Friday, August 27, 2010

Construction of Disneyland

Disneyland - A New Kind of Amusement Park
Later in life, Walt Disney told inquirers that he first had the idea for a new kind of amusement park when he took his two young daughters out for fun on weekends and found that, “…existing kids' parks and fairs were often dirty, sleazy, money-grubbing places.” In spite of the fact he had never developed real estate or managed a large-scale construction project, Disney nourished his notions of a new kind of amusement park throughout the late 1940s and early 1950s. His idea for displaying Disney characters in a fantasy setting was a bold departure from present-day amusement parks and carnivals that offered rides, games, and inexpensive food. Instead Disneyland was conceived as an extension of the Disney brand, and would be the first “theme park” built in the United States, signaling a major shift in amusement park construction - and, equally as importantly, in commercial construction of theme parks and real estate development surrounding major attractions.
As his ideas for the development began to expand and take shape, Walt found little enthusiasm for the project within his own company. His brother Roy, the financial director of the studio, strongly opposed it, believing that this “fanciful, expensive amusement park would lead to financial ruin.” Most bankers and investors agreed, feeling that Disney's lack of real estate development and commercial construction experience was too large a hurdle to overcome. But Walt, confident of his own vision, sidestepped the studio and began to gather funds by borrowing on his life insurance and selling vacation property in southern California. He assembled a staff of designers, planners and artists and formed WED Enterprises - the letters were his initials - as a personal corporation to house them.
Operating out of a small building on the Disney Burbank lot, the WED group began a long process of creative brainstorming. Its members conceptualized, designed and reworked Walt's broad ideas. They visited other amusement attractions around the country to gather data and impressions and flesh out development plans, and with the help of commercial contractors created a rough construction timetable.
By 1953 major large hurdles - obtaining financing and securing a location - still blocked the launching of the park's construction. In July of that year, Walt recognized his need to obtain guidance from commercial real estate development experts and solicited a pair of marketing studies from the Stanford Research Institute: one would examine the economic prospects of developing Disneyland, and the other would seek the ideal location for construction companies to build the park.
After determining the facility could be profitable, the Stanford group closely examined a host of factors - demographic statistics, urban growth trends, population concentrations, traffic patterns, freeway construction, availability of experienced commercial contractors, weather conditions - before recommending a site in Anaheim, a rapidly growing town just southeast of Los Angeles. The study eventually led to the purchase of a 160-acre orange grove alongside the new Santa Ana freeway; its proximity to a major freeway meant the park was a short 27-minute drive from downtown Los Angeles.
Disney had struggled to find additional financing; as he later recalled, he was told by bankers that “the outdoor amusement business was a cultural anachronism that had already declined into senility.” A few months later, the financial breakthrough came with a long-term agreement with ABC which brought the television network in as a major investor. (ABC agreed to carry Disney television programming, marking Mickey Mouse's first network appearance and the start of a tremendously profitable partnership for both companies. ABC also agreed to help publicize Disneyland in return for an ownership stake in the property.)

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