Kempinski in line to operate North Korea's 'hotel of doom'
by Tom Walker | 02 Nov 2012
The Ryugyong Hotel is finally preparing to open
German hotel group Kempinski has emerged as the potential operator of the gigantic 105-storey Ryugyong Hotel in Pyongyang, North Korea.
Construction work on the property - which dominates the skyline in the heart of the secretive nation's capital city - initially began in 1987 but was halted due to an economic crisis following the fall of Soviet Union in 1992.
The imposing building was left to rot and as a result the colossal, derelict structure was dubbed the 'hotel of doom'.
In 2009, however, Egyptian engineering and construction company Orascom was appointed by the North Korean government to finish the work on the pyramid-shaped property.
Since then, the top floors of the structure have been refurbished, glass panels have been installed into its concrete shell and cladding has been fitted to the walls.
South Korean observers estimate the cost of finishing the hotel and making it safe to be about US$2bn (£1.24bn, 1.52bn euro), more than ten per cent of the entire annual GDP of North Korea.
Now, a quarter of a century after work first began, the property might finally open.
Speaking at a hospitality forum in Seoul, South Korea, Kempinski CEO Reto Wittwer said the company was hoping to have the hotel partially operational by August 2013.
"This pyramid monster hotel will monopolize all the business in the city," Wittwer said.
"I said to myself, we have to get this hotel if there is ever a chance, because this will become a money-printing machine if North Korea opens up."
No details were revealed of the hotel's exact facilities, but all guestrooms will be located on the hotel's top floors while the ground floor will house the lobby and a restaurant. It is believed that some of the other floors are also operational and will be used as office space.
German hotel group Kempinski has emerged as the potential operator of the gigantic 105-storey Ryugyong Hotel in Pyongyang, North Korea. Construction work on the property - which dominates the skyline in the heart of the secretive nation's capital city - initially began in 1987 but was halted due to an economic crisis following the fall of Soviet Union in 1992. The imposing building was left to rot and as a
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