Connor and his creations are stuck in the Hospital waiting for Alex to come back from the Fairy-tale world.
Some Fairy-tale creatures are stuck in a cave after the literary army attacked.
Connor and his creations, with the help of his mother and step-father, find Alex who is under a spell. She causes vines to cover New York City and destroy everything in their path.
The evil rulers trapped the boy and girl scouts of America in times square and used them as slaves to create a candy army.
With the help of everyone involved, Connor was able to defeat the army and break the spell on Alex.
Years later, Conner is an old man. He is an esteemed writer and a grandfather. His granddaughter comes to tell him that his daughter and son-in-law want to send him to assisted living. Once the granddaughter leaves, Alex shows up and takes Connor back to the Fairy-tale world to live out the rest of his days.