Sometimes in the construction industry bigger is better. When it comes to skyscrapers it’s the height that sets one building apart from the other, that makes the tallest stand out from its peers and reach for heights undreamed of with a goal to set new world records.
The Goldin Finance 117 building was the brainchild of the Chinese billionaire and owner of Goldin Properties, Pat Sutong. The skyscraper was going to be the outstanding feature of his Goldin Metropolitan 1.8 square kilometer commercial and residential project just 8 kilometers from Tianjin.
Supreme luxury coupled with exquisite design aspects was going to be instilled in every facet of the project, aimed not just at the rich, but at the super-rich. There was going to be a wine museum, a polo club, entertainment venues, Italian and French-styled villas situated in well-manicured gardens, as well as retail outlets.
The building would be the fifth tallest in the world with 128 habitable floors, a unique feature among skyscrapers that have achieved record-setting heights with just vanity spires, and topped off with a dazzling jewel as the crown of the megastructure.
This unique atrium would house restaurants, an observation deck to appreciate the surrounding views, and a swimming pool to laze in after a hard day at the office.
Pat Sutong, and his publicly listed company, Goldin Properties, were the sole owners of the industrial land earmarked for the project and were also the sole investors to the tune of USD $10BN.
On August 18, 2008 ground was broken and for the next few years everything proceeded as planned. There were no major mishaps, no accidents, nor any unforeseen problems threatening to derail the project.
From the beginning, Pat Sutong knew that he was on his own, that the success of the project rested firmly on the shoulders of his company, and that he wouldn’t be able to recoup any of his investment until the very end, until every brick had been laid, until every window had been installed on the entire project, not just the Goldin Finance117 skyscraper itself.
This restriction was perhaps something unique to the Chinese construction industry where new developers were not permitted to pre-sell all or part of a project to raise capital. Only when the construction was completed and signed off fully by inspectors could the sales begin.
Goldin Properties, although having some finished projects under its belt, was still classed as a fairly new player in the Chinese construction industry and fell into this category. Any overruns, any cost miscalculations, any material price increases, Goldin Properties would have to find the additional funds itself.
But no risk, no reward. Under this scenario, none of the apartments would have to be sold at off-plan reduced prices, which meant more profit when everything was completed.
Provided nothing went wrong Goldin Properties was in line for a hefty return on its investment.
Something went wrong.
That something was the Global Financial Crisis in 2010 that halted all work on the ambitious scheme. Fortunately, unlike some businesses, the company was strong enough to weather the storm and work commenced in 2011, resolutely yet still vulnerable to costly setbacks.
Seven years after construction had begun in 2015, Goldin Finance 117 had reached its full height of 597 meters, was roaring successfully towards the clouds, when the Shanghai Stock Exchange imploded.
A third of the value of the Exchange was wiped out, which affected Goldin Properties’ share price in an extremely negative way, wiping out the reserve funds needed to complete the project. Even the chairman, Pat Sutong, wasn’t left unscathed, his personal fortune losing a staggering USD $13BN.
This was a blow to the project that the company couldn’t recover from and once again all work was halted in 2015.
In 2018 a half-hearted attempt was made to finish the megastructure, to reap the rewards that were still there to be grasped. But it was as if the time of the skyscrapers to break barriers and soar into the clouds had passed. Any interest, either from other construction companies or even from the mega-rich, had waned.
Regrettably, mainly due to just bad luck, bad timing, and a series of unfortunate events and financial crashes, Goldin Financial 117 achieved a world record that it hadn’t sought, that China didn’t want, that of the world’s tallest abandoned building.