In a letter to the resort’s owners and investors, Disneyland Resort’s Chief Executive Officer Steve Jurvetson said the company will close the park by mid-November.
Jurvettson’s announcement came after an industry observer warned the park would be a disaster.
“This is a sad day for the Walt Disney World Resort,” said Mike Purdy, president of the National Association of Hoteliers.
“We have been calling on Disney to keep this park open, but we never had any reason to believe they would.”
Purdy said he was shocked to learn that Disney would shut down Disneyland Resort, which has a park-within-a-park, to make room for a new attraction.
The resort opened in 1990 and has been the site of attractions such as the Haunted Mansion, Epcot and Magic Kingdom.
Jurisson told investors the park will close to accommodate a new Disneyland Resort that opens in 2018.
Juravetson also announced a plan to open an “interactive” ride experience in 2018 that will feature characters from Disney Parks and Resorts.
The new park will have an indoor Disney World-themed ride called “Wreck-It Ralph,” a mini-golf course and rides based on Disney properties.
Jurvesson also said that the resort will offer free Wi-Fi, and a new video game called “Mickey’s Very Merry Christmas.”
Jurvetzons decision came after the group of investors, including Disney and Frontier Airlines, held a conference call in December with Disney executives.
Jurveytsons letter, dated Dec. 1, states the resort has a debt of about $1.8 billion, and the company’s debt is expected to reach $3.5 billion by the end of 2019.
Jurvitson said he will also be providing investors with a letter from Disney President and CEO Bob Iger.
Jurvettson cited a letter he wrote to the president of Frontier Airlines in 2015, which said the airline was working with the resort to extend its service.
Frontier, which also operates Walt Disney’s Animal Kingdom Resort and Hollywood Studios, is expected in the future to offer the same service to the new Disneyland Resort.
Jurventson told investors Disney’s recent investment in Frontier has allowed the company to reduce operating costs, which are up to $200 million per year.
He also said Frontier has been a major contributor to the company, which is one of the largest in the country, with more than 700 employees.
Jurvedtson has said that Frontier will pay $500 million for the park and that Disney will contribute another $100 million.
Juraviev also said the resort would continue to operate as an independent company.
“Disney has invested more than $500 billion in our company and I look forward to supporting our efforts,” Jurvettson said in the letter.
“The company’s vision and commitment to our guests and guests’ experiences are strong.
I’m excited about what the future holds.”
Frontier Airlines is expected by Disney to become a subsidiary of Frontier Corporation.
Jurvellson said the Frontier deal will allow the company access to the existing Disneyland Resort and that it is planning a major expansion of the park.
Jurvingson also has said Frontier Airlines would help Disney reduce costs.
Frontier Airlines operates six Disney theme parks and operates a fleet of about 20 planes.
Frontier said the deal with Disney will help it meet its new goal of providing 1 million rides a day to passengers at the parks.
The airline has been operating Frontier’s “Ticketmaster” service since 2015.
The company said it would be able to provide the service at no additional cost to Frontier.
Frontier also said in a statement that it has “significant relationships” with Walt Disney and Disney Parks.
Frontier is one the world’s largest carriers of commercial passenger aircraft.
Frontier owns more than 8 million flights a day and has flights from 20 U.S. airports.
Frontier spokesman Steve Guglielmi said in an e-mail to CBC News that the airline “has been working with Disney to ensure we can continue to provide guests with an efficient and seamless travel experience, including at the Disneyland Resort.”