Cleanup pours cold water on hoteliers' dreams

Deciding to quit

Before he moved to Dali and opened a hotel with his wife in 2013, Liao Caiyuan had drifted around Beijing for eight years.

"I love Dali, not only for its beautiful environment, but also the unpretentious lifestyle," the 46-year-old said.

Family issues forced Liao to sell his hotel in 2015 and return to his hometown in Jiangxi province. However, nostalgic for Dali, he returned in September 2016 determined to open a new hotel with a view of the lake. In November the same year, he signed a contract to rent a property for 18 years.

He named it Dali Love Inn, because he wanted it to remind guests of the early days of their romance. He also had a fresco painted on the exterior wall relating a local romantic tale.

"The happy ending of the fresco means that wonderful things always happen when we forget our troubles," he said.

The hotel had a soft opening during Spring Festival 2017, but even in the first weeks of operation, Liao heard rumors that the local government was planning to close a number of establishments temporarily.

On March 31, 2017, the prefectural government announced that a central preservation area had been established, and all hotels and catering establishments within the zone would have to suspend activities so their business and environmental certificates could be checked.

As a result, about 2,000 hotels around Erhai Lake were closed, including Dali Love Inn.

"I felt desperate when I leafed through the document. It was as unpredictable as winning the lottery," Liao said. "We harbored hopes of reopening quickly. Who could have predicted that we would have to close for more than a year?"

In the early days of the shutdown, he was so despondent that he killed time by watching movies in the hotel. Inspired by success stories in the films, he often dreamed of reviving his business, even though he knew that would not happen.

However, a backpacking holiday with his children during their school's summer vacation restored his good humor and prompted him to investigate other opportunities.

He visited Guizhou province to assess the growing tourism market, but a lack of funds forced him to return to Dali. Meanwhile, when livestreaming became fashionable, he undertook basic camera and technical training and opened his own account.

His livestream found few fans, so he quickly dropped the idea. Eventually, to make ends meet and repay debts, he tried his hand as a tour guide in Thailand and sold goods in Vietnam, before returning to China and working as a driver for Didi Chuxing, the country's version of Uber.

During July and August, the high season for tourists, he allowed the relatives of some friends to stay at his hotel secretly, charging them 30 yuan ($4.40) a day for utilities.

On Aug 22, Liao was detained by the police for 10 days for illegally receiving guests. It was during this period of detention that he first considered quitting the hotel business.

On Sept 19, Dali Love Inn reopened, having been granted the necessary certificates. Liao began preparing for an influx of guests during the upcoming "golden week", China's National Day holiday in early October. However guest numbers were far lower than he had anticipated.

As a result, he decided to transfer management of the hotel to a third party and search for other opportunities in Thailand or Dubai.

"I love Dali, but I came here for the lifestyle, not just to run a hotel. The hardships forced me to leave, but I guess I may find myself at ease with this failure when I look back on it," he said.