U.S. Steel had leased the land under the hotels and would own the hotels themselves, while Disney would operate them. Roy O. Disney, who was now overseeing the whole project following his brother Walt's death, informed Donn Tatum (then president and vice chairman of the board of Walt Disney Productions) and Mike Bagnall (from the company treasurer's office, later Chief Financial Officer) that he wanted to buy out U.S. Steel. Tatum, who had conducted the earlier negotiation with U.S. Steel, was not happy about going back to the bargaining table.
Dick Nunis, who was heading up the operational aspect of the park, complained to Roy that the money would be better spent on more capacity for the park. Roy responded, I'm doing you a favor. We're not going to be very good partners with them. And so Disney gained control of their hotels, much in a similar fashion to the way that they bought out the leassees at
Disneyland over a decade earlier.