The people behind Hook had the impossible task of physically building Neverland without the use of CGI. This was before visual effects had the ability to convincingly create entire worlds, so Neverland would have to rely on carpenters and craftsmen and painters to bring it to life.

During production, Spielberg has to decide whether or not Hook should be a full-fledged musical while Julia Roberts's personal heartbreak threatens to interfere with her role as Tinkerbell.