As it is, the initial concept for the Fantasyland overhaul called for several separate meet-n-greets for the Disney princesses, like so (note the Tremaine chateau in particular):You could always extend it into fairytale gardens, which is right behind it.
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However, at some point, it was decided that there was not very much in terms of exciting things to do, and the princess meet-n-greets were concentrated into one area, which, yes, eliminated a dark ride, but as compensation did lead to a family-friendly roller coaster. If I removed the princess meet-n-greet just for a dark ride, where would the princesses go?
Also, to answer @spacemt354's post earlier, just because I may feel it's best, does not mean someone else feels is best. When I brought up a new idea for a Pinocchio ride by where the Speedway is now, @MickeyMouse10 in particular told me that anything Pinocchio-related absolutely has to take the Village Haus into account, or it wouldn't make sense. When people tell me that my idea doesn't make sense, even though I think it does, I tend to assume they're right, or they wouldn't have said anything.