When Muppets superfan Walter (a puppet voiced by Peter Linz) is invited by his brother Gary (Jason Segel) on the trip of a lifetime to Los Angeles, he can't believe he'll finally have the chance to see the home of his favourite felt-lined heroes.
Along with Gary's girlfriend Mary (Amy Adams) - for whom the holiday was supposed to be a romantic getaway to celebrate their tenth anniversary - they head for Muppet Studios. To their dismay the glitzy, glorious theatre of the 70s has fallen into disrepair.
The stars of the Muppet Show haven't put on a performance in years, and their dilapidated home is up for sale.
First in line for the property is evil oil baron Tex Richman (Chris Cooper) who, beneath of façade of philanthropy, plans to destroy the Muppet Theatre. Learning of the plot, Walter makes an audacious attempt to reunite the Muppet gang for one last fundraiser. Can Kermit, Miss Piggy and the rest get the $10million required to save their home and thwart the spiteful business billionaire?