More than a year after a twin tower hotel project designed as the gateway to Xintiandi got snagged on a web of problems, construction is finally about to restart.
The 30-floor project was intended to be the gateway to central Shanghai that boasts some of China’s priciest real estate. But since construction mysteriously stopped in mid 2008 just as the global financial crisis started to unfold, the building seemed to question Shanghai’s ability to keep up the pace of development.
Vincent Lo, the Hong Kong billionaire who originally owned 15% of the towers, and has now agreed to take full control of the project through his private business group. Mr. Lo is buying out the 85% owned by Leo KoGuan, an Indonesian-American software mogul who conceived the idea.
It is stated quite firmly that money was never Leo KoGuan’s problem. But no one is able to accurately and precisely name the snag.