The Kimbles move into an apartment block in Chicago. A young boy named Jake is disturbed by a strange presence in the building brought about by a hooded stranger who covers windows with newspaper. Jake's father Bill and stepmother Trish are influenced by the curse, Bill accusing his wife of having an affair and she bludgeons him with a frying pan. Jake and his sister, Lacey, return from school, but Jake finds his family are all dead. He runs into the hooded person, revealed to be Allison, who explains the curse followed her. Kayako appears in Allison's hood, finally taking her and then emerges to attack Jake.