The Magic Kingdom has enough space for both meet and greets and attractions.
If it were up to me...
Skyway station becomes fairies/princess meet n greet.
Cinderella can have one in her castle.
Belle has one being built in the FLE.
Ariel has one being built in the FLE.
DEMO the Tomorrowland Speedway. Build a NEW Toontown with a couple dark rides, a house for Mickey, Scrooge's Money Bin, and a HUGE meet and greet area with room for the Fab 5 PLUS newbies like Pete and Oswald(who are supposedly coming to the parks in a few years...) and Chip and Dale and whoever else Disney feels like throwing in there! There's enough room on that plot of land to do so much more than just have some big stinky old ride take up space.
Then, in doing all of this, they can build a Tangled or whatever dark ride in the old Snow Whites Scary Adventures building. This would be a big time win-win for all. More rides, and more meet and greets.