According to KTLA, the fire started around 10 a.m. Monday scorching about 25 acres near Highways 91 and 241.
-The eastbound 91 freeway is closed at Weir Canyon Road.
Residents west of Freeway 241 and south of Freeway 91 were evacuated as the fire burned several homes.
Mandatory evacuations have been ordered for those in the Anaheim Hills area, as well as for the east end of Orange. Understudies that were cleared are now at Canyon High School - two primary schools have been emptied, as indicated by the Associated Press. By afternoon, the fast-moving fire had burned at least 4,000 acres, blanketing Orange County in smoke. Gusting winds and burning embers threaten hundreds of more homes as the fire has moved down the hills toward the Riverside Freeway and into more heavily populated areas. Officials said the fire was moving rapidly toward the 241 Freeway.
The fire is now affecting Disneyland and Disney's California Adventure. MORE: "Devastation, heartbreak" - homeowner watches house burn, explode before his eyesSome distance away, two more homes were seen completely destroyed in a neighborhood off of Serrano Avenue and Hidden Canyon Road.
Firefighters were battling blazes in eight counties on Monday - Napa, Sonoma, Lake, Mendocino, Yuba, Nevada, Calaveras and Butte - officials said.
The Laguna Beach fire is considered one of the most destructive in modern California history, causing an estimated $528 million in damage.
Anaheim police Sgt. Daron Wyatt told the Associated Press there's still no count of the number of homes affected by the so-called Canyon Fire 2, which has grown to 2,000 acres.