The pre-con budget estimate was coming in at around $50M for the old Alexandra Hotel and building next to it (to the left above), which was something like 60% more than the Church of Scientology wanted to pay. Both buildings have been neglected for so long that they are total losses on the inside. The Church isn't sure what they're going to do now, but everything is on hold (though they haven't said that publicly).
One thing driving up the budget is that some area residents are demanding that the Church preserve the crappy brick building to the left in the photo above. The Church had planned to take it down and build a new slender, modern, mostly glass building. The rational being that it would sort of frame and call out the Hotel.