800 Residents to Make Way for 3 Hotels Near Disneyland

Three major hotel chains will build hotels on a strip of Harbor Boulevard, 800 residents will be moved, and the city will pay $14 million to make it all happen, under a plan approved Monday night.

The City Council approved the development of a 160-room Hampton Inn & Suites, a 160-room Hilton Garden Inn and a 350-room Embassy Suites on Harbor just south of Orangewood Avenue and the planned Disneyland expansion.

The council plans to spend nearly $14 million to buy 10 acres needed for the project, demolish existing structures and pay relocation costs for as many as 800 residents.

The three hotels will replace 96 apartments in the Yucca/Sage neighborhood and three motels.

“This is going to help Garden Grove pay its own way,” Mayor Bruce Broadwater said. “It will increase revenues without any loss to the taxpayers.”

Veteran tax fighter Councilman Bob Dinsen was the sole council member to oppose the project.

“I object to the huge donations from the city,” Dinsen said, arguing that the city was underwriting capital costs for private hotel development.

In addition, the council approved an exclusive agreement to bring two additional resort hotels to the emerging Harbor strip at Chapman Avenue. The 90-day agreement gives developer OHI Ltd. time to study the economics of bringing 1,500 more rooms to the area.

Other than Dinsen, no resident in the relocation area spoke out against the project.

The city plans future hearings on the project.