In thte year 1958, Mr. Jiang Guo, son of Kiang Kai Hek, began discussions regarding the development of Taroko's scenic area. Arrangements were made with the Shanghai Commercial and Savings Bank's tourism bureau to create Tian Hsyang Lodge, which laid the foundation for growth in tourism in the Taroko region. Construction was completed in 1961 and managed by an organization known as the Spirit Encourangement Society, which was established by Jiang Kai Shek who originally created the society as a meas of organizing gatherings for alumni of Huangpu military academy.
In 2009, Grand Formosa Taroko once again underwent a re-vamping as it became Formosa INternational Hotels Corporation's second hotel under the luxury hotel Silsk Place brand, becoming Silks Place Taroko, which underwent a complete facelift with comprehensive upgrades in facilities and services to cater to the world's elite.