Walt Disney awarded $267m tax rebate deal over 20 years from Anaheim City CouncilAll Articles
The Walt Disney Company, an American diversified multinational mass media and entertainment conglomerate, plans to invest $411m to build a new luxury hotel next to its Disneyland theme park in Anaheim, California. The company will create 1150 new jobs. The property will cost guests approximately $450 per night.
The City Council voted to approve the $267m tax rebate deal, which will return 70% of the lodging tax generated by the hotel to Disney as an incentive for the company to go forward with the project.
Disney is the world's second largest media conglomerate in terms of revenue, after Comcast. The company is best known for the products of its film studio, Walt Disney Studios, which is one of the largest and best-known studios in American cinema. Disney's other three main divisions are Walt Disney Parks and Resorts, Disney Media Networks, and Disney Consumer Products and Interactive Media. Disney also owns and operates the ABC broadcast television network; cable television networks such as Disney Channel, ESPN, A+E Networks, and Freeform; publishing, merchandising, music, and theatre divisions; and owns and licenses 14 theme parks around the world.
The site, currently a parking lot, generates $40,000 a year in property taxes. Under the life of the hotel deal, Anaheim would collect $11.8 million in property taxes and $7.2 million in sales taxes from the project, according to the summary of the plan. Disney operates three hotels in Anaheim currently, including the Grand Californian Hotel and Spa where rates start at $379 a night, according to its website. The hotel, the first in the region for Disney in 20 years, is part of the company’s plans to invest more than $2 billion in Anaheim over the next decade, including a “Star Wars”-themed attraction area at Disneyland.
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