An Internet café is seen in Bailu, Pengzhou city, Southwest China's Sichuan province, April 23, 2011. [Photo by Yan Weijue/chinadaily.com.cn]

"We have signed deals with three wedding photo studios," he said. "Only when we finish the economic transformations can we claim the entire reconstruction work of Bailu has come to an end."

However, Gao acknowledges there were setbacks during the process. In particular, there was opposition from some natives who refused to rent their houses to commercial tenants at low prices.

Regarding rent levels, the government has created four phases. In the first year, rent is free. In the next two years, the rent should be between 5 yuan ($0.77) and 6 yuan per square meter. From the fourth year to the sixth year, the number can be increased but can not be as much as double. Then starting from the seventh year, the rent can be set according to the landlord's wishes. In addition, water, power and gas bills will be paid by the government, who hopes to balance the interests of both sides through the scheme.

"They (the villagers) were complaining about the two-bit rent," said Gao. "Then we tried to persuade them into making a concession. Because if they only focus on short-term returns, there will definitely be no future for Bailu's tourism project."