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Why fans obsess over the idea of a third park at Disneyland

Last week, news organizations and Disney bloggers learned that the Mouse House had filed building permits with the city of Anaheim related to a parking structure at Disneyland Resort.

That immediately sparked rumors about a third park — a long-held dream of Walt Disney Co. fans who want to see more rides, themed areas and Mickey-related shopping destinations.

But that will remain a dream — at least for the foreseeable future.

Anaheim city officials confirmed as much in an internal email about one of the news articles, noting to City Council members and the mayor that the permits were, in fact, for minor parking lot improvements within the existing Toy Story parking structure off Harbor Boulevard.

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The email, which was reviewed by The Times, said the improvements were not related to an already-approved expansion of Disneyland Resort, or “what could ultimately be developed on the property in the future.”

A Disneyland spokesperson told me the permits are related to painting and striping at the Toy Story parking structure. So much for a third theme park.

It’s not the first time there’s been a hullabaloo about an additional park at Disneyland Resort.

In the early 1990s, there were serious talks about a Disneyland expansion called Westcot Center, a West Coast version of Walt Disney World’s Epcot in Florida. The plan at one point was to include three hotels, a public plaza and a number of retail, dining and entertainment options all around a central lake. At one point, both Anaheim and Long Beach were vying to be chosen as the site.

But that all collapsed in the mid-’90s amid financial concerns. Disney later built California Adventure, and briefly teased the idea of a third theme park complex with both a water park and amusement park that could complement the two-park resort. But that but never came to fruition.

The idea came up yet again about 10 years ago at an annual shareholders meeting in San Francisco, when former Chief Executive Bob Iger batted down speculation about a third park.

“We have plans at Disneyland for an expansion that we have not announced but those plans at the present do not include a third gate,” he said at the time.

More on that expansion later, but the truth is Disney simply doesn’t have enough land in Anaheim to build out a third theme park. I spoke with Len Testa, president of theme park travel site TouringPlans.com, who laid out the issues for me.

A third park would probably need a minimum of 80 to 120 acres of land to accommodate big new rides, as well as necessary behind-the-scenes facilities like employee break rooms and other back-of-the-house infrastructure.

“They’re landlocked,” he said. “And to acquire that land now in any way that would keep the campus centralized and avoid the logistics of a far-flung transportation network, that would be prohibitively expensive.”

That’s not to say that Disneyland Resort isn’t expanding on the land it does have.

Two years ago, Anaheim approved expansion plans for a project known as DisneylandForward, which will allow the company to build new attractions alongside shops, restaurants and hotels.

Development plans include a bigger Avengers campus with two new rides, as well as a “Coco” ride and “Avatar”-themed area in California Adventure, as well as a new parking structure.

Although it’s not a park, adding new lands and rides is “mission critical” for Disneyland Resort, Testa told me. After all, to drive attendance, you need to regularly open new attractions.

And these new rides can’t just be any old rides — they have to be “epic, mammoth blockbusters” that no one’s seen before, which takes time, space and money, he said.

Disneyland Paris is a good example. The European tourism resort saw a notable boost in attendance after it opened a World of “Frozen”-themed land in March.

“When you have that type of expansion and you can fill the park, you feel very, very good about that,” Disney Chief Financial Officer Hugh Johnston said last week at the MoffettNathanson media, internet and communications conference. “When we leverage our [intellectual property] and take that IP and build big new attractions, not little things … it’s these big new things that actually tend to just really bring in the consumers.”

That’s also key when you consider Disney’s growing competition from Universal Studios, which recently opened Epic Universe in Orlando and siphoned off some attendance from Walt Disney World.

And while the company’s TV and film business is vital, its theme parks still throw off most of the cash — new Disney CEO Josh D’Amaro recently called the parks the “physical centerpiece of the company.” And of course, they retain a deep link to Disney’s heritage.

As Walt himself noted, Disneyland is a “living” entity that would “never be finished.”

Stuff We Wrote

Film shoots

Number of the week

twenty-six point one million dollars

Lionsgate’s musical biopic “Michael” retook the top spot at the box office last weekend with a haul of $26.1 million in the U.S. and Canada.

The film, which chronicles the early career of singer Michael Jackson, has had remarkable staying power atop the charts since it debuted in late April. The film’s weekend revenue was down only 31% in North America compared with the previous weekend.

Overall, “Michael” has now made an estimated $703.9 million in worldwide box office revenue, with $421.1 million coming from international markets.

What I’m watching

Now that WNBA season is in full swing, I’ve been watching my L.A. Sparks and caught the game against the Toronto Tempo on Sunday. It was a rough game, but here’s hoping the Sparks can start turning things around, and quickly.

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Can the new tax credits bring animation back to California?

Last year, studios and Hollywood labor unions lobbied hard to ensure animated movies and shows could compete for California’s expanded film and television tax credit program.

The payoff came last week, when three animated movies were among the nearly 40 film projects that received a production incentive in the latest round of awards, the California Film Commission announced Thursday.

Walt Disney Co.-owned 20th Century Studios received $21.9 million for “The Simpsons Movie 2,” Disney Entertainment Television got $3.5 million for “Phineas and Ferb” and DreamWorks Animation was awarded $24.7 million in credit allocation for a yet-untitled animated film.

The three are the first animated feature films to receive tax credits from the state of California. (Last month, two animated shows — a spin-off of “Rick and Morty” and “Stewie,” which branches off from the “Family Guy” cartoon — also received tax credits.)

I spoke with DreamWorks Animation Chief Operating Officer Randy Lake about the award, which he called a “potential game changer” for the Glendale-based studio known for the “Shrek” and “Kung Fu Panda” franchises.

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“Unlike live-action, our projects are years long,” he said. “You’re talking about not just a job for six or nine months on set. It’s literally three or four years that these projects can take. It’s long-term employment.”

Like most of Hollywood, the animation industry has suffered from the effects of the 2023 dual writers’ and actors’ strikes, as well as the retrenchment in studio spending after the initial rush to invest in content for streaming services.

And like much of U.S. film and TV work — particularly in California — the animation business has been deeply affected by the increasingly rich tax credits offered by other countries.

Over the last 15 years, countries including Canada and Ireland have slowly built up animation hubs, aided by their local talent and lucrative production incentives specific to animation and visual effects.

For instance, visual effects and computer animation unit Sony Pictures Imageworks, which Lake ran for years, relocated its Culver City headquarters to Vancouver more than a decade ago.

DreamWorks, too, has outsourced work to partner studios, particularly in Vancouver and Montreal, as costs in the U.S. have increased and studios face pressure to rein in their production expenses while theatrical box-office revenue has become less reliable.

Just three years ago, DreamWorks cut about 70 jobs across its corporate functions, feature films, TV and technology departments. In 2024, Disney-owned computer animation studio Pixar laid off about 175 employees as it pulled back on its production of streaming series.

But with the recent tax credit allocation, DreamWorks will hire about 100 people in California for its upcoming untitled film. Those jobs would probably would have been outsourced to a third-party studio, Lake said. Keeping all of the jobs on that film in California helps improve collaboration among the teams and foster more creativity, he said. Today, DreamWorks has about 1,000 employees.

To understand why the new incentives are meaningful, consider that a DreamWorks Animation movie similar to the one that received the credit will typically have a crew of about 400 to 500 people.

That film is a big feature, though Lake declined to share details since the project hasn’t been announced.

Both the Animation Guild and studios have pointed to the incentive as a way to bring back animation jobs to the Golden State.

“Studios have been chasing animation tax credits in other states and countries for years, so it’s incredibly rewarding to see them use California’s for the very first time,” Marissa Bernstel, a trustee on the union’s executive board and member of the task force that helped lobby for the expanded production incentives, said in a statement last week. “The results feel very real, and I’m excited to see what future employment opportunities the incentive inspires.”

Lake said DreamWorks hopes to take advantage of the state incentives for all of its full-budget films.

“We’ll be applying for the next window,” he said, adding that he hoped they will be successful so “we’ll be able to have more and more of our films be fully produced in state. That’s the goal.”

Stuff We Wrote

Film shoots

Number of the week

two hundred and seventeen million dollars

Lionsgate’s “Michael” had a massive opening weekend with just over $217 million in global box-office revenue. In the U.S. and Canada, the Michael Jackson biopic hauled in about $97 million, far surpassing studio expectations.

The film, which stars Jackson’s nephew, Jaafar Jackson, as the late singer, chronicles the pop star’s rise from his early days in the Jackson 5 through the growth of his solo career. The movie ends in 1988 while Jackson is on tour for his hit album “Bad.”

The premiere for “Michael” marks the biggest domestic opening for any biopic, musical or otherwise. The 2015 movie “Straight Outta Compton” previously held the record for highest opening weekend total for a musical biopic, with $60 million in the U.S. and Canada, followed by the Queen biopic “Bohemian Rhapsody” in 2018, which had a $51.1-million domestic opening.

Critics’ reviews of “Michael,” however, were largely negative. Many noted the plot sidesteps the child sexual abuse allegations against Jackson and said the film presents a more one-dimensional view of the singer.

An earlier cut of the film did end in 1993 and addressed the allegations, but that ending had to be scrapped due to a clause in a legal settlement with an accuser that stipulated he could never be pictured or mentioned in a dramatization of Jackson’s life. Jackson and his estate have denied that the pop star abused children.

What I’m watching

I finally finished the Hulu series “Paradise” this last week, which kept me guessing about literally everything all the way until the end. I’m interested in seeing where this genre-morphing show goes next season.

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David Ellison faces plenty of Hollywood skeptics. Did he win over movie theater owners?

Amid the bustle and glitz of last week’s CinemaCon in Las Vegas, one question loomed over the annual trade convention — how will the proposed Paramount Skydance-Warner Bros. Discovery deal affect the movie theater business?

That anxiety showed up in a state of the industry speech from Cinema United trade group President Michael O’Leary, who reiterated his organization’s opposition to further industry consolidation.

It showed up in a trailer for Amazon MGM Studios’ upcoming film “Spaceballs: The New One,” when a voiceover poked fun at Hollywood studios “merging willy-nilly” as images of the Paramount sign and Warner Bros. water tower flashed across the screen.

And the subject again took center stage — literally — when Paramount Chief Executive David Ellison himself gave a speech during his studio’s presentation at Caesars Palace. He sought to reassure the assembled movie theater operators and exhibition executives that the combined company would indeed release a minimum of 30 films a year.

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“I wanted to look every single one of you in the eye and give you my word,” he said during an onstage speech, in which he also committed to a 45-day theatrical window and 90-day period before films go to streaming services. “People can speculate all they want, but I am standing here today telling you personally that you can count on our complete commitment. And we’ll show you we mean it.”

It’s true that Paramount has nearly doubled its theatrical releases since Ellison took over. As he noted in his speech, the storied studio is now planning 15 films this year, up from eight in 2025.

But as I’ve written previously, theater owners and other studio executives question how releasing 30 movies a year across the combined Paramount-Warner Bros. would work — not only in terms of giving each film the proper marketing campaign to succeed in theaters but also because of the massive cost cuts that will inevitably occur once the merger is final.

Still, Ellison’s commitment to 30 films a year got a round of enthusiastic applause — and at least one high-profile boost.

A day earlier, AMC Entertainment Holdings Inc. Chief Executive Adam Aron told me in an interview that he backed Ellison’s takeover of Warner, saying he and AMC believed in the tech scion’s talent as a filmmaker and a movie executive, as well as his pledge to release those 30 films a year.

“We’re enthusiastic that David will fulfill his promises,” Aron said. “And that in the end, this will prove to be a good thing for our company and our industry.”

Not everyone shares that enthusiasm.

More than 4,000 people have now signed an open letter opposing the Paramount-Warner deal, arguing that consolidating two studios will lessen consumer choice and job opportunities for creatives, particularly at a time when Hollywood is already struggling. (Notable signatories include “Dune” director Denis Villeneuve, actors Glenn Close and Emma Thompson, as well as director and producer JJ Abrams.)

O’Leary of Cinema United similarly wasn’t convinced.

“While recent pledges attempt to address the threats of consolidation to our industry, they are not yet sufficient in addressing our concerns,” he said in a statement released hours after Ellison’s speech. “We remain open to tangible commitments that will ensure a vibrant global theatrical exhibition industry for years to come.”

Elsewhere at CinemaCon, the mood was upbeat.

Warner Bros. film chiefs Mike De Luca and Pam Abdy struck a triumphant tone after an award-winning year for the studio, capped off by the best picture win for “One Battle After Another.”

They unveiled footage from new films like the upcoming “Digger” from director Alejandro G. Iñárritu and brought out lead actor Tom Cruise to a sustained standing ovation from the audience. And both De Luca and Abdy espoused optimism for the future of the theatrical business. The studio plans to release 14 films this year and as many as 18 for 2027.

“The film business has always required smart betting, and we have 4 billion reasons from last year to think we’re holding the right cards,” De Luca said during the presentation, referring to the studio’s worldwide box office revenue last year.

“We all know they’re not all going to work. That comes with taking swings,” Abdy said of the studios’ films. “There’s no version of this business that’s risk-free. But our job is to step up, make our bets and own it when it doesn’t work.”

But the end of the presentation felt more somber, with the executives asking the heads of Warner Bros.’ labels to come to the stage and be recognized. Shortly after, they asked Warner Bros. employees in the audience to stand for applause. It was hard to escape the feeling that this may be the end of an era.

Stuff We Wrote

Film shoots

Number of the week

1,000

Last week, Walt Disney Co. began a sweeping round of layoffs that’s expected to cull 1,000 jobs across multiple divisions.

As my colleague Meg James reported, the cuts hit Disney’s television and movie studios, sports giant ESPN, its product and technology unit, corporate functions and marketing. Even Marvel Studios’ visual development team was affected.

The layoffs are one of the first major moves under new Disney Chief Executive Josh D’Amaro, who took the reins of the company last month. In a message to employees, he said the company needed to “constantly assess how to foster a more agile and technologically-enabled workforce to meet tomorrow’s needs.”

What I’m watching

Some friends and I watched “Fukushima: A Nuclear Nightmare” this past weekend, a truly eye-opening documentary that explains what happened during the March 11, 2011, nuclear accident and whether the world has learned anything from it.

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