For the last 10 years, Fadi Khoury, owner of the once-resplendent St. Georges Hotel on the Corniche, has been fighting what he calls a relentless hostile effort by Solidere to swallow up his property. At the same time, he has been nurturing a dream of returning the hotel to its former glory. That dream, which Khoury claims had become close to realization, was shattered on February 14 by the massive seafront explosion that ripped the façade of his hotel, destroyed his offices, killed five members of his staff, buried him in rubble and – ironically – killed his nemesis, Solidere icon and former prime minister, Rafik Hariri. EXECUTIVE spoke to Khoury about the effect of the explosion on him personally, on his business, and on Lebanon as a whole.
What effect has the explosion had on you?
I can’t think. It’s too dramatic. It’s unbelievable. We hadn’t conceived that such savagery was still possible. We thought we had moved on. This is a catastrophe for us. It’s just like a tsunami. Five of our colleagues are dead, many are injured and the effects of the injuries will remain with them. This is what has affected us most. Then, there is the damage to the hotel and the things we were constructing here. We have effectively been set back 10 years … 25 years. This is worse than things 25 years ago.
Where were you when the explosion happened?
I was on the staircase coming out of the St. Georges beach club. There was a covered entrance – which was smashed in the blast – and I was in that entrance. I received a phone call and stopped to concentrate on the conversation. The girl I was seeing out said she was going up [the staircase to the exit]. She went across the road and was blown into the air. Somehow she didn’t die. She’s bruised and still in shock, but she wasn’t among those who were very badly hurt. The people who were in our office were very badly hurt.
What were your immediate thoughts?
It felt like the apocalypse. I can’t describe it. I thought we were being bombed from the air. The first blast actually trapped me in the sense that I had nowhere to run, but was not smashed down. The second blast smashed me to the ground; [I was] hardly able to breathe, but still alive. I tried to see if I could lift whatever was on top of me, but I couldn’t, so I slid up the other way, towards the wall. I got out between a thick tree and the wall. Then, they pulled out one of the guys [from the rubble]. Another guy had already been pulled out before I had got out. Then, I walked out and saw total drama out there. There was smoke. We couldn’t get to the offices and then I was told that most people were dead. I was told who was dead and I couldn’t imagine that anyone else was alive, but it turned out that three were alive – two very badly hurt and one somehow didn’t get hurt. He’s an old eighty-five year-old man, short. I think it went right over him.
What exactly did you see both in front of and inside the St. Georges?
There were burned cars, crowds of people shouting. The shocking thing was the people being brought out by the Red Cross – one woman’s eye was practically outside her face. The St. Georges itself was ravaged. Everything was on the ground. It’s amazing what an explosion like that does.
What did the explosion interrupt in terms of the development of the St. Georges?
We hadn’t been able to reconstruct the St. Georges hotel properly. We were rebuilding it, but in a funny sort of way because we didn’t have the right permits. We were just trying to get through. In the winter, we had planned on having a very nice beach for the summer. We were developing the beach activity – in conjunction with the hotel – more and more so that at least we would have something going, like a restaurant winter and summer. We were thinking of bringing the bar back on a refurbished ground floor. We were very close to deciding that things would go positively, that there would be a change because of the coming elections and so on. We imagined unveiling the hotel as a surprise. It was a question of days before we were going to bring down the veils and light it up, to say: ‘Look, it’s coming.’ Obviously, it would have taken another year to get things finished because we still needed to work on the inside, on the decoration, and so on. Now, I have been set back in a very, very dramatic way.
How much damage has been done?
We have lost everything we spent over the last 10 years. We have damage in the area of $15 million.
What does this mean for you?
After 10 years of being bullied, this is like being slammed on the head with a big piece of wood. I must admit that I am astonishingly reactive to catastrophes in the sense that they don’t get me down, but this has got me worried. I’m beginning to think that maybe I should sit back and think, because if they [government officials] want to see the St. Georges Hotel rebuilt, they had better start showing some very, very positive signs and start helping us out. They could start by changing their attitude. We haven’t seen a positive attitude at all. On the contrary, there has been no positive sign.
When I called the governor of the city of Beirut, he offered his condolences, etc…. I said: ‘Stop the nonsense and give me the permits.’ Then he started blabbering all sorts of excuses instead of saying: ‘Yes, sure, now I will make an effort.’ I think we should have people in the government who are going to rebuild [Lebanon] and stop filling their pockets and making money out of the poor wreck that this country is. That is what has been going on. Roads are being built but they cost 10 times more than they should and that is not helping the country’s economy.
This huge blow comes on top of 10 years of dispute with Solidere, as well as with a government you say has been blocking the redevelopment of the St. Georges. Why has this been happening for 10 years?
I can’t tell really and it’s not really a subject I want to dwell on because it has to do with issues that, under the current dramatic circumstances, I’d rather not revive. But everyone knows the story of the St. Georges and Solidere. We are enemies because they have decided to attack us. We are friendly to everyone who approaches us in a friendly way, but they came in an unfriendly way, trying to take over and monopolize the St. Georges bay. It’s ridiculous. It goes against history and against Lebanon. The St. George is there. It’s positive. It can help everybody. Solidere, the city of Beirut and Lebanon can take advantage of a rebuilt St. Georges – there’s no need for it to belong to one particular group or one particular lot of business people. I feel that more and more businesses are run by mafias these days. We don’t belong to mafias.
Why has this impasse been maintained even after the events of 14/2?
They [the government] are not their own masters. Why would someone not pick you up if you are hurt? There must be something else that scares him, because they are afraid of something, I suppose. I don’t understand. I haven’t seen anyone from the so-called opposition defending the St. Georges publicly. They have defended it in private. Lots of people have often said to me how sorry they were about the situation, but I have never seen an official have the guts to stand up. Hopefully, they are going to show some guts and stand up for what they believe in.
Why do you think no one in the opposition has stood up for the St. Georges?
Most people are oppressed.
You say you are going to have to sit back and think. Given the dramatic circumstances surrounding your condition, the apparent continuation of your dispute and the huge financial blow you have suffered, is this conceivably the end of the road for the St. Georges?
It will never be the end of the road for the St. Georges. The St. Georges is part of Lebanon’s heritage. It will continue – with or without me. But I don’t think I will continue hitting my head against the wall if people keep the wall in my face. I will finally step back and rethink the whole thing from a different perspective and from outside this country.
How likely is it that you will actually step back and leave the country?
I am stepping back at the moment to look at the whole situation, but I have not decided to step back all the way and leave the country. I’m waiting to see some signs of a positive attitude from the government soon, so that I don’t adopt a totally negative attitude. I haven’t yet seen that attitude from the government. I note that neither the minister of tourism nor the president of the syndicate of hotel owners has bothered to come here. I find this particularly surprising and shocking – the least they can do is come by.
If you did step back as you put it, that would entail selling to Solidere, correct?
I have no idea. If I step back it will be to think and when I think I will let you know.
So there’s nothing you can say at this stage?
No. I don’t want to say anything that is aggressive. I am an aggressive person.
There is nothing concrete you can say now about the future of the St. Georges?
No. As I said very specifically, I intend to think and I need time and peace and that is not what I have been getting, because I have been busy with people and their health and their problems and my problems and putting things back into a running order. I haven’t had the time to step back and think. I will step back and think, probably up in the mountains, on the ski slopes, if there is any snow left.
What have you been working on since the explosion?
We will have the beach ready. Of course, people are not going to come now because of the situation, but it will be ready. I’m encouraging all the people concerned to carry on with the beach, to implement what we were doing before the explosion. We will have an air-conditioned restaurant here and most of the beach looking as pretty as possible, with plants. But apart from that, we’re not doing anything. As I said, I want to sit back and think. Also, we can’t move. It’s totally paralyzed. We want to have access to the other St. Georges building – which is something that can be done in controlled manner.
We are imprisoned here. We have no water, no electricity. No one asks if we are able to live or eat. We are totally nonexistent. It’s a no man’s land and they are keeping it this way. I understand that they need to do things in an organized way to complete the investigation. However, I am an intelligent man and I think in a mathematical way and I know for sure that there is a way for us to go to our other building and close the doors so that people don’t go inside and also to take out some of the things we need to put the beach back on its feet. They [the government officials] just say, ‘No.’ Nothing else. No explanation. Why should they explain? There are no people to respect or to take into consideration; they are used to people being bombed and killed and so on. They never said anything about our five dead staff until people found out about it and it became more public.
Why is this happening and have you been told how long will it go on for?
Not at all. Why should they tell us? This is a country of hooligans. Nobody tells you anything. The citizen does not count. The proof of that is how they bomb people. The current state of affairs is obviously because of some sort of security system but the people in the government have responsibilities. Their main responsibility is to help us feel comfortable. We don’t feel comfortable.
What has the damage to the country and the hotel and tourism sector been?
The damage to the country is devastating. It’s very nearly back to square one – back to the way it was during the war. The things you hear and observe do not indicate anything very hopeful for the next month. I’m not a tourist, but I wouldn’t walk around the streets of Beirut today. You never know. You’re better off staying at home for a while. So, imagine what the tourists think if they’re coming from England or other countries. I don’t think people are coming anymore. Not for a while. I have no idea about the exact state of the restaurant and hotel sectors but I imagine they must be pretty badly hit.
Solidere was your foe. Hariri, as the symbol of Solidere and prime minister of Lebanon, was your nemesis. The explosion has taken him out of the equation. How does that make you feel?
I’m very sorry about what happened to Mr. Hariri. I don’t believe Hariri was alone in being against the St. Georges. He must have had his reasons. I’d rather not go into that anymore. Solidere is an infernal machine. It’s a terrible machine and should be stopped, but lots of people don’t want it stopped because they must have some interests. People outside this country don’t want it stopped. I don’t think any one person is responsible for what’s going on.
What impact on the St. George’s relationship with Solidere will the death of Mr. Hariri have?
I don’t know. I haven’t analyzed that. I’m not even thinking about doing anything with the St. Georges anymore. I hope no one will continue supporting Solidere in illegal endeavours. Beirut is ours, not Solidere’s. It is the Lebanese people who have been ousted from their houses.
Have you had any dealings with Solidere since the explosion?
No, as I said I’m not dealing with anyone at this point. I hope that after this, everyone will think back and change their attitudes, and maybe we will all become friends.
