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A few theories:
1) Disney’s other two waterparks – Typhoon Lagoon and Blizzard Beach – were far larger, advanced, and just make River Country look dated in comparison. River Country was rather small and didn’t have nearly as many attractions as the other two, and became far less appealing to guests as a result. Really, I put most the blame on this – the other two just really, really, really, blew it out of the water. RC was a 70’s park and it showed.
2) It was in a weird location, and was originally intended to only be accessible by train. A parking lot was added that caused traffic and logistic headaches.
3) Water was obtained from a nearby lake and required a lot of effort and money to keep clean. Florida lake water isn’t exactly known for it’s cleanliness, a popular catchphrase in the Disney park fan community is ‘Stay Out Of The Damn Lakes’, coined by a popular podcaster, in reference to the dangerous bacteria and other nasty shit that populate Florida lakes including lakes on Disney property.
Like a lot of ‘abandoned’ places at WDW, while it isn’t used for it’s original purpose anymore the space is utilized for special events and conventions (or it least was for a few years after closure, no idea if it still is used now). Like a lot of people complain that the Odyssey restaurant being ‘abandoned’ is a sign of the declining focus on quality for the Disney company, and that it is a waste of space, and that having an empty building right in the middle of Epcot is stupid, which is really weird to me because I just had a fantastic meal there a few months ago.