Paranormal Activity 3 is a 2011 American supernatural horror film, directed by Henry Joost and Ariel Schulman. It is the third installment of the Paranormal Activity series and serves as a prequel, mostly set 18 years prior to the events of the first two films. In 2005, Katie delivers a box of old videotapes to her pregnant sister Kristi, and her husband Daniel, which holds footage of young Katie and Kristi with their mother, Julie, and her boyfriend Dennis. A year later, Kristi and Daniel's house is ransacked and the tapes are missing. In 1988, in their house in Santa Rosa, California, Kristi begins interacting with an "imaginary" friend named Toby.