Nightlife for the wealthy gets new, happening address in Beijing's Houhai

When Pei Wu decided to convert the three courtyards he owned near the Houhai Lake in Beijing into a hotel and restaurant complex in 2000, he had no idea how it needed to be done.

But a chance meeting with a British delegation and subsequently renting the courtyards to a British consortium that had London Development Agency and London Olympic Games organizers as its members, helped Pei come up what is now the Shichahai Club.

For 18 days from Aug 7 to 24 in 2008, the complex, known as London House at that time, was used by the British delegation to showcase the London Games, London and the United Kingdom to Chinese and international visitors as part of the Beijing Olympic Games.

Pei realized then that though Beijing had evolved as a major international city by then, it still lacked a high-class business entertainment complex with distinct Chinese characteristics.

The 53-year-old Pei started off as a military officer, but left the military in 1989 and decided to test his luck by developing properties in Beijing for the next 20 years.

In 2000, he left the property business and spent 45 million yuan ($7.1 million, 5.3 million euros), nearly 15,000 times the average annual income of a Beijing resident then, for the three courtyards, known as siheyuan in Chinese, in Houhai.

"We want to take advantage of China's rich cultural legacy and establish an entertainment kingdom in Houhai for high-end clients," says Pei, general manager of Shichahai Club.

Much of the efforts would be to woo customers with the relaxing and soothing lifestyle of old Beijing aristocrats. "Modern urbanites, especially the elite, have a strong penchant to stay away from the hustle and bustle. They are more keen to enjoy the quiet and slow-paced life."

Pei's idea is in tune with the government plan for Shichahai, and that has helped kick start the activities. "Shichahai Club has a special attraction for the elite. We are trying to create a quiet and beautiful place for the capital's nightlife, which will automatically give a facelift to the surrounding area and businesses," says Lin Xiaomu, director of Shichahai Scenic Area Administrative Office.

The club opened its doors in 2007 and is more like a Chinese aristocratic entertainment complex that the Tatler magazine has never covered. The club has a restaurant resembling a princely mansion and two theme hotels. The restaurant, located at the end of the lively bar street beside the Houhai Lake, is a replica of the princely mansions during the Qing Dynasty (1644-1911).

However, business was not exactly rosy during the first year of operations.

Pei declines to give the exact revenue numbers, but says the club had an 80 percent year-on-year growth in 2008 and a 30 percent year-on-year growth since 2009.

Padauk Hotel, one of the two theme hotels in the complex, is the epitome of high-end luxury. All the furniture and decoration in the 10 rooms are carving artwork pieces made from the extremely valuable Padauk timber, which automatically puts it on a higher plane than the standard five-star hotels.

Many Westerners have often expressed amazement at the Padauk timber used in Napoleon's coffin. Such caskets were highly treasured by royal families in ancient China because the warm brown color of the wood was considered to represent luck and nobility.

Pei says the entire furniture and architecture of the hotel are based on the style of aristocratic families during the Qing Dynasty, and more than 50 percent of the clientele are foreigners, with the rest wealthy Chinese.

The most expensive bed in the hotel was acquired by Pei for 5 million yuan, and the daily rate for using the same is around 6,000 yuan per night.

In spite of the hotel being full of treasures, Pei keeps collecting padauk art pieces by traveling across the nation and recently he has acquired another top quality piece of timber. Pei says he is going to invite the best craftsman to work on the 30-kilogram piece of wood.

"It will be carved into the famous Chinese painting Along the River During the Qingming Festival containing more than 1,000 characters. It will be the centerpiece and main treasure of the hotel," he says.

Apart from padauk artworks, many furnishings in the club also indicate that the owner is a big collector. Antiques of jade, stone and bronze are scattered in every corner of the club's rooms and courtyards.

Currently, Pei is still enlarging his entertainment kingdom by building a fine wine cellar and two teahouses. He is also planning to build another theme hotel in the next few years.

"The club can never be duplicated in other Chinese cities or other places in the world, as it is deeply rooted in the aristocratic culture of the Houhai area, and in this ancient capital."

Despite its lavish interiors and exquisite food, no signboards can be found outside the membership-based club, both at the restaurant and the two theme hotels.

"By doing this, we make the place highly private. What's more important, we are actually selecting our customers. They have to be informed of this place in some decent way, either introduced by friends or be invited. Every seat is booked in advance," says Pei.

The club also provides valet services for foreign customers, who can use their services for transportation, accommodation and travel needs.

The Shadow Puppet Hotel in the complex, with its distinctive shadow art performances and furnishings, has become one of the favorite boutique hotels for foreigners in Beijing. Pei says more than 90 percent of his customers in this hotel are foreigners.

"It attracts foreigners because not many of them know what shadow performances are until they come here. Once they see the performance, they feel happy to have discovered a graceful folk art from China," Pei says.

Wang Tianwen, a famous shadow puppet master, has established his studio in the hotel. Customers can enjoy a professional shadow performance every Tuesday, Thursday and Saturday night.

Linda Uyeda, an American zoologist who stays at the hotel, says the show is an unforgettable experience. "The shadow performance is fun! The boutique hotel has more unique personality of China. I don't want to stay at a big chain hotel with many tourists. The price is also reasonable for me."

"I love the way that traditional Chinese culture and modern facilities are mixed here. To see and enjoy art in a hotel itself makes the trip interesting," says Judith KoKavecz, a German scientist who had been staying in the hotel for four days.