Disney cancels plans for $900M office complex in Florida

The ongoing battle between Disney and Florida Gov. Ron DeSantis seems to have more episodes than “The Mandalorian.” 

In the latest installment, Disney last week announced that it’s pulling back from plans — known as the Lake Nona Town Center — to build a $900 million office complex in Orlando that would have brought thousands of jobs to the area, the New York Times reported. 

Most of the 2,000 jobs would have been high-paying, with an average salary of $120,000 per year, the outlet said, citing an estimate from the Florida Department of Economy Opportunity. 

The plan called for more than 1,000 employees to relocate from California to Florida, and would have earned the company a hefty 20-year, $570 million state tax credit. In an email to employees, Josh D’Amaro, Disney’s theme park and consumer products chairman, said relocation wouldn’t be necessary. Sources told the Times the decision was directly related to how DeSantis and the state legislature have treated the company over the past year.

“This was not an easy decision to make, but I believe it is the right one,” D’Amaro said, according to The Wall Street Journal. “We are committed to handling this change with care and compassion. I remain optimistic about the direction of our Walt Disney World business. We have plans to invest $17 billion and create 13,000 jobs over the next 10 years. I hope we’re able to do so.”

Disney executives finally canceled the planned complex as they continue to wrangle with DeSantis since the company took a stand last year against the so-called “Don’t Say Gay” law that restricts the discussion of gender identity and sexual orientation in schools.

That drew DeSantis’ ire, with the state legislature voting last summer to strip Disney of its special tax district, which gives the company the authority to effectively act as a local government that can issue bonds and approve building plans for its 25,000-acre theme park complex. 

But that measure immediately ran into problems, as it would then require Orange and Osceola counties to pay for services the district typically picks up, including road maintenance and police and fire protection, the Times reported. The district is also carrying a $1 billion debt load, which would have transferred to the counties as well.

The legislature repealed that law and voted to have DeSantis appoint members of the board that oversees the special tax district.

Before that law took effect, however, Disney quietly maneuvered to keep control of its Florida theme parks for at least another 30 years.

Disney also recently filed a lawsuit in federal court against DeSantis and the new board, claiming the company is being denied its First Amendment rights.

The board answered with a lawsuit seeking to cancel deals that were favorable to Disney, Reuters reported. 

Then, earlier this month, DeSantis signed into law a bill that permits the board to void agreements that its previous incarnation entered into, Reuters reported.

DeSantis’ actions led Disney, the state’s largest private employer, to call the governor “anti-business” in March, the Times said. 

— Ted Glanzer