Disney’s 4-Diamond Hotel May Exceed Occupancy Predictions

Word is that Disney’s new upscale hotel, the Grand Californian, will do better than originally projected when it opens in January.

The 750-room hotel, designed to meet AAA four-diamond standards, is located inside the new park. Four years ago, when Disney last made public projections, the company estimated it would fill 80% to 85% of its rooms at $182 a night in 1996 dollars--adjusting for inflation, a bit more than $200 a night next year.

Anaheim officials will use tax revenue from the hotel to repay holders of some municipal bonds, and they have been assured those figures are low.

One expert familiar with new Disney projections says the company is predicting occupancy of more than 87% with an average daily room rate of $220--about three times what the typical Anaheim hotel has charged in the past.

Guest spending on hotel services and souvenirs apparently hasn’t changed from the initial prediction of $125 per occupied room per day.

E. Scott Reckard covers tourism for The Times. He can be reached at (714) 966-7407 and at [email protected].