Huang Nubo, in an interview with the British newspaper Financial Times, said he only learned the Icelandic government wanted him to file a new application for a land lease from Icelandic news reports.
"I think this is racial discrimination because I am Chinese," he told the Times. "Many people have invested in Iceland in the past but no one has been treated like I have."
Huang announced in 2011 he wanted to buy more than 100 square miles of land in northern Iceland for a resort. When Icelandic officials raised concerns about security, he changed his offer to a lease arrangement.
While Iceland has a mild climate for a country just below the Arctic Circle, most of the interior is barren and uninhabited. The country has no military of its own but was an important NATO member during the Cold War because of its location.
Notable deaths of 2014 [PHOTOS]