Residents in Shangrila are clinging to the time-worn facade of their ancient home after the fire that destroyed 300 houses in 2014. [Photo/Xinhua]

Despite his enthusiasm for restoring the original beauty of the house, Cering is also worried about extra expenses.

Work to make the new house look aged will cost him an extra 20,000 yuan or more and is not covered by the government subsidies, he said.

"I will try my best to restore the house's former beauty, even if that will cost me more money and time," he said.

On another street, construction of another new house has been stopped since May, with only the frame of the building finished. The house will be a hostel in the future.

"I am waiting for the completion of Cering's new house, and I will learn from his experience in restoring the old look of the houses," owner Namkua said.

Not all the residents are in the plan. Down the street from the future hostel, two newly completed houses shine with a layer of bright yellow paint.

"Those houses look too new and cannot reflect the simple beauty of the ancient town," he says.

The fire in Dukezong, caused by an electric heater, destroyed about one third of the town's buildings. In the streets unaffected by the fire, bars, cafes and restaurants are still receiving tourists.

The local government invested 1.2 billion yuan and originally planned to finish restoration within three years, Kang Jianhua said.

"The speed of construction outpaced our expectations, and it is expected that the burnt out area can finish basic restoration and be reopened to public by the end of this year," he said.