The WEI guest house was set ablaze. The only report of the incident suggests that it was completely destroyed, and done so without known cause.
Much of the research on PNG flora and fauna prior to independence, and for some time afterwords, went through Wau Ecology. Having spent many nights there, its quite a loss. While not exactly luxury accomodations, it was on par with the CWA guest house in Madang (at least as I remember it from the late 90s) and enjoyed better scenery than any of the urban options in the region. One did not have to go far to engage with the diversity of insects, birds and plants that occupy the Wau Bulolo valley, and many researchers collected on site… which belies the fact that the area was recovered and replanted by Gressitt and others over the course of many years.
WEI is still there, but options for booking a night have just dwindled.