Why For did Universal Orlando sell off all of that property it bought from Lockheed Martin?

Jim Hill

12 years ago

Paul G writes in to ask:

Why on earth are so many Disney fan websites so negative? There are a
good number of them that I don’t even look at anymore because they
spend so much time complaining about every last little thing. They are
so negative! (thank you Jim for being one of the few who, while not
being slavishly supportive, are at least still in touch with the
realities of life and still passionate about your love of Disney).

Dear Paul G.

Look, to be fair here, I first have to admit that — over the past 13 years that I’ve been writing almost exclusively for the Web — I’ve written a number of stories about The Walt Disney Company that could be considered negative. So we’re kind of “Let he who is without sin cast the first stone” country here.

But as to why so many Disney fan sites seem to be going negative these days … I think that there are a number of factors coming into play here. Chief among them being the way the Web works these days.

I mean, think about it, Paul G. What’s driving the majority of conversations online these days? Social media platforms like Facebook & Twitter which make use of instantaneous communication. And sometimes when Disneyana fans are rushing to be the very first person to post a report on what a new ride, show or attraction is like, they’re taking part in the soft opening of said ride, show or attraction. Which is typically when things are kind of rough around the edges, when all of the effects don’t work, etc.

Case in point: The Monsters, Inc. Laugh Floor attraction at WDW‘s Magic Kingdom. As Ron Schneider recounts in his excellent memoir, “From Dreamer to Dreamfinder: A Life and Lessons Learned in 40 Years Behind a Name Tag” (Bamboo Forest Publishing, July 2012), though this Tomorrowland attraction wouldn’t officially be ready to open to the public ’til April 2, 2007, it did some playtesting back during the Fall of 2006. And at that time …

… a few preview audiences are brought in each day to see a primitive version of the finished product. The screen resolution is only a fraction of what it will be in April, the animation is choppy and the scripts are almost verbatim those created by the Imagineering writers.

But the crowds laugh — and those laughs are captured in the massive yellow ‘Laugh Can’ ; proof that, even in this primitive state, we’re on to something good. The crowds are asked to fill out response forms at the end of each performance and, after a few breathless days, we’re closed again.

Thankfully, Disney Operations comes to a preview performance and sees for themselves that we are definitely not ready to open, and we are now assured of spending the remaining three months of prep time undisturbed.

But the damage is done. The Disney Online Fans, tasting blood, have started posting reviews of our preliminary efforts. Their opinions are hopelessly uninformed and almost universally bad, since they cannot imagine that anyone but themselves cares about the quality of our show. We are trashed for the poor animation and the writing and especially for putting a Pixar show in Tomorrowland. In spite of repeated announcements at each performance that the preview is definitely not what the finished show will look like, they’re certain that it will be no better. As if buying an annual pass endows one with knowledge of the future …

And as a direct result of those prematurely negative reviews that got posted online while this innovative interactive attraction was still in technical rehearsals, the Disneyana fan community wound up gravely wounding “Monsters, Inc. Laugh Floor.” To the point where once WDI had plans to turn this Tomorrowland attraction into a franchise (i.e. building additional versions of “Laugh Floor” for Disney California Adventure, Tokyo Disneyland, Disneyland Paris and Hong Kong Disneyland), the WDW version of “Laugh Floor” wound up being a one-off. All because senior management at The Walt Disney Company saw the initial negative reaction that MILF got and then figured “Why throw good money after bad?”

Now what’s particularly frustrating about the whole “Monsters, Inc. Laugh Floor” experience is that — with the possible exception of John Frost — I’m pretty sure that none of these alleged online theme park experts who were so quick to condemn this Tomorrowland attraction then ever bothered to circle back on this show to report on how the final, finished version of this interactive attraction turned out. All that ultimately mattered to these bloggers was that they had been among the first to post online that “MILF” — while it was still in technical rehearsal — had gags that didn’t work and/or glitches in its animation. NOT that the Imagineers eventually dealt with all of these issues and — as a direct result — wound up with a far stronger attraction which has been entertaining WDW Guests for nearly six years now.

But that’s the way the Web is these days, Paul G. In this rush-to-judgement / I-really-need-to-be-the-first-to-post-something-about-this era that we now live in, there’s no time for reflection. Only reaction. As one prominent Disney webmaster told me back in October at an “Epic Mickey 2
” media event that — when it comes to breaking news — ” … I don’t have to be right. I just have to be first.”

Of course, not all of us have the advantage that a Ron Schneider does. From his position of having worked in themed entertainment for over four decades now, Ron brings an awful lot of experience & insight to the table whenever he starts talking about why certain rides, shows and attractions work and why others don’t. Which is why — if you or someone you love is thinking about entering the themed entertainment game — then I urge you to pick up a copy of “From Dreamer to Dreamfinder“. Because there are life lessons to found inside of this 300-page Bamboo Forest Publishing book that you just won’t find anywhere else.

Next up, Craig H. writes in with a Universal Orlando-related question:

Hi Jim

First of all, I’m a huge fan of the podcasts you do with Len Testa.

As for my Why For, why for did Universal sell off most of its land before the days of Comcast? From what I understand, there was a rumor that Universal was interested in 4 gates in Florida but the plan ultimately fell through and they sold the land. I hope you can answer this!

Merry Christmas and Happy New Year!

Dear Craig H,

Yeah, what Universal Orlando had in the works for those 2000-acres that it acquired from Lockheed Martin back in September 1998 really was pretty impressive. We’re talking (at full build-out, mind you) two brand-new theme parks, seven or eight hotels, yet another Universal CityWalk-like nighttime entertainment district. And because this $3 billion project was to have been built right across the way from the Orange County Convention Center, Universal’s thinking was that … Well, given the sheer convenience of this state-of-the-art entertainment complex, the hundreds of thousands of people who annually attend events at the OCCC would have had no choice but to walk across the street and then sample what Universal was offering.

The green space out behind the South Concourse of the Orange County Convention
Center is some of the Lockheed Martin property that Universal Orlando planned on
turning into a new entertainment complex.

The only problem with the proposed site of this Universal Orlando expansion project is that — between 1958 and 1996 — this was where Lockheed Martin used to test its Copperhead, Hellfire and Pershing missiles. Which meant that this site was littered with decades of missile debris & toxic waste. And all of that hazardous material would first have to be cleaned up & hauled away before Universal could then get started on building its new multi-billion entertainment venue at what had once been known as Lockheed Martin’s Sand Lake Road Complex.

Now what was kind of interesting about this clean-up effort was that Universal & Lockheed Martin partnered on the project. With Universal initially underwriting the costs of this rather pricey onsite work by selling off select pieces of the Sand Lake Road Complex. Take — for example — the 230-acre chunk that Universal sold off to Orange County in October 1998 for $65 million. Which then allowed the county to go forward with its planned $748 million expansion of the Orange County Convention Center.

And while the Environmental Protection Agency eventually recognized
Universal & Lockheed Martin for the innovative way that they had worked with
State, Federal and local agencies to streamline the hazardous waste clean-up
process, in the end, the costs of these on-site clean-up efforts really began to mount.

Take — for example — the $4 million that these two companies had to spend to clear toxic metals & industrial solvents out of the landfill at Site 5. Given that six such sites had been identified on the Sand Land Road Complex property .. Well, that then put the initial clean-up cost estimates for this project at $24 million. And then when you factored in the amount of time necessary to complete a hazardous waste clean-up project of this size, it would have taken at least until 2004 before Universal could even begin construction of this massive entertainment complex.

Make no mistake. Universal Creative really, really believed in this expansion project. To the point — according to the plans that the Company filed with Orange County — Universal eventually wanted to build two 18-hole golf courses, 10,000 hotel rooms, 700 time-share units and more than 2 million square feet of retail space on top of Lockheed Martin’s old missile testing range.

Lockheed Martin’s Missiles and Fire Control Center in Orlando, FL.

But then Vivendi, the French media giant who owned Universal Studios at this time, began having serious financial difficulties in 2004. And in an effort to make their corporation look that much more attractive to any would-be merger partners, Vivendi officials began spinning off / selling off any problematic divisions & projects. And even though Universal & Lockheed Martin were already four years & $40 million into their clean-up efforts at this point, the word came down to get the remaining 1,800-acres ready for sale. Which is why this primo piece of property was eventually sold off to Thomas Enterprises, Inc., a Georgia-based developer.

For the folks who worked at Universal Creative (i.e. the people who design all of the rides, shows and attractions for the Universal theme parks), losing the Lockheed Martin property was a real heartbreaker. By that I mean: Universal Creative saw this 1,800-acre site directly across from Orange County Convention Center as a way for the Universal Orlando Resort to finally become seriously competitive with Walt Disney World.

Of course, what’s kind of ironic about this whole situation is that when Universal’s next owner — General Electric — opted to sell off both NBC and Universal Studios theme park division to American cable giant Comcast in December 2009, Universal Creative found itself dealing with a group of executives who were genuinely excited about expanding Universal Orlando’s entertainment offerings. Which is why — over the past three years — we’ve seen an explosion of growth & innovation at that Resort. Everything from the all-new Hi-Def 3D version of The Amazing Adventures of Spider-Man, Universal’s Superstar Parade, the Despicable Me Minion Mayhem ride, the Universal’s Cinematic Spectacular — 100 Years of Movie Memories nighttime show, the Hollywood Drive-In miniature golf course and Transformers – The Ride 3D. Not to mention the 1,800-room Cabana Beach Resort that Universal Orlando will be opening in 2014 as well as USF’s yet-to-officially-be-announced Krustyland expansion & Diagon Alley project.

So one has to wonder: If Universal Creative — working with Comcast officials (who — unlike the execs who ran Vivendi & GE — genuinely seem to like / are enthusiastic about being in the theme park business) were able to do this with the 840-acres that the Universal Orlando Resort currently occupies … Well, if Comcast officials had been equally enthusiastic / just as financially supportive of the Lockheed Martin project, what would Universal Creative have been able to do with the 1,800-acre Sand Lake Road Complex? After they cleared away all of that missile debris & hazardous waste, I mean.

Anyway … That’s it for this week’s Why For column. Remember if you want one of your Disney or theme park-related question answered in a 2013 edition of this JHM column, please send your query e-mails along to whyfor@jimhillmedia.com.