After Disney publicly opposed the law, tensions escalated, and the power dynamics between the company and the state shifted. Governor DeSantis dissolved the special Reedy Creek Improvement District and made changes to the board overseeing the resort area, asserting more control over municipal services around Disney’s theme parks.
Ultimately, both Disney and Florida realized the importance of working together for the benefit of the state’s tourism industry. Governor DeSantis’s presidential ambitions and pushback from various stakeholders led to a settlement in which Disney and Florida dropped their lawsuits against each other. The partnership between Disney and Florida is crucial for the success of the theme park industry in Orlando, with both parties needing to collaborate effectively to ensure the continued growth and development of the sector. The agreement reached sets the stage for significant investments and expansions at Walt Disney World Resort in the coming years.
