RANCHO MIRAGE, Calif. — Until earlier this week, no one on the Rancho Mirage City Council had known that a mega Walt Disney Co. development was coming to town.

A couple of years ago, the city council approved a 618-acre master-planned development with a town center, hotel, housing, condos and commercial buildings around an artificial lagoon on the former Annenberg Estate, between Gerald Ford and Frank Sinatra Drive.

But there was no hint that Disney would be associated with it, Rancho Mirage Mayor Tom Weill said to Spectrum News.  

"We knew what was going in this section of land," Weill said. "However, the company DMB is from Scottsdale, Arizona."

So, when the city council learned about Disney lending their name and expertise to this project – at the same time that everyone else did – the council was "euphoric," the mayor said.

Concept art of the housing and other developments surrounding the artificial lagoon in the new Storyliving by Disney master-planned community in Rancho Mirage (Courtesy Disney)

Concept art of the housing and other developments surrounding an artificial lagoon in the new Storyliving by Disney master-planned community in Rancho Mirage (Courtesy Disney)

On Wednesday, Disney announced developing new master-planned communities called Storyliving by Disney. The new Disney-themed communities would be "infused with the company's special brand of magic" and feature unique amenities, high-quality service and other comforts.

Disney officials said the first Storyliving by Disney community would be built in Rancho Mirage, in Coachella Valley, a place known more for its annual music festival and where retirees live and golf.

It's also where Walt Disney once owned a home and vacationed.

Disney Imagineers will work hand-and-hand with DMB, the developers, and other homebuilders to help design some of the amenities in their first community called Cotino.

Private equity firm Clarity Real Estate and Vancouver-based family office EDC own the land. It is unclear how the partnership came together.

DMB, Clarity and Disney did not return a Spectrum News email seeking comment as of press time.

Disney is exploring other locations in the U.S. for future Storyliving developments.

"For nearly 100 years, Disney has shared stories that have touched the hearts and minds of people all around the world," said Josh D'Amaro, chairman of Disney Parks, Experiences and Products, in a news release. "As we prepare to enter our second century, we are developing new and exciting ways to bring the magic of Disney to people wherever they are, expanding storytelling to storyliving. We can't wait to welcome residents to these beautiful and unique Disney communities where they can live their lives to the fullest."

This project is not Disney's first time creating master-planned communities. The company has developed Celebrations and Golden Oaks communities in Orlando, Florida.

Cotino will be their first in California.  

Rendering of a 24-acre lagoon plot in the new Storyliving by Disney community in Rancho Mirage (Courtesy Disney)

According to city records, the developer received approvals to build up to 175,000 square feet of commercial buildings, 1,900 residential units, a 400-room hotel, a town center, bike paths, golf cart trails, and a beach club surrounding a 24-acre lagoon. 

Disney mentioned they plan to build one neighborhood for 55-year-olds and over, along with estates, single-family homes and condominiums. Disney will also operate the community's association and offer a membership package, including curated experiences and access to a waterfront clubhouse, a club-only beach area, and recreational water activities, as well as Disney programming, entertainment, and activities throughout the year.​

The lagoon and other retail and restaurants around the lagoon will be open to the public.

Disney officials said the Cotino community would have a managed beach park with recreational water activities that the public can access by purchasing a day pass. 

Weill, the mayor, said he's excited about the new development. 

The city has received a deluge of calls about the project and being among the first to buy a home there.

"It's going to bring a lot of people in and create a lot of employment," he said.

Weill said the grading of the land and digging up the lagoon would begin very soon, and that process could take eight to ten months. 

Disney nor DMB did not provide a timeline.

Weill said Rancho Mirage is historically a retirement community of about 18,000 residents. More than half of the population is 65 years and older.

Weill said that some residents always have concerns when any new development comes in.

He already has received complaints about the impact of this type of project from an increase in traffic, the possibility of crime, litter and other quality of life issues. 

He also said residents had raised concerns about building a lagoon in a time of drought and water shortage.

"Those are natural concerns," he said. "The water shortage is a very justifiable question. The Coachella Valley Water District has given us enough assurance that there is sufficient water to provide for the lagoon, and we have an excellent sustainability plan regarding the use of the water."

He said while the Disney development will be in his city, the rest of the Coachella Valley and Greater Palm Springs area will benefit from increased tourism. 

"We all benefit from the activities of all the cities in our area," said Weill. "This is going to attract a lot of people. It's going to be a wonderful master-planned community."